Complex Made Simple

In the Arab World: ADSL is cheapest in Tunisia and most expensive in Iraq

A new report from the Arab Advisors Group provides an analysis for the residential broadband ADSL rates in 19 Arab countries. While Iraq has the highest average ADSL fees, Tunisia and Morocco have the lowest fees. When rates are analyzed in relation to GDP per capita in each country, the GCC countries take the lead with the lowest rates in relation to GDP per capita. Arab Advisors analysis is based on rates by end of March 2014.

While Internet fiber technologies are emerging in the region, ADSL remains the prevailing fixed Internet broadband technology in the Arab World. The Arab Advisors Group has analyzed the ADSL service provision and rates in the following nineteen Arab countries: Algeria, Bahrain, Egypt, Iraq, Jordan, Kuwait, Lebanon, Libya, Mauritania, Morocco, Oman, Palestine, Qatar, Saudi Arabia, Sudan, Syria, Tunisia, UAE and Yemen.

The Arab Advisors Group’s analysis revealed that the 2 Mbps speed is the most common speed offered by ISPs in the Arab World. The total annual cost of residential ADSL services (for the average 2 Mbps speed) in the Arab region ranges from a minimum of US$ 173 per year in Tunisia to a maximum of US$ 9,097 per year in Iraq. Bahrain, Libya and Morocco do not have the 2 Mbps ADSL speed; however, the Arab Advisors Group’s ranking for the countries is based on extrapolating from its rates of other speeds. The research also revealed that ISPs tend to waive ADSL connection fees as part of their ongoing promotions.

A new report, “ADSL Rates in the Arab World: A Regional Comparison 2014” was released to the Arab Advisors Group’s Telecoms Strategic Research Service subscribers on June 30, 2014. This report can be purchased from the Arab Advisors Group for only US$ 1,850. The 32-page report, which has 44 detailed exhibits, provides a comprehensive analysis of the ADSL rates offered by the main ISPs in the Arab countries in March 2014. Moreover, the report details the availability of download speeds in each country of the aforementioned nineteen countries that offered the ADSL service.

When including the GDP per capita in the analysis, the Arab Advisors Group devised the ADSL Affordability Measure (AAM). Basically, the total annual cost of ADSL in a country was calculated as a % of that country’s GDP per capita, whereby the higher the ratio the less affordable the service is in that country.

“Clearly, the income level of the country is also a major determining factor in addition to the absolute price level “Ms. Joud Hazineh, Arab Advisors research analyst wrote in the report.” For instance, while Yemen’s rate is low by regional standards, the price remains steep for many middle-income Yemenis” Ms. Hazineh added.

To date, Arab Advisors Group has served over 710 global and regional companies by providing reliable research analysis and forecasts of Arab communications markets to these clients.

Arab Advisors Group
A Member of the Arab Jordan Investment Bank Group
Tel 962.6.5828849
Fax 962.6.5828809
PO Box 2374, Amman 11821