ED signs 2026 budget into law, clearing way for Treasury spending

STAFF WRITER

President Emmerson Mnangagwa has signed into law the Finance Act and the Appropriation Act, formally giving legal effect to the 2026 National Budget that was recently passed by Parliament.

The move enables Treasury, through Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube, to legally disburse funds appropriated under the budget.
The signing of the two laws was announced by Chief Secretary in the Office of the President and Cabinet, Dr Martin Rushwaya, in an Extraordinary Government Gazette published yesterday.
“The following laws, which were assented to by His Excellency, the President are published in terms of Section 131 (6)(a) of the Constitution of Zimbabwe, Finance Act and Appropriation Act,” reads the notice.
The Finance Act gives legal effect to the fiscal policy measures announced in the budget, while the Appropriation Act authorises expenditure votes for ministries and Government departments.
The budget was approved after both the Finance Amendment Bill and the Appropriation Bill were read for the third time in the National Assembly and the Senate, signalling their passage following protracted debate.
During the parliamentary process, Treasury made several concessions on key fiscal measures, paving the way for the implementation of Government’s spending and revenue plans for the coming year.
Prof Ncube presented the budget last month, outlining a mix of revenue-enhancing and expenditure measures aimed at stabilising the economy and supporting growth. Debate was extensive, with legislators raising concerns and proposing amendments, some of which prompted adjustments by Treasury.
The Finance Minister agreed to adjust allocations for several institutions, including Parliament, whose vote he said would be increased by an additional ZiG800 million from ZiG3 billion.
He also reversed his proposal to double the gold royalty rate to 10 percent after lawmakers warned that the move would negatively affect miners and the broader industry.
The royalty rate will now remain at 5 percent for gold prices ranging between US$1 200 and US$5 000.
Prof Ncube further withdrew his proposal to introduce a cash withdrawal levy following concerns that it would overburden formally employed citizens and undermine efforts to formalise the economy. He also acknowledged calls to review foreign currency withdrawal charges to protect diaspora remittances and small to medium enterprises.