Telecom Lead Asia: Mobile penetration in Nepal has
increased to 45 percent in late 2011, with mobile subscriber numbers having
increased fivefold in four years.
Fixed-line growth in Nepal is slow and there is little
sign that this segment of the market would pick up. Presently, fixed-line has
only 3 percent penetration in Nepal, according to Research and Markets.
Furthermore, the research adds that the deployment of WLL
services has provided a boost to the fixed market. By 2012 this technology
platform will support around 50 percent of all fixed-line services.
The research says that there is a need to increase the
fixed-line penetration rate by expansion programs for rural areas.
Broadband subscriptions remain low consistent with a
lowly penetrated internet market; broadband however represented around 75
percent of all internet connections by 2011, adds research firm.
In 2012, the telecom sector will undergo reforms,
although progress is somewhat erratic.
The research firm says that a number of factors had been
slowing the development of Nepal’s telecom network up until now. The country’s
mountainous topography has made it extremely difficult to develop its
telecommunications infrastructure.
State
owned fixed and mobile operator Nepal Doorsanchar Company Limited (Nepal
Telecom) is the largest carrier in Nepal.
Recently, it has reported a 12.48 percent rise in
net profit for its fiscal year 2010/11 ended Jestha 2068 (June 2011), to
NPR12.12 billion (USD157.5 million), up from NPR10.77 billion in the year-earlier
period.
