Mobile subscriptions, data usage rise in Zimbabwe

Zimbabwe's Postal and Telecommunications sector recorded a mixed performance in the third quarter of 2025, showing growth in mobile subscriptions, data usage, and revenues, but facing rising costs and subdued capital investment, according to the latest sector review.

The mobile telecommunications market remained largely resilient, with Econet and NetOne posting subscriber growth of 2.39 percent and 1.90 percent respectively, while Telecel saw a contraction of 4.54 percent over the same period. Overall, active mobile subscriptions grew by 2.13 percent, rising from 16,089,628 to 16,432,685, pushing the mobile penetration rate up by 2.19 percentage points to 104.83 percent. Analysts noted that this growth reflects the continued reliance on mobile services as the primary communication medium across the economy.

In contrast, fixed-line services remained largely stable, with subscriptions increasing marginally by 0.29 percent to 301,613, while fixed tele-density stayed at 1.92 percent, highlighting the dominance of mobile platforms over traditional telephony.

Internet and data services continued to expand at a moderate pace, with active subscriptions rising 1.27 percent from 12,827,031 to 12,990,447, pushing internet penetration to 82.87 percent. Mobile broadband uptake was a key driver of this growth. Total mobile voice traffic increased 10.3 percent from 4.21 billion to 4.65 billion minutes, while mobile data consumption surged 10.72 percent, rising from 130.14 Petabytes to 144.09 Petabytes, reflecting increased adoption of digital services, social media, streaming, and mobile financial platforms.

Financially, the sector posted moderate revenue growth amid rising operational costs. Total revenue for Mobile Network Operators (MNOs) grew by 8.35 percent from ZWG 6.71 billion to ZWG 7.27 billion, while aggregate operating costs jumped 19.71 percent to ZWG 4.16 billion. Capital expenditure across the sector, however, declined sharply by 67 percent from ZWG 1.53 billion to ZWG 508.9 million, suggesting a slowdown in network expansion and infrastructure upgrades.

Some segments of the sector implemented selective investment and cost containment measures, with operating costs falling 12.54 percent and capital spending increasing 9.19 percent, indicating a more strategic approach to resource allocation.

The report underscores the sector's resilience in sustaining connectivity and revenue growth while highlighting the need for renewed investment to support long-term infrastructure development.