Saudi Arabia set to lift ban on internet calls

SaudiArabiawill remove itsbanoninternetphonecallson Thursday, a government spokesman said, in a bid to stimulate online business as the kingdom looks to boost non-oil revenue.

All online voice and video call services such as Microsoft's Skype and Facebook's WhatsApp that satisfy regulatory requirements will become accessible at midnight (2100 GMT), Adel Abu Hameed, spokesman for the telecoms regulator CITC said on Twitter on Wednesday.

Thelifting of thebancould pinchSaudiArabia's three main telecoms operators -SaudiTelecom Co (STC), Etihad Etisalat (Mobily) and ZainSaudi- which earn substantial revenue from international phone and textcallsmade by the millions of expatriates living in the kingdom.

The policy reversal comes as part of the government's broad reform programme to diversify revenue sources as oil prices have hit the finances of the world's top exporter.

"Digital transformation is one of the key kick-starters for theSaudieconomy, as it will incentivize the growth ofinternet-based businesses, especially in the media and entertainment industries," a separate statement from the information ministry said.

"Access to VoIP (voice overinternetprotocol) will reduce operational costs and spur digital entrepreneurship – that's why it is such an important step in the Kingdom'sinternetregulation," it said.

The kingdom and its Gulf Arab neighbours have been concerned by the use of secureinternet communication - which experts say is harder to monitor - especially by activists and militants.

Gulf Arab states, except the island kingdom of Bahrain, were mostly spared the "Arab Spring" mass protests often organised over theInternetwhich roiled much of the region in 2011.

They avoided the civil wars which largely followed but face deadly bombing attacks by Islamic State and militancy by fringes of their Shi'ite Muslim populations they say is fuelled by Iran.

The authorities will continue to regulate theInternetin order to restrict content that violates the kingdom's laws such as extremist material, pornography and gambling sites, the information ministry added.