By 
The Zimbabwean government is reportedly owing Telecommunications company TelOne nearly ZWL$ 1 billion of unpaid bills which have constrained its operations and cash flows.
The Telecoms company is currently expanding its network coverage while fighting with the government over unpaid bills.
According to the company’s first-quarter report, “TelOne’s unpaid bills total $4.3 million, of which the government owes $2.6 million just over 60% of the sum.”
“This has constrained the company’s cash flows and operations to the extent that TelOne is in turn facing difficulty in setting its key service providers and statutory obligations”
Meanwhile TelOne has to meet its own tax bills in addition to paying for expansion plans to compete against Econet Wireless and Telecel.
TelOne estimates that it will need to invest $25 million each year for the next five years to strengthen its network and achieve quality national coverage.
Comments