Mobile industry records over 400% growth

Markets
THE mobile telephone sector in Zimbabwe has recorded a growth rate of over 400% in the past five years and the country has to leverage on the leap for socioeconomic development, Vice-President Joice Mujuru said yesterday.

THE mobile telephone sector in Zimbabwe has recorded a growth rate of over 400% in the past five years and the country has to leverage on the leap for socioeconomic development, Vice-President Joice Mujuru said yesterday.

TARISAI MANDIZHA BUSINESS REPORTER

Speaking at the official opening of the fourth ordinary session of the African Telecommunications Union (ATU) conference of plenipotentiaries in Harare, Mujuru said no other sectors in the economy had recorded such a phenomenal growth.

“Over the past five years, the sector has grown from less than two million mobile lines to over 13 million — a growth of over 400%,” she said.

“No other sector in the country, has recorded that kind of growth over the same period. Mujuru said the same growth was being experienced by most developing countries in the region and elsewhere with the telecommunication industry growth rate being double that of the rest of the economy.

ATU is the leading continental organisation fostering development of information and communications technologies infrastructure and services. Mujuru said as sub-regions, there was need to develop a regional framework to assist landlocked countries to access landing points of undersea submarine cables at reasonable costs.

“This calls for development of cross-border (ICT) infrastructure. Without such regional frameworks, access to affordable broadband will remain a dream for landlocked countries, particularly our rural populations,” she said.

“This will deny our populations the opportunity to participate in the global economic discourse.” Mujuru said research in most African countries revealed that broadband prices remained too high relative to income levels.

“I am informed that the average price of an entry level monthly broadband subscription is over $100 exceeding average per capita income obtaining in most of our African countries. I urge that we see more healthy competition and co-operation in providing broadband to the majority of our people, rather than the realisation of abnormal profits,” Mujuru said.

She added that there was also need for Africa, to develop Internet exchange points within the Africa region so as to keep Internet traffic within the region to improve the quality of service and to save money.