The causal chain of market-based reform in Egyptian voice telecommunication

Abstract

Utility reform swept the developing world in the 1980s and 1990s. This case study of the Egyptian telecoms sector shows that regulatory reform and liberalisation have created competitive pressures, stripping the national monopoly provider, Telecom Egypt (TE), of its market power. The market has diversified as the antiquated fixed (land)line system has been surpassed by rapid growth in the cellular market. Public sector reform and privatisation put efficiency pressures on the national incumbent (TE). These pressures resulted in improved outcomes for the main stakeholders, consumers, workers and the government, such as reduced prices, increased access and service quality.