Online edition of Daily News

Sri Lanka Telecom (SLT) is set to acquire 59 acres in Borella to construct the proposed Rs. 50 billion, 66-acre Telecom City.

According to Chairman Sri Lanka Telecom Thilanga Sumathipala, the venture would be a three-phase development project, which would be completed in 2010.

The first phase would cost Rs. 5 billion on a seven-acre land belonging to SLT and would be completed by the end of the year while for the next two phases 59 acres belonging to the Borella Prison would be acquired. Telecom City - a SLT landmark venture, will, provide a truly globally accessible service from Sri Lanka.

SLT Chairman Thilanga Sumathipala explains the Telecom City project to Minister of Telecommunications, Imthiaz Bakeer Markar. Chairman/Director General of the Board of Investment Arjunna Mahendran and CEO SLT Shuhei Annan look on.
Pic by Sanjeeva Kellapotha

The project would be able to provide an enhanced infrastructure of the highest global standard for international call centre operations interested in exploring markets such as Sri Lanka. It will also be the first to cater to the outsourcing of Information Communication Technology (ICT) to many segments of the marketplace.

Telecom City services will be offered in four basic areas; call centre operations, data storage and management services, communications hubs and vendor businesses supported by SLT's high technology infrastructure with its abundant capacity, bandwidth and security. The personnel training also will be provided by SLT through training centres already operational.

The project will lead to the employment of 12,500 skilled Sri Lankans by the end of the second phase. It is further anticipated to create approximately 100,000 jobs by the end of the third phase.

Speaking at the ground-breaking ceremony of the proposed Telecom City in Borella, the Chairman said that the proposal to relocate the prison premises has been accepted in principle and now negotiations are under way to value the property. The prison is expected to be relocated in six places in Negombo, Panadura and rural areas.

SLT also hopes to be the first Sri Lankan Company to be listed internationally and achieve this prestigious rating this year. "We are ready for the rating and hope to be listed internationally this year."

There is a demand for thee million cellular phones and the three private operators cannot meet the demand. "This was why we acquired Mobitel. The SLT raised Rs. 14 million locally and internationally for this purpose." The Chairman said that the last two years were very challenging but they managed to raise Rs. 3.7 billion within 36 hours from a Initial Public Offering which attracted 28, 000 shareholders.

Telecommunications Minister Imthiaz Bakeer Markar said that the telecommunication industry had been revolutionised in the last few years and today international call rates have come down in a big way. He said the SLT had faced all challenges successfully.

Sri Lanka Telecom is one of Sri Lanka's most vital utility companies with an annual turnover in excess of Rs. 25 billion. The company employs a workforce of over 7,000 and has an islandwide network.