UTL's operation in Nepal

The Embassy of India has noted that United Telecom Limited, a leading Indian joint venture in Nepal, was allowed to resume its services on 18 March 2005, after nearly seven weeks of disruption. We are, however, deeply concerned that the permission was accompanied by new restrictions on UTL’s services, including prohibition on new connections.

Since the launch of its services in Kathmandu in September 2003 by the Communications Ministers of the two countries, UTL has faced a number of hurdles. Despite repeated assurances from HMGN, many of UTL’s difficulties remain unresolved.

India is Nepal’s largest trading partner and the biggest source of direct foreign investment.  UTL’s experience could further erode foreign investors’ confidence in Nepal and undermine India-Nepal economic ties.

We trust that UTL will be allowed to operate in an unfettered manner in accordance with the terms of its licence.