The Latin American Development Forum promotes debate and disseminates knowledge and analysis on economic and social development issues in Latin America and the Caribbean. The Institutional Sponsors of this series are the World Bank, United Nations Economic Commission for Latin America and the Caribbean (ECLAC), and Inter-American Development Bank (IADB). Over the last 20 years full competition became a dominant attribute in virtually all high-income countries and in selected developing countries, especially in Latin America. Three forces were behind competition: globalization, technological change, and the emergence of international telecommunications as an enabler for integration and trade. This paper presents the case that opening international voice communication to competition is key to reform the telecommunications sector, is sustainable in developing countries, and results in major gains to consumers, businesses, and to the economy. The author makes me case for opening developing country markets quickly rather than gradually and identifies regulatory matters dial need to be tackled in opening the markets to competition: regulatory reform, better licensing, interconnection and universal service regime.
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