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Jakarta Post

Card registration to impact XL growth, albeit short term

  • Winny Tang

    The Jakarta Post

Jakarta   /   Wed, June 6 2018   /  02:42 am

The government’s newly introduced mandatory prepaid SIM card registration policy will no doubt hurt the business performance of major telecommunication operators, including PT XL Axiata, but the impact is expected to only be temporary, a top executive of the company said on Monday.XL Axiata president director, Dian Siswarini, anticipated “softer” business growth in the second quarter, affected by the government’s decision to require operators to block unregistered SIM cards by May 1.“The impact of prepaid SIM card registration [to our business] will only be short term, as customers’ behavior will return to normal later,” Dian said on the sidelines of a breaking-of-the-fast event in Jakarta. The government decided to block unregistered SIM cards gradually to prevent misuse or fraud. Cards not registered by April 30 were blocked on May 1, with users of unregistered cards una...