”The Arab World is poised for a major round of privatization and liberalization milestones in telecommunications that will spur growth in regional electronic government initiatives. A virtuous cycle for e-government is around the corner, brought about by growth in the use of the Internet, GSM and broadband," according to the Amman-based Arab Advisors Group.
The Internet, communications and new media research consultancy says Arab countries, home to more than 250 million people, have yet to see truly liberalized communication sectors. When they do, competition will bring better service, expanding consumer bases for communication services and cost-based pricing. Liberalized markets will also enhance global investor interest in the region with greater opportunities to attract international operators, vendors and finance.
"Morocco is the clear market leader in liberalization followed by countries like Jordan, Egypt and Lebanon," he said. "The Gulf States are still monopoly countries with some level of competition in Kuwait (Internet and GSM) and Saudi Arabia (Internet),” Arab Advisors Group's President Jawad Abbassi said. "Clearly, countries that are facing economic hardships have been the leaders in recognizing the role of telecommunication liberalization in attracting investment and upgrading their once-dilapidated communications infrastructure."
But delayed liberalization has stifled growth in vital areas such as international Internet connectivity. According to recent Arab Advisors Group research, more than 740,000 Internet subscribers in eight Arab countries shared a grand total Internet bandwidth of only 777 mbps, by mid-2001. This combined Internet bandwidth for Egypt, Saudi Arabia, Lebanon, Jordan, Morocco, Oman, Syria and the UAE paled in comparison to that available to Internet users in Europe and America. The combined bandwidth of the eight Arab markets was equal to that of only 518 cable modem subscribers in the US.
Abbassi will examine the effects of liberalization and privatization on infrastructure and e-government initiatives during the Middle East e-Government Forum, held at the Crowne Plaza Hotel Dubai, on February 3, 2002. The Middle East e-Government Forum will hear of the latest e-government developments and challenges from throughout the region, including Dubai, Jordan, Qatar and Saudi Arabia as well as international case studies from Australia and Europe. — (menareport.com)
© 2001 Mena Report (www.menareport.com)
