Govt targets competitive tax regime to make Zim aviation hub

HARARE - Government says it is working to balance aviation taxation with industry competitiveness as it positions the sector as a key driver of economic growth under Vision 2030 and the National Development Strategy 2.


Addressing delegates at the Zimbabwe Aviation Development and Taxation Forum in Harare, Transport and Infrastructural Development Minister Felix Mhona — represented by Ministry Director Engineer Takudzwa Chipadza — said aviation had evolved beyond the movement of passengers and cargo and was now a catalyst for trade, tourism, investment, regional integration and job creation.

“Aviation has become so integral to the economy that its challenges are matters of national interest,” Mhona said.

He said government policy would continue prioritising the modernisation of aviation infrastructure, strengthening safety oversight, advancing market liberalisation and deepening connectivity across the aviation ecosystem.

Mhona highlighted significant investment in the country’s three international airports — Joshua Mqabuko Nkomo International Airport, Victoria Falls International Airport and Robert Gabriel Mugabe International Airport — which he said had enhanced safety, regulatory systems and capacity to handle growing passenger and cargo volumes.

“These investments have improved Zimbabwe’s capacity to accommodate growing passenger and cargo traffic while ensuring compliance with international aviation standards,” he said.

On taxation, Mhona acknowledged that while taxes and aviation charges were essential for financing infrastructure and public services, their level and structure could influence airline decisions, passenger demand, tourism competitiveness and cargo movement.

“Our challenge, therefore, is to strike a balance — one which ensures sustainable revenue generation without undermining the competitiveness of our aviation industry,” he said.

He urged the Forum to produce practical recommendations that support both fiscal sustainability and aviation sector growth.

Mhona also underscored the importance of regional integration, referencing Zimbabwe’s recent hosting of the African Civil Aviation Commission on the Single African Air Transport Market (SAATM).

“The SAATM is an instrument by which Africa is seeking to improve connectivity, stimulate competition and unlock new economic opportunities across the continent. Recent assessments indicate that wider implementation of SAATM could significantly expand Zimbabwe’s aviation contribution to GDP and employment,” he said.

The Minister identified air cargo as a major growth area, saying government would focus on strengthening cargo infrastructure, improving customs efficiency and embracing digital technologies to support exporters and improve supply chains.

“Let us work together to build an aviation industry that is efficient, safe, affordable and globally competitive — an aviation sector which contributes meaningfully to economic growth, supports tourism, facilitates trade and creates opportunities for future generations,” Mhona said.

The Forum brought together the Ministry of Finance, the Civil Aviation Authority of Zimbabwe, Airports Company of Zimbabwe, ZIMRA, airlines and other industry players to deliberate on taxation, policy and investment in the sector, reinforcing broader national goals under Zimbabwe aviation development.