International call rates were cut by Hongkong Telecom yesterday as competition began to take hold in the newly deregulated market.
Competitors New T&T and Hutchison are expected to lower their charges soon, in line with rates lowered by New World Telephone and City Telecom (Hong Kong).
Hongkong Telecom, which lost its IDD monopoly on Friday, said it was cutting tariffs by up to 30 per cent, though figures revealed most discounts were aimed at business, not residential users.
The firm's IDD marketing manager Thomas Leung said the new charges offered an average price cut of 25 per cent on calls to popular destinations including northern China, the United States and Europe.
'We will further adjust our service and tariff plan depending upon changes in the market,' he said. The company said it would not charge for less than six seconds.
CTI pledged to give the lowest rates to provinces outside Guangdong.