Options to Increase Access to Telecommunications Services in Rural and Low-Income Areas
Recent evidence suggests that increasing overall service coverage and promoting access to telecommunications services have a high economic benefit. Overall, it is estimated that a ten percent increase in mobile telephony penetration could increase...
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| Format: | Publication |
| Language: | English |
| Published: |
World Bank
2012
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| Online Access: | http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000333038_20100105000339 http://hdl.handle.net/10986/2397 http://hdl.handle.net/10986/5927 |
| Summary: | Recent evidence suggests that increasing
overall service coverage and promoting access to
telecommunications services have a high economic benefit.
Overall, it is estimated that a ten percent increase in
mobile telephony penetration could increase economic growth
by 0.81 percent in developing countries, whereas a ten
percent increase in broadband penetration could increase
economic growth by 1.4 percent. In rural and low-income
areas in particular, not only do basic telephony services
and broadband access allow population to connect with
relatives and friends, but they have also introduced a
dramatic increase in productivity and in many cases have
become the only way for small and medium enterprises in
rural areas to access national and, in some cases, global
markets. Moreover, the impact of access to
telecommunications in rural areas on health, education,
disaster management, and local governments has allowed
better and more rapid responses, improved coordination, and
more effective public management. It is therefore worthwhile
to take a second look at all possible policy options, both
conventional mechanisms (some of which underutilized) as
well as new approaches, to determine whether some of them
may be relevant for the emerging agenda of universal
broadband access. This paper will first address the
necessary conditions required to adopt a more ambitious
universal access policy in developing countries. After that,
a brief account of the main relevant trends in the industry
will be made, followed by a description of twelve different
mechanisms for project implementation and six different
mechanisms for funding of universal access strategies. Then,
an evaluation of the mechanisms will be carried out to
identify the most suitable ones. Finally, some
recommendations to policy makers on implementation of the
preferred mechanisms are also drawn from the analysis. |
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