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ICT ministry protests high cost of equipment, taxes

INFORMATION Communication and Technology deputy minister Dingumuzi Phuti.

INFORMATION Communication and Technology deputy minister Dingumuzi Phuti has urged government to reduce taxes on ICT infrastructure to boost access to the internet at a lower cost.

Phuti said this while responding to concerns raised in a report of the Parliamentary Portfolio Committee on ICT on mobile and internet connectivity in Zimbabwe.

“The Ministry of Finance, Economic Development and Investment Promotion should review policies that impact on viability of the telecommunication sector, for example the tax rebates for the ICT gadgets by December 2025,” Phuti said.

“The ministry continues to implore and appeal to Treasury to reduce taxes for the sector as well as implement tax rebates on selected electronic communication devices.”

Phuti said the ICT ministry would allow other private players to provide mobile and internet services in the country to allow competition from  players such as Huawei and Starlink by December 31, 2025.

After the government licensed Starlink, telecommunications and internet service providers slashed prices.

There have been public concerns over the high cost of internet and ICT gadgets such as laptops and cellphones in the country.

Phuti urged Treasury to allocate 3% of the national budget to ICT infrastructural development in line with international best practice.

“The ministry implores Treasury to follow international best practice of dedicating 3% of the national budget to ICT infrastructural development and adopting new technologies,” Phuti said.

Phuti said the ministry needed the funds to improve telecommunications services, including the deployment and operation of base stations.

“The Postal and Telecommunications Regulatory Authority of Zimbabwe (Potraz) should create a platform of engagement with the citizens in order to assess network challenges in different parts of the country by December 2025,” he said.

“More efforts will be dedicated to this cause to gather as much market intelligence as possible over and above the current process of customer satisfaction surveys conducted by the ministry and Potraz.”

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