MUTARE, Zimbabwe: Online costs in Zimbabwe have driven Joyce Kapvumfuti’s small catering business offline. The sharp hike in costs resulted in a collapse in orders for her business and caused her to struggle to cover important expenses such as food and rent for her two children. She used to get at least five customers per week when online, however, now she is thankful to reach two.
Internet costs in Zimbabwe are increasing amid an annual inflation of about 1,000% unofficially. This in turn has made it more difficult for people to access basic services, education, or make a living from online businesses like Kapvumfuti’s.
The main mobile operator in the country, Econet Wireless Zimbabwe, raised data prices by 100% in October 2023, with 1 gigabyte (GB) of data now averaging US$3.54. The second biggest mobile operator, NetOne, also increased data prices by a similar percentage.
Due to the lack of affordable internet, Kapvumfuti now spends a lot of her modest earnings on data, and most of her customers find her through social media. This price hike in October triggered demands by digital rights and anti-poverty campaigners for the government and the Potraz telecoms regulator to take action to bring down prices and tackle a deepening digital divide.
According to the Worldwide Mobile Data Pricing 2023 report released by Cable.co.uk, average data costs in Zimbabwe are higher than in neighboring countries, which is concerning since the average monthly wages for civil servants are only about US$200. The price rise has put a further squeeze on household budgets in Zimbabwe. The increases make it difficult for both the content creator and consumer to access the Internet. Internet penetration is lower in Zimbabwe than elsewhere in the region, and the recent price hikes have only made it more difficult for low income individuals to access these services.
After the data price hike, an online campaign called the #DataMustFallZW, led by MISA Zimbabwe, started trending on social media platforms. The campaign was launched in 2022 when NetOne hiked its data prices by more than 500% and eventually led the company to scrap the increase. Internet providers and authorities have a duty to formulate prices that are accessible to people on low incomes, says MISA Zimbabwe director Tabani Moyo. Potraz stated the recent hike reflected soaring foreign currency-denominated costs. With no immediate solution in sight, the struggle of low income individuals to access affordable internet continues.
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