NSA to review proposed FDI guidelines in telecom

NSA to review proposed FDI guidelines in telecom
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First Published: Sun, Feb 04 2007. 04 22 PM IST
Updated: Sun, Feb 04 2007. 04 22 PM IST
Agencies
New Delhi: The National Security Advisor is understood to have convened a meeting of Cabinet Secretary, Home, Defence, Finance and Telecom secretaries along with security agencies to review proposed guidelines for enhanced FDI limit in the telecom sector.
The Group, formed by the Cabinet in December 2006, under the chairmanship of National Security Advisor, will be examining the security conditions and safeguards concerning remote access to public switched telephone network (landline telecom network), sources said.
Through Remote Access, the foreign companies sitting outside India can monitor the traffic movement on country’s landline telecom network.In the proposed guidelines for enhancing FDI in telecom to 74 % from 49 %, the security agencies too had expressed apprehensions that by allowing foreign companies to monitor traffic on the landline network could be cause of concern. The group led by NSA is likely to meet on February 5.
On the other hand the companies had said that denying remote access will “inhibit” growth of IT enabled services (ITES) sector.The Department of Telecom (DoT) had proposed that remote access would be provided from locations, which were approved by the licensor that is DoT.
“For extending remote access facility to any other company/organisation prior approval of the licensor (DoT) will be required,” DoT had said in its proposed note detailing guidelines for enhanced FDI in telecom sector.
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First Published: Sun, Feb 04 2007. 04 22 PM IST