The World Bank is considering buying a 10% stake in Sri Lanka's state-owned phone company in order to speed up the country's privatisation programme.

The government plans to float between 10% and 15% of Sri Lanka Telecom between July and September this year.

"If it is a large enough portion and we are helping the privatisation process then we will be willing to invest," the World Bank's International Finance Corp (IFC) country manager Sanjiva Senanayake told Reuters.

The government said in its budget last month that it hoped to raise 21bn rupees (�149.8m) from the sale of state assets this year, up sharply from 8.5bn rupees last year.

Sri Lanka Telecom, the largest state asset listed for privatisation. has been valued at roughly �272m.

Japan's Nippon Telegraph and Telephone (NTT) already has a 35.2% stake, and would not participate in the initial public offer.

To date, the IFC has invested about $110m in projects in the country's port, power generation, finance and tourism sectors.