Algerian mobile operator Djezzy added 1 million customers this year

Djezzy, Algeria’s No. 2 mobile operator, has seven million smart phones users. (Reuters)
Updated 06 December 2018
0

Algerian mobile operator Djezzy added 1 million customers this year

  • Djezzy, or Optimum Telecom Algérie, will have 16 million subscribers by the end of 2018
  • The rate of penetration of smartphones in Algeria is around 40 percent, much lower than in other Arab countries

ALGIERS: Algerian mobile telecoms operator Djezzy has added 1 million customers this year and plans to further invest to offer more online payment services, its CEO said.
Djezzy, or Optimum Telecom Algérie, will have 16 million subscribers by the end of 2018, up from 15 million a year ago and including seven million smart phones users, said Matthieu Galvani.
Djezzy is Algeria’s No. 2 mobile operator, behind state-owned Mobilis, and also competes with Qatar’s Ooredoo.
It is owned by Egypt’s Global Telecom Holding (GTH) , in which Dutch-based Veon, formerly know as VimpelCom, has a 57.7 percent stake.
Galvani declined to give a forecast for next year, saying only the potential was huge as the government was planning to make more online payment services available.
Some government bodies and even banks in Algeria still use the fax to communicate with the world. Online payments are very limited and such services require special central bank approval.
However, authorities plan to expand the network as part of efforts to boost private investment and lower the country’s dependency on oil and gas revenues.
To tap into this nascent market Djezzy will invest more after spending 30 billion dinars ($253 million) in the past two years to become an online business platform, Galvani said, declining to give a figure.
“The potential of (Algeria’s population of around) 40 million people once it goes digital is huge, so we need to be ready, hundreds of thousands of jobs will be created,” he said.
Other shareholders in Djezzy are a state-owned fund called FNI with 51 percent and CEVITAL, a local private company, which owns 3.3 percent.
The rate of penetration of smartphones in Algeria is around 40 percent now, according to official figures, much lower than in other Arab countries.
The rate for mobile phones is 111 percent.
Algeria has the slowest fixed Internet speed connection in the world at 3.5 megabits per second (mbps), compared to world leader Singapore with 161.2 mbps, according to 2018 Digital yearbook.
Mobile connections are faster at 7.4 mpbs but even then only seven other countries offer slower services, according to Digital yearbook.


Oil prices rise on Libyan export interruption, but markets remain weak

Updated 11 December 2018
0

Oil prices rise on Libyan export interruption, but markets remain weak

  • The rise came after crude prices dropped by 3 percent the session before amid ongoing weakness in global stock markets and concerns that slowing oil demand-growth could erode supply cuts
  • Crude futures have lost around a third of their value since early October amid the financial market slump and an emerging oil supply overhang

SINGAPORE: Oil prices edged up on Tuesday after Libya’s National Oil Company declared force majeure on exports from the El Sharara oilfield, which was seized at the weekend by a local militia group.
Despite that, overall sentiment on oil prices remained weak amid worries over global stock markets and doubts that planned supply cuts led by producer club OPEC will be enough to rein in oversupply.
International Brent crude oil futures were at $60.19 per barrel at 0336 GMT, up 19 cents, or 0.3 percent, from their last close.
US West Texas Intermediate (WTI) crude futures were at $51.16 per barrel, up 16 cents, or 0.3 percent.
Libya’s National Oil Company (NOC) late on Monday declared force majeure on exports from the El Sharara oilfield, the country’s biggest, which was seized at the weekend by a militia group.
NOC said the shutdown would result in a production loss of 315,000 barrels per day (bpd), and an additional loss of 73,000 bpd at the El Feel oilfield.
The rise came after crude prices dropped by 3 percent the session before amid ongoing weakness in global stock markets and concerns that slowing oil demand-growth could erode supply cuts announced last week by the Organization of the Petroleum Exporting Countries (OPEC) and some non-OPEC producers including Russia.
Crude futures have lost around a third of their value since early October amid the financial market slump and an emerging oil supply overhang.
In a show of no confidence, money managers cut their bullish wagers on crude to the lowest in more than two years in the week ending Dec. 4, the US Commodity Futures Trading Commission (CFTC) said on Monday.
The financial speculator group cut its combined futures and options position in New York and London by 25,619 contracts to 144,775 during the period. That is the lowest level since Sept. 20, 2016.
In physical markets, Kuwait and Iran this week both reduced their January crude oil supply prices to Asia
“There remains a lot of uncertainty if the production cut is thick enough to make a significant dent in global supply,” said Stephen Innes, head of trading for Asia-Pacific at futures brokerage Oanda in Singapore.
“The general risk-off tone in global markets and the stronger dollar ... are contributing to the selling pressure.”
The OPEC-led group of oil producers last Friday announced a supply cut of 1.2 million barrels per day (bpd) in crude oil supply from January, measured against October 2018 output levels.