Telco issue in S. Lanka to be resolved
Mechanism to end delay for Malaysian firm’s licence renewal to be set up
COLOMBO: The delay in renewing Malaysian-owned telco Dialog Axiata Group’s service licence in Sri Lanka, which has held back up to US$300mil (RM1.22bil) of its additional investments there, may be resolved soon.
Prime Minister Datuk Seri Najib Tun Razak said Sri Lanka’s President Maithripala Sirisena suggested during their meeting yesterday that a mechanism be set up to sort out the delay in the approval.
Dialog Axiata Plc, a subsidiary of Axiata Group Bhd, is the biggest telco in Sri Lanka.
It is understood that the renewal application for the company’s service licence in Sri Lanka has been pending for 30 months since May 2015.
Najib said Sirisena suggested the setting up of a four-person committee – two representatives to be appointed by Malaysia and two by Sri Lanka – to resolve the matter as quickly as possible.
“I see this as a positive development, that there is light at the end of the tunnel,” Najib told Malaysian media here yesterday.
Najib said Malaysia is Sri Lanka’s fourth biggest investor with 47 projects worth more than US$3bil (RM12.2bil).
Dialog Axiata is the biggest Malaysian-owned firm in Sri Lanka, with investment in the country worth nearly US$2.2bil (RM9bil).
Najib said he will decide on the choice of representatives after he returns to Malaysia and gets input from the International Trade and Industry Ministry.
“Hopefully, this matter can be settled (soon) because Dialog Axiata has the capability to increase its investment in Sri Lanka,” said Najib.
Najib, accompanied by Datin Seri Rosmah Mansor, arrived here on Sunday for a three-day official visit.
He was given an official welcome at the Presidential Palace here yesterday.
The Prime Minister then held a four-eyed meeting with Sirisena, followed by a bilateral meeting between the Malaysian delegation and Sri Lankan representatives.