Zambian Minister of Communication and Transport Dora Siliya has formed a committee to address the financial viability of the troubled Zambia Telecommunication (Zamtel).

Zamtel is a government-run communication utility, providing mobile, fixed and Internet services.

The government cannot continue funding Zamtel with the knowledge that it needs more than money to survive, Siliya said, calling for a new business model.

The committee -- comprising members from the Ministry of Communication and Transport, the Ministry of Finance and National Planning, and the Ministry of Commerce, Trade and Industry -- will submit their recommendations to the three ministries within a month, Siliya said last week.

Based on the report, the ministries will then act to make Zamtel competitive with other service providers in the country.

Siliya further noted that Zamtel has the potential to offer more services than it currently does.

One of the business plans being considered includes the separation of CellZ, Zamtel's sister company, which provides mobile service from Zamtel. Currently, CellZ operates under Zamtel management.

Zamtel is also considering laying off 800 workers.