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Local Telcos Petition Parliament, They Want To Peg Tariffs In US Dollars

Local Telcos Petition Parliament, They Want To Peg Tariffs In US Dollars

The Telecommunications Operators Association of Zimbabwe (TOAZ) has petitioned Parliament to pass laws that allow companies in the telecommunications (telcos) sector to peg their tariffs in US dollars to hedge against inflation.

TOAZ chairperson Lawrence Nkala told Parliament that if they are allowed to peg tariffs in USD, it will ensure the stability of pricing in the telcos sector. Said Nkala:

We request that legislators urgently consider a review of the pricing model of the sector so that the prices are determined in US$ and converted to Zimbabwe dollars using the prevailing interbank rate.

This will introduce stability in the pricing of our products and better transparency in our communication with our customers.

Telecoms regulator Postal and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) last month increased tariffs by 50%.

Zimbabwe’s telecoms sector is currently grappling with foreign currency shortages, low tariffs, and prolonged power outages which have negatively impacted coverage, access, and service quality.

More: Pindula News

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