Zimbabwe to Review Levies, Licenses to Ease Business Costs

Sikhumbuzo Moyo

IN an effort to reduce the cost of doing business in Zimbabwe, Government will be reviewing levies, licences, fees and permits on business by Ministries, Departments and Agencies (MDAs) following an order early this year by President Mnangagwa.

Presenting the 22nd post Cabinet report on Tuesday, the Minister of Information, Publicity and  Broadcasting Services Dr Jenfan Muswere said President Mnangagwa directed a review of levies, licences, fees and permits across 12 sectors, namely, Health; Agriculture, Retail, Tourism, Transport, Energy, Manufacturing, Broadcasting, Telecommunications, Liquor, Construction and Financial Services.

“Cabinet considered and approved the review of levies, licences, fees and permits on business by Ministries, Departments and Agencies of Government. His Excellency, the President, Dr ED Mnangagwa, at the beginning of the year, highlighted the high level of levies, licences, fees and permits raising the cost of doing business in Zimbabwe,” said Dr Muswere.

Dr Muswere said the study established, among other things, that some of the regulators require a single business to obtain multiple fragmented licences or permits, adding unnecessary complexities and administrative burdens, while other regulators have lengthy procedures and processes before they can issue their respective licences.

“In order to provide relief to business, Government of Zimbabwe has directed the Minister of Finance, Economic Development and Investment Promotion, in collaboration with the Chief Secretary to the President and Cabinet and line Ministries to superintend and coordinate detailed sector reviews on the levies, licences, fees and permits. The review will specifically address economy-wide regulatory challenges, including the multiplicity, duplication and fragmentation of regulatory charges. A Whole-of Government approach will be adopted and will bring together respective MDAs and business for a consensus-based review,” said Dr Muswere.

He said the process will adopt a 100-day cycle-based Accelerator Model and detailed recommendations agreed upon by stakeholders will be submitted to Cabinet for approval. Once approved, the reviewed fees and levies would be implemented through amendment of the respective legislation and Statutory Instruments.

Dr Muswere said the reform process will significantly streamline and reduce the burden on the people, business, enhance national competitiveness, attract investment, promote economic growth, create employment and catapult the country towards the attainment of Vision 2030.

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