binance left Coinmarketcap net_left adver left

'No money left': Lebanese telcos close to meltdown as cable thieves thrive

Thursday, January 13, 2022

By Laila Bassam and Timour Azhari

BEIRUT (Reuters) - Lebanon's telecom duopoly, once cash cows for the state, used to allocate most of their spending on wages, rent and infrastructure.

Now revenues have nosedived, and the biggest cost for Alfa and Touch is diesel for the power generators that - with the country's economic meltdown causing national blackouts on top of a currency crash - they use to run the creaking telecom network.

"We are in crisis management mode without being able to look at all at long-term problems or see what the overall solutions are because we're distracted by daily matters," Telecoms Minister Johnny Corm told Reuters. "We are living day by day."

While global telecoms operators compete on offers for subscribers or building 5G networks, Lebanon's mobile firms - which both returned to state hands in 2020 - are focused on more mundane matters such as stopping the regular theft of their network tower cables.

"Every day there is a robbery," Corm said. "It has reached the point that we contact municipalities to ask for help because the security services no longer have the capacity."

Last year, when Lebanon's ailing power grid was just about on its feet, generator fuel made up 7% of the telecom sector's expenses. That is projected to soar to two thirds of the budget this year, the minister said.

Wages are forecast to fall to 10% of costs from one third - a measure of how revenues are now being eaten up by costs and how employees' spending power has shrunk.

In dollar terms, those revenues are just 5% of their level before the crisis erupted in 2019, showing the extent of the collapse of the Lebanese pound, which has made imported equipment cripplingly expensive.

The minister said Touch made the equivalent of $850 million in 2018, when Lebanon's pound was at 1,500 to the dollar. Based on the current exchange rate of 31,000, that shrank to the equivalent of $45.5 million in 2021.

Corm said the companies had to review prices to keep operating and avoid draining the state's already almost empty coffers.

However, any price adjustment needs cabinet approval, he said, which adds complications as ministers have not met for three months amid a dispute over a probe into Beirut's huge port blast in 2020.

Internet outages and weak mobile signals plague the system, but Corm suggested the outlook for any improvement was bleak, with as many as half of the two firms' employees failing to turn up for work. For some, wages don't even cover transport costs.

Revenues from telecoms were in decline before the crisis, Corm said, a fall often blamed on corruption. But the minister said the impact of graft was now dwarfed by the economy's collapse.

"When there was a lot of corruption there was a lot of money," he said. "Today there is no money left."

Leave your comment
ig right nyse right Neteller adver right
APPROVED BROKERS
rakuten_main right top net_home_top ig_main right top Binance _ main right top fbs_main right top tifia_main right top
26-01-2022 10:29:44 (UTC+7)

EUR/USD

1.1283

-0.0016 (-0.15%)

Summary

Sell

Moving Avg:

Buy (4)

Sell (8)

Indicators:

Buy (2)

Sell (4)

EUR/USD

1.1283

-0.0016 (-0.15%)

Summary

Sell

Moving Avg:

Buy (4)

Sell (8)

Indicators:

Buy (2)

Sell (4)

GBP/USD

1.3496

0.0000 (0.00%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (9)

USD/JPY

114.32

+0.46 (+0.40%)

Summary

↑ Sell

Moving Avg:

Buy (4)

Sell (8)

Indicators:

Buy (0)

Sell (7)

AUD/USD

0.7156

+0.0008 (+0.10%)

Summary

↑ Sell

Moving Avg:

Buy (2)

Sell (10)

Indicators:

Buy (1)

Sell (10)

USD/CAD

1.2628

+0.0001 (+0.01%)

Summary

Neutral

Moving Avg:

Buy (7)

Sell (5)

Indicators:

Buy (2)

Sell (7)

EUR/JPY

128.98

+0.32 (+0.25%)

Summary

↑ Sell

Moving Avg:

Buy (5)

Sell (7)

Indicators:

Buy (2)

Sell (8)

EUR/CHF

1.0386

+0.0011 (+0.11%)

Summary

Sell

Moving Avg:

Buy (5)

Sell (7)

Indicators:

Buy (2)

Sell (5)

Gold Futures

1,836.15

-16.35 (-0.88%)

Summary

↑ Sell

Moving Avg:

Buy (1)

Sell (11)

Indicators:

Buy (1)

Sell (7)

Silver Futures

23.828

-0.068 (-0.28%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (7)

Copper Futures

4.4830

+0.0330 (+0.74%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (8)

Crude Oil WTI Futures

86.99

+1.39 (+1.62%)

Summary

↑ Sell

Moving Avg:

Buy (4)

Sell (8)

Indicators:

Buy (1)

Sell (8)

Brent Oil Futures

88.55

+1.37 (+1.57%)

Summary

↑ Sell

Moving Avg:

Buy (4)

Sell (8)

Indicators:

Buy (0)

Sell (6)

Natural Gas Futures

4.127

+0.233 (+5.98%)

Summary

↑ Buy

Moving Avg:

Buy (10)

Sell (2)

Indicators:

Buy (9)

Sell (0)

US Coffee C Futures

237.83

-0.07 (-0.03%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (7)

Euro Stoxx 50

4,157.25

+78.99 (+1.94%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (7)

S&P 500

4,405.00

+48.55 (+1.11%)

Summary

↑ Sell

Moving Avg:

Buy (4)

Sell (8)

Indicators:

Buy (0)

Sell (10)

DAX

15,426.14

+302.27 (+2.00%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (6)

FTSE 100

7,476.37

+104.91 (+1.42%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (6)

Hang Seng

24,289.90

+46.29 (+0.19%)

Summary

↑ Buy

Moving Avg:

Buy (12)

Sell (0)

Indicators:

Buy (7)

Sell (0)

US Small Cap 2000

2,021.40

+16.60 (+0.83%)

Summary

↑ Sell

Moving Avg:

Buy (4)

Sell (8)

Indicators:

Buy (0)

Sell (11)

IBEX 35

8,627.16

+147.66 (+1.74%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (9)

BASF SE NA O.N.

67.260

+1.930 (+2.95%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (9)

Bayer AG NA

51.47

+0.65 (+1.28%)

Summary

Sell

Moving Avg:

Buy (4)

Sell (8)

Indicators:

Buy (3)

Sell (4)

Allianz SE VNA O.N.

223.93

+3.88 (+1.76%)

Summary

Neutral

Moving Avg:

Buy (8)

Sell (4)

Indicators:

Buy (2)

Sell (5)

Adidas AG

244.43

+6.68 (+2.81%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (10)

Deutsche Lufthansa AG

7.040

+0.363 (+5.44%)

Summary

↑ Buy

Moving Avg:

Buy (7)

Sell (5)

Indicators:

Buy (9)

Sell (0)

Siemens AG Class N

141.10

+2.58 (+1.86%)

Summary

↑ Sell

Moving Avg:

Buy (0)

Sell (12)

Indicators:

Buy (0)

Sell (8)

Deutsche Bank AG

11.362

+0.288 (+2.60%)

Summary

↑ Sell

Moving Avg:

Buy (1)

Sell (11)

Indicators:

Buy (0)

Sell (11)

 EUR/USD1.1283Sell
 GBP/USD1.3496↑ Sell
 USD/JPY114.32↑ Sell
 AUD/USD0.7156↑ Sell
 USD/CAD1.2628Neutral
 EUR/JPY128.98↑ Sell
 EUR/CHF1.0386Sell
 Gold1,836.15↑ Sell
 Silver23.828↑ Sell
 Copper4.4830↑ Sell
 Crude Oil WTI86.99↑ Sell
 Brent Oil88.55↑ Sell
 Natural Gas4.127↑ Buy
 US Coffee C237.83↑ Sell
 Euro Stoxx 504,157.25↑ Sell
 S&P 5004,405.00↑ Sell
 DAX15,426.14↑ Sell
 FTSE 1007,476.37↑ Sell
 Hang Seng24,289.90↑ Buy
 Small Cap 20002,021.40↑ Sell
 IBEX 358,627.16↑ Sell
 BASF67.260↑ Sell
 Bayer51.47Sell
 Allianz223.93Neutral
 Adidas244.43↑ Sell
 Lufthansa7.040↑ Buy
 Siemens AG141.10↑ Sell
 Deutsche Bank AG11.362↑ Sell
Mua/Bán 1 chỉ SJC
# So hôm qua # Chênh TG
SJC Eximbank6,190/ 6,240
(-5/ -5) # 1,175
SJC HCM6,180/ 6,245
(-10/ -10) # 1,179
SJC Hanoi6,180/ 6,247
(-10/ -10) # 1,181
SJC Danang6,180/ 6,247
(-10/ -10) # 1,181
SJC Nhatrang6,180/ 6,247
(-10/ -10) # 1,181
SJC Cantho6,180/ 6,247
(-10/ -10) # 1,181
Cập nhật 26-01-2022 10:29:46
Xem lịch sử giá vàng SJC: nhấn đây!
ↀ Giá vàng thế giới
$1,836.68-13.06-0.71%
Live 24 hour Gold Chart
ʘ Giá bán lẻ xăng dầu
Sản phẩmVùng 1Vùng 2
RON 95-IV2486025350
RON 95-II,III
E5 RON 92-II2359024060
DO 0.05S1890019270
DO 0,001S-V1925019630
Dầu hỏa1779018140
ↂ Giá dầu thô thế giới
WTI$87.12-0.24-0.27%
Brent$89.74-0.14-0.16%
$ Tỷ giá Vietcombank
Ngoại tệMua vàoBán ra
USD22.460,0022.770,00
EUR24.918,8126.315,80
GBP29.789,2431.061,45
JPY192,82204,12
KRW16,3519,92
Cập nhật lúc 18:54:49 26/01/2022
Xem bảng tỷ giá hối đoái
binance main right Fxpro Main Right aetos main right adver main right