Iran Telecommunications Report Q2 2016
BMI View:The removal of sanctions on Iran in January 2016 is expected to have a positive impact on thelevel of foreign direct investment in the country, with GDP forecast to experience rapid growth over ourmedium-term forecast period from 2016-2020. The mobile segment is set to continue on its strong growthtrajectory due to the increased accessibility of 3G and 4G services. The wireline segment will howevercontinue to struggle because of the growing preference for mobile solutions.
Latest Updates & Industry Developments
Removal of sanctions in January 2016 should encourage increased foreign direct investment into Iran,with BMI's Country Risk team predicting GDP to rise from 2.9% in 2016 to 4.8% in 2020.
Since the launch of 3G and 4G data services, the Iranian mobile market has experienced strong growth yo-y and is expected to reach 152.0mn subscribers in 2020, up from 137.7mn in 2016.
Growth in the wireline segment is forecast to be subdued due to increase availability of mobile services;32.5mn fixed lines are forecast to be in service in 2020, up slightly from 30.7mn in 2016.
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