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MUMBAI, Feb. 8

INDIA'S teledensity will record a 4.5 per cent growth by the end of this fiscal and is expected to show a 9-per cent growth rate by 2005 exceeding the earlier target of 7 per cent, according to Mr Shyamal Ghosh, Secretary - Telecom, Ministry of Communication and Information Technology.

"We had earlier said that teledensity would show 7-per cent growth by 2005 and 15 per cent by 2010. However, the rapid pace of growth indicates that would be able to touch nine per cent by 2005 itself,'' said Mr Ghosh while addressing a press meet on the sidelines of Nasscom 2002 held here.

"We are currently adding 10,000 fixed-line phones per hour and around 2.5 lakh cellular subscribers per month. For the current fiscal, the telecom sector - inclusive of both fixed line and cellular - will grow at 25 to 26 per cent,'' he added.

Speaking about the Government's role in encouraging wireless telephony he said, "Wireless is being used to address the question of cost by encouraging the use of Wireless in Local Loop (WiLL) for rural telecom requirements. It is also being put to use for point to multi-point for last mile access.''

"In remote areas, we are working with satellites as it is very cost-effective. This is still at a preliminary stage, but we believe that in future costs will come down,'' he added.

The Government, he said, had already given Letters of Intent to global satellite communication systems with two companies - Aces, an Indonesian company which has an alliance with Shyam Telecom and Agrini, which is part of the Zee group.

Speaking about the role of the Department of Telecom once the Convergence Bill is enacted, Mr Ghosh said, "The Department will address four main issues - policy, spectrum, standards and looking after PSUs as well as maintaining relations with international telecom market.''

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`Teledensity to grow 4.5 pc this fiscal'

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