Beirut presses ahead with mobile licence tender plans

22 December 2006
The Telecoms Ministry says it is still working towards the launch of a tender for two GSM mobile phone licences, set for early 2007. The decision to press ahead comes despite the continuing political tensions in the country, which have had a knock-on effect on the telecoms sector.
The Telecoms Ministry says it is still working towards the launch of a tender for two GSM mobile phone licences, set for early 2007. The decision to press ahead comes despite the continuing political tensions in the country, which have had a knock-on effect on the telecoms sector.

'Things are more or less at a standstill, given all the political problems,' says a senior ministry official. 'We're hoping to gain time by working on the tender so that we have everything ready in case the situation improves.'

The launch of the two new licences is designed to boost international confidence in the government's reform programme ahead of a planned donors' conference in Paris, which is scheduled for 25 January.

Beirut's attempts to reform the telecoms sector have most recently been delayed by the resignation of six cabinet ministers in mid-November. The crisis in government has forced Beirut to postpone the appointment of members of the long-awaited Telecommunications Regulatory Authority (TRA), the body which will oversee the launch of the two licences. 'Appointments for the TRA are still to be made,' says the official.

The cabinet resignations and the ongoing political dispute between the government and opposition groups are just the latest in a string of setbacks for the telecoms sector. A TRA board was due to be appointed in March this year but was delayed until July, when the process was again stalled by the conflict between Hezbollah and Tel Aviv.

Citibank and JP Morgan have been selected by the Higher Council for Privatisation

to advise on the privatisation of the mobile telecoms sector (MEED 1:12:06).

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