BMI View: The Lebanese IT market, like the wider economy, underperformed its potential 2013-2015 as aresult of domestic political inertia and regional security risks - and we expect this will continue to be thecase in 2016. We do however have a more bullish outlook for the IT market from 2017, and forecast a localcurrency spending growth CAGR of 9.7% for 2016-2019, with total spending of LBP819.5bn expected in2019. Our core scenario envisages income growth, improvements to telecommunications infrastructure,improving business sentiment and modernisation initiatives by both the public and private sectorcontributing to stronger demand for IT products and solutions. The outlook for Lebanon is however subjectto considerable uncertainty and downside risk due to the domestic political situation and conflict in Syria.There has already been significant outward migration of skilled labour, and suppressed business sentiment2013-2015, and further security risks or ongoing political stalemate could exacerbate these trends andderail any progress made.
Latest Updates & Industry Developments
-Computer Hardware Sales: LBP395.3bn in 2016 to LBP479.4bn in 2019, +8.3% compound annualgrowth rate (CAGR) in local currency terms. The tablet market cooled in 2014 and 2015 due to coremarket saturation, but hybrid and notebook demand picked up the slack, and we expect spending growthto accelerate form 2017 as the economy strengthens.
Table Of Contents
Lebanon Information Technology Report 2016 BMI Industry View 5 SWOT 7 IT SWOT 7 Industry Forecast 9 Recent Developments 9 Structural Trends 9 Table: IT Industry - Historical Data And Forecasts (Lebanon 2012-2019) 15 Industry Risk Reward Ratings 16 Middle East And Africa Risk/Reward Index 16 Table: MEA IT Risk/Reward Index - Q116 18 Market Overview 20 Hardware 20 Software 26 Cloud Computing 32 IT Services 35 Industry Trends And Developments 38 Regulatory Development 42 Table: Government Authorities 42 Regional Overview 45 Middle East And Africa 45 Demographic Forecast 48 Lebanon Demographic Forecast 48 Table: Population Headline Indicators (Lebanon 1990-2025) 49 Table: Key Population Ratios (Lebanon 1990-2025) 49 Table: Urban/Rural Population and Life Expectancy (Lebanon 1990-2025) 50 Table: Population By Age Group (Lebanon 1990-2025) 50 Table: Population By Age Group % (Lebanon 1990-2025) 51 Methodology 53 Industry Forecast Methodology 53 Sources 55 Risk/Reward Index Methodology 55 Table: IT Risk/Reward Index Indicators 56 Table: Weighting Of Components 57