Telekom Malaysia on Monday said its Sri Lankan unit Dialog Telekom had secured 100 million dollars from the World Bank to expand its cellular network and build new telecommunication networks.

Telekom Malaysia said the funding was from the International Finance Corporation, a member of the World Bank Group. It comprises a 70-million-dollar loan and a 30-million-dollar equity commitment through the acquisition of 1.6-percent holding in Dialog from Telekom Malaysia.

"The loan facility will enable Dialog to improve public access to affordable and reliable telecommunication services by increasing capacity and extending coverage, particularly in rural areas," Telekom Malaysia said in a statement.

With more than three million subscribers, Dialog controls 60 percent of Sri Lanka's cellular market.

Dialog also offers international voice and data services, Internet and satellite television. It plans to offer fixed-line telephone services in the coming months.

Sri Lanka's booming telecom sector is expected to bring in some of the island's biggest investments this year.