Process to gazette slashed levies begins

Process to gazette slashed levies begins
Published: 4 hours ago
The process of amending or repealing statutory levies and fees across multiple sectors of Zimbabwe's economy has begun, as the Government seeks to ensure that reductions are formalised into binding legal instruments, Justice, Legal and Parliamentary Affairs Minister Ziyambi Ziyambi has confirmed.

In a statement yesterday, Minister Ziyambi emphasised that until Parliament formally amends or repeals the existing statutory fees, levies, and charges, they remain enforceable. This clarification follows the Government's recent announcement of a series of fee reductions aimed at improving the ease of doing business in Zimbabwe.

Sectors identified for reform include agriculture, transport, retail licensing, and local authority services. Minister Ziyambi noted that the Ministry, in collaboration with the Office of the Attorney-General and relevant line ministries, is working to ensure that the policy decisions are translated into legally binding instruments.

Among the reforms, parking fees, clamping, and towing penalties have been cut by 50 percent across local authorities, while the cost of vehicle number plates has been reduced from US$500 to US$50. Plates are now produced locally, making the new fee both affordable and sustainable.

Significant changes have also been implemented in the agriculture sector. In the dairy sub-sector, for instance, farmers previously required up to 25 permits across 12 agencies. Similarly, feed manufacturers, beef cattle farmers, abattoirs, and dairy processors faced multiple licences and fees. The reforms aim to remove duplication, reduce costs, and simplify compliance, thereby promoting efficiency, competitiveness, and formalisation. Farm and processor registration fees, including those by the Agriculture Marketing Authority (AMA), have been standardised to a flat fee of US$1, significantly lower than the previous tiered structure.

Minister Ziyambi stressed that the reforms form part of broader efforts to strengthen the business environment and attract investment. "It is in the public interest that we draft and enact laws that enhance the investment climate and facilitate the ease of doing business in Zimbabwe," he said, citing the constitutional mandate under section 114.

The Government believes that moderating high fees and levies will encourage new investments while motivating existing investors to expand operations, creating employment and contributing to national development. These initiatives align with Zimbabwe's Vision 2030 blueprint, which seeks to transform the country into an upper-middle-income economy.

Business leaders have welcomed the policy intent but emphasised the need for legal certainty. Confederation of Zimbabwe Retailers president Denford Mutashu noted that reducing levies could ease operational costs and boost competitiveness once formally enacted. Similarly, the Zimbabwe Taxpayers Platform called for clear timelines for the reforms to take effect to minimise uncertainty for businesses.

The Ministry of Justice, Legal and Parliamentary Affairs continues to work closely with the Attorney-General and line ministries to draft the necessary legal instruments, signalling a cautious yet committed approach to reducing costs while adhering to established legal procedures.
- online
Tags: Levies,

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