Zimbabwe cuts tourism fees by half to boost competitiveness

 Zimbabwe has approved sweeping reductions in tourism sector fees, licences and levies, with most charges cut by approximately 50 percent to enhance regional competitiveness.

Tourism and Hospitality Industry Minister Barbara Rwodzi confirmed the reforms following Tuesday’s Cabinet meeting, though the full list of revised requirements will be published later.

“We have specific fees, licences and levies that have been dropped… most of them are cutting across by about half,” Rwodzi said at the post-Cabinet briefing.

The tourism sector overhaul forms part of President Emmerson Mnangagwa’s July directive requiring ministries to implement ease-of-doing-business initiatives across 12 sectors within six months.

Health, agriculture, retail, transport, energy, manufacturing, broadcasting, telecommunications, liquor, construction and financial services are also targeted for reform.

Finance Minister Mthuli Ncube said fee reductions range from 25 to 50 percent, with some charges eliminated entirely. “We have used a very fine tooth comb… and we are sure that this will go a long way in reducing the cost of business,” he said.

The National Competitiveness Centre’s research revealed existing fees made Zimbabwe’s tourism industry uncompetitive regionally and globally, prompting the comprehensive review.

“These fees really have raised the cost of doing business. They render our industry uncompetitive regionally and also globally,” Ncube explained.

Information Minister Jenfan Muswere said Cabinet approved the removal of unjustifiable licences, streamlining of duplicative requirements and reduction of unsustainably high fees.

“The review was undertaken to remove identified unjustifiable licences and permits, levies and fees, streamline duplicative and overlapping licences and permits, and reduce unsustainably high fees and levies,” Muswere said.

The tourism reforms target multiple regulatory authorities including Zimbabwe Tourism Authority, Parks and Wildlife Authority, Roads Authority and Aviation Authority.

Industry stakeholders welcomed the changes after extensive consultations covered accommodation, hospitality, catering, tour operators, boating services and vehicle rentals.

Confederation of Zimbabwe Industries CEO Cornelius Dube called for a single licensing authority for tourism. “There should be a coordinated approach to the acquisition of all licences and permits,” he said.

The current system forces businesses to obtain multiple permits from different agencies through lengthy procedures, creating what stakeholders describe as a “choking regulatory environment.”

Zimbabwe Tourism Authority CEO Winnie Muchanyuka said rationalized costs would inspire confidence among emerging businesses owned by locals.

“The industry had become very expensive and would require lawyers to deal with licensing issues. Lower fees will also attract direct foreign investments,” Muchanyuka said.

The tourism sector contributes 12 percent of Zimbabwe’s GDP and generated $1.18 billion in 2024. Government targets $5 billion in tourism revenue by 2025.

Statistics show tourist arrivals rose 174 percent to 1,043,781 in 2022 from 380,820 in 2021 as COVID-19 restrictions eased. Most visitors came from Africa (66 percent), followed by Europe (17 percent) and Americas (10 percent).

Experts predict Zimbabwe could welcome 2.32 million visitors by 2025, exceeding pre-pandemic levels, potentially reaching 2.78 million by 2028.

The reforms align with Vision 2030 economic goals and follow similar regional initiatives. South Africa recently updated its tourism policy for the first time since 1996.

Transport sector fees affecting tourism, including Zimbabwe Broadcasting Corporation radio and television licences, will also be reduced, Rwodzi confirmed.

Ncube emphasized the six-month implementation timeline runs until December. While starting with 12 sectors, the review will eventually extend across the entire economy.

The comprehensive overhaul addresses longstanding complaints about Zimbabwe’s complex regulatory framework. Businesses currently face what critics call a “labyrinth of permits and fees.”

A Harare supermarket, for example, requires over 30 different licences and permits to remain compliant, creating excessive operational costs that discourage investment.

As Zimbabwe seeks to attract both leisure tourists and business visitors, the fee reductions aim to showcase the country’s natural attractions including Victoria Falls, Hwange National Park and Lake Kariba more competitively.

Source: Zimbabwe cuts tourism fees by half to boost competitiveness (27/08/2025)