SINGAPORE. Dec II: Singapore Telecommunications Ltd (SlngTeff Is set to become (he leading telecom player in Asia, Dutch banking group ING Barings said Monday in a report, reports AFP.

The city-state's dominant carrier strategy ol Investing Ils strong cash holdings tn high-growth areas across the region is expected to pax' dividends.

"We expect Singajiore Telecom to continue its offshore strategy, and we think the investment jwrtfolio will grow by at least one billion Singapore dollars (580.000 US) and mature over the next few years."

SingTel has strategic stakes in mobile operators based in Thailand, the Philippines and India, and also has investments in Taiwan and Indonesia.

The bank issued a "buy” recommendation on the stock, setting a 12-month price target of 3.83 Singapore dollars. The shares closed Monday at 2.78 dollars a piece, up 1 1 cents from Friday's close.

Liberalisation of the local telecom market in April, one year ahead of schedule, would only have a marginal impact on the carrier, the bank said.