Connect with us

Slider

Zimbabwe to more than double spending in 2023

Published

on

BY GODFREY MARAWANYIKA AND RAY NDLOVU

Zimbabwe provided the first details of how a new mineral royalty policy will be enforced, as the country considers more than doubling spending in 2023 to help revive an economy that exited a recession last year.

Advertisement

The royalty policy that came into effect in October compels miners to pay half of their royalties in minerals and the rest in cash. The plan presented by Zimbabwean Finance Minister Mthuli Ncube on Thursday breaks the payment down to half in mineral form, 40% in local currency and 10% in foreign-currency cash.

Although traditionally, royalties are remitted in cash, it is pertinent that the current formulae be reviewed in line with government policy to preserve value and mitigate against revenue loss,” said Ncube.

The southern African nation has vast mineral resources including gold, diamonds and coal deposits. It has the world’s third-largest known platinum deposits after neighboring South Africa and Russia. Miners say they will comply with the new policy.

Advertisement

Ncube projects total expenditure will more than double to 4.2 trillion Zimbabwe dollars ($6.5 billion) in the 2023 budget.

The bulk of the funds will be spent on social services and infrastructure projects, with a key focus on the mining, energy and agricultural sectors to stimulate economic growth, he said in a budget presentation to lawmakers at the new Chinese-built Parliament in Mount Hampden, 23 kilometers (14 miles) north of the capital, Harare.

Economic growth globally is being crimped by tightening financial conditions as central bankers including Zimbabwe’s try to temper high inflation, adding to the damage from the war in Ukraine and China’s slowdown.

Advertisement

Zimbabwe’s benchmark interest rate is at 200%, while annual inflation is at 269%.

The IMF last month cut its forecast for global growth next year to 2.7%, from 2.9% and sees Zimbabwe’s economy expanding at 2.8%.

Other highlights

Advertisement

Ncube expects Z$3.9 trillion in revenue.

Plans to increase value-added tax to 15% from 14.5% from Jan 1

Allocates Z$76 billion  toward next year’s general elections, in which President Emmerson Mnangagwa is seeking re-election

Advertisement

Budget deficit to GDP is forecast at 1.5%

To plug the funding gap, the government plans a bond issuance on the Victoria Falls Stock Exchange

Offers tax relief measures including cutting an electronic tax levied on US dollar transactions to 2% from 4%-Bloomberg 

Advertisement

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Politics

Zimbabwe court grants bail to 26 opposition party members

Published

on

By

BY STAFF REPORTER

A Zimbabwean court granted bail on Friday to 26 opposition party members who were arrested for holding what authorities said was an unlawful gathering.

Advertisement

The arrest of Citizens Coalition for Change (CCC) members, including two Members of Parliament, stoked fears of a crackdown on opposition politicians ahead of a crucial election this year at a yet to be announced date.

“This confirms that the arrest was an abuse of process in the first place,” CCC spokeswoman Fadzayi Mahere told journalists outside court. “All this shows that the regime’s paranoia has reached fever pitch and they notice that they are staring defeat in the faceZimbabwean police on Jan. 14 fired teargas at the CCC party gathering in Harare and arrested its members. The defendants’ lawyers argued that the arrests were unlawful as the gathering was at a private space.

Arguing against bail, prosecutors said the party had not sought clearance to hold the meeting. Zimbabwe laws require that political parties apply for approval from police two weeks in advance before holding a gatheringThe arrests came after a wave of politically motivated violence against opposition supporters in rural Zimbabwe, raising fears of repression ahead of this year’s presidential election.

Advertisement

CCC, led by the youthful Nelson Chamisa, will battle President Emmerson Mnangagwa’s ZANU-PF for the second time at the poll.

The opposition party, born out of the old Movement for Democratic Change (MDC), enjoys massive urban support and is seen as a threat to ZANU-PF’s 43-year-old stranglehold on power-Reuters 

Advertisement
Continue Reading

Slider

Air Zimbabwe to expand domestic routes

Published

on

By

BY STAFF REPORTER

Air Zimbabwe is promoting more domestic routes, as the airline seeks to expand its operations.

Advertisement

This is according to the airline’s spokesperson, Firstme Vitori.

The airline is expected to take delivery of a second Embraer (ERJ145) soon, in line with its six-year strategic turnaround plan (STP).

Votori noted that key to this strategy is the procurement and deployment of appropriate equipment for the current and planned route network, as well as a fleet commonality for the containment of maintenance and operational costs.

Advertisement

The airline currently uses a Boeing 737-200 and ERJ145 on its domestic and regional routes. Vitori said when travel restrictions eased last year, the Zimbabwe government – as a result of the Covid-19 vaccination rollout – saw a significant increase in load factors to an average of around 55%, combining the B737 with ERJ145 aircraft. ‘The deluge of corporate, and social conferences and events in Bulawayo and Victoria Falls saw us operating a lot of commercial charter flights with both aircraft. During the peak season, we also added frequencies to our domestic routes up to two flights a day,’ Vitori said.

Regionally, she said, the airline services Johannesburg, South Africa, with flights every Monday, Wednesday, Thursday, Friday and Sunday – and to Dar es Salaam in Tanzania, flights are available every Tuesday, Thursday and Saturday.

‘Passengers in this sector are mostly business traders, and they enjoy a free baggage allowance of up to 60kg,’ she said.

Advertisement

The airline is also working on route expansion in a two-pronged approach, which includes increasing frequencies on the current route network for both domestic and regional destinations, she added.-New Era Newspaper

Advertisement
Continue Reading

Slider

Hwange villagers receive training on methods to mitigate HWC

Published

on

By

BY NOKUTHABA DLAMINI 

Victoria Falls Wildlife Trust (VFWT) in collaboration with Connected Conservation recently conducted a human- wildlife conflict  workshop in Hwange West rural communities on how to make chilli cakes and strings to chase away elephants. 

Advertisement

According to VFWT, the workshop targeted farmers, women included as the cases of human-wildlife conflicts keep escalating. 

“The Workshop was held with local communal farmers on passive methods that can be used to deter human-elephant conflict,”VFWT said in a statement. 

“Farmers were taught how to make a briquette mix of elephant dung and ground hot chilies to produce a chili brick which is then burnt in fires along the field boundaries to create a noxious smoke that deters elephants from raiding their crops.” 

Advertisement

Among many other things, the organisation said” the communal farmers were also taught how to make chili string fences using chili grease to create buffer zones as well as how to erect effective watchtowers to increase alertness.”

Problem animals such as the elephants have been a headache to communities under Chief Mvuthu’s jurisdiction. 

Year on year, villagers lose crops, which has plunged many into starvation and having to rely on donor handouts. 

Advertisement

Zimbabwe Parks and Wildlife Management Authority says it does not have the resources to fence its parks so that they don’t encroach into the communities. 

Hwange National Park in Zimbabwe is home to one of the largest elephant populations in Africa. 

There are an estimated 44 000 pachyderms inhabiting the 14,651 km² Park, which is almost half of Zimbabwe’s whole elephant population 

Advertisement

Continue Reading

Trending

Copyright © 2022 VicFallsLive. All rights reserved, powered by Advantage