Econet ‘bullying’ agents

Freedom Mupanedemo Midlands Correspondent
ECONET Wireless‘ eco-cash agents have accused the telecommunications firm of playing the bully by threatening to withdraw agents who were running services from rival tele-cash at their premises.Telecel is making inroads into the mobile money transfer system after introducing tele-cash, a platform where individuals or companies can send or receive money through mobile phones.

Econet Wireless’ corporate communications manager, Rangarirai Mberi distanced his organisation from the accusations, saying eco-cash agents were free to run both eco-cash and tele-cash services.

“We do not deny our agents to run both the eco-cash and tele-cash service at their premises. If there are such challenges, may I have the questions through my email,” said Mberi yesterday.

Econet agents however alleged that officials from the giant wireless firm were moving around threatening to withdraw their services if they take up tele-cash services at their premises.

“I don’t think what Econet is doing is fair at all. We are trying to make ends meet by registering with tele-cash so that we can provide some variety to our clients,” fumed one of the agents who declined to be named.

“However, Econet wireless officials are threatening to withdraw their services from those  found running both services at  their premises.”

The agents said the eco-cash platform for sending or receiving money was now flooded and was no longer lucrative as it used to be.
They said due to congestion, the eco-cash network service was now very poor.

“Now almost every business outlet you walk into, there is an eco-cash service. It’s now flooded and we are trying to embrace the tele-cash platform at our premises as an alternative but we are being victimised by Econet Wireless officials,” said another eco-cash agent.

A tele-cash Midlands provincial officer who chose not to be named confirmed that that they were  finding challenges in approaching businesses, which were already running eco-cash services at their business.

“Nearly every business is running an eco-cash service. We are trying to introduce tele-cash service but the biggest challenge is that Econet Wireless is appearing to be a bully,” said the official.

“Their officials are threatening to withdraw services from people who intend to introduce tele-cash services at their premises. We have some who have come to us and told us their Econet lines have been cut off by Econet for the simple crime of running a tele-cash service at the same premises.” He said his organisation has communicated the challenge to their national office in Harare for engagement with Econet.

Recently, the Reserve Bank of Zimbabwe issued a statement warning mobile operators against blocking their agents from acting for other mobile players saying the practice was stifling smooth competition.

“The said exclusivity agreements or covenants  are likely to have an adverse effect on competition and may be detrimental to the smooth operation of payment systems in the country,” said RBZ in a statement.

“Exclusivity agreements will consequently hamper the Reserve Bank’s efforts of promoting financial inclusion and the expansion of financial services in the economy.”

Mberi had not responded to questions sent to him on e-mail by time of going to print.

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