Small and Medium Enterprises (SMEs) are key drivers of inclusive growth in the South African economy, contributing about 55% to the gross domestic product, while their contribution towards employment is as high as 60%. In addition, small firms and new entrants enhance competition within different economic sectors, resulting in lower prices and greater variety for consumers, as well as dynamic and productive efficiencies.
South Africa has high data prices compared to other countries globally. The parliamentary portfolio committee on telecommunications and postal services conducted a two day hearing in September (2016) to investigate the high data prices in South Africa. In these hearings the South African mobile network operators (MNOs) submitted that the primary reason for high data costs was the “spectrum crunch” in large urban areas.
Econet Wireless is the dominant player in the Zimbabwean mobile telecoms industry with a total of 6.5 million active subscribers in 2014 while NetOne and Telecel held 3.2 million and 2.1 million, respectively.1 In order to promote investment and enhance competition, the Post and Telecommunications Regulatory Authority of Zimbabwe (POTRAZ) is in the process of finalizing infrastructure sharing rules for broadband and other ICT infrastructure which are expected to be implemented by August 2015.