Abstract:
Sri Lanka's telecommunications industry was profoundly transformed during the 1990s and became one of the most open and competitive among developing countries in the Asia-Pacific region. This was driven by a series of government initiatives to open up the sector to new entrants and greater competition. But after privatisation of the state-owned monopoly became a feasible policy option, and particularly after it was partially privatised in 1997, there has been an apparent shift in government policy away from its previous pro-competitive stance. This paper examines the evolution and present state of Sri Lanka's telecommunications industry, the regulatory policy framework, and pertinent competition policy issues in the sector, with particular attention to the apparent shift of government policies away from its earlier strong pro-competitive stance.