Zimbabwe’s information and communications technology (ICT) sector is forecast to grow by 4% in 2014, says the country’s finance minister Patrick Chinamasa.
Experts say growth in the sector is expected to be underpinned by data and other internet services.
Chinamasa added that "voice" is set to become "complementary" in terms of revenue generation capacity.
Mobile companies in Zimbabwe are already diversifying into other services such as mobile money and data platforms to broaden their revenue streams to cover for the expected decline from voice telephony services.
There has also been a major shift in investment focus towards the expansion of broadband fibre network and infrastructure in the country.
In 2013, the ICT sector registered a 3.7% growth, mainly propped up by mobile telecommunications services in a climate where the fixed telephony segment remains subdued, Chinamasa said.
“Demand for such services will always remain high and this will drive growth in the sector,” Jeffrey Kasirori, an economist in Zimbabwe said.
The Zimbabwean finance minister said in his budget presentation last month that revenue for mobile network companies had increased by 4.3% last year owing to increased “time spent on calls” as a result of “a number of promotional packages” launched by operators.
Business Monitor International (BMI) said in a recent report on the ICT sector in Zimbabwe that limitations of international bandwidth for the landlocked country were holding back development of the internet and broadband sectors.
However, this had been offset by the successful setting up of fibre optic links to several submarine cables through Zimbabwe’s neighbouring countries.
“Massive expansion of 3G mobile broadband services across the country has meant that more than half of the population now has access to the internet,” the report says.
Industry players said the ICT sector is expected this year be dominated by the growing prominence of e-commerce and mobile money platforms.
The government appears to have realised this growing prominence, hence it has moved in to levy a 5 cents tax on mobile money transactions with effect from the beginning of this month.
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