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Chinese Investments In Nepal’s Telecommunications Worry Indian Agencies

Issue 43, October 21, 2012

By KTM Metro Reporter 

October 20, 2012: Chinese investments in Nepal’s telecommunications sector are worrying Indian agencies; security agencies have asked Indian outfits to take counter measures according to the news posted on the www.thehindubusinessline.com. 

The Chinese company called Zhong Xing Telecommunication Equipment Company Ltd (ZTE) plans to build four high-technology earthquake-resistant data centers for Ncell Pvt Ltd: a Nepalese telecom company one each at Biratnagar, Kathmandu, Hetauda and Pokhara in Nepal at the cost of about $43.75 million. 

“ZTE is one of China’s largest wireless equipment manufacturers and network solutions providers and maintains close ties with the PLA (People’s Liberation Army). It is increasing footprint, along with other Chinese companies such as Huawei, and raises the possibility of installing bugged equipment in Nepal’s telecommunication network. This in turn could allow China to monitor data and voice traffic between India and Nepal,” said the Government note. 

New Delhi is planning to work through the Ministry of External Affairs to take up the concerns with the Nepal Government. Nepal Public Accounts Committee opposed this project. India is likely to make its own investments in similar projects in Nepal to ensure that communication networks between the two countries are secure. 

http://www.thehindubusinessline.com/industry-and-economy/info-tech/security-agencies-take-guard-as-china-invests-in-nepal-telecom/article4013647.ece?homepage=true&ref=wl_home

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