MENA government IT spend to reach $11.4bn in 2015

Government spending on citizen-centric services, core infrastructure and online services to drive market, says Gartner

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MENA government IT spend to reach $11.4bn in 2015 Spending on government-specific software solutions will grow by 9% in 2015, says Gupta.
By  Mark Sutton Published  September 29, 2015

Government IT spending in the Middle East and North Africa region is set to hit $11.4 billion this year, according to latest figures from Gartner.

The analyst company said that spending on citizen-centric services will drive the market in more advanced markets, with infrastructure and online services also being a focus for investment.

Telecom services, which include fixed and mobile telecom services, will be the largest overall spending category throughout the forecast period within government sector. It is expected to be US $4.7 billion in 2015, with mobile network services being the largest sub-segment with $3.1 billion in spending.

"The software segment includes enterprise resource planning (ERP), supply chain management (SCM), customer relationship management (CRM), enterprise application software, infrastructure software and vertical specific software (VSS). Software spending will grow 2.8% over 2014 spending, to reach $1.2 billion in 2015," said Anurag Gupta, research vice president at Gartner. "VSS will grow 9% in 2015 to reach $454 million. VSS are software applications that are unique to a vertical industry. In government VSS includes software that focus on agency-specific processes and domain areas, such as revenue and tax, case management.

"Investments in citizen-will centric services under smart cities plans that provide consumer-grade convenience will be the driving force for government ICT in advanced states. Continued investments in core infrastructure and online services will be focus area in MENA government ICT," said Gupta.

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