Telecel Zimbabwe is upping its presence in the southern African country after embarking on a distribution infrastructure development programme, new chief executive officer, Angeline Vere said.

This is despite licensing issues in Zimbabwe and biting economic conditions, which have seen telecom consumers start to cut even their communications budgets.

Vere said her company, which has around 2.5 million mobile network subscribers, was revamping its distribution network and channels to help it gain significant presence in the market.

"On the distribution infrastructure development we intend to embark on franchise roll-out, kiosk roll-out and signing on of additional new dealers on the back of a revised commission system," Vere said on Tuesday night.

Telecel had last week paid a licence fee renewal installment for the month of June amid reports that parent company, VimpleCom is making frantic efforts to meet its regulatory and licensing obligations in Zimbabwe.

Vere however, said worsening economic conditions in Zimbabwe had affected the telecoms industry in the country, with revenues taking a knock. Rival operator, Econet this week confirmed cost cutting measures which include a 20% cut in employee salaries and forcing suppliers to cut prices by no less than 15%.

"Of late the industry has been affected as more people are finding it difficult to maintain their communications budget," she said.

Over the top communication services such as WhatsApp, Viber and Facebook among others have also not helped matters for the telecom operators, Vere stated.