Business

Bahah’s Government Moving Towards Improving Telecome Services

National Yemen

By NY Staff

In its regular meeting last Wednesday, Bahah’s government approved the completion of the final measures of the contract for investment in the submarine cable project (SMW5), on the basis of a half share investment with the completion of the necessary legal procedures.

The project aims to invest in the new cable along with the first cable (AAE1) to have international link capacities through an international coalition and another independent path to ensure connectivity and networking with a larger number of telecommunications companies, and keep up increasing growth of broadband services.

A report provided by the Minister of Communications and Information Technology, Lutfi Ba Sharif and the CEO of Teleyemen company Dr. Ali Naji al-Nossari said that Teleyemen contributed in the cable path with 20.000 km length and at a cost of $760 million by the half investment unit with a capacity of 500 Gb/s, $20 million for the main cable and $12 million for the unloading and landing station in Hodeida. The cable project will extend from France to Singapore through al-Mandeb with the participation of 17 members.

The high economic viability of the investment and participation in the submarine cable is very profitable compared to the current situation, help to break the outer monopoly and limit the continued high cost of renting capacities, in addition to the possibility of flexible marketing and the leasing of internal and external excess capacities.

Ba Sharif presented an overview about the ICT sector problems to the Council of Ministers, explaining the strategies pursued by the ministry and the main directions for the development of this sector, which constitutes an attractive market for investment in Yemen and is among the most important catalysts of economic growth.

Ba Sharif reviewed the most important indicators of the telecommunications market in Yemen in terms of access rates of mobile, broadband online subscribers ADSL, as well as the resources of the public treasury of the telecom sector, and plans to improve it.

The minster added that the ministry has drawn up a plan for the next year to improve the online services. “Executive steps will start from the next month to establish three new centrals to increase internet speeds and reduce its slowness. The ministry aims to double the number of subscribers of Internet service (ADSL) in the next year to 500,000 subscribers. In 2014 the subscribers were about 265.00.”

The Council of Ministers expressed its thanks to the Minister of Communications and Information Technology for the comprehensive explanations the overview included for the first time, stressing that support of the telecommunications sector relied on the supplement and development of the national economy.