10/09/2025
PARKING FEES SLASHED
Parking fees, including clamping and towing penalty charges, have been slashed in half in all local authorities countrywide as part of the Government’s review of licences, permits, levies and fees in the transport sector.
In addition to
this, the cost of vehicle number plates has been reduced from US$500 to US$50.
Car number
plates are now produced in Zimbabwe and the new fee remains profitable.
The review of
licences, permits, levies and fees in the transport sector aligns with an
earlier Cabinet decision to implement a comprehensive set of business reforms
across 12 sectors of the economy.
All these
measures seek to lower the cost of doing business and enhance economic
competitiveness.
Speaking after
yesterday’s Cabinet meeting in Harare, Information, Publicity and Broadcasting
Services Minister Dr Jenfan Muswere said the Government’s focus was to
streamline regulatory overlaps, eliminate unnecessary fees and make it easier
for businesses to thrive.
Cabinet also
reviewed other fees related to vehicle registration, licensing and ownership
transfers, ensuring that the transport sector operates with greater efficiency
and lower financial burdens.
Government also
took decisive action to eliminate the US$23 000 duty on transit fuel, a move
that is expected to have immediate positive effects on the transport industry
by making it simpler to route fuel tankers through Zimbabwe.
This duty,
previously payable to the Zimbabwe Revenue Authority, will be repealed through
a Statutory Instrument, further easing operational costs for transport
operators.
“The review
process is aimed at reducing the cost of doing business, increasing
competitiveness and enhancing the growth of the Zimbabwean economy,” said Dr
Muswere.
He said Cabinet
also streamlined regulatory overlaps and duplications, rationalised licences
and permits, removed unnecessary levies and fees and lowered unjustifiably high
levies and fees for the following transport sub-sectors: passenger transport,
haulage and cargo, taxi services, and other transport services in to***co
transportation and boating services. “The reviewed licences, permits, levies
and fees will be subjected to further refinements. However, Cabinet directed
that the US$23 000 duty on transit fuel payable to ZIMRA be immediately
scrapped. The relevant Statutory Instrument will be repealed accordingly,” said
Dr Muswere.
Speaking at the
same occasion, Finance, Economic Development and Investment Promotion Minister,
Professor Mthuli Ncube, said Cabinet also addressed various charges that have
been deemed excessive. For instance, the electronic cargo system fee, which was
previously set at US$30, has been eliminated, aligning Zimbabwe with regional
standards.
Similarly,
parking fees outside the Forbes Border Post in Mutare have been removed,
alleviating additional financial stress on transport operators.
Prof Ncube said
the recently announced presumptive tax on the transport sector is also under
review, as authorities continue to seek ways to create a more favourable
business environment.
“The impact of
reducing and cutting these fees and levies will be instant,” he said. “The
issue of number plates, where you were paying US$500, we have reduced that to
US$50 and the person producing the number plates is still making a profit with
the US$50 charge.
“The parking
fees of local authorities, we have reduced them by 50 percent of what they are
currently charging.
“The
presumptive tax on the transport sector will be re-examined. We are in a
cutting mode. We might collect more revenue because increasing the
profitability of these enterprises, right across the economy, will spur growth.
We do not want people to be discouraged by the cost of doing business.”
Prof Ncube said
the reforms were not just about cutting costs, but were strategically designed
to enhance the profitability of businesses across the economy.
