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Sikhulekelani Moyo, [email protected]

ECONOMISTS and experts have hailed the recent decline in internet data prices, stating that this development has the potential to drive economic growth and foster innovation across various sectors.

Econet, one of Zimbabwe’s leading telecommunications providers, has significantly reduced its private Wi-Fi packages, with an 18GB bundle now costing approximately ZWG650, down from around ZWG1 000. Other revised packages include 50GB, 28GB, 11GB, and 5GB options, making internet access more affordable for businesses and individuals alike.

Information and communication technology (ICT) expert Mr Jacob Kudzayi Mutisi attributed the drop in data prices to increasing competition, particularly with the entry of Starlink into the market, as well as broader economic stability.

“Econet’s reduction of data tariffs, such as the drop from ZWG1,700 to ZWG1,003 for a 28GB private Wi-Fi plan, is crucial for Zimbabwe’s economic landscape. Affordable internet enhances accessibility for businesses and individuals, fostering growth and innovation,” he said.

Mr Mutisi suggested that the development could be a response to the stable Zimbabwe Gold (ZWG) currency and increased competition from Starlink, which has prompted local providers to adjust their prices.

He further noted that improved internet access could empower small and medium-sized enterprises (SMEs) and boost digital literacy, ultimately contributing to economic recovery and development.

Since the introduction of ZWG in April last year, the country has experienced relative economic stability, with both official and parallel market exchange rates remaining steady. This stability has contributed to minimal fluctuations in the prices of basic goods and services.

Business analyst Mr Morris Mpala said the competitive impact of Starlink’s entry into Zimbabwe’s telecommunications market forced local providers to adjust their pricing strategies to retain customers.

“Starlink’s introduction and its recent acceptance of monthly payments for some packages have heightened competition in the sector, compelling local operators like Econet to reduce their charges,” he said.

“The cost of data connectivity plays a vital role in economic development, and lower prices will enable broader access and increased usage without compromising network quality.”

In a move aligned with the Second Republic’s digital economy agenda, President Mnangagwa last year approved Starlink’s licensing through the Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ). The decision was aimed at facilitating the deployment of high-speed and cost-effective internet infrastructure across the country.

President Mnangagwa

This is in line with the Second Republic’s developmental agenda to prioritise the digital economy.

President Mnangagwa has repeatedly stressed the importance of modernising and industrialising Africa through the adoption of science, technology, and innovation. He has also emphasised that strategic partnerships are essential for building ICT capabilities across the continent.

The Government remains committed to achieving a fully digital economy by 2030, recognising affordable internet access as a key enabler of national development. —@SikhulekelaniM1