DEVELOPMENT


Africa prepares for WTDC-02

Yaound้ meeting calls for a greater ITU role in the region's telecommunications development

Africa's relative share of the world's fixed telephone and mobile networks has grown, although it is still low in relation to the size of the continent's population of more than 784 million. And while its share of worldwide Internet access points and users has fallen, its overall share of the PC market has increased markedly. To participants in the recent Africa Regional Preparatory Meeting (Yaound้, 29-31 May 2001) for the World Telecommunication Development Conference scheduled to take place in Istanbul in March 2002, these trends are encouraging signs that Africa can bridge the digital divide quickly if it overcomes certain obstacles.

Issues raised during the discussions focused on finance and investment, policy and regulation, human resources management, universal access and least developed countries (LDC). A resounding call ran through all the debates: the ITU role in Africa's telecommunications development should be stepped up.

 




One priority that clearly emerged from the debates was the need to cut the cost of telecommunication services to bring it within the reach of all of africa's inhabitants


At a ministerial roundtable leading up to the Yaound้ Declaration (see below), there was strong support for an enabling infrastructure without which extending access to the four corners of the continent would remain a distant dream. One priority that clearly emerged from the debates was the need to cut the cost of telecommunication services to bring it within the reach of all citizens and to formulate strategies that make it possible to achieve this goal. A fund to improve universal access was cited as one possible path in that direction.

Several countries pointed out the yawning gap between urban and rural areas in terms of access to Internet and telephony. Among the problems which top the list of pressing issues for most participants is how to privatize telecommunications while ensuring quality of service and efficiency in international communications and, at the same time, finance public service.

Participants were clear that the purpose of regulation should be the promotion of abiding values such as universal service, development of infrastructure, reduction of tariffs and proper monitoring of post-privatization effects. Many went on to emphasize the need to not only establish strong and efficient regulators, but also to find ways of improving regulatory independence from policy-makers and operators. In this regard, some stated that the operating costs for regulators should not be funded from government budgets in order to ensure the autonomy of these regulators.

Initiatives, such as the African Centres of Excellence (CoE), where policy-makers and regulators are trained in the development of national sector priorities and regulations conducive to private sector investment, were recognized as important steps in strengthening the efficiency of regulators in Africa. Wide support was expressed for the current African CoE to also become nodes of excellence for on-line learning. Other welcome initiatives included the Development Symposium for Regulators, which provides a forum for the exchange of regulatory experiences among regulators.



African ministers appealed to ITU to pay particular attention to the urgent development needs of African countries and to continue to implement activities and programmes that will make a concrete and tangible contribution to reducing the digital divide in Africa


Photo: PhotoDisc (ITU 010053)


G-REX, a brand new ITU service for regulators (see article G-REX: the new hot line for global dialogue), received strong support not only because it provides an on-going forum where policy-makers, regulators and operators can exchange views on issues of mutual interest and have immediate access to a wide range of regulatory expertise, but also because it makes it possible for the African voice to be heard internationally. In addition, the meeting felt that interaction and swapping of regulatory staff should be encouraged to further strengthen their skills in matters of interconnection, tariffs, monitoring of market changes and principles of competition and legislation for which a dire need exists. The Telecommunications Regulators Association of Southern Africa (TRASA) was cited as a model to be emulated in other regions of the continent. ITU was asked to step up its assistance by developing guidelines for use by regulators, providing experts, conducting country case studies, diffusing best practices and enhancing the current ITU regulatory database to allow the benchmarking of national experiences.

The discussion on infrastructure development highlighted the need for guidance to the countries in the region to adjust to changes resulting from emerging technologies, particularly for Internet protocol (IP) telephony and third generation (3G) mobile communications. They suggested a number of ways of doing this: appropriate training programmes based on surveyed needs; supporting industrialization on the continent; and continuing to focus on the social benefits of telecommunications, for example, telemedicine. Besides fostering regional technical cooperation, there was a suggestion to promote national expertise more vigorously.

Finance and investment remain an overriding concern in the region, according to the participants. Indeed, several African countries called for direct assistance in setting costs, prices and interconnection charges, as well as in creating a fiscal environment that provides incentives rather than one that penalizes the telecommunication sector. Assistance is also needed in setting targets for the sector, in terms of a percentage of their GNP, and in preparing programmes to demonstrate to investors the long-term prospects of profitability. Countries called for guidelines and handbooks on cost structure and analysis and on tariffs to assist them in their negotiations with local and international operators, regulators and other decision-makers.

A number of participants felt that measures should be taken not only to facilitate partnerships with other countries of the region, but also to encourage local entrepreneurs so as to promote investment in the telecommunications sector. Cooperatives were seen as providing the key to development and local jobs in rural areas and in the poor neighbourhoods of large towns.


Finance and investment remain an overriding concern in the region. Indeed, several African countries called for direct assistance in creating a fiscal environment that provides incentives rather than one that penalizes the telecommunication sector

While the session on universal access and the development of information and communication technologies (ICT) noted that the disparities between developed and developing countries and between urban and rural areas within developing countries was still wide, it also acknowledged the progress made in the quest for universal access, defined as the provision of reliable and good-quality telecommunication media at an affordable cost for the user. To give a strong boost to universal service, participants asked that ITU provide quantifiable, measurable and time-bound objectives in order to achieve a defined rate of penetration of services within a given time-frame. ITU was further called upon to help African countries formulate convergent policies and strategies and create an environment conducive to meetings and forums to facilitate access to all possible sources of financing for universal access.

Africa's LDCs (34 of the 49 in the world today) were the subject of special attention in a working session that emerged with a draft recommendation suggesting measures to help them bridge the digital divide. There was wide support to promote the Internet Training Centre Initiative in LDCs.

"The World Telecommunications Development Conference is the last opportunity to make a realistic and concrete difference in Africa," said William Tallah, Chairman of the meeting, in his closing remarks. He emphasized the need for the Yaound้ meeting to urge the G8 countries at their Summit in Italy (Genoa, 20-22 July 2001) to take to heart the needs of the developing countries, particularly in Africa. "The Genoa Action Plan should be carried out by developing countries in the interest of developing countries, and ITU should play the leading role in implementing action plans in cooperation with international organizations," Mr Tallah also remarked.

YAOUNDE DECLARATION

We, African ministers responsible for telecommunications and information technologies, meeting in Yaound้ on 28 May 2001 within the framework of the Africa Regional Preparatory Meeting for the 2002 World Telecommunication Development Conference (WTDC-02), organized to identify and analyse obstacles to the development of telecommunications and information technologies in Africa and to identify strategies, priorities and other appropriate means of overcoming those obstacles,

Considering

— that digital technology and the development of high-capacity telecommunication media such as optical fibre and satellite systems have led to the advent of the global information infrastructure and to convergence between telecommu nications, information technology and broadcasting;

— the relatively low level of development of the basic telecommunication infrastructure, telephone penetration and the use of new services derived from information technologies;

— that the digital divide is now widening the gap that already exists between developed and developing countries in terms of access to, and the use of, telecommunication services and services derived from information technologies;

— the role played by ITU in the development and harmonious use of telecommunication services and information technologies,

Reaffirming

the particular importance and central role of telecommunications and information technologies in political, economic, social and cultural development in the age of globalization and the information society,

Noting

the efforts deployed by African countries, despite a particularly difficult economic context, to stimulate the development of the telecommunication sector,

Further noting

— with satisfaction, ITU's initiatives and other initiatives, including the African Information Society Initiative (AISI) and African Connectivity;

— ITU's participation in, and contribution to, the meetings of "Dot Force" — a working group set up by the G8 Summit in Okinawa,

Declare

— that we welcome the actions undertaken on behalf of the Organization of African Unity (OAU) by South Africa, Algeria and Nigeria, particularly their fruitful participation in the Okinawa G8 Summit, and invite them to continue with such actions;

— that we undertake to devote more actions to the timely addressing of issues relating to telecommunications and to information and communication technologies, these being issues which we consider to be of prime concern;

— that bridging the digital divide must of necessity entail development of the telecommunication and sound and television broadcasting infrastructure, and that development partners must consider this parameter, in particular with respect to rural areas;

— that it is essential that African countries, given the importance of telecommunications and information technologies in political, economic, social and cultural development, adopt innovative strategies and policies designed to stimulate development, particularly through reform of the telecommunication and information technology sector;

— that each African country should henceforth define a common, or at least coordinated, national policy and strategy for the development of telecommunications and information technologies that takes account of multimedia convergence (telecommunications, information technology and broadcasting),

Recommend

that African administrations take the necessary measures to stimulate the development of the private sector as well as measures to encourage private investment,

Appeal

— to ITU to pay particular attention to the urgent development needs of African countries and to continue to implement activities and programmes that will make a concrete and tangible contribution to reducing the digital divide in Africa;

— to ITU to assist African countries in developing their human resources and strengthening their capacities in the area of information technologies;

— to subregional economic integration institutions to work towards the harmonization of policies and regulations in the field of telecommunications and information technologies;

— to development partners, African regional institutions and international institutions to strengthen cooperation and coordination between all projects and initiatives with a view to ensuring the harmonious use of resources. ––


Special Programme for LDCs

ITU contributes to the Third United Nations Conference on Least Developed Countries

The world's 49 least developed countries gathered in Brussels (14-20 May 2001) for the third United Nations Conference on LDCs amid very volatile weather oscillating from sunshine to rain and from rain to near-freezing temperatures. A comment passed by one longtime Brussels resident sums it up in these words: "In Brussels, one can experience seven seasons in a single day."

The UN General Assembly convened this conference at a time when most of the LDCs were calling on the international community to do more to rescue their cash-strapped economies and thus end their isolation from global trade and eradicate poverty. Facts on the ground justify this "mayday". In 1971, the international community identified 25 LDCs. But this number has since risen steadily, reaching 48 in 1994 and 49 in 2001 (see map). What is more worrying is that throughout these years, only one country (Botswana) succeeded in "graduating" from the LDC group, having achieved a high socio-economic development that also includes a booming telecommunication sector.

Hopefully, the Programme of Action (POA) which the Brussels Conference adopted on 20 May 2001 for the 2001-2010 decade will unlock the door to the cornu copiae or horn of plenty for the 630 million people in the LDCs who, according to the United Nations, live on less than a dollar a day. The POA is based on international development targets, as well as on actions by LDCs themselves, accompanied by commensurate support measures from their development partners. At this conference, ITU presented a whole gamut of projects which it has initiated for the benefit of LDCs. The high dosage of telecommunication issues in the newly endorsed POA is a clear reflection of ITU's active role. Of significant importance is the incorporation into the POA of ITU's Special Programme for LDCs (see below). This POA sets, as targets for telecommunications and information and communication technologies (ICT) for LDCs, an average teledensity of 5 main lines (ML) per 100 inhabitants and 10 Internet users per 100 inhabitants by the year 2010. A Special Session of the UN General Assembly is to be held in 2006 to conduct a comprehensive mid-term review of the POA.

The Brussels Conference set a new goal for LDCs calling for an average teledensity of 5 main lines per 100 inhabitants
by the year 2010
(ITU 010048)


The first United Nations Conference on LDCs was held in Paris in 1981 at the invitation of the French Government. The international community used the occasion to unanimously adopt a Special New Programme of Action (SNPA) for LDCs for the 1980s. This SNPA set out guidelines and international support measures for domestic action by the LDCs themselves. The second United Nations Conference on LDCs was also held in Paris in September 1990. This time, the conference ended with the Paris Declaration and a Programme of Action for the 1990s. The main thread running through the two documents is the call to the international community to take urgent measures and effective action, based on the principle of shared responsibility and strengthened partnership, to arrest and reverse the deteriorating socio-economic situation in the LDCs and so revitalize their growth and development.

 

 
 List of LDCs
Afghanistan Democratic Republic of the Congo Liberia Sao Tome and Principe
Angola Djibouti Madagascar Senegal
Bangladesh Equatorial Guinea Malawi Sierra Leone
Benin Eritrea Maldives Solomon
Bhutan Ethiopia Mali Somalia
Burkina Faso Gambia Mauritania Sudan
Burundi Guinea Mozambique Tanzania
Cambodia Guinea-Bissau Myanmar Togo
Cape Verde Haiti Nepal Tuvalu
Central African Republic Kiribati Niger Uganda
Chad Lao P.D.R Rwanda Vanuatu
Comoros Lesotho Samoa Yemen
      Zambia

Looking back, did the first two conferences achieve their intended goals? This is debatable! Most analysts refer to the period as "lost decades" as conditions in the LDCs are said to have actually worsened during that time. Besides, most developed nations, except the Nordic countries and the Netherlands, had not met their official development assistance (ODA) targets to the LDCs. What can be said with certainty, according to the Brussels Conference, is that more has to be done in translating words into action. The slogan should be: "Implementation for development ever and failure to act never!"

For its part, ITU became involved in the work of LDCs in the 1970s when the General Assembly approved the first list of these countries. At the first two conferences, ITU vigorously championed the cause of LDCs by raising the world's awareness on the poor state of telecommunications in these countries and the need to channel resources to their telecommunication sector.



ITU became involved in the work of least developed countries in the 1970s, and has since championed their cause by raising the world's awareness on the poor state of telecommunications in these countries and the need to channel resources to their telecommunication sector. ITU itself is determined to bring telecommunications to the peoples of the LDCs through its Special Programme



1. Group antennas near the village of Bijou (Ha๏ti)

Photo: A. de Ferron (ITU 940010)




2. Dish antennas of the Intelsat earth station of Sagamarta (Nepal)

Photo: J.-M. Micaud (ITU 930049)




3. Passive repeater for microwave earth station (Lesotho)

Photo: A. de Ferron (ITU 950015)







4. Public telephone booths in front of Phnom Penh post office (Cambodia)

Photo: J.-M. Micaud (ITU 99081)


This leitmotif was visible in ITU's publications and presentations at the Brussels Conference, where ITU was represented by the Deputy Secretary-General, Roberto Blois, and the Director of the Telecommunication Development Bureau, Hamadoun Tour้, along with staff from the Special Unit for LDCs and the EC-DC project. Among these key publications was the Telecommunications and Information and Communication Technologies in the Least Developed Countries (1989-1999). According to this report, 13 of the 49 LDCs have a main line density that is greater than 1, which is as good as, or in some cases better than, the average density in other low-income developing countries. This is quite evident in small countries where there is generally a close relationship between telecommunication development and the level of socio-economic development and a strong inverse correlation among the LDCs between the size of population and teledensity. The average teledensity in LDCs with a population below 4 million inhabitants is four times greater than that of those with a population above 4 million. Understandably, there are compelling reasons for this:

– It is generally easier to provide a telephone service to a small, clustered and urbanized population than to a large, dispersed rural population. Maintenance and planning is simplified since fewer telephone exchanges are needed and there is less overhead resulting from national long-distance telecommunications.

– Many of the smaller economies are islands with a significant tourist trade. Tourists make international calls, generating foreign exchange for the network operator that can be used for telecommunication equipment imports. Studies show a relationship between tourism and international telephone traffic.

– In a disproportionate number of cases, the telecommunication service among the smaller economies is provided by a foreign-owned service provider, which may have greater access to resources, especially investment, than a domestically owned operator.

This revelation is encouraging although some 20 LDCs still have very low teledensity of below 0.5 ML per 100 inhabitants, or 1 telephone for 200 people, which represents a very poor state of telecommunications development in these countries. When the cellular phone subscribers' density is added, the number of countries falling above the 1 per cent teledensity threshold increases to 14.

ITU is determined to fight to bring telecommunications to the peoples of LDCs. In recent years, there has been evidence of an upturn in telecommunication development in these countries. Rapid growth has been driven by sector reforms, which have been undertaken to varying degrees in many LDCs, and by the emergence of new technologies, which are more amenable to cost effective and rapid deployment.

ITU's immediate aim is to fight the digital divide at a global level; this not only means between the technological rich countries and the "have-nots", but also between the urban and rural areas of LDCs. The objective should be to enable the population of LDCs to enjoy easy access, or rather universal access to telecommunications and its related services. This goes a long way towards the upholding of the relevant provision of the Universal Declaration of Human Rights that calls for the eradication of barriers hindering access to ICTs by all in order that LDCs can leap-frog stages of development.


For further information, please contact: "Cosmas L. Zavazava, Project Officer, Special Unit for LDCs. Tel.: +41 22 730 5447. Fax: +41 22 730 5484. E-mail: zavazava@itu.int."

 

ITU in the service of least developed countries

This box highlights ITU's set of "deliverables" or projects to be implemented to boost teledensities in LDCs in this first decade of the millennium.

Objectives

– To reform the telecommunication sector of LDCs so as to introduce new structures, which are more conducive to faster and sustainable telecommunication development, with well-managed and modern networks.

– To increase the penetration of telecommunication services in these countries so as to achieve universal access to those services.

Priorities

– Introduction of new technologies.

– Sector reform and restructuring.

– Rural telecommunication development.

– Human resources development/management.

– Financing, tariffs and partnerships for increased local and foreign investment in the sector, as well as viability and affordability of the services.

Targets

– To achieve a country-wide average teledensity of 5 main lines (ML) per 100 inhabitants by the year 2010 and to meet fully the demand for telecommunication services in urban areas. This means virtually eliminating the waiting list for services by the year 2010, which translates into an average urban teledensity of 10 ML per 100 inhabitants.

– To achieve a rural teledensity above 2 ML per 10 000 inhabitants in 2010. This teledensity would not amount to easy access to telecommunication services, but would at least be a bold move in that direction.

– To achieve an average density of Internet users equivalent to that of other developing countries in 2010; this means at least 10 Internet users per 100 inhabitants.

The regular budget for this programme is CHF 1.1 million while extra budgetary funds are raised through pledges made at annual donor roundtables.

Assistance to countries in special need

Special assistance is also being extended to LDCs emerging from war such as Somalia, Rwanda, Burundi, Liberia and Sierra Leone. The assistance is provided for the strengthening of their policy and regulatory environment in the telecommunications sector and improvement of rural access to services by encouraging private investment in those areas. Based on a project document completed recently, ITU/BDT has managed to raise USD 150 000 from the United States Agency for International Development (USAID) and the Federal Communications Commission (FCC). ITU is expected to co-finance projects in these countries through its Telecom surplus funds. In the first year, a total of CHF 1.5 million will be disbursed for this programme. Thereafter, disbursements would be according to identified needs and specific projects in each country in special need.

Electronic Commerce for Developing Countries (EC-DC)

This initiative is funded through revenues generated by ITU Telecom Exhibitions to address the challenges faced by LDCs and developing countries in the application of new technologies so that these countries can participate in electronic commerce. The objectives of the EC-DC project include:

– Infrastructure development.

– Capacity building and technology transfer.

– Electronic commerce policies.

With the participation of ITU partners, and primary funding from the public and private sectors in the host countries, there are currently more than 13 pilot projects being implemented in Africa, Asia, Latin America and the Arab States. The budget for the EC-DC project stands at CHF 1.2 million annually for 2001-2002 and thereafter according to the aggregate of individual LDC needs and coordination assistance.

Universal access initiatives

These include:

– Digital divide initiative.

– Universal access and rural development.

– Development of policy guidelines.

The programme, being cross-sectoral in nature, relies on extensive partnership links with international and national stakeholders, including the private sector for project funding and implementation. The budget for these initiatives is CHF 10 million annually for the first two years and thereafter, according to aggregate needs of the participating LDCs and coordination assistance.

Implementation of WTO Agreements involving telecommunication services

This activity is designed to help LDCs and developing countries to adapt to the new telecommunication environment by putting into place the appropriate financial strategies and policies, with emphasis on the activities below.

– Assistance to governments in dealing with the consequences of the reform of the international accounting and settlement system.

– Assistance to governments in cooperation with the World Trade Organization, the United Nations Conference on Trade and Development and the World Bank in the implementation of the WTO Agreement on Basic Telecommunication Services and help prepare for the next round of multilateral trade negotiations. The budget for this activity is CHF 0.3 million annually for the first three years, and revised thereafter according to needs.

In view of unprecedented changes taking place in the telecommunications environment, ITU has reserved the right to update, curtail or modify as necessary its proposed actions for LDCs during the decade. ––



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