DUBAI, United Arab Emirates (CNN) -- Large swathes of Asia, the Middle East and north Africa had their high-technology services crippled Thursday following a widespread Internet failure which brought many businesses to a standstill and left others struggling to cope.

One major telecommunications provider blamed the outage, which started Wednesday, on a major undersea cable failure in the Mediterranean.

India's Internet bandwidth has been sliced in half, The Associated Press reported, leaving its lucrative outsourcing industry trying to reroute traffic to satellites and other cables through Asia.

Reports say that Egypt, Pakistan, Saudi Arabia, Qatar, the United Arab Emirates, Kuwait and Bahrain are also experiencing severe problems.

Nations that have been spared the chaos include Israel -- whose traffic uses a different route -- and Lebanon and Iraq. Many Middle East governments have backup satellite systems in case of cable failure.

There were contradictory reports on the real cause behind the disruption, but Du, a state-owned Dubai telecom provider, attributed it to an undersea cable cut between Alexandria, Egypt and Palermo, Italy.

An official at Egypt's Ministry of Communications and Information Technology, speaking on condition of anonymity, said it was believed that a boat's anchor may have caused the problems, although this was unconfirmed, AP reported. He added that it might take up to a week to repair the fault.

Kuwait's Ministry of Communications said the problem could take two weeks to solve, according to a statement carried by the state news agency, KUNA.

There were concerns in India that an Internet slowdown could affect trading patterns at the country's two major exchanges, the National Stock Exchange (NSE) in Delhi and the SENSEX exchange in Bombay.

Rajesh Chharia, president of India's Internet Service Providers' Association, explained that some firms were trying to reroute via Pacific cables and that companies serving the eastern US and the UK were worst affected, AP added.

Besides the Internet, the outage caused major disruption to television and phone services, creating chaos for the UAE's public and private sectors.

The Du internal memo, obtained by CNN, called the situation in Dubai "critical" and stated that the cable's operators did not know when services would be restored.