A 2015 update of the extent to which broadband Internet service is affordable across the Caribbean.<\/em><\/p>\n
Following our latest review of Internet speed and pricing across the Caribbean, which we published last week, we now turn our attention to assessing the affordability of broadband Internet service in the region. Here, we update our findings from 2014, and discuss some of the changes that have occurred over the past three years.<\/p>\n
Having examined monthly pricing, this review focuses on the affordability of those Internet plans. The prices captured in the Internet spend exercise have been compared against estimated monthly income, for which per capita Gross Domestic Product (GDP) figures, sourced from the International Monetary Fund and United Nations, have been used as a proxy. The resulting ratios, which have been expressed as percentages, indicate the proportion of a person\u2019s income that would be spent on the stated plan, and hence indicates the extent to which it might be affordable to the typical consumer.<\/p>\n
Figure 1, shows the percentage of an individual\u2019s monthly income that could be spent on an Internet service plan with an advertised download speed of 2\u00a0Mbps. For the countries not shown \u2013 Bahamas, the British Virgin Islands, Cayman Islands, Guyana, and the Turks and Caicos Islands \u2013 the ISPs included did not offer a 2 Mbps plan, though other (faster) plans were available.<\/p>\n
Figure 1: Portion of monthly income as a percentage for a 2 Mbps Internet plan in select Caribbean countries as at June 2015 (Source: ICT Pulse)<\/p><\/div>\n
In 2015, there is still a wide variation across the region in the proportion of a person\u2019s monthly income spent on Internet service, which ranged from 1.2% in Trinidad and Tobago, to 17.3% in Belize and 6.5% in Jamaica. Across the region, the proportion of a typical monthly income that could be expended on a 2\u00a0Mbps plan when averaged across the countries assessed (including Belize) was approximately 4.6%.<\/p>\n
However, as noted in Snapshot: 2015 update of Internet speed and spend in the Caribbean<\/a><\/em><\/strong>, most ISPs offer a broad range of Internet plans. Using the Broadband Commission for Digital Development\u2019s global target that the cost of fixed-broadband services should be less than 5% of monthly GNI per capita, we have sought identify the fastest Internet plan that can be secured for no more than 5% of the average person\u2019s income, as shown in Figure 2.<\/p>\n