Asia Pacific Mobile Observatory 2011

GSMA Mobile Observatory. Asia Pacific is the largest mobile market in the world, and is continuing to show strong growth. Asia Pacific accounts for half of the total mobile connections in the world, with 3 billion lines. Looking ahead, the region is expected to continue its strong growth, adding a further 1.5 billion connections between 2010 and 2015 – similar in scale to the achievements of the last five years when 1.7 billion new connections were added. This growth and scale is encouraging for consumers and investors alike, as the industry has shown resilience through the global economic crisis by continuing to invest funds to improve the quality of mobile services across the region.

The Asia Pacific mobile market is highly competitive. 13 of the 17 major markets (“AP17”) in Asia Pacific have at least five network operators, while India has as many as fifteen. This is contributing to rapidly declining prices and operator margins in most markets. Despite intense competition, falling prices and margins, operators in Asia Pacific’s major markets have invested an average of 16.3% of their revenues into capital expenditure, significantly higher than their counterparts in other geographies. Furthermore, they have repaid investor confidence – operators in developing Asia Pacific countries have reported above-average equity performance, beating every other region globally.



Mobile broadband and data services are transforming the landscape. By 2015 Asia Pacific is expected to account for 40% of global data traffic. Mobile broadband is booming across the Asia Pacific region, increasingly becoming the standard conduit to access the Internet, partly driven by rapid 3G network rollouts. In all developed Asian markets mobile service coverage now stands at over 95% while the likes of Malaysia and Indonesia have also achieved population coverage of over 80% – especially impressive given the topography of these countries. As a result, the breadth of applications and services delivered over mobile networks is booming. For example, by 2020 there will be an estimated 5.3 billion M2M connections in Asia Pacific.



The inaugural Mobile Broadband Readiness Index (MBRI) indicates that countries creating an ecosystem conducive to growth in mobile data services have the potential to make rapid leaps ahead of their peers. In 2011 we saw Japan rise up to the top of the index above Singapore, driven by its early 4G rollout and its pro-innovation environment. Hong Kong and Vietnam also jumped ahead, demonstrating their strong commitment to fostering a successful mobile broadband landscape. Different stages of market evolution will require different strategies to ensure that growth can be sustained.

The mobile sector is a major contributor to Asian economic growth. The industry accounts for an estimated US$485 billion, or 2.7% of GDP, across the 17 major AP17 countries. It also accounts for 11.4 million jobs – for each job created by a mobile operator, there are eight more generated in the mobile ecosystem and wider economy. In terms of contributions to public funding, almost US$300 billion was generated through various taxes and fees in 2010. Overall, the positive impact of the mobile sector in terms of job creation, public funding and productivity improvement will play a key role in leading slowing economies away from potential recession. This relies on both the players in the mobile ecosystem and a conducive operating environment based on regulatory policies that will drive increased coverage, penetration and mobile phone usage, which in turn will lead to increased economic prosperity. The mobile sector is having a transformational impact on society. As well as the social, environmental and charitable initiatives led by mobile operators, the industry is making a profound collateral impact on society by creating efficiencies in everyday communication, productivity and knowledge. Communication is more efficient than ever before, with mobile platforms providing a basis for instant social and professional connections. Productivity efficiencies come from data-enabled mobile devices providing greater flexibility in where we process information, allowing us to lead more productive lives and businesses to be more efficient in their delivery of goods and services. Knowledge efficiencies have enabled markets to function more efficiently and the unprecedented ability of consumers to access any information, anytime, anywhere and can provide a deep social, intellectual and financial advantage.

Regulators play a critical role as enablers of future mobile-driven economic and social development. The industry must continue to grow, in order to facilitate further economic and societal change across Asia Pacific. Effective regulatory policy-making is potentially the most important influencer of growth. Discussions with several players within the ecosystem identified five key regulatory themes that need addressing within an Asia Pacific context:

1) Optimising spectrum allocation and licensing

2) Driving effective taxation and deployment of government funds

3) Rebalancing regulatory frameworks to address new players in the growing mobile ecosystem

4) Developing a sustainable model for mobile internet, by proactively addressing net neutrality concerns

5) Allowing the market to address mobile data roaming charges

Progressive regulatory bodies that instigate and shape policy must do so by looking at the industry through a ‘wide angle-lens’, addressing the wider mobile ecosystem and ensuring that their policies continue to enable the industry to benefit its consumers, generate value and drive social development and economic growth.

Asia Pacific Mobile Observatory 2011

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The Economics of Climate Change in the Pacific

The Economics of Climate Change in the Pacific supports adaptation planning for ADB’s members in the Pacific. The fine-scale study is useful for local climate proofing and adaptive action. It employs economic analysis to help identify priority sectors, estimate funding needs, and assess economy-wide climate change impact. Climate-economic information is critical in supporting development and adaptation decisions in Pacific members.

Contents

Background
Scope and Methodology
Climate Change and Extremes in the Pacific
Climate Change Affects Coastal Areas
Climate Change and Agriculture
Climate Change and Water
Climate Change Cost for the Pacific
Investment Resilience through Climate Proofing

Asian Development Bank.Brochures and Flyers.November 2011

The Economics of Climate Change in the Pacific x

Support for Promoting Good Governance in Pacific Developing Member Asian Development Bank’s

This special evaluation study (SES) assesses Asian Development Bank’s (ADB’s) support for promoting good governance in Pacific developing member countries (DMCs) from 2000 to 2010 (study period). It is an input to the forthcoming evaluation of the Pacific Approach 2010– 2014 and provides lessons and recommendations for the next Pacific strategy.

ADB support for governance is included in operations for public sector management (PSM) as well as assistance for other sectors that have governance as a thematic classification (e.g., education, energy, finance, transport, among others). For the purposes of the study the evaluation covers grants, loans, and technical assistance (TA) projects classified under PSM from 2000 to 2010 and governance-related components of a non-PSM subsector where ADB is most active in the Pacific region. The roads subsector was selected as a case study as it is one of the priority subsectors in the Pacific DMCs and it draws from the Pacific region sector assistance program evaluation on transport.

From 2000 to 2010, ADB approved $158 million for 10 loans and grants, and $42 million for 96 advisory TA projects classified under PSM. In addition, ADB has supported numerous sector specific projects and regional TA with governance and institution building components.

Asian Development Bank’s. Evaluation Study.Reference Number: SES:REG 2011-41.Special Evaluation Study.November 2011

Support for Promoting Good Governance in Pacific Developing Member Asian Development Bank’s

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Promoting an Asia Pacific Wastewater Management Revolution

In accordance with the ADB's Water Policy, the TA will support development of wastewater investment projects through knowledge management, examination of technology options, incentives and financing mechanisms, and conduct of knowledge exchange and capacity development activities. The TA proposes to concretize the advocacy into potential business opportunities by undertaking limited pre-feasibility studies to establish financial sustainability and then conducting round tables amongst stakeholders (primarily public sector agencies and private investors) to confirm their interest to invest after full fledged feasibility studies (beyond scope of this proposal). Proven solutions that can be potentially applied to a local situation will be discussed at the roundtable as a sustainable business opportunity for wastewater management. The mutually accepted opportunities will then be further developed as a wastewater investment project with private participation by ADB with other partners.

Asian Development Bank.Project Number. 45119- 01

Promoting an Asia Pacific Wastewater Management Revolution

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Fast Facts: Climate Change in Asia and the Pacific

Asian Development Bank (ADB). Department of External Relations.25 November 2011.The region has 58% of the world’s population, but only 20% of its land, and 33% of its water resources. Climate change impacts are likely to exacerbate environmental poverty, affecting millions of Asians who already live below the poverty line.

Climate change impacts on food, water and livelihood security will be tremendous. Under a business-as-usual scenario, crop yields from irrigated agriculture may decline substantially by 2050: rice by 14%–20%; wheat by 32%–44%; maize by 2%–5%; and soybeans by 9%–18%.

A troubling gap between water supply and basic demands is predicted as a result of climate change—potentially up to 40% by 2030.

Global demand for food is likely to double by 2050, and the ability to meet this demand without sharp price increases is hindered by adverse impacts of climate change.

For poor people who must spend more than half of their total budget on food alone, higher prices seriously erode their purchasing power. An additional 64 million Asians are predicted to be dragged into poverty if domestic food prices jump 10%.

More than 60% of the region’s 4.2 billion people are in the climate-sensitive sectors of agriculture, fisheries, and forestry and will have their livelihoods threatened.

Small island nations of the Pacific, the Maldives, and other low-lying coastal areas are witnessing measureable encroachment of the sea due to rising sea-levels, which is affecting fresh water availability and increasing coastal erosion.

With about two-thirds of natural disasters already weather-related, climate change will lead to even greater economic losses and suffering, particularly among the poor, as it will result in more intense and frequent extreme events.

Climate-induced migration may become more common, particularly in ―hot spots‖ where human settlements are at relatively high risk to climate change impacts: coasts, river deltas, low-lying small islands, and arid Central and West Asia, East Asia, and South Asia.

In the absence of a significant shift towards low-carbon development of the power and transport sectors, Asia is expected to contribute 45% of global energy-related greenhouse gas (GHG) emissions by 2030 while emissions from the transport sector will double between 2008 and 2030.

Around 17% of total annual global GHG emissions come from forests. In Southeast Asia, 75% of emissions are due to land use change and poor forest management.

But ADB’s member countries in Southeast Asia have the greatest potential for sequestering carbon through avoided deforestation and improved land use. They are thus a primary target of ―REDD+‖ financing.

ADB supports member countries’ efforts to significantly lower GHG emissions and adapt to climate change impacts.

ADB has a target of at least $1 billion annually in clean energy investments, and in 2011, the figure is expected to be more than $1.8 billion.

ADB’s climate change interventions over the last three years spanned more than 110 projects in over 40 countries, involving an investment of about $10 billion.

Between 2009 and August 2011, ADB also provided nearly $250 million in technical assistance support to its developing member countries to improve knowledge and capacities, support policy and institutional development, and build the climate resilience of investments likely to be impacted by climate change.

http://beta.adb.org/sites/default/files/news/durban-fast-facts.pdf

Asia Pacific will Dominate the Connected Device Market, Fuelled by Explosive Growth in China, says GSMA

GSMA. 16 November 2011, Mobile Asia Congress, Hong Kong. The GSMA, in partnership with Machina Research, today announced that the growth of connected devices is booming in Asia Pacific, with the region expected to be the biggest market by 2020 with over 11 billion total connected devices¹, and within that, almost 5.6 billion mobile connected devices², accounting for a 47 per cent market share and far outstripping Europe (19.1 per cent) and North America (9.4 per cent). The growth of connected devices makes the vision of a Connected Life a reality by delivering new services to multiple device types beyond traditional mobile phones. Powered by ubiquitous Mobile Broadband, this will allow consumers and businesses to interact with the people, information and objects they require, whenever and wherever they need.

“Asia Pacific has more than half of the world’s six billion mobile connections and is at the forefront of next-generation Mobile Broadband technologies and cutting-edge innovation, but there is far greater scope for growth,” said Michael O’Hara, Chief Marketing Officer, GSMA. “The projected rise of connected devices across the region demonstrates the enormous potential for the entire Connected Life ecosystem, with billions of new devices connected via mobile networks enabling innovative applications, services and experiences across all sectors.”

China will be the chief driver of this growth and will have nearly five billion total connected devices by 2020 - more than any other market globally - resulting in China-based mobile operators being able to benefit from the highest addressable revenue opportunity³ across the region of US$180 billion. The global addressable revenue opportunity for mobile operators for this space by 2020 is US$1.2 trillion, and from this, operators across Asia Pacific could benefit from revenues of US$447 billion, nearly 50 per cent higher than Europe at US$305 billion⁴.

           

In Asia Pacific, connected mobile growth enabling seamless and pervasive connectivity between people and processes will increase dramatically over the next ten years, in part because mobile is virtually the only option for connectivity for many countries in the region. In a market that already comprises more than half of the world’s mobile connections, this presents a huge opportunity for mobile operators.

           

Emerging Asian markets will be the main contributors to connected growth, with the total number of connected devices increasing by more than 150 per cent between 2011 and 2020. In developed nations in Asia Pacific, consumers in Japan and South Korea will each have an average of eleven connected devices by 2020, making it the highest share of connected devices per capita in the world. By 2020, Japan will also have the third highest device share by volume, behind China and the United States.

Mobile Health Market Stimulating Growth of Connected Devices

Growth of mobile health services in Asia Pacific is stimulating demand for connected devices and making the Connected Life a reality. In a separate study, new figures from the GSMA, developed in collaboration with PwC for a global report entitled ‘Mobile Health – Enabling Healthcare’⁵, indicates that the Asia Pacific mobile health market will grow to almost US$7 billion in 2017 at a CAGR of approximately 70 per cent. The mobile health services representing the largest opportunity across the region include monitoring services, with a 55 per cent market share in 2017 and diagnostic services, with a 24 per cent market share.

China will have the biggest mobile health market in 2017, driven by growth in monitoring and diagnosis that will facilitate the delivery of effective healthcare to a widely spread population who have poor health access. This will help to create a market opportunity of US$2.4 billion in China, dwarfing the next largest markets, Japan (US$1.3 billion) and India (US$540 million). Monitoring represents the biggest opportunity in Japan (63 per cent market share) due to the large number of elderly, and in India diagnostics will create the biggest opportunity (67 per cent market share) due to most Indians living in rural areas.

“Mobile health is a prime example of how mobile operators can leverage existing platforms and technology to provide innovative services to connect people throughout Asia Pacific,” continued O’Hara. “Asia Pacific’s predicted growth in connected devices, through an array of applications, means that the region is on the threshold of radically transforming the lives of its consumers, professionally and personally. To make the Connected Life ubiquitous, it’s vital that the mobile industry works with key adjacent industries in the region, including healthcare.”

The Connected Life opportunity is by no means confined to healthcare. The close collaboration of mobile operators with companies in a range of vertical sectors, such as automotive, utilities and consumer electronics, will provide compelling new ‘connected’ services to consumers and businesses all over the world. The benefit of this is huge, as the Connected Life will create new opportunities for companies to engage with existing customers while adopting new ones, as well as deliver new service opportunities that will generate additional revenue.

           

For more information on the GSMA’s Connected Life programme, please visit: www.gsmaconnectedlife.com.

Watch Connected Devices, the $1.2 Trillion Revenue Opportunity on Mobile World Live now! www.mobileworldlive.com.

Notes to editors

¹Connected devices are smart wide area and short range devices that have the benefit of connecting to a network, including: remote sensors, remote monitoring, actuating devices, associated aggregation devices, PCs, laptops, tablets, eReaders, mobile handsets, femto cells & routers.

²Of the 11 billion ‘total’ connected devices forecast to be available across Asia Pacific by 2020, almost 5.6 billion of these will be ‘mobile’ connected devices, which represents a 75 per cent increase from 2011 and a 47 per cent market share globally. Mobile connected devices are either currently or likely to include SIM technology and therefore be connected by wide area mobile networks.

³ The addressable revenue is what a pure-play mobile operator could potentially compete for a share of. This is comprised of revenues from the sale of mobile devices by the mobile operator, data traffic, applications, system integration, installation, and most significantly, specific service revenues available to mobile operators. These revenues are largely incremental to the majority of mobile operator’s existing revenue streams and therefore present a real opportunity for future revenue growth beyond basic data browsing, messaging and voice revenues. The addressable opportunity for mobile operators that have access to fixed infrastructure and systems integration capabilities is clearly going to be greater.

⁴The global addressable revenue opportunity for mobile operators by 2020 is US$1.2 Trillion. Regionally, this equates to:

• Asia Pacific: US$447 billion
• Europe: US$305 billion
• North America: US$241 billion
• Latin America: US$92 billion
• Middle East & Africa: US$87 billion

⁵Mobile Health – Enabling Healthcare is a global study on the potential of mobile health services and solutions up to 2017 by the GSMA and PwC. It will be available, in full, in December 2011.

About the GSMA

The GSMA represents the interests of mobile operators worldwide. Spanning more than 220 countries, the GSMA unites nearly 800 of the world’s mobile operators, as well as more than 200 companies in the broader mobile ecosystem, including handset makers, software companies, equipment providers, Internet companies, and media and entertainment organisations. The GSMA also produces industry-leading events such as the Mobile World Congress and Mobile Asia Congress.

For more information, please visit Mobile World Live, the online portal for the mobile communications industry, at www.mobileworldlive.com or the GSMA corporate website at www.gsmworld.com.

Media Contacts:
For the GSMA:
Ben Evetts
Tel: +44 (0)7 7879 614 941bevetts@webershandwick.com

Ava Lau
Tel: +852 2533 9928alau@webershandwick.com

GSMA Press Office:press@gsm.org

IMF Managing Director Christine Lagarde Statement at the APEC Leaders Summit

Ms. Christine Lagarde, Managing Director of the International Monetary Fund (IMF), made the following statement today at the Asia-Pacific Economic Cooperation (APEC) Leaders Summit in Honolulu, Hawaii:

“I am honored to have been invited to participate in discussions at the APEC Leaders meeting today. The APEC economies are a major engine of growth and a vital contributor to the global recovery at this critical moment for the world.

“I emphasized the IMF's concern about the current risks to the global economy, with a particular focus on the challenges facing the Euro Zone countries—and the urgent need for them to implement the policy actions agreed by their leaders in October. Without a solution to the Euro Zone crisis, the world economy could be swept into a downward spiral of collapsing confidence, weaker growth, and fewer jobs. This would affect all nations and so we all have a stake in resolving that crisis.

“I also note that it is important to avoid other risks to the global economy, especially those related to low growth and unacceptably high unemployment. To meet these difficulty challenges, all countries must play their part to help rebalance the global economy.

“For APEC’s advanced economies, this means primarily adopting strong medium-term fiscal consolidation plans, which will create space to accommodate growth and jobs now. For APEC’s emerging market and developing economies, it means addressing underlying vulnerabilities including better social safety nets; investing in infrastructure, health and education; financial sector reform; and exchange rate appreciation where necessary.

“We need to work together to support growth that creates jobs, is inclusive, and benefits all. APEC embodies that spirit of shared responsibility and action.”

IMF.Press Release No. 11/411.November 13, 2011

World Aquaculture 2010

Aquaculture is the world's fastest-growing source of animal protein and currently provides nearly half of all fish consumed globally, according to a report published here by FAO.   The report World Aquaculture 2010 found that global production of fish from aquaculture grew more than 60 percent between 2000 and 2008, from 32.4 million tonnes to 52.5 million tonnes.

It also forecasts that by 2012 more than 50 percent of the world's food fish consumption will come from aquaculture.

"With stagnating global capture fishery production and an increasing population, aquaculture is perceived as having the greatest potential to produce more fish in the future to meet the growing demand for safe and quality aquatic food," the report said.
Poverty reduction
With its growth in volume and value, aquaculture has clearly helped reduce poverty and improve food security in many parts of the world.

But aquaculture has not grown evenly around the planet. Marked differences in production levels, species composition and farming systems exist within and between regions, and from one country to another.

The Asia-Pacific region dominates the sector -- in 2008 it accounted for 89.1 percent of global production, with China alone contributing 62.3 percent. Of the 15 leading aquaculture-producing countries, 11 are in the Asia-Pacific region.

A few countries lead the production of some major species, such as China with carps; China, Thailand, Viet Nam, Indonesia and India with shrimps and prawns; and Norway and Chile with salmon.
Intensive systems
In terms of farming systems, intensive systems are more prevalent in North America and in advanced aquaculture-producing countries in Europe and Latin America. In the Asia-Pacific region, despite major technical developments, small-scale commercial producers remain the backbone of the sector.

Small-scale producers and small and medium entrepreneurs are also important players in Africa. Commercial and industrial-scale producers dominate in Latin America, but there is strong potential for the development of small-scale production.

While the demand for aquaculture products continues to increase, there is growing recognition of the need to address consumers' concerns for quality and safe products and animal health and welfare, the report said. Thus, issues such as food safety, traceability, certification and ecolabelling are assuming growing importance and considered as high priorities by many governments.

Aside from environmental sustainability, other major challenges faced by aquaculture include climate change and the global economic downturn, the report noted. The sector should therefore prepare itself to face their potential impacts and make special efforts to further assist small-scale producers by organizing them into associations and through promotion of better management practices.

"Achieving the global aquaculture sector's long-term goal of economic, social and environmental sustainability depends primarily on continued commitments by governments to provide and support a good governance framework for the sector," the report added.

World Aquaculture 2010

 The full report, together with regional reviews presented at Global Aquaculture Conference held in Phuket, Thailand in 2010 can be found on the following dedicated website: http://www.fao.org/fishery/regional-aquaculture-reviews/aquaculture-reviews-home/en/