Telecel Zimbabwe is likely to go for the next months if not years without a board as Zarnet and NSSA continue to lock horns over control of the stake, in a move which may disturb progress and corporate governance.
Its been three months since Vimplecom officially moved out of the Zimbabwean market, ceding control to government which immediately dissolved the existing board, leaving only James Makamba And Jane Mtasa representing their EC stake.
By Toneo Tonderai Rutsito
While NSSA may really want to control Telecel Zimbabwe, it becomes difficult to appoint a new board as they continuously tussle the ministry of ICT, which on contractual agreement, must have direct control over management of the asset.
The real quagmire at Telecel’s hands is to how then run such an asset without a board to oversee or approve some certain decisions, a move which may greatly inhibit Telecel Zimbabwe’s growth ambitions and slow down its operations.
Zarnet and the ministry of ICTPS may need to greatly compromise and find ways to institute the board, instead of holding on to total control while Telecel Zimbabwe becomes the biggest looser in the battle.
Competitors are already advancing 4G networks and increasing capacitation and the best network coverage over Telecel Zimbabwe is still 3G. Infrastructure development and growth related capital expenditures needs a proper assigned board to oversee such issues.
Telecel Zimbabwe has continued to loose market share and public confidence due to these squabbles which continuously dog the entity.
Hopefully sooner than later, the government will announce the new Telecel Zimbabwe board, so that the entity functions at full capacity and retain market share.