Government has rolled out a new phase of its Ease of Doing Business and Regulatory Fees Reforms, this time targeting the wholesale and retail sectors, in a move expected to streamline business operations and cut costs for traders across the country.
Announcing the measures through a press statement, the Minister of Finance, Economic Development and Investment Promotion, Mthuli Ncube said the reforms are part of the broader drive to simplify regulatory processes and promote small and medium enterprises (SMEs).
“The initiative follows earlier reforms implemented in the livestock, tourism, and transport sectors,” he said
Professor Mthuli Ncube also said that the retail sector, being one of the fastest growing in the economy, requires an enabling environment to sustain growth and competitiveness.
“Government has converged to remove the fragmentation of licences, consolidating several retail licences into one shop licence and reducing the number of authorities involved in the clearance process to one,” he said.
Under the new framework, local authorities are expected to apply a sliding scale for licence fees, capped at US$500, to promote inclusivity and support emerging businesses.
“Eleven separate licence requirements have been consolidated into one, easing the regulatory burden for enterprises that operate multiple business lines such as bakeries, butcheries, restaurants, takeaways and food factories,” Minister Ncube said
Previously, some businesses were paying as much as US$2 300 for a food factory licence.
“Similarly, bottle store licences attached to retail shops have been scrapped, while shops engaging in both retail and wholesale trade will now operate under a single licence,” Minister Ncube noted
Other significant changes include the combining of factory and retail licences for integrated operations, removal of Zimbabwe Tourism Authority (ZTA) licence requirements for supermarkets, and a 50 percent reduction of hotel and lodge licence fees, now capped at US$500.
The reforms also cap change-of-property-use fees at US$1 000, reduce effluent waste management costs from US$575 to US$200, and combine Public Procurement Regulatory Authority (PRAZ) licences into one, costing between US$50 and US$120.
Professor Ncube said these measures are designed to “create a conducive economic environment where jobs will be created, productivity improved, and economic growth accelerated.”
He added that the Government remains committed to fostering a competitive investment climate as part of Vision 2030, which seeks to transform Zimbabwe into an upper-middle-income society.
