Business / Economy
Mugano urges Mthuli to scrap 2% IMTT before tackling bank charges
3 hrs ago |
176 Views
Renowned economist Professor Gift Mugano has challenged Finance and Economic Development Minister Mthuli Ncube to first abolish the 2% Intermediated Money Transfer Tax (IMTT) before attempting to regulate bank charges.
Posting on X (formerly Twitter), Mugano argued that the IMTT is a major contributor to high transaction costs in Zimbabwe's financial sector.
"The Hon Minister @MthuliNcube must remove the IMTT (2% tax) first before he interferes with the work of the @ReserveBankZIM on bank charges," Mugano wrote.
"2% tax is one of the major drivers of bank charges. It has overstayed its welcome. It's under your purview, Hon Minister. Please scrap it off."
His remarks follow Minister Ncube's recent announcement that the government is reviewing levies and fees in the banking and financial services sector as part of a broader economic reform programme spanning eleven key sectors.
Critics argue that Zimbabwe's taxation regime has become increasingly burdensome, eroding disposable incomes and stifling financial inclusion.
Mugano's comments have reignited debate around the IMTT, which was introduced in 2018 and has faced growing opposition from business leaders, economists, and civil society.
Posting on X (formerly Twitter), Mugano argued that the IMTT is a major contributor to high transaction costs in Zimbabwe's financial sector.
"The Hon Minister @MthuliNcube must remove the IMTT (2% tax) first before he interferes with the work of the @ReserveBankZIM on bank charges," Mugano wrote.
"2% tax is one of the major drivers of bank charges. It has overstayed its welcome. It's under your purview, Hon Minister. Please scrap it off."
His remarks follow Minister Ncube's recent announcement that the government is reviewing levies and fees in the banking and financial services sector as part of a broader economic reform programme spanning eleven key sectors.
Critics argue that Zimbabwe's taxation regime has become increasingly burdensome, eroding disposable incomes and stifling financial inclusion.
Mugano's comments have reignited debate around the IMTT, which was introduced in 2018 and has faced growing opposition from business leaders, economists, and civil society.
Source - Byo24News
Join the discussion
Loading comments…
