Zain to invest US$100m in network expansion

"We would like also to move the average talk time of our customers from 45 minutes per person to 250 minutes per month," said Chilima.

Tariff reduction

The announcement was made when the mobile phone service provider, announced a 56% reduction in its calling tariffs across its network effective 11 October 2010 last week. Chilima said the reduction was part of the company's programme of extending benefits to its users who, he said, account for 72% of the country's mobile market.

"The coming in of Bharti Airtel will see Malawians get more benefits," declared Chilima.

He said, for the first time since the establishment of the company in the country in 1999, Zain has effected an across the board tariff cut, which Chilima described as a new strategy of making its services affordable, as pledged by its new owners Bharti Airtel.

Passing on the benefits

"Since our acquisition by Bharti, we are enjoying some economies of scale, which have enabled us to improve cost efficiencies. We have now decided to pass on the benefits to our customers through tariff reductions," said Chilima.

Following the reduction, Zain customers will now pay K51.26 per minute during peak hours between 5am and 5pm and K24.60 during off peak hours from 5pm to 5am. The short messages service (sms) has also been slashed to K10.25 across the network while Zain sim-cards will now be sold at K150 only.