Telecommunication Industry

2009, Telecommunication to Grow by 10%

VIVAnews - The Indonesian Chamber of Commerce (Kadin) figured that the telecommunication industry will still grow by about 10 percent, a decrease compared to the previous percentage of between 16 and 17 percent.

"If the telecommunication industry can go on, other sectors like informatics and media will surely go on," Kadin Deputy Head on Telecommunication, Information Technology and the Media, Anindya Novian Bakrie told VIVAnews on Tuesday, March 10.

The growth of telecommunication industry, he went on to say, rests on domestic demand. "As long as there is domestic demand, the industry will still grow," he said.

Anindya also mentioned that the investment in the sector is still maintained although there is some delay. "In 2008, investment reached around Rp 70 trillion (US5.8 billion). However, it may only reach Rp 35 trillion - Rp 40 trillion (US$2.9 billion-US$3.3 billion)," he said. The investment is commonly aimed at increasing capital expenditure, network expansion and capacity enhancement.

He said several top telecommunication vendors that are to build factories in Indonesia may not affect the growth of telecommunication industry significantly. "Except if [the top vendors] will have built component factories," he said.

Anindya claimed that telecommunication vendors from China, India and Korea have stated their interest. 

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Translated by: Bonardo Maulana Wahono

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