Bamako 2002 Conference

GOVERNMENT OF THE REPUBLIC OF ZAMBIA

WORLD SUMMIT ON INFORMATION SOCIETY
AFRICA REGIONAL PREPARATORY CONFERENCE
26TH TO 30TH MAY 2002
BAMAKO, MALI

ZAMBIAN EXPERIENCE

Prepared by:
Ministry of Communications & Transport
Fairely Road
P.O. Box 50065
LUSAKA

Mr. Chairman
Excellencies
Distinguished Guests
Ladies and Gentlemen

I wish in the first instance to thank and pay tribute to His Excellency the President and Government and People of Mali for hosting this conference and the hospitality and support extended to our delegation since our arrival.

Secondly, I wish on behalf of the Honourable Minister of Ministry of Communications and Transport to apologise for his inability to attend this important meeting. I wish nevertheless to underline and restate his commitment to the collective vision of the people of Africa on the march to the Information Society.

Thirdly, I also wish to acknowledge the visionary, inspirational and guiding speeches of the Heads of States of Mali and Senegal and other dignitaries in shaping our efforts and destiny in Information and Communications Technology.

1. INTRODUCTION
Reality has caught up with developed and developing countries that a country's economic competitiveness and prosperity depends on the ability to harness the potential of Information and Communication Technology (ICT) as a critical factor in social and economic development. Indeed, there is a strong link between a solid telecommunications infrastructure and a country's prosperity.

It is doubtless that the convergence of information technology and telecommunications coupled with the opportunity of using computers for communicating on global scale by means of Internet has brought about new dimensions to possibilities for pursuing national economic development. The fact that telecommunications services bridge distance gap and Information Technology (IT) develop innovative applications, their combination in a communications value chain could only improve inputs to learning, production, trading, decision-making and other processes. These inputs are information that is transported in a computer and telecommunications based infrastructure providing communication links among users.

Zambia joins in the efforts being made at national, regional and international level in making the information age a reality. Information and knowledge are closely intertwined. To produce information, a knowledgeable agent produces new findings and data acceptable to society and the resulting commodity in question is information. When society gets access to it, knowledge is increased. This increment in knowledge reduces uncertainty in regards to the organisation of economic and social activities. In a way, knowledge provides the ability to effectively use available information and reach informed decisions.

Clearly, the need to increased knowledge and information capacities has given rise to the concept of knowledge-based economy and information-based economy, respectively. But, recognising that it is necessary to operate in a context where institutions and infrastructure are needed to facilitate the flow of information, the immediate focus is the development of an information-based economy. Such an economy is characterized by the free flow of information among enterprises and among institutions in national and international markets. It is aimed at improving social conditions, developing infrastructure and realising economic growth.

2. ICT Status in Zambia
The Zambian Government, as early as 1994 liberalised the Telecommunication Sector by an Act of parliament which created the Regulatory Authority and allowed more players in the sector.

The purpose of this regulatory authority was to allow for an orderly and stable development of the telecommunications sector by promoting investment as well as ensuring fair and balanced competition and fair treatment of consumers. This is to be supported by a comprehensive information and communication technology policy currently under development.
3 Overview of Telecommunication Sector
Statistics indicate that the telecommunications sector in Zambia over the last 5 years has made steady growth. During this period, fixed lines exchange capacity grew by 1.8% per annum compared to population growth rate of about 2.9%. The rural telephone lines as a percentage of total working lines stood at 19% while house hold telephone penetration declined to 2.1% in 2001 compared to 2.3% in the previous year. Residential lines accounted for 56% of the total number of working lines.

Quite clearly a lot of work still remains to be done and we do not expect to be found wanting.

3.1 Cellular Services
One of the most interesting results of the liberalization of telecommunications sector has been the accelerated development of mobile telephony. The Communications Authority has licensed three service providers. In 2001, the Communications Authority invited bids for a fourth cellular license, which is yet to be issued. The impending entry of Zamtel and the fourth GSM operator will accelerate competition in favour of the subscribers. Recently, one of the service providers became the first GSM network operator in Zambia to provide Internet services through mobile phone. This has been followed in 2002 by the launch of a mobile payment system by CelPay.

3.2 Internet
In November 1994, Zambia became the first country in sub-Saharan Africa (outside of South Africa) to have full Internet access. Whereas in 1995, there was only a single licensed ISP, as of 2001, the number licensed operators had increased to ten. This already has an impact in access charges and it is anticipated that charges will fall as competition increases, especially in the provision of broadband Internet.

A number of developments in the Internet sector are worthy to note:
ü Increasing demand for corporate leased line access
ü Increasing use of wireless broadband access technologies and ensuring appropriate spectrum to facilitate this
ü Establishment of an Internet Exchange among Zambian ISPs
ü Introduction of mobile Internet
The Internet in Zambia is still developing. Today there are approximately 10,000 Internet subscribers and an estimated 30-40,000 additional users in Zambia. The potential for very rapid growth is underlined by the fact that there is a high illiteracy rate, poor telephony accessibility and high access costs.

Rural Telephone still remains a major problem because of the high cost of set up against low revenues due to low subscription on traffic. However, the need to stimulate and catalyse agricultural and rural development requires that we confront this problem head on.

3.3 Business Bureaus and Internet Café Franchisees
There are many business bureaus offering Internet access in all major urban areas as well as telecentres in some rural areas offering Internet access, including international franchises like PostNet. Most of the major hotels in the country have established business bureaus offering computer and communication services, including Internet access. The very widespread nature and usage of these business services provides an indication of the low computer penetration levels in Zambia and demand for community-based services.
4. ICT Human Resource Development
Like many other sub-Saharan African countries, Zambia is experiencing a crisis in tertiary education because of relatively low investment in this sector. To gain the real benefits of ICT revolution, we require a pool of highly skilled IT workers.

Despite the rapid increase in the use of ICTs in both public and private sectors, the number of skilled IT specialists is still desperately small. Although being cognisant of the rapid growth of the ICT industry in Zambia and the critical insufficiency of IT skills in the country, the formal education system in Zambia has not been able to respond adequately. In 1996/97, the demand for University computer science graduates was estimated at 500 graduates a year.

This has had an adverse impact on the process of ICT diffusion in the country. It has created a labour market culture of job-hopping and employee poaching, which in turn creates a strong disincentive to employer-financed training in ICTs. It has also generated relatively high wages for key skills categories, which discourages small and medium enterprises from investing in ICTs.

The failure of the formal educational system to respond to the skills gap in ICT sector, has been offset by a largely unrecorded growth in private mechanisms for ICT skills development which include: (i) vendor supplied training, (ii) private training centres and (iii) informal training that takes place within organisations. However, the lack of accreditation and certification standards continues to be an obstacle in the growth of the ICT profession in Zambia, though a few private training centres have emerged that provide training with international certification from vendors such as Microsoft, Oracle and CISCO. There are nine (9) other training institutions offering computing courses at higher diplomas level.

5. Policy and Regulatory Framework
Government policies and regulations perform an important function in determining the growth of ICT sector in Zambia. A supportive policy and regulatory environment can provide a great impetus for galvanizing needed investment for ICT infrastructure and applications. Apart from providing leadership direction for the country as whole, it is a critical factor in decision-making at the enterprise level, with regard to investments in technology, human resource development and process innovation.
5.1 National ICT Policy
At present, there have been a number of ad-hoc efforts that being made by government and private sector to draw up an ICT policy. Zambia is in the early stages of developing an inclusive and comprehensive national information and communication infrastructure policy framework. ECA and other donor agencies have instrumental in providing financial resources to address the issue.
6. Information and Communication Infrastructure
The biggest challenge Zambia faces is the lack of an established and reliable fixed backbone (transmission) network. The government is focusing on the following to address the issues:
· Network expansion
· Universal access
· Elimination of key barriers that hinder accelerated development of ICT infrastructure such as:
a) High call charges
b) Limited skills and knowledge of options

7. Conclusion
Like most developing economies, Zambia faces many infrastructure challenges. While roads, water and electricity are obvious fundamental requirements, development of a strong communications and information system is vital for the country to survive and prosper. Dynamic changes in ICTs are resulting in new services and systems that are increasingly important to the efficiency and effectiveness of private and public sector institutions. As the twin forces of globalisation and revolution in ICTs extend the reach of competition and its benefits, Zambia can ill afford the sluggishness and indifference that so often characterises the provision of ICT products and services today. Zambia hopes that this gathering will come up with resolutions that will reduce the gap between Africa and the developed world.

Zambia remains committed, in solidarity will fellow African countries, to bridge the digital divide and exploit the digital opportunities available. We shall work with local and international NGOs, International organizations and other developed countries as we embark on this digital adventure and enterprise which should significantly transform economic and social organisation. In our countries to reduce poverty, and enhance the wealth of our people. We fully support the spirit of Bamako 2002.

I thank you.