BEIRUT

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Rate reduction driving growth at Alfa

Alfa has already achieved a 30 percent increase in data consumption after only two weeks. (The Daily Star/Mahmoud Kheir)

BEIRUT: Alfa said Tuesday that it had seen a 30 percent increase in data consumption in June after reducing prices and increasing data caps.

"Mobile users have responded positively to the price decrease," company Director General Marwan Hayek said.

Hayek pointed out that the success of the price reductions would in turn stimulate the economy and promote growth.

Telecoms Minister Boutros Harb issued a decree last month to lower the price of mobile and fixed lines as well as Internet and DSL services. While the decree goes into effect July 1, Alfa began implementing the new prices at the beginning of June.

According to the decree, cellular rates will be reduced from 36 cents per minute to 25 cents per minute and prepaid lines and SMS prices will drop from 9 cents to 5 cents per message.

The data limit for 3G service will increase from 150 megabytes to 500 MB for $10, from 750 MB to 1.5 GB for $19 and from 1 GB to 5 GB for $29.

Telecoms Ministry official Gilbert Najjar said at a press conference last month that the price reductions were expected to drive a substantial increase in mobile phone users in a year's time.

 

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