Doha – Mubasher: The Qatari Communications Regulatory Authority (CRA) announced that the telecom sector contributed around 1.7% to the country’s gross domestic product (GDP) in 2016, compared to 1.3% in 2014, according to a statement on the CRA’s official website.
Investments in the telecom market in 2016 amounted to QAR 1.25 billion ($340 million), representing 12% of the annual telecommunications service providers’ revenues, the CRA’s statement showed.
The investments were directed towards the development of infrastructure and services, and in preparation for future technologies.
“The assessment confirms that the consumers benefited from competition in the mobile market. However, there is a distinct lack of competition in the fixed market,” the reported highlighted, noting that the fixed market is the direct link that enables the sector to access the digital economy.
The statement showed no change in the sector’s revenues for 2016 from the QAR 10 billion recorded in 2015.
“This is due to an effective competition framework implementation in the mobile market and a different population mix. Service providers have adapted to these changes, enhancing efficiency and competitive prices, as shown in improving EBITDA margins,” according to the CRA report.
CRA president Mohammed Ali Al Mannai said that competition in the mobile market has led to lower prices and increased diversity and quality of services available, which is positive for consumers.
“We are now seeing a mature market develop. Service providers are adapting well to this macro change by diversifying their businesses and becoming more efficient,” he added.
“These developments are in line with the CRA’s mission to foster a sustainable marketplace and improve consumers' experience. The CRA is now working expediently to avail the benefits of competition for all consumers in the fixed line market,” Al Mannai said.
The Qatari telecommunications market mainly depends on consumers who use prepaid services, which represent 83% of total subscriptions.
Ooredoo and Vodafone Qatar are the biggest telecommunication operators listed on the Qatar Stock Exchange (QSE).
