Wednesday 10 September 2025
Innocent Sibonginkosi Ncube
HARARE – In a sweeping move to reduce the cost of doing business, the Zimbabwean government has halved all parking, clamping, and towing fees nationwide and dramatically cut the cost of vehicle number plates from US$500 to US$50.
The decision, announced after a Cabinet meeting on Tuesday, is part of a comprehensive review of licences, permits, levies, and fees across the transport sector.
The reforms align with a broader Cabinet directive to implement business-friendly reforms across 12 key economic sectors.
Information, Publicity and Broadcasting Services Minister, Dr. Jenfan Muswere, stated that the government’s focus is on streamlining regulations and removing financial barriers for businesses.
“The review process is aimed at reducing the cost of doing business, increasing competitiveness and enhancing the growth of the Zimbabwean economy,” Dr. Muswere said.
“Cabinet has streamlined regulatory overlaps and duplications, rationalised licences and permits, and removed unnecessary levies and fees.”
In a significant boost for the haulage industry, Cabinet also moved to immediately scrap the US$23,000 duty on transit fuel. This duty, previously payable to the Zimbabwe Revenue Authority (ZIMRA), will be repealed through a Statutory Instrument, simplifying the routing of fuel tankers through Zimbabwe.
Finance, Economic Development and Investment Promotion Minister, Professor Mthuli Ncube, emphasised the immediate impact of these cuts. He confirmed that the new US$50 fee for locally produced number plates remains profitable for the manufacturer.
“The impact of reducing and cutting these fees and levies will be instant,” Prof. Ncube said.
“The parking fees of local authorities, we have reduced them by 50 percent of what they are currently charging. 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.”
Further measures include the elimination of the US$30 electronic cargo system fee and the removal of parking fees outside the Forbes Border Post in Mutare. Professor Ncube also revealed that the recently announced presumptive tax on the transport sector is now under review.
The reforms target several transport sub-sectors, including passenger transport, haulage and cargo, taxi services, and tobacco transportation.
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