Prime Minister Hon. James Marape, MP says the completion of Telstra’s acquisition of Digicel Pacific this month is demonstration of international confidence in the Papua New Guinea economy.
“The government has worked to liberalise the telecommunication market, and to also even out the playing field so that we attract important investments, and build important competition pressure in the marketplace, which translates into low-cost communications charges, and high penetration in a country that remains largely disconnected.”
Prime Minister Marape said that Telstra is rated the number one telecommunication company in Australia and through its successful acquisition of Digicel Pacific, this is a strong vote of confidence in our economy, its current state and more importantly, the future outlook.
“Investments are made with a long-term view, and most certainly a large transaction such as this one is only made when there is confidence and certainty in what the long term prospects in the economy are like.”
“Now that the acquisition is completed, this will only enable our link to the outside world much faster and deeper.
“I want Telstra to maintain links all over our country especially in the unconnected pockets of our out-of-reach communities, and to grow those links.
"The completion of this acquisition also presents an opportunity for the PNG stakeholders to work on possible participation in the telecommunication business, in keeping with the government’s mantra of maximizing participation by its stakeholders.
“We also want Telstra to interface with Telikom and as initially foreshadowed, under the Telstra PNG subsidiary; PNG stakeholders could be offered up to 50 per cent of equity,” he said.
Prime Minister Marape said while Telstra announced its successful acquisition this month, I’d like to reiterate that telecommunication services are critical to PNG’s social and economic development. It has the potential to address education and health concerns and will build a strong resilient population who are aware of what is going on.
“There is an expectation that wherever possible infrastructure sharing will be encouraged, reducing the need to erect several towers at the same location. Telikom will welcome the opportunity to collocate on Digicel infrastructure.
“I want to also thank Telstra and the Australian Government for their confidence in our economy and investing in our country.
“My Government looks forward to working closely with Telstra in developing its ongoing infrastructure network plans for PNG,” the Prime Minister said.
Digicel Pacific is the leading provider of communication services across PNG, Fiji, Nauru, Samoa, Tonga and Vanuatu. This acquisition also includes the businesses in these other countries.
Article courtesy of The Department of Prime Minister & National Executive Council
