International VoIP services set to expand

The Bangladeshi government has announced new legislation which will enable more companies to offer VoIP services.

Currently, only five firms are licensed to use the technology in the country, but next month's law will allow more businesses to enter the market with government approval.

The increased competition should ensure a drop in service prices, while VoIP traffic will also rise significantly.

Telecommunications minister Raziuddin Ahmed Razu said: "The government will issue more licences for the VoIP business to new companies allowing people to make international calls at very cheap rates."

At present, there are many rogue Bangladeshi VoIP communication companies operating illegally in the country.

The government loses a significant amount of tax revenue from these firms, so the move to license all VoIP businesses will see a huge boost in state funds.

Meanwhile, the government is planning to launch its own VoIP service within the next two years.