Business Times

Sri Lanka tops regulatory risk scores for Asia Pacific Telecoms

Fitch Ratings announced that Sri Lanka, Australia and South Korea have the highest telecom regulatory risk environments on a comparative basis whereas Malaysia has the lowest.

In a press release, Fitch stated that it assessed the risk environment for thirteen markets across Asia-Pacific and concluded that Sri Lanka's risk score is 6.5 followed by Australia and South Korea which came in with scores of 6.

Senior Director and Head of Fitch's Asia Pacific Telecommunications, Media and Technology team Matt Jamieson stated that a high regulatory risk score of 6 or above denotes that the regulatory environment has a significantly negative impact on the operator's ability to generate Free Cash Flow (FCF). In contrast, he stated that a low score below 3 denotes a potentially positive impact on FCF.

 
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