Cabinet slashes business fees in sweeping reform drive

SAMANTHA MADE

Cabinet has approved sweeping reforms to slash licensing fees and permits across the retail and wholesale sectors, a move officials say is designed to reduce the cost of doing business, strengthen competitiveness, and spur private sector-led growth.

Information, Publicity and Broadcasting Services Minister Jenfan Muswere said the reforms, endorsed at the Cabinet meeting this week, form part of a broader drive to overhaul regulatory frameworks in twelve key sectors of the economy.

“Cabinet considered and approved the review of licences, permits, levies, and fees in the retail and wholesale sectors in line with the Cabinet decision of July 29, 2025, which approved the implementation of a raft of business reforms in twelve sectors of the economy,” Muswere said.

“The review process is aimed at reducing the cost of doing business, increasing competitiveness, and enhancing the growth of the Zimbabwean economy.”

The approved measures target fragmented and overlapping licensing systems that have long burdened businesses with high costs and bureaucratic delays. Under the new framework, government will consolidate multiple permits into a single business licence, streamline duplicative approvals, remove unnecessary levies, and lower excessive fees across several sub-sectors.

Muswere said the reforms will directly benefit operators in the wholesale, supermarket, grocery, meat and meat products, clothing, and furniture sectors — all key pillars of the domestic retail economy.

“Cabinet approved the consolidation of fragmented licensing requirements into a single licence, the streamlining of duplicative and overlapping licences and permits, the removal of unnecessary levies and fees, and the lowering of high levies and fees for the wholesale and selected major retail sub-sectors,” he said.

Among the most notable adjustments, the Liquor Licence application fee,  previously pegged at US$1,080 for wholesale operators,  will be reduced to US$20 across all sectors, offering major relief to players in the liquor trade.

In a similar vein, the Medicines Control Authority of Zimbabwe (MCAZ) permit for trading in veterinary products, previously costing US$200, will be completely scrapped. The Local Authority bakery licence fee, formerly US$703, will also be removed entirely.

The government will further cap all local authority fees to ensure uniformity across the country — a move expected to ease regional disparities in business regulation.

In addition, Cabinet has initiated a review of cross-cutting licences and levies that extend beyond the retail and wholesale sectors — including shop/trading licences, Procurement Regulatory Authority of Zimbabwe (PRAZ) permits, and fire compliance certificates — all of which have been identified as major cost drivers for entrepreneurs.

“The reviewed licences, permits, and fees will be subjected to further refinements, and the appropriate schedule shall be duly gazetted,” Muswere said.

The reforms mark one of the most comprehensive regulatory overhauls in recent years, aligning with the government’s ongoing Ease of Doing Business agenda.

By simplifying compliance and lowering entry barriers, officials hope to attract new investment, expand the tax base, and stimulate formalisation within the sector.