Arab Advisors Group
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Sudan has the highest sales tax rate on cellular services in the Arab World.
Thursday, September 27, 2012

A new report from the Arab Advisors Group analyzes the cellular tariffs for 48 cellular operators in 19 Arab countries. The analysis revealed that the average postpaid peak minute rate dropped by 7.01%, while its off-peak average minute rates decreased by 9.94% in July 2012 compared to September 2011. The average prepaid peak and off-peak minute rates both decreased by 2.26% and .79%, respectively. 12 Arab countries impose sales taxes on cellular services (paid by end users). Sudan has the highest sales tax rate on cellular services in the region followed by Jordan, Tunisia and Morocco.

The analysis of the cellular rates in the Arab World has revealed that the postpaid average minute rates in Morocco, Palestine, Mauritania, Tunisia, Lebanon and Kuwait are above the average peak minute rate. Sudan recorded the lowest average postpaid minute rates.

For prepaid average minute rates, Morocco, Lebanon, Mauritania, Palestine, Saudi Arabia, Kuwait and Qatar have rates that are above the average peak minute rate. Egypt and Sudan have the lowest prepaid average minute rates in the region.

The Arab Advisors Group analyzed the cellular rates of 48 cellular operators 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. In order to allow for comparisons, the report focuses on the average cellular rates of these countries’ operators. In calculating the average cellular rates, the Arab Advisors Group relied on the simple average for the packages’ rates. The rates analyzed were as of July 2012. The average peak and off-peak minute rates in the report include the tariffs for on-net and off-net traffic.

A new report, Cellular Rates in the Arab World: A Regional Comparison” was released to the Arab Advisors Group’s Telecoms Strategic Research Service subscribers on September 20, 2012. This report can be purchased from the Arab Advisors Group for only US$ 1,200. The 43-page report, which has 28detailed exhibits, provides a comprehensive analysis of the cellular tariffs of the cellular operators in the Arab region.

Any investment in this report will count towards an annual Strategic Research Service subscription should the service be acquired within three months from purchasing the report, or could count towards attending Arab Advisors’ 2nd Smart Handheld Summit 2012 on November 26 & 27, 2012 at The Address Dubai Marina Hotel in Dubai - UAE. Telecom and Media operators can send up to 2 delegates to attend at no charge. Press members can also attend at no charge. More information on The 2nd Smart Handheld Summit 2012 can be viewed on:http://www.arabadvisors.com/SmartHandheld/schedule.htm

The report is based on the rates of 48 mobile operators, these are: Algerie Telecom Mobile (Mobilis), Orascom Telecom Algeria (Djezzy), Wataniya Telecom Algeria (Nedjma), Batelco (Bahrain), Zain Bahrain, Viva Bahrain, MobiNil (Egypt), Vodafone Egypt, Etisalat Misr (Egypt), Asiacell (Iraq), Zain Iraq, Zain Jordan, Orange Jordan, Umniah (Jordan), Wataniya Kuwait, Zain Kuwait, Viva Kuwait, Touch (Lebanon), Alfa (Lebanon), Libyana (Libya), Al Madar Al Jadeed (Libya), Mattel (Mauritania), Mauritel (Mauritania), Maroc Telecom, Medi Telecom (Morocco), Inwi (Morocco), Nawras Telecom (Oman), Oman Mobile, Jawwal (Palestine), Wataniya Palestine, Qtel (Qatar), Vodafone Qatar, Saudi Telecom Company (STC), Mobily (Saudi Arabia), Zain Saudi Arabia, Zain Sudan, MTN Sudan, Sudatel, MTN Syria, Syriatel, Tunisie Telecom, Orascom Telecom Tunisia (Tunisiana), Orange Tunisia, Etisalat UAE, du (UAE), Sabafon (Yemen), Yemen Mobile and Y-Telecom (Yemen).

Please contact the Arab Advisors Group to get a copy of the report's Table of Contents.

“Twelve Arab countries impose taxes on cellular services charged to the end users. These are the governments of Algeria, Egypt, Iraq, Jordan, Lebanon, Mauritania, Morocco, Palestine, Sudan, Syria, Tunisia and Yemen. Such taxes might be referred to as sales tax, telecommunication tax, value added tax, or consumption tax. All rates analyzed in this report include all applicable taxes (representing the total costs that end users’ bear). The governments of the Gulf Corporation Council (GCC) countries and Libya do not impose taxes on end users. Sudan has the highest sales tax rates on cellular services in the region followed by Jordan, Tunisia and Morocco.” Mrs. Hind Qweider, Arab Advisors Group Research Analyst commented.

“When comparing the prepaid average minute rates with the postpaid average minute rates; two countries have a prepaid average rate lower than the postpaid average rate; namely: Egypt and Jordan. The Arab Advisors Group believes that this is the case in Egypt and Jordan due to the fierce competition between the operators in the market.” Miss Mai Al-Zeir, Arab Advisors Group Research Analyst said.

The Arab Advisors Group’s team of analysts in the region has produced close to 3,080 reports on the Arab World’s communications and media markets. The reports can be purchased individually or received through an annual subscription to Arab Advisors Group’s (www.arabadvisors.com) Strategic Research Services (Media and Telecom).

To date, Arab Advisors Group has served 665 global and regional companies by providing reliable research analysis and forecasts of Arab communications markets to these clients. Some of our clients can be viewed on http://www.arabadvisors.com/clients

 

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