Zimbabwe’s mobile data prices are set to have floor and ceiling prices as the government moves to protect subscribers as well as the industry.
While responding to a question on the lack of ceiling price on mobile data raised in Parliament recently, the Minister of ICT Supa Mandiwanzira explained how the review of high mobile data tariffs would be accompanied by a ceiling price in addition to the floor price.
A floor price sets a minimum price for a service or product while a ceiling price sets a maximum price.
At the beginning of the year, all mobile telecoms operators in Zimbabwe were compelled by the regulator, POTRAZ, to set a new minimum price for mobile data bundles and voice calls.
There was a huge outcry after Econet Wireless, the country’s largest mobile operator complied and set new tariffs which were significantly higher than the floor price. The tariff increase was later reversed.
A ceiling price would ensure that operators set their tariffs below a price that would have been deemed as the maximum that can be charged for data. While the floor price mechanism was meant to protect the industry’s service providers ceiling prices cover the subscribers from price exploitation from operators.
What do you think should be the floor price and ceiling price for mobile data in Zimbabwe? Please comment below.
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