The Union Cabinet has approved a new telecom policy- The National Digital Communications Policy-2018 which aims to create four mn jobs. The policy aims to attract investment of about $100 bn in the telecom sector by 2022. The investment would boost the sector’s contribution to eight percent of Gross Domestic Product (GDP) from the current six percent.
Manoj Sinha, Telecom Minister, was quoted saying in media that given the pace of global transformation in the sector, specifically, in emerging technologies like 5G, IOT, and Machine to Machine communication, the government felt there is a need of both customer-focused and application-driven telecom policy.
He further stated that the new policy would give a thrust to the otherwise financially stressed sector. Under the policy, the government plans to optimally price spectrum review levies such as license fees and SUC as well as M&A rules to ease exits. The system will also address issues like spectrum sharing, leasing and trading guidelines, etc.
Ashish Sharma, Partner at PwC Strategy, shared in media that the policy would recognize and promotes investment in all aspects of the industry including R&D, product development, local manufacturing.
The policy is expected to implement next year, and the overall objectives would be met in next five years.