Chiredzi Central legislator Ropafadzo Makumire says the 2026 National Budget falls short in addressing the real needs of young people, warning that proposed tax adjustments may worsen the cost of living.
Speaking outside Parliament, Makumire said the Finance Ministry missed an opportunity to meaningfully support youth empowerment at a time when unemployment and limited economic opportunities continue to burden the country’s largest demographic group.
Makumire particularly criticized the decision to increase Value Added Tax (VAT) from 15% to 15.5%, arguing that even a marginal rise will result in higher prices for essential goods.
In his 2026 National Budget presentation last week, Finance Minister Professor Mthuli Ncube defended the VAT hike as a compensatory measure for the reduction of the Intermediated Money Transfer Tax (IMTT) on ZiG transactions—cut from 2% to 1.5%. He said this adjustment was necessary to maintain revenue flows while promoting wider use of the local currency.
