Government baulks at ArmenTel price hike plan

TeleGeography, D.C.

Armenia

Thursday, 21 September 2006

Senior government officials in Armenia have opposed plans put forward
by the country’s national operator ArmenTel to significantly raise
the cost of fixed line services in the country. The monopoly operator
submitted its proposal to the regulator in August, despite the fact
that its Greek parent the Hellenic Telecommunications Organisation
(OTE) was pressing ahead with plans to sell its 90% stake in the telco
to another foreign investor. OTE has short-listed four foreign firms
for the stake, but has yet to announce the winner. Prime Minister
Andranik Markarian has now voiced his opposition to the hike, arguing
that it would significantly push up the cost of dial-up internet
access to the detriment of the development of IT in Armenia.