The 2026 National Budget got the green light from Parliament. This happened after Finance Minister Mthuli Ncube backed down on a few major tax proposals. The budget, with nearly ZiG290 billion in planned spending, needed both the Finance Amendment Bill and the Appropriation Bill to pass. They now just need President Mnangagwa's signature. Legislators like Edwin Mushoriwa and Charlton Hwende pushed for changes during a long debate, forcing some compromises from Treasury.
Minister Ncube completely scrapped his idea to double the gold royalty rate, keeping it at five percent. He also dropped a planned new levy on cash withdrawals after lawmakers argued it would hurt people. He agreed to raise Parliament's own budget by an extra ZiG800 million. However, he shot down an amendment to legally dedicate sugar tax money only to healthcare, saying it was unnecessary.
Ncube defended a small VAT increase, saying basic goods like bread and maize meal are not taxed anyway. He pointed out that the new rate is still lower than in many neighboring countries. The budget aims to collect about ZiG288 billion, which is slightly less than it plans to spend. These numbers might get adjusted later in the year after seeing how tax collection actually goes.
Minister Ncube completely scrapped his idea to double the gold royalty rate, keeping it at five percent. He also dropped a planned new levy on cash withdrawals after lawmakers argued it would hurt people. He agreed to raise Parliament's own budget by an extra ZiG800 million. However, he shot down an amendment to legally dedicate sugar tax money only to healthcare, saying it was unnecessary.
Ncube defended a small VAT increase, saying basic goods like bread and maize meal are not taxed anyway. He pointed out that the new rate is still lower than in many neighboring countries. The budget aims to collect about ZiG288 billion, which is slightly less than it plans to spend. These numbers might get adjusted later in the year after seeing how tax collection actually goes.
