Zimbabwe's ongoing cash shortage could be an advantage for Econet Wireless' mobile money platform EcoCash, according to industry analysts.

The platform has more than 5 million registered users and facilitates a range of payments including school fee payments, bill payments and bank-to-wallet services, among others.

"We expect Ecocash will continue to benefit from the current liquidity challenges, with more applications being added (including prepaid electricity tokens, school fees payments, bank-to-wallet transfers etc.) eliminating the need for cash, while improving the ease and speed of transactions," said IH Securities analysts in an analysis note on Econet Wireless.

Ongoing cash shortages have resulted in long queues at the banks and are also expected to boost airtime purchases through mobile money.

As a result, low distribution and production costs for airtime cards will likely help Econet's margins.

"The increased use of EcoCash for airtime purchases is also likely to improve margins by cutting the distribution channels and hence eliminating commission on airtime sales," said the IH Securities report.

There is pressure from the Reserve Bank of Zimbabwe to promote the use of plastic money and mobile money platforms to ease the growing demand for hard cash.

Industry analysts also expect the regulatory framework for telecommunications in Zimbabwe will remain tight.

The Posts and Telecommunications Regulatory Authority of Zimbabwe (Potraz) is "currently undertaking a cost analysis meant to assess the pricing of the industry's products".

Experts however say it is still unclear whether this will result in a downward revision in tariffs, although increased competition and the need to salvage voice revenue will likely have an impact.

Local telcos, including Telecel Zimbabwe and NetOne, currently charge 16 cents per minute for voice calls.

Other issues that Econet is expected to grapple with in the current financial year include infrastructure sharing.

ICT Minister, Supa Mandiwanzira has said all companies should share infrastructure.

However, payment issues continue to hamper progress in this regard.

It is understood that Econet is owed approximately US$26 million in outstanding interconnection fees by other mobile operators in Zimbabwe.