BEIRUT: Lebanon's cabinet has agreed to impose a fee on calls over WhatsApp and other similar applications, as part of efforts to raise revenues in the country's 2020 draft budget, a minister said on Thursday.
Lebanon has one of the world's highest debt burdens, low growth and crumbling infrastructure and is facing strains in its financial system from a slowdown in capital inflows. The government has declared a state of "economic emergency" and promised steps to ward off a crisis.
Information Minister Jamal al-Jarrah said on Thursday that cabinet had agreed a charge of 20 cents per day for calls via voice over internet protocol (VoIP), used by applications including Facebook-owned Whatsapp, Facebook calls and FaceTime.
The fee could potentially bring in up to $250 million in annual revenues from the country's estimated 3.5 million VoIP users.
The country has only two service providers, both state-owned, and some of the most costly mobile rates in the region.
Lebanese TV channels cited Telecoms Minister Mohamed Choucair as saying the fee would "not be applied without something in return" which he would announce next week.
Finance Mininster Ali Hassan Khalil said last month there were no new taxes or fees in the draft 2020 budget he sent to cabinet.
Lebanon is under pressure to approve the 2020 budget to unlock some $11 billion pledged at a donor conference last year, conditional on fiscal and other reforms.
Prime Minister Saad al-Hariri has said the government would work to further reduce the 2020 budget deficit.
Foreign allies are not yet fully convinced the Lebanese government is serious about reforms, and a French envoy last month criticised the pace of work.
The government only approved the 2019 budget halfway through this year. Lebanon had until 2017 had gone 12 years without a budget.
Ahead of a cabinet session on Thursday, Jarrah said ministers would discuss a proposal to raise value-added tax by 2 percentage points in 2021 and then another 2 percentage points in 2022, until it reaches 15%.
After ministers agree the 2020 draft budget, they must send it to parliament for approval.
Lebanon plans to charge for WhatsApp calls -minister
Lebanon plans to charge for WhatsApp calls -minister
- Jamal al-Jarrah said that cabinet had agreed a charge of 20 cents per day for calls used by applications including Whatsapp, Facebook calls and FaceTime
- The fee could potentially bring in up to $250 million in annual revenues from the country's estimated 3.5 million VoIP users
Saudi Arabia’s cultural sector is a new economic engine between Riyadh and Paris, says ambassador
RIYADH: Culture has become a fundamental pillar in bilateral relations between France and Saudi Arabia, according to the French Ambassador to the Kingdom, Patrick Maisonnave.
Maisonnave noted its connection to the entertainment and tourism sectors, which makes it a new engine for economic cooperation between Riyadh and Paris.
He told Al-Eqtisadiah during the opening ceremony of La Fabrique in the Jax district of Diriyah that cultural cooperation with Saudi Arabia is an important element for its attractiveness in the coming decades.
La Fabrique is a space dedicated to artistic creativity and cultural exchange, launched as part of a partnership between the Riyadh Art program and the French Institute in Riyadh.
Running from Jan. 22 until Feb 14, the initiative will provide an open workspace that allows artists to develop and work on their ideas within a collaborative framework.
Launching La Fabrique as a space dedicated to artistic creativity
The ambassador highlighted that the transformation journey in the Kingdom under Vision 2030 has contributed to the emergence of a new generation of young artists and creators, alongside a growing desire in Saudi society to connect with culture and to embrace what is happening globally.
He affirmed that the relationship between the two countries is “profound, even cultural par excellence,” with interest from the Saudi side in French culture, matched by increasing interest from the French public and cultural institutions unfolding in the Kingdom.
Latest estimates indicate that the culture-based economy represents about 2.3 percent of France’s gross domestic product, equivalent to more than 90 billion euros ($106.4 billion) in annual revenues, according to government data. The sector directly employs more than 600,000 people, making it one of the largest job-creating sectors in the fields of creativity, publishing, cinema, and visual arts.
Saudi Arabia benefiting from French experience in the cultural field
Maisonnave explained that France possesses established cultural institutions, while Saudi Arabia is building a strong cultural sector, which opens the door for cooperation opportunities.
This comes as an extension of the signing of 10 major cultural agreements a year ago between French and Saudi institutions, aiming to enhance cooperation and transfer French expertise and knowledge to contribute to the development of the cultural system in the Kingdom.
He added that experiences like La Fabrique provide an opportunity to meet the new generation of Saudi creators, who have expressed interest in connecting with French institutions and artists in Paris and France.
La Fabrique encompasses a space for multiple contemporary artistic practices, including performance arts, digital and interactive arts, photography, music, and cinema, while providing the public with an opportunity to witness the stages of producing artistic works and interact with the creative process.
