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Telecoms seen to flourish in CNMI
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Posted on Feb 27 2001
The Commonwealth’s quest for the establishment of a technology-based alternate industry to its declining tourism sector would kick off only after the CNMI is successful in instituting support systems as telecommunications.
According to a report submitted to the Office of the Governor, investments based in telecommunications have a significant opportunity to become a primary industry in the Northern Marianas.
The report says growth and development of the local telecommunications industry is equally important since it can be the basic infrastructure that may support the development of other key industries.
These technology-based industries include data processing, financial services and telemarketing. “The telecommunications industry is capital intensive and creates high-paying jobs, generating substantial revenue,” the report adds.
But the CNMI government would have to take a thorough review before efforts to promote a data processing industry are put forward since this sector requires a well-prepared local labor force.
At present, CNMI falls short in terms of the availability of local workforce with the required technical skills and expertise.
Aside from its being a potential alternate industry for the Northern Marianas, analysts say telecommunications would also have minimal impact in the islands’ fragile environment and eco-system, thus, protecting the local tourism sector.
However, economic researchers say telecommunications industry would depend heavily upon favorable tariff rates. “The competitive structure under which the telecom industry is organized would have to be carefully considered in any decision to pursue this type of development.”
Just last week, Acting Gov. Paul A. Manglona signed a law that will establish a telecommunications regulatory body amid oppositions from industry players. (AR Fajardo)
