Telecommunications Sector Reform in Asia: Toward a New Pragmatism

Governments in Asia are reappraising telecommunications policies in light of changing technological and economic conditions, particularly chronic unmet demand for telecommunications services. This report challenges the economic rationales (economies of scale and scope, and externalities, for example) that have been used to support monopoly provision of telecommunications services, and it reviews four main elements of sector reform: supply, diversification, private-sector participation, regulation, and implementation of reforms. The report synthesizes lessons of experience and draws conclusions of special relevance for Asia's developing countries, and it concludes that current policy initiatives must be broadened and deepended if the new, pragmatic approach to telecommunications policy is to succeed in doubling or tripling the region's telephone base.