OREANDA-NEWS. January 27, 2011. NKRZ, the commission for communications regulation in Ukraine, is set to introduce a 15% increase in tariffs for fixed-line local calls by mid 2011, one of the Ukraine’s major newspaper The Delo reported Jan 26.  The new tariff regime is expected to be implemented gradually, with the first potential 10% increase in prices set to be approved on Thursday, Jan 27.

Millennium Capital deems this news as POSITIVE for UTLM. Ukrtelecom, the wireline monopolist (c.83% market share) in Ukraine, will benefit from the spike in prices to the greatest extent among the other incumbents. According to Millennium Capital’s estimations, if elevated tariffs come into effect since 2H20111, the company’s EBITDA will be boosted by some UAH 277mn in 2011.