In light of the global trend of central banks adopting a ‘higher for longer’ interest rate policy, how will telecom companies adjust their investment strategies in response to the increased cost of capital? What implications will rising borrowing rates have for the future of telecom infrastructure investment?

Phillip Colmar, Global Macro Strategist at MRB Partners, highlighted telco companies’ financial challenges in the current economic climate. Colmar, an experienced strategist and economist specializing in global multi-asset investment strategies, underscored the necessity of a strategic shift to adapt to the evolving economic landscape and its effects on telecom infrastructure development.

“It is true that those telco companies that have been spending on this infrastructure and a reliance on funding to pay for it are now gonna face much higher borrowing rates,” he said.

Article written by MarketScale.