marble nkomo
Zimpapers Writers
THE Government has directed all local authorities to immediately comply with newly gazetted compliance fees, including halving parking charges and capping clamping fees, as part of President Mnangagwa’s comprehensive “Ease of Doing Business” reforms targeting critical economic sectors.
The measures, contained in Statutory Instrument (SI) 41 of 2026, are aimed at reducing the cost of doing business, improving operational efficiencies and creating a more predictable regulatory environment for investors and entrepreneurs.
Under the new framework, parking fees have been capped at US$0,50 per hour, down from US$1, while clamping fees are now capped at US$20 per incident. Tow-away charges have also been reduced by 50 percent across all local authorities.
The standardisation is expected to bring uniformity and affordability to urban centres where parking and compliance charges had previously varied widely.
Ministry of Local Government and Public Works’ director of communications and advocacy, Mr Gabriel Masvora, said local authorities should comply with S1 41 of 2026.
“As stated in the SI 41 of 2026, the implementation of the fees is with immediate effect and local authorities must, without further delay, ensure that they adjust their systems to reflect the latest directive, which is in line with Vision 2030,” he said.
Motorists in major cities described the move as timely, saying previous parking and clamping fees had become punitive.
Mr Romeo Mishi, a Bulawayo motorist, said the old tariff structure was unsustainable.
“Paying US$1 per hour meant that if you work from 6 AM to 5 PM, you were paying about US$10 a day just for parking. That was too much,” he said.
Ms Rumbidzai Dube said clamping fees had been particularly frustrating.
“You could be delayed by a few minutes and find your car clamped, sometimes even while still inside the vehicle. The charges were too high. The new fees are more reasonable,” she said.
Mr Brian Ncube said while the reduction was welcome, enforcement must remain orderly.
“We appreciate the relief, but authorities must ensure proper management of parking bays and traffic flow. The system must remain organised,” he said.
In Bulawayo, where parking management is handled by Tendy Three Investments under contract with the City of Bulawayo, the company is expected to adjust its charges to the new Government-approved rate of US$0,50 per hour.
In Gweru, motorists and business operators also welcomed the move, urging swift implementation.
Gweru City Council spokesperson Ms Vimbai Chingwaramusee said council was yet to align its by-laws with the new statutory instrument.
“We are yet to deliberate on the model fees by-law to see how we can align it with our 2026 approved budget,” she said.
The Confederation of Zimbabwe Retailers (CZR) said SI 41 of 2026 marks a significant milestone in improving the business climate.
CZR president Mr Denford Mutashu said the reforms come at a critical time when businesses are navigating domestic and global economic pressures.
“The promulgation of Statutory Instrument 41 of 2026 comes at a critical turning point for the retail and wholesale sector. At a time when businesses are navigating both domestic and global economic pressures, this decisive intervention is anchored on the prevailing stability in the exchange rate, contained inflation levels, and the overall improving macroeconomic environment,” he said.
“This Statutory Instrument brings comprehensive reforms that directly address cost drivers affecting retailers and wholesalers across the country.”
Mr Mutashu said the abolition of certain levies would eliminate duplication of licensing within already licensed retail premises, significantly reducing compliance costs and administrative burdens.
He said by placing ceilings on these charges, the Government has taken firm steps to protect businesses from arbitrary and excessive levies, thereby strengthening regulatory certainty.
Mr Mutashu added that lower compliance costs are expected to encourage formalisation, stimulate investment and promote expansion and job creation.
“The ultimate success of these reforms must be measured by the positive impact felt by the end consumer, as well as the creation of sustainable employment opportunities. CZR reaffirms its commitment to working closely with Government ministries, regulatory authorities and local authorities to ensure effective implementation of SI 41 of 2026,” he said.
“We remain dedicated to fostering a stable, predictable and thriving business environment that positions Zimbabwe as the premier investment destination in the region. We commend His Excellency, President Dr ED Mnangagwa, for his political will and decisive leadership in championing reforms that place business growth, economic transformation, and consumer welfare at the forefront of national development.”
The Ease of Doing Business reforms target 12 sectors and, to date, significant progress has been recorded in agriculture, transport, tourism, and the wholesale and retail subsectors.
Globally, economies are ranked on their ease of doing business, with higher rankings reflecting regulatory environments that are more conducive for businesses to thrive without unnecessary hindrances.
Since its inception, the Second Republic has rolled out multiple reforms aimed at enhancing Zimbabwe’s competitiveness and lowering the cost of doing business.
In the tourism sector, the Government has streamlined licensing procedures for operators by consolidating permits, reducing turnaround times and digitalising critical services. Registration and renewal fees for five-star hotels have been slashed to US$2 000 from US$5 250, while guest houses now pay US$150, down from US$500.
The Liquor Licence requirement has been removed as it is already administered by local authorities.
According to the approved fee structure, grading and re-grading for one-star hotels, motels and inns has been set at US$500, with mandatory renewal every two years, while home-stay facilities are pegged at US$20.
Online Reporter