Mena IT Spending to Surge 4.5% to $171B
Worldwide all IT spending segments are forecast to have positive growth through 2022.
IT spending in the Middle East and North Africa is projected to surge 4.5 percent year-on-year to $171 billion in 2021 as worldwide it would jump 8.4 percent to $4.1 trillion. According to the latest forecast by Gartner, IT projects were either put on hold or canceled in Mena because of Covid-19.
“In 2021, as the situation in the region improves and businesses understand the true value of a resilient digital ecosystem, IT spending will return to a pre-pandemic growth rate,” said John David Lovelock, research vice president at Gartner.
Over the next two years, IT spending in the region will even surpass pre-pandemic levels. “Different economies have reacted differently to the pandemic. Rapid digitalization of Mena, especially the Gulf countries, began before the pandemic. While 2020 slowed the growth of IT in the region, the ‘K-shaped’ recovery has begun faster in this region, as compared to Asia and Latin America,” said Lovelock.
In the first quarter of 2021 projects such as ‘remote work visas’, ‘Smart Dubai 2021’, and other economic policy regulations were launched. These are expected to boost technology investments in the region, he said.
Gartner’s research shows that worldwide all IT spending segments are forecast to have positive growth through 2022. The highest growth will come from devices (14 percent) and enterprise software (10.8 percent) as organizations shift their focus to providing a more comfortable, innovative, and productive environment for their workforce.