Transcript A new investment era in Greece

Mobile Telecoms
““A new investment era in Greece””
From recession to recovery
ASSOCIATION OF MOBILE OPERATORS
September 2011
ATHENS UNIVERSITY OF ECONOMICS AND BUSINESS
MANAGEMENT SCIENCE & TECHNOLOGY DEPARTMENT
Mobile Telecoms: A pivotal sector of the Greek economy,
The leading foreign investors in the Greek Market
 GDP: €3.6B direct contribution, €11.2B productivity gains, €4.3B multiplier
effects
 Public revenues: €1.86B (2010)
 Job creation: 63k (2010)
 Cumulative Capex (Investments): €6B1
Total mobile telecoms industry's contribution to GDP (2010)
9%
8,3%
8%
1,5%
% in GDP of Greece
7%
6%
3,4%
5%
4%
3%
1,9%
2%
1%
Source: Mobile Operators’ data, EL.STAT., IMF
Note: 2,18 multiplier effect, based on
EL.STAT.’s input /output analysis in the
symmetric table for the communications sector
1,6%
0%
Indutry's direct
contribution to
GDP
Multiplier effects
Productivity from Productivity from
the usage of mobile the usage of mobile
voice services
broadband
Total
Mobile Telecoms Today
In recession: Revenues & EBITDA shrink
% change in service revenues from previous year
Greece
Europe
5%
 Revenues and EBITDA are falling
by more than 20% in 2010 and
0%
-5%
2011
-10%
-15%
 Net losses ~800M in 2010
-20%
-20,8%
-25%
Q1 07
Q1 08
Q1 09
Q1 10
Q1 11
%change in EBITDA from previous year
10%
Greece
Europe
5%
0%
-5%
-10%
-15%
-20%
-25%
Source: Mobile Operators’ data, European Telecoms Matrix, Q1 2011,
Merrill Lynch & Bank of America
-22,4%
-30%
Q1 07
Q1 08
Q1 09
Q1 10
Q1 11
Mobile Telecoms in a new Business Opportunity
From recession to recovery
“A new investment era in Greece”
“The renewal of licenses in a friendlier and more stable investment environment”
Developments Considered
A)
A New Law for Licensing processes of Base Stations and harmonized practices
with EU.
B)
Exception from special mobile taxes, in order to increase public revenues from
relative increase in broadband penetration.
C) Digital Dividend in the 800 MHz zone to mobile telecommunications for
the development 4G networks.
The Transformational power of Mobile Telecoms
“Participant in facing Greek recession”
The Sector could become a vehicle for convergence with Europe and for
moving the country out of the recession
Effect from growth scenario to the broader economy
GDP in million euro
Government revenues in million euro
million euro
600
489
8
400
593
542
9
12
10
8
242
200
4
20
18
46
70
0
4
0
2012
2013
2014
2015
Source: Mobile Operators’ data, IMF forecasts for the development of the Greek Economy, Econometric Model , ELSTAT
Jobs in thousand
Jobs in thousand