HIGH TAXES CHOKING BUSINESSES : MTHULI

Minister of Finance and Economic Development Prof Mthuli Ncube has announced that he will make major policy changes within the next two weeks that will ensure viability among small scale businesses.

Prof Mthuli was addressing delegates at an investment conference held in Masvingo recently where he acknowledged that the current obtaining environment was stifling small businesses and in an effort to address that he promised to make major policy changes which he said are going to promote the ease of doing business.

“In terms of the cost of doing business, we are seized as government with this matter and we are going to reduce the cost of doing business, watch the space within the next two weeks, the cost of licenses will come down.

“Secondly, the number of licenses or steps towards the acquisition of permissions will be reduced. Between now and two weeks we should announce a reduction in the monetary value of licenses and over the next six months reduction in the number of steps to acquire these licenses,” said Prof Mthuli.

Prof Mthuli said the move would benefit both the government and the small businesses as most were surviving in business through cheating government.

“Some businesses are only profitable because they are not complying with the rules. It cannot be the case that you only remain in business if you cheat government hence government will reduce what it needs from you then you can do business competitively,” said Prof Mthuli.

Prof Mthuli said the province was being tasked to look for a special economic zone which will be supported by government as part of a national campaign to boost investment opportunities in the countries.

“Government remains committed to creating a conducive environment for investment in particular lowering regulatory costs and improve ease of doing business with a focus on beneficiation especially in downstream processing of minerals like lithium batteries, steel production. We should be able to establish special economic zones to support some of these beneficiation initiatives. Minister Ezra Chadzamira we are asking you and your team to find some project which will be awarded a special economic zone status especially if the project is focusing on value addition,” he said.

Government policy and heavy taxation have been significantly stifling businesses in Zimbabwe especially in the formal sector. TellZimNews

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