GSM lines the future for Egypt

Egypt will have more GSM lines than PSTN fixed lines by 2005 as market liberalisation encourages the growth of GSM operators, says the Arab Advisors Group.

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By  Matthew Southwell Published  March 19, 2002

Egypt will have more GSM lines than PSTN fixed lines by 2005 as market liberalisation encourages the growth of GSM operators, says the Arab Advisors Group.

At the same time, market revenues are expected to more than double as the country’s GSM and fixed line revenues are predicted to exceed $ 3.17 billion by 2006, up by US$ 1.3 billion from revenues in 2001.

The report’s author, Arab Advisors Group analyst Shahin Shahin, explains that Egypt’s latest telecom law, which is currently under review, is the key to market growth as it will encourage investment from regional and international investors.

“The new telecom law, currently under review, directly refers to BOT (build-operate-transfer) and BOO (build-own operate) models. This will open the door for more domestic and foreign private sectors’ involvements in the Egyptian telecom infrastructure projects,” he says.

“Telecom Egypt is expected to launch the country’s third GSM license in 2003 which heightens the need for global expertise at its helm in order not to repeat its failed GSM experiment before 1998,” he adds.

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