ZACCI COMMENDS GOVT
…. for maintaining a stable and predictable tax regime in the mining sector
Monday October 2, 2023 (SMART EAGLES)
The Zambia Chamber of Commerce and Industry (ZACCI) has commended Government for maintaining a stable and predictable tax regime in the mining sector.
In the 2024 National Budget, Government has proposed to undertake a high resolution countrywide geophysical survey.
In responseto the measure, ZACCI President Anthony Kabaghe says the Chamber supports it as this will facilitate the mapping of Zambia’s potential mineral deposits and
attract mineral exploration investments.
He implores government to come up with deliberate mechanisms for Local Mines Suppliers and Contractors to be supported through legislation of the ‘Local Content’ and expedite the operationalization of theMinerals Regulations Commission.
Mr Kabaghe has also said ZACCI supports measures in the agriculture sector because they will facilitate farmers timely procurement of fertilizers and other Agro Inputs to boost agriculture productivity.
Government has psoposed in the 2024 National Budget Establish an agriculture credit window to support small scale farmers, emergent farmers, and public service workers with affordable financing to procure inputs, equipment and irrigation systems, among others.
Mr Kabaghe says in order to ensure food security, ZACCI proposes that the Food Reserve Agency maintain its core function as a strategic food agency.
He said this can be done in collaboration with Zambia National Service.
“The government has proposed to revise the Pay As You Earn by increasing the exemptthreshold to K5,100 from K4,800 and reducing the top rate to 37.0 percent from 37.5percent. ZACCI commends government for this adjustment. The measure will provide relief,enhance disposable income and mitigate against the high cost of living,” he said.
“ZACCI commends the government for raising the CDF allocation. However, Monitoring and
Evaluation should be strengthened.ZACCI proposes to partner with Government to build the debt carrying capacity of all
cooperatives and SMEs accessing CDF funds by integrating them as chamber members sothat they can benefit from financial, management and technical capacity building.”
He also said ZACCI appreciated Governments rationale for this measure to introduce a levy of between 8 ngwee and K1.80 on the transaction value for person – to –
person mobile money transfers.
“However, it may undermine the
strides already made in creating a cashless society and attaining financial inclusion. Wetherefore suggest that this measure be removed because it will translate into added costs to consumers who already pay high transactional fees,” he indicated.