Russian-controlled telecom firm in Zimbabwe reassures subscribers on operation

Zimbabwe's second largest mobile network operator Telecel on Wednesday reassured customers and stakeholders that it was operating as normal following recent problems with government over its operating licence.

The country's telecommunications regulator (POTRAZ) early this month cancelled the operating licence of Telecel for failing to comply with the POTRAZ Act that requires locals to own majority shareholding in telecoms firms.

The country's Indigenization and Economic Empowerment Act also compels foreign-owned companies to cede majority shareholding to locals.

Telecel is 60 percent owned by Russian telecoms giant Vimplecom while locals own the remainder.

Following the cancellation of its licence in which it was given up to June 10 to wind operations, the firm sought and was granted a High Court interdict suspending the licence cancellation pending

finalization of negotiations with government.

"Telecel Zimbabwe would like to assure all its subscribers, airtime distributors, dealers and vendors and various business partners and other important stakeholders that it continues to operate as normal.

"The process of legal engagement has been initiated and we have full confidence that the government of Zimbabwe will resolve these open issues in the interest of the Zimbabwean people - in a fair and transparent manner," Telecel said in a statement.

The firm, which has over 2 million subscribers, has since appealed to Information Communication Technology Minister Supa Mandiwanzira against cancellation of its licence. Endi