RIYADH: Total investment in the Kingdom's information and communication technologies sector is to reach SR50 billion by 2015, Khaled Al-Gosaibi, minister of economy and planning, said on Monday.
Opening the GITEX Saudi Arabia 2011 and Saudi Communications 2011, at the Riyadh International Convention and Exhibition Center on Monday, Al-Gosaibi said products and services in the ICT sector across the Kingdom has recorded a growth rate of 18.5 percent between 2001 and 2009. The size of the total investment both in public and private sector recorded SR22.3 billion by 2009.
Al-Gosaibi said the investment in the ICT market's services and applications is expected to reach SR37 billion by 2013, which would further accelerate growth and development.
The four-day show, the 10th International Information Technology Exhibition, has attracted over 400 exhibitors from 16 countries. A large clientele of officials from various government and non-governmental agencies and representatives of ICT companies, organizations and top business executives were present at the opening ceremony.
The minister said: "Saudi Arabia is the region's largest ICT market, which is reflected from the participation of the leading international industry players at the show." He added that Gitex 2011 has drawn local as well as international interests since the Kingdom has become the fastest growing country in the ICT sector in the region. He hoped such international participation from leading IT companies would provide a conducive platform for the Kingdom's ICT sector to promote local industry and help transfer of expertise.
Riyadh Exhibition Company (REC) has organized the event with the support of the Ministry of Communications and Information Technology (MCIT). Egypt, Taiwan, Pakistan, China, the UAE and Jordan have set up their pavilions.
Abdul Rahman Al-Oraini, adviser to MCIT, told newsmen that the forum, which is being held concurrently with the show, would provide an ideal platform for the participating delegates not only to exchange experience but also to contribute a great deal toward realizing the Kingdom's ICT goals.
Saudi Arabia's IT market is currently experiencing an unprecedented growth, with fixed, cellular and Internet penetration rates the second highest in the Middle East at 286 percent in 2010, according to Arab Advisors Group.
Broadband subscriptions have skyrocketed in Saudi Arabia, growing 43-fold since 2005, from 64,000 subscribers to over 2.75 million by 2009. Such growth represents 156 percent Compound Annual Growth (CAGR) over four years. With broadband penetration at 10.8 percent of the population, subscriptions are projected to continue to rise as more and more people get online in underserved suburban and rural areas.
Growth was most marked in wireless broadband connections, growing 488 percent in 2009 to account for 51 percent of all broadband connections.
Wireless broadband connections grew 488 percent in 2009 across Saudi Arabia, which has 2.75 million broadband subscribers.
The ICT market in Saudi Arabia leads the whole Arab and Middle East region in its spending on infrastructure and projects. It offers access to international markets and the best business environment in the region.
Source : Arab News, May 16, 2011 23:01