SUPA MANDIWANZIRA
Minister of ICT
Telecom & IT / Zimbabwe
“Mobile penetration has grown by over 90 percent.”
The Zimbabwe Electricity Transmission and Distribution Company (ZETDC) ensure energy flows around, as well as through, a country with 5 different borders.
How can the development of the ICT sector help the Zimbabwean economy?
For every 10 percent of growth in ICT penetration, you are likely to get a 1.5 percent growth in GDP. Zimbabwe is in a fortunate position because it has the highest literacy rate on the continent. This means that we have people who can accept new technologies with ease.
How strong is the ICT market in Zimbabwe?
Mobile penetration has grown by over 90 percent, as well as subscriber numbers which have grown by 106 percent in 15 years. We are a country that has produced companies like Econet with a $700-million turnover, which is listed on the stock exchange and has grown outside the country. We also have TeleCel and Vodacom with revenues of up to $5 billion every quarter. For a company to invest in our ICT sector these businesses must clearly give you confidence that there are opportunities.
What opportunities exist for Chinese investors in Zimbabwe’s ICT sector?
There are huge opportunities available for Chinese investors in the mobile phone and internet service provider space, as well as setting up the fiber backbone to manage outgoing and incoming traffic. Also we have yet to establish a serious online shopping platform. We do not have a formal web-based portal. There is also acquisition, replacement and maintenance. It is a huge industry.
What returns can investors expect?
We must not go the long route of government-to-government application through the EXIM Bank where we wait in a queue. Investors must adopt the same approach as in Europe. They should not just come to Africa on the basis of EXIM Bank funding. Of course we do appreciate this manner of funding, however, we are talking about a commercial enterprise. If you set up a mobile phone company in Zimbabwe, you will recover your money in 5 years. With EXIM Bank funding, you are still enjoying a grace period within those 5 years. We like Chinese companies and Chinese investment but we want to take advantage of these quick opportunities of commercial bank financing.
What is the current relationship with Chinese telecommunication companies like?
We have a couple of big Chinese investors in the country already; namely, Huawei and ZTE. We want more of these Chinese players to come into the country. Our investment climate is far better than they imagine. We allow investors to put money in and take their profits. We will create and protect a market for them until they recover their investment.
