E-commerce could hit $1.4 trillion, Egypt prepares

Online commerce is certainly not new to world markets. But B2B (business-to-business) transactions, conducted online, are rapidly spreading as an effective and efficient way of conducting business.

ÊÊÊ A recent report says that Egypt has taken various steps to spread the use of e-commerce, one of the most recent trade trends to sweep through the world, in order to enhance Egypt's trade, both locally and in foreign markets. The report, submitted to Minister of Foreign Trade Youssef Boutros Ghali, adds that the trend is on the rise in Egypt thanks to the increase in the number of Internet users, following the introduction of free Internet access on January 1, 2002.

ÊÊÊ The report states that the Egyptian International Trade Point (EITP) has adopted an ambitious plan in a serious bid to make the best use of e-commerce for boosting the country's exports to foreign markets. The head of EITP, Mustafa Said, says that he has been working hard to spread e-commerce by setting up sub trade points (TPs) in the Egyptian governorates, as well as organising training courses on e-payment and e-signature, together with securing data on the Internet.

ÊÊÊ Said adds that his plan also includes coordination with other authorities and agencies entrusted with export promotion for training businessmen on the use of information technology (IT), to help them get to grips with e-commerce. He is also organising regional seminars on e-commerce in cooperation with international institutions like the European Union (EU) and some Arab states.

ÊÊÊ The EITP head underlines the importance of e-commerce for the world's trade because ordinary people and companies in many parts of the world are buying more and more goods over the Internet. He hopes the volume of e-commerce will increase in Egypt as well.

ÊÊÊ Meanwhile, an economic study by the Financial and Banking Research Center at the Arab Academy for Banking Sciences has concluded that, although the rise in worldwide e-commerce in the last decade of the 20th century unexpectedly hit $1.2 trillion, it will probably account for between 10 and 25 per cent of the world's trade by 2003, as much as US$1.4 trillion.