Analytical Overview of the Necessity for Official Efforts to Improve the Telecommunications Sector in Yemen

Sawt Al-Amal (Voice of Hope) – Yasmine Abdulhafeez

The public sector plays a crucial role in the telecommunications sector in Yemen by setting policies and regulations, ensuring their implementation, providing the basic infrastructure for communications, regulating competition between telecommunications companies and encouraging them, and protecting consumer rights. The telecommunications sector is one of the most important sectors that significantly contribute to the country’s economy, provide essential services to society, contribute to social cohesion, enhance commercial activities, provide access to information and knowledge, and facilitate communication with others.

 The official entities that play a role in Yemen’s telecommunications sector include the Ministry of Communications and Information Technology, which is responsible for setting the general policies for the sector and implementing them in Yemen, the General Authority for Communications and Information Technology, which is responsible for regulation, promoting competition in the telecommunications and information technology sector, and protecting consumer rights. Additionally, there is the Public Telecommunications Corporation, which is a government telecommunications company that provides landline and Internet services, and the government-owned company, TeleYemen, which provides mobile and Internet services.

Furthermore, various telecommunications services are considered the best means to search for job opportunities, as well as advertise and promote various products and goods at a lower cost compared to other media channels.

The official entities in Yemen face several challenges in the field of telecommunications, including the ongoing conflict that has led to the destruction of the telecommunications infrastructure, deterioration of service quality, a shortage of financial resources necessary for infrastructure improvement and service development, and ineffective implementation of policies and laws.

According to Mubkhout Hassan Aqar, the General Manager of Communications in Ma’rib, “The telecommunications sector, represented by the Public Telecommunications Corporation, Yemen Mobile, and International Telecommunications, still provides significant services despite the circumstances that the country has been going through over the past eight years.”

Aqar believes that the scarcity of resources and the inability to import telecommunications equipment and other challenges have not prevented the Ministry of Communications and Information Technology from providing services in all governorates of the republic without exception.

He adds, “Despite many sites and communications equipment being vandalized in several Yemeni governorates, especially during the conflict period, fourth generation (4G) services were launched, with significant expansions in several cities.”

It is worth mentioning that a central exchange is a device consisting of multiple phones used for handling and forwarding conference calls. He confirms that the Ministry of Communications and Information Technology continues to provide new services, which is a significant achievement given the current circumstances that the country is facing, despite the lack of resources and staff shortage.

He explains that investor-owned telecommunications companies such as SabaFon, YOU Company, and Y still provide services despite the security, economic, and political challenges they face.

Key Challenges

Regarding the challenges facing the telecommunications sector in Yemen, Mubkhout says, “There are numerous and diverse challenges facing the telecommunications sector, including the lack of allowing sufficient equipment to enter Yemen, even basic equipment. Many necessary telecommunications equipment are prohibited from entering Yemen continuously, forcing some investors to smuggle equipment or endure long waits to obtain the necessary approvals for their entry. This leads to increased costs, project delays, and hinders the process of improving infrastructure and providing better services.”

He points out that there are other challenges facing this important sector, such as the disruption of some damaged fiber optic routes due to the conflict or other factors in several Yemeni governorates. Fiber optics are considered one of the most important components of the telecommunications infrastructure.

  According to economic experts, telecommunications companies in Yemen face difficulties in repairing the damage caused by the conflict due to the absence of clear strategic planning that defines its objectives and pathways in the short and long term, as well as the dispersion of efforts and conflicting priorities. This hampers achieving the desired progress in the telecommunications sector, in addition to weak investment. The sector suffers from a lack of necessary investments for infrastructure development and the provision of advanced services that meet citizens’ needs.

 Experts analyze that the decline in service quality and its rising prices resulted from the spread of corruption in the telecommunications sector, which is one of the most significant challenges facing the sector. This impedes project implementation and the effective use of financial resources, leading to financial waste and a decline in service quality, in addition to the absence of cooperation between the public and private sectors, which fails to achieve the required integration in service delivery.

A report issued by the Sana’a Center for Strategic Studies titled “Impacts of the Conflict on the Telecommunications Sector in Yemen” in January 2021 revealed that the telecommunications sector ranks second after oil and gas as the main source of state revenue, significantly supporting the country’s economy.

The report stated that the telecommunications sector contributed to about 7% of the GDP, especially during the period from 2015 to 2018. It also contributed to enhancing connectivity between individuals and other communities, in addition to providing employment opportunities for many workers. Furthermore, it is closely linked to other sectors, particularly the economic and investment sectors.

The Role of Official Entities

The telecommunications sector plays a pivotal role in the lives of Yemeni citizens, as it is one of the most important developmental and service sectors in the country. From this perspective, the importance of the role of official efforts in improving the telecommunications sector in Yemen comes into play. This can be achieved through the provision of comprehensive analyses of the challenges facing the sector, proposing solutions to address them, and working collaboratively to develop and enhance the sector.

 This can be accomplished by the Yemeni government developing developmental plans, establishing clear policies and laws to regulate the telecommunications sector, encouraging competition among telecommunications companies, and ensuring that these policies and laws guarantee all citizens access to high-quality communication services at affordable prices, especially in rural areas and regions with scattered populations. Efforts should also focus on providing the necessary telecommunications infrastructure, such as communication towers and fiber optic networks, which should cover all parts of the country.

 Analysts have pointed out that the current government role is still unable to implement developmental plans that contribute to improving the service in line with technological advancements in this field due to the ongoing unstable situation in the country and the economic deterioration that has worsened with years of conflict. However, there are attempts to revitalize the telecommunications sector that cannot be denied.

Economic reports related to the telecommunications sector in Yemen have emphasized the need to support research and development in the field of communications by encouraging telecommunications companies to invest in research and development to provide advanced services that meet the needs of citizens. This includes easing restrictions imposed on public and private companies in all Yemeni governorates and protecting consumer rights in the telecommunications sector. The Yemeni government should ensure that all citizens have access to high-quality communication services.

Mohammed Abdulwahid Al-Odaini, an IT consultant, says, “In my opinion, official entities should keep pace with the developments in the field of communications and provide services that meet the needs of the 21st century. This can only be achieved by providing modern infrastructure for the telecommunications sector and creating a suitable and secure environment.”

He adds, “The telecommunications sector serves as a link between countries worldwide and a gateway to information in various aspects. Therefore, preserving the continuous development of telecommunications contributes to societal development.”

He continues: “In addition to completing and developing the infrastructure, purchasing significant international Internet capacities, and investing in satellite Internet services, and providing them at an affordable price for the community.”

He believes that it is necessary to stop the ongoing conflict in Yemen and to neutralize the telecommunications sector as a fundamental service provided to citizens. Additionally, there is a need to intensify awareness of digital security, as weaknesses in this aspect may contribute to many cybercrimes.

Rashad Saeed Mujalli, an assistant professor in strategic planning and education economics at Taiz University, suggests that the relevant authorities should intensify their efforts to improve communication services in Yemen. He proposes several steps, including establishing partnerships for telecommunications and Internet services, particularly in Hadhramout, Aden, or Mokha.

He also emphasizes the importance of providing sufficient funding for the sector to deliver better services in both telephone and Internet communication, which, in turn, would contribute to improving other sectors such as education, health, trade, and industry.

Mujalli asserts to Sawt Al-Amal that the government should seek external sources of financing, such as loans, foreign aid, or contributions from Yemeni investors, to establish at least one telecommunications company that offers quality services.

He points out that there are several challenges hindering the progress of the telecommunications sector in Yemen, such as the country’s weak economic situation, ongoing conflict, and significant financial crisis. He believes that the support provided to the country is insufficient under these exceptional circumstances.

According to Mujalli, the positive outcomes of improving and developing the telecommunications sector include generating significant revenues for the state and contributing significantly to the development of various sectors such as education, health, industry, commerce, and more. He emphasizes the importance of high-quality telecommunications and Internet services to enhance the social fabric.

Mujalli also explains that developing the telecommunications sector helps achieve comprehensive and sustainable development, improve the well-being of Yemeni citizens, and generate economic returns resulting from investments in telecommunications and the Internet. He suggests allocating a portion of these returns to develop investments in education, human development, social protection, and funding numerous national investment and strategic projects.

Neglecting this sector, according to Mujalli, has a negative impact on the strategic national security of the Yemeni Republic, as well as comprehensive and sustainable development. These insights come from Mujalli, an assistant professor in strategic planning and education economics at Taiz University.

The challenges faced by the telecommunications sector in Yemen have prompted several experts to demand that the private sector be given the opportunity to invest in this field. They argue that this will create new job opportunities for Yemeni youth who suffer from unemployment and poverty. Competition among telecommunications companies would lead to improved service quality for citizens, increased satisfaction, and keeping pace with global developments in telecommunications and information technology. By collaborating to improve the investment environment in the telecommunications sector, Yemen can attract foreign investments and contribute to the development of the national economy.