Industry minister speaks out on reduction of fuel tax
Industry and Commerce Minister Mike Bimha has agreed to the assertion that the reduction in fuel prices marked the start of internal devaluation, but noted that a lot needed to be done to address other cost drivers.
“Very much so because a lot of things that Government is already doing will have an impact on the business environment,” Minister Bimha said in a sideline interview with The Herald during the ongoing 48th edition of the World Economic Forum (WEF) in Davos, Switzerland.
“The issue (entails) looking at efficiencies in terms of Government, looking at the whole reform on parastatals and which I am sure if we continue with the momentum and this pace will have positive impact on the overall business environment.”
Zimbabwe has lately experienced wanton price increases, which have partly been blamed on high cost of doing business, including cost emanating from high prices of fuel and premiums charged on hard currencies on the black market.
Acute shortage of foreign currency in the country has forced some businesses to resort to the parallel market to buy the foreign currency they require to import basic commodities.