Republic of Lebanon
 

The ICT Sector in Lebanon: Major Improvements But Still a Long Way to Go

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  • The ICT Sector in Lebanon: Major Improvements But Still a Long Way to Go

    By The Lebanon Brief
    2/3/2014
    BLOMINVEST

     

    Selected Arab countries ranking according to some ICT indices

    IDI

    NRI

    EGDI

    E-participation

    IPB

    2012

    2011

    2013

    2012

    2012

    2010

    2012

    2010

    2012

    2011

    Bahrain

    39

    42

    29

    27

    36

    13

    8

    11

    34

    15

    Qatar

    31

    30

    23

    28

    48

    62

    9

    86

    2

    4

    UAE

    33

    45

    25

    30

    28

    49

    6

    86

    7

    6

    Saudi Arabia

    50

    48

    31

    34

    41

    58

    9

    102

    50

    41

    Oman

    54

    58

    40

    40

    64

    82

    16

    76

    24

    30

    Jordan

    76

    77

    47

    47

    98

    51

    28

    42

    87

    91

    Lebanon

    52

    61

    94

    95

    87

    93

    20

    45

    60

    64

    Tunisia

    91

    92

    NA

    50

    103

    66

    18

    39

    64

    66

    Egypt

    86

    87

    80

    79

    107

    86

    7

    42

    70

    75

    Morocco

    89

    89

    89

    91

    120

    126

    17

    86

    106

    100

    Syria

    NA

    96

    NA

    129

    128

    133

    31

    157

    NA

    109

    Yemen

    127

    129

    139

    141

    167

    164

    32

    135

    122

    119

     

    The Information and Communication Technology (ICT) sector comprises many different things. A recent report by the United Nations Economic and Social Commission for Western Asia (UNESCWA) mentioned that “ICT encompasses networks that only offer voice telephony services for fixed and mobile subscribers along with networks that support a wide range of communication services including next generation Internet Protocol (IP). ICT also encompasses narrowband to broadband access where end users are essentially always connected.”

    Development of ICT was impressive throughout the past decade but contains stark differences between developed and developing countries, including Arab countries. The International Telecommunication Union (ITU) database shows that mobile subscriptions in developed countries fell from 5 times that of developing countries in 2001 to only 1.6 times in 2011. Internet users also fell by more than two third from 10:1 in 2001 to 3:1 in 2011. Finally mobile broadband went down the most in just 4 years from 22:1 in 2007 to 6:1 in 2011. Development in Arab countries shows a similar trend to that of developing ones.

    During the past 5 years, Lebanon realized some major improvements on many ICT indicators as it is starting from a low base but it still has a long way to go in order to be placed with developed countries or even to catch up with many Arab countries. Mobile penetration surged from 35% in 2008 to more than 90% in 2013. Prices of fixed broadband have been slashed by more than 70% in 2011 with internet usage reaching 38% at the end of 2012 compared to 32% in the previous year. However, Lebanon still has several problems when it comes to the quality of the services provided. For example “a survey by Ookla, a US-based broadband tester, placed Lebanon 151st for download speeds, averaging 2.52Mbps”.

    Several indicators have been put in place by different international organizations in order to be able to measure and compare the development of the ICT sector across countries. The ITU produces two indices: 1- the ICT Development Index (IDI) that is based on eight indicators related to ICT infrastructure and use; 2- the ICT Price Basket (IPB) that “is a unique global benchmarking tool that provides insightful information on the cost and affordability of telecommunication and information and communication technology (ICT) services. The IPB is composed of three distinct prices – for fixed-telephone, mobile-cellular and fixed-broadband services – and computed as a percentage of countries ‘average gross national income (GNI) per capita”.

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