Econet introduces forex recharge cards in Zimbabwe

ECONET Wireless Zimbabwe has introduced a new system under which subscribers wishing to make international calls can purchase recharge cards in foreign currency.

According to New Ziana, Econet has been granted authority to sell the cards in foreign currency under its new International Calling Card (ICC) platform.

The Postal and Telecommunications Regulatory Authority of Zimbabwe (Potraz) finally gave the nod more than a year after Econet submitted an application to implement the system. “The ICC system is one of our innovative products, developed in partnership with a United Kingdom-based provider where subscribers can purchase recharge cards in foreign currency and use the system to make international calls.

“The advantage of the system is that it will enable us to raise the much-needed foreign currency to pay our foreign obligations and then acquire equipment with the extra,” he said. Under the new system, subscribers are billed in hard currency.

Mr Mboweni said subscribers without access to foreign currency would continue to purchase recharge cards using local currency. Unlike the current platform, which had become congested as a result of too many subscribers, Mr Mboweni said the ICC platform was congestion free. Over 90 percent of Econet’s subscribers use the pay as you go platform while less than 10 percent use contract lines. The ICC system can be used by both pay as you go and contract line subscribers.

The Econet boss said settling foreign currency obligations for terminating international calls remained a challenge to telecommunication players in the country. The situation had been compounded by the fact that providers charge in local currency for their services. “The more people were making international calls, the more we were sinking,” he said.

ICC platform charges have been set at US$0,35 per minute for fixed group one calls, US$0,33 and US$0,26 for group two and three respectively with effect from the 23rd of this month. Group four mobile calls have been pegged at US$0,48, US$1,88 group five and US$7,09 for group six calls while short text messages will cost US$0,21. Charges are also set in South African rand and the Botswana pula.

Recharge cards would be sold at selected Econet shops only, and not in the streets, Mr Mboweni said. Banks and shops licensed to sell goods in foreign currency as well as the central bank’s Homelink are some of the institutions that will sell the recharge cards.

Mr Mboweni, however, admitted that chances of the cards landing on the streets could not be ruled out.