Zimbabwe: POTRAZ Gives Green Light To Mobile Tariff Hikes

The Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) has given the green light to an upward 95,39 percent data, voice and SMS tariff adjustment for both fixed and mobile network operators as previous tariffs were destroyed by severe inflationary pressures.

According to POTRAZ, in a communication sent out to operators, previous tariffs that were set in August this year have been deemed “unsustainable” as the telecoms environment has further deteriorated due to inflation.

Inflation pressure increased in the first half of 2019 reaching a concerning 175,66 percent (year-on-year) and 39,3 percent (month-on-month) in June.

Accordingly, POTRAZ has found it necessary to adjust the tariffs for telecommunication services by 95,39 percent based on the Telecommunication Price Index (TPI) that was put together in consultation with all operators.

Following the approval, Zimbabwe’s three mobile network operators NetOne, Econet Wireless and Telecel increased their data, voice and SMS tariffs.

The new tariff changes come at a time when most of Zimbabwe’s businesses are grappling with the increased cost of doing business and come as a shock to the nation’s constrained consumers who were already battling with the increased cost of living.

The cost of electricity and fuel has significant implications for the operations of telecom operators as it is used to power base stations.

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