We don't need mobile licence: Zimpost

HARARE - Distressed State-run postal services company Zimpost says it will not apply for a mobile network license to leverage its services.

Its managing director Douglas Zimbango said the institution would instead collaborate with already existing mobile operators.

This is despite the communications firm — mainly focused on letters delivery — having taken a knock from increased use of internet (e-mail) and mobile phone messaging, with volumes declining by 86 percent from 100 million mails annually to around 14 million.

“We are not going to apply for a licence,” Zimbango said, adding that they are not in competition existing service providers.

He said Zimpost’s money transfer service, ZipCash, is not in competition with other cash transfer platforms offered by mobile network operators, but is the “automated version or replacement of the old money order which has a unique operation”.

“It is the other operators who are competing with us. We are able to keep our costs low because we only pay normal text message charges,” Zimbango said.

ZipCash allows customers to send or receive money locally through the postal network.

Zimbango said the service’s turnover since launch in October 2013 stands at $500 000 from $3 million worth of transactions pushed through the facility.

Under ZipCash, Zimpost clients are charged at the point of transaction, unlike other mobile transfer which charge subscribers twice.

Zimbango said the facility has been mostly used by importers who risk holding cash and is expected to aid Zimbabweans living abroad to send money at low cost.

He said ZipCash International, a platform that allows customers to send and receive cash internationally, is underway and would be a bilateral engagement between various countries.

It is available is Tanzania and the group completing agreements with South Africa, Botswana, Dubai, Nigeria and China.

“We push about $2 to $3 million through the system,” said Zimbango.

ZipCash is one of Zimpost’s business units which are expected to boost the postal company, which is struggling to stay afloat amid lack of government support since 2004.

Zimbango said the company would not be a white elephant since more opportunities are available in providing agency services.

Comments (2)

its a lack of vision by ministry of transport and communication,busy following tsvangirai the whole decade than ensuring policy adapts to changing environment ,why is ups and other postal services like Botswana post still making a profit .simple they adapt and craft policies to support such sectors,maybe its becoz they don't have sekuru kaguvi leading them as president and dai pasina nkomo who fought to licence econet pamwe dai zimpost yakavhara econet supported zimpost ne ecocash agency .harahwa iya ne dare vachingo kwira ndege globe trotting to well off countries chinouyiwa nacho hapana ,not even to monitor what these countries do in their industries.

hurumende - 19 June 2014

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