They are also committed to growing a work force skilled in communications technologies. The World Bank and the EU have already pledged support. One unusual idea is the concept of smart subsidies, said Scherer, to persuade foreign companies to take telephony to poorer countries. A donor such as the World Bank could subsidise the services offered by a private company to induce them to serve areas where people cannot pay the going rate. These subsidies would let private companies provide services at a lower cost to all segments of the population.
Investors are reluctant because there are risks involved.
We have to reduce those risks.