Zimbabwe Considering Proposals From New MNOs
15 November 2019
The Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) is looking into proposals from local and foreign venture capitalists who are keen to join the country's mobile public network.
Zimbabwe’s mobile communications sector features three networks: Telecel, Econet and NetOne, and according to the Director-General of POTRAZ, Gift Machengete, the addition of more operators would increase competition and promote better service delivery and reduced fees.
POTRAZ has called for more players at the same time that the Zimbabwean government is reportedly attempting to sell its stake in TelOne and NetOne.
As various economic challenges continue to affect operations, Zimbabwe’s telcos have had to increase mobile voice and data tariffs.
According to POTRAZ, the country’s mobile voice traffic has gone down by 1.1% in the second quarter of 2019.
NetOne’s former CEO Reward Kangai said that his view has always been that of strategic collaborations between state-owned telecom operators and major international brands like Vodafone and MTN in order to benefit from larger economies in a global industry. Kangai added that in his opinion, small operators are doomed.
South African telcos MTN and Telkom reportedly previously expressed some interest in the two Zimbabwean telcos, but nothing concrete has come from that interest thus far.
The latest report from POTRAZ reveals that Zimbabwe’s mobile penetration currently stands at 93.1%, while the nation’s internet penetration has reached 62.9%.