Offshoring Development Perspectives
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1 New Tunisia- New Opportunities ESCWA-ICTD / Arab Forum on the ICT Sector Offshoring Development Perspectives Ms. Neziha BERZOUGA Offshoring Promotion Dept. Head «FIPA- TUNISIA Hammamet, May 7 th, 2013 BPO Voice ITO BPO Data R&D/Knowledge 1
2 ESTIMATIONS Job creation by target segment on a ten year basis / In thousands ,5 R&D Grads ITO Grads R&D & general engineering Knowledge Testing R&D / Knowledge ITO BPO Data BPO Data Grads BPO Voice Grads 127,5 20,0 3,0 3,0 2,5 0,5 1,5 3,5 2,5 2,5 Aeronautics and automotive Electronics Software ICT Pharma & biotechnologies 31, ,5 Infrastructure maintenance Helpdesk Application Maintenance Application developement Finance & Accountancy 31,5 HR Procurement Banks & Ensurences 11.0 Telecoms Travel 1,0 44,5 BPO Voice French Voice Total Univ.Graduates 2 Total, Graduates excluded R&D / Knowledge 1 Hypothesis : within each segment (BPO Voice, BPO Data, ITO, R&D Knowledge), an estimation of jobs to created on the basis of each target market s respective size 2 Hypothesis : Supervisory rate of 15% ( 10% of which of middle management) ITO BPO Data BPO Voix Italian Voice Talent Pool Training & Education Talent Pool Infrastructure Many projects are under way to build class-a offices in Tunisia Tunis/Manouba/Sousse Incentives Governance Public /Private initiatives to promote Tunisia as a site of choice for investors 2
3 Arab- Mediterranean A greement AGADIR Free Trade Agreement with EU Free Trade Agreement with Turkey Land connections with our immediate neighbors Free trade area between the border regions with Algeria and libya Daily air connections to European capitals Daily shipping links with the main European ports 1 st in Africa The Global Information Technology Report April 2012 Use of social Networks * NRI 142 countries * Innovation Capacity * Quality of the Education System Importance of ICT in the State s Vision ICT Priorisation by the Government * *21 5,4 Availibility of the latest technologies *57 5,3 * *Ranking Score «The Global Information Technology Report» - April
4 Tunisia Assets: 97% of youth enrollment students, 61% of whom are girls Quality of the Education System 1 = very weak 7= very strong 70000new graduates /year 33% of students are oriented towards computer science. 30 R&D centers and researchers Quality of Mathematics and Science 1 = veryweak 7= Excellent *- Amongthe best in the world National program to increase the engineering pool by raising the number of engineers to 9000 in the academic year Tunisia Assets Innovation Capacity 1= very week ; 7 = very strong Over students on ICT courses on University; about 14% Over IT graduates a year Over 200 ICT university courses A Young Population Less than 25 years 52 % More than 25 years 48 % 4
5 Costs including incentives USD thousand p.a, 2010 Costs excluding incentives Data Voice R&D / Knowledge IT Benchmark India 14.2 Philippines Czech Republic Eastern Europe Romania Poland Morocco North Africa Egypt Tunisia Total cost (including full payroll costs, telecoms, real estate etc.) SOURCE: Watson Wyatt Report, interviews, telecoms and internet operators Date : 26/04/2012 Pays : FRANCE Page(s) : Rubrique : Dossier Nearshore Diffusion : Périodicité : Hebdomadaire 5
6 Tunisia Assets: A World Class Unfrustructure Secured and divesified international connections. Different unerwater fibre cables connecting Tunisia to Europe, Asia, Middle East and America 10 existing poles of competitiveness and 14 planned About one hundred industrial zones throughout the Tunisian territory and two operational business parks 6,2 Quality of Infrustructrue 5,6 5,3 5,0 1 : underdeveloped 7 : efficient 4,3 4,0 3,9 9 airports and 7 commercial seaports Service infrastructure at competitive rental costs Allemagne R.Tchèque Turquie Tunisie Maroc Italie Egypte USD p.a, The cheapest real estate prices of all benchmark, Eastern European and North African countries SOURCE: Interviews, Ministry of Industry & Technoilogy 6
7 Significant investment incentives 10 years exemption of income tax Multiple tax incentives for exports and regional development Investment premium for industrial projects in areas of regional development and for tourism and agricultural projects State subsidy for employers contributions in areas of regional development State subsidy for infrastructure expenditure in areas of regional development A favorable regulatory framework Support framework and incentives Investment freedom Intellectual property protection 5.5 Flexibility in recruitment procedures Free transfer of profits, capital and capital gains Simplified procedures of business creation within a one-stop window Supporting Agencies to Serve Investors Agency for the Promotion of Industry and Innovation Foreign Investment Promotion Agency The Export Promotion Center Advantages for import and export ON WHOM YOU CAN RELY 7
8 An Adequat Support An Efficient Network Tunisia : Microsoft launched his ICT Center of Educative Excellence 8
9 IN OUR NEW 9
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