‘Competitive tax regime key to aviation hub ambitions’

Freeman Razemba-Senior Reporter

A COMPETITIVE and predictable taxation framework is critical to Zimbabwe’s ambition of becoming a regional aviation hub, Transport and Infrastructural Development Minister Felix Mhona has said.

Addressing senior Government officials, aviation industry leaders, policymakers, regulators, investors and private sector executives at the Zimbabwe Aviation Development and Taxation Forum in Harare yesterday, Minister Mhona said efforts were underway to strike a balance between revenue generation and industry competitiveness.

The forum brought together key stakeholders to discuss the future of the country’s aviation industry, with deliberations focusing on policy development, taxation, competitiveness, infrastructure expansion and investment opportunities aimed at enhancing the sector’s contribution to national development.

Minister Mhona said aviation had evolved beyond the movement of passengers and cargo to become a strategic enabler of economic transformation under Vision 2030 and the National Development Strategy 2 (NDS2).

“As you may be aware, the discussions which will dominate here come at an opportune moment as Zimbabwe continues to position aviation as a strategic enabler for economic transformation under Vision 2030 and the National Development Strategy 2.

“We can now affirm that aviation is no longer merely the movement of passengers and cargo, but has now become a catalyst for trade, tourism, investment, regional integration and job creation, all at the same time.

“Indeed, aviation has become so integral to the economy that its challenges are matters of national interest. To give credence to this fact, Government policy is to now continue to prioritise the modernisation of aviation infrastructure, improve safety oversight, market liberalisation and deepen connectivity throughout the entire aviation ecosystem.”

Minister Mhona said significant investments had been made in upgrading the country’s major airports, including Joshua Mqabuko Nkomo International Airport in Bulawayo, Victoria Falls International Airport and most recently, the Robert Gabriel Mugabe International Airport.

He said the investments had strengthened aviation safety, enhanced regulatory systems and improved Zimbabwe’s capacity to accommodate growing passenger and cargo traffic while complying with international aviation standards.

“This has also shown that our commitment to modernising the sector continues to be unwavering as we realise the benefits brought about by aviation to the nation.

“However, we also take note that aviation infrastructure alone is not enough for Zimbabwe to become a preferred aviation hub, as it requires us to also create an operating environment that is competitive, predictable and attractive to investment in aviation,”  he said.

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