Neumann briefed the officials on the purposes of the World Bank engagement and the key findings of the draft report prepared by its consultants.
The draft report reviewed the evidence-based research pointing the need to establish a policy and legal framework for market liberalization to achieve the economic and social benefits of telecommunications.
Other subjects in the report addressed the need to establish an independent regulatory body governing telecommunications; the submarine fiber optics option which would enable Chuuk, Kosrae, and Yap to improve international connectivity; the World Bank requirement for open and equal access for submarine fiber optics option; strengthening the FSM Telecommunications Corp. through investment and debt restructuring alternatives; improving the capacity of the FSM government to manage the telecommunications sector reform.
Neumann also briefly briefed the task force on the Program Appraisal Document for a Regional Adaptable Program Loan for a Pacific Regional Connectivity Program.
Neumann described the changes which have liberalized telecommunications in the Pacific Islands region, especially in the South Pacific and the recently established Telecommunications Regulatory Center established by the World Bank and currently located at the Regional ICT Training Center at the University of the South Pacific in Suva, Fiji.
The World Bank is awaiting final comments on the draft report from the FSM Telecommunications Corp. and the FSM Government.
Once the comments are submitted, the World Bank will review the comments and finalize its study of telecommunications in the FSM.
FSM was hopeful that the report could be finalized by December and also requested that Neumann return to the FSM to directly brief the FSM Chief Executives Council and the Micronesian Chief Executives Summit on the report and the next steps in December 2011.
