Political and economic difficulties fail to dampen telecoms growth

28 Oct 2004

Palestine’s fixed and mobile market is reported to be growing strongly despite the adverse economic and political problems currently being experienced by the territory. Since 1999 the number of main lines in service has grown at a compound annual growth rate (CAGR) of 9.2%, reaching 332,515 lines by September 2004, a penetration rate of 8.8%. Meanwhile the country’s cellular has expanded even more quickly, recording a CAGR of 24.7% between 2000 and 2003, or more than 350,000 mobile subscribers by the start of this month. Palestine’s national PTO Paltel faces limited competition in the fixed line sector from Israel’s Bezeq, while its mobile arm Palcell Jawwal competes with no fewer than three Israel-based cellcos – Pelephone, Cellcom and Partner Communications.