Universal Service fee analysis for Colombia (only in Spanish)

January 27, 2020

This study aims to estimate an efficient Universal Service fee for Colombia. For this purpose, two scenarios are modeled: the first scenario estimates the fee based on an efficient Universal Service Fund, i.e., a fund that finances only projects related to closing the digital divide in Colombia. The second scenario maintains the current status quo in which resources from the fund are used for other purposes not related to closing the digital divide, e.g., transfers to the national treasury. Based on our analysis, a Universal Service fee of 1.9%, down from 2.2%, is viable. This fee allows to keep the trend of investment from the Colombian government on programs to close the digital divide, while allowing for additional resources to the telecom providers that provide resources to the Universal Service Fund.

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