Story by Owen Mandovha, Business Reporter
Government has unveiled a ZiG276 billion national budget for 2025, with the economy expected to grow by six percent next year.
In a budget presented by the Minister of Finance, Economic Development and Investment Promotion, Professor Mthuli Ncube at Parliament building in Mt Hampden this Thursday, the tax-free threshold has also been revised to ensure workers pocket more from their earnings.
Professor Ncube promised even better days next year as Zimbabwe is set to become the fastest growing economy when he presented the national budget.
The budget, which allocated the largest chunk to the education sector, presented relief measures for both workers and businesses which saw the new tax-free threshold revised upwards to ZiG2 800 per month.
“I propose to review the local currency tax-free threshold to ZiG2 800 per month and accordingly adjust tax bands… with effect from 1 January 2025,” he said.
Treasury listed key priority areas to reduce business tax burdens including reducing sugar tax and boosting the truck and bus assembly industry.
Treasury also sought to increase tax revenue by taxing sports betting companies and introducing paper bag tax.
Treasury allocated the biggest chunk to the education sector, followed by defence and health while agriculture and transport were equally resourced.
Professor Mthuli Ncube is banking on the improved agricultural season as well as a strong mining sector and manufacturing sector growth to propel the country’s 6 percent economic growth target for next year.
