ZIMSPHERE
HARARE – Parliament has urged the private sector to actively engage lawmakers throughout the year on economic policy, taxation and legislative reform, warning that reactive criticism of the national budget after it is tabled is counterproductive and avoidable.
 |
| Jacob Mudenda |
Addressing delegates at the recently held Zimbabwe National Chamber of Commerce (ZNCC) Business Review Conference held under the theme “Unlocking Business Potential Through Policy Partnerships and Productivity”, Jacob Mudenda, the Speaker of Parliament, said the national budget remains a proposal until it is enacted through the Appropriation Act and Finance Act following parliamentary debate and public input.
“The budget is not a final document,” Mudenda said, noting that it is shaped by submissions from public hearings and written contributions before Parliament passes the relevant legislation.
Using a medical analogy, Mudenda criticised what he described as public complaints made without structured engagement. “When one is sick, you do not shout in the streets that you are sick. You look for a doctor to attend to your illness,” he said, urging businesses to take their concerns directly to Parliament.
Parliament’s oversight role
Mudenda emphasised Parliament’s constitutional mandate to ensure consistency, predictability and accountability in policies governing business operations. Citing Section 119(3) of the Constitution, he said all institutions and agencies of the state are accountable to Parliament, forming the basis for legislative oversight of executive action and public resource management.
Quoting constitutional law scholar Professor Yash Ghai, he said parliamentary oversight “is not an obstruction to governance, but rather its refinement,” as it protects citizens and businesses from arbitrary power.
He further cited Professor Cheryl Saunders, who has argued that the health of an economy depends not only on sound policies, but also on institutions capable of holding policymakers accountable for faithful and transparent implementation.
According to him, effective oversight ensures regulatory stability, predictable taxation policy and consistent investment legislation – all of which are essential to a competitive and investor-friendly business environment.
Legislative agenda and business participation
Mudenda reminded delegates that Section 117 of the Constitution empowers Parliament to make laws for “peace, order and good governance,” and revealed that President Emmerson Mnangagwa has placed 33 Bills before Parliament during its current session.
“These laws will fundamentally shape the regulatory architecture within which your enterprises operate,” he said, adding that legislation should not be viewed as something imposed on business, but as a framework that can and should be shaped through stakeholder input.
He stressed that Parliament’s agenda is not fixed and must remain responsive to business needs. “Don’t cry in the wilderness. Come to Parliament,” he said, urging companies to submit concrete legislative templates and policy proposals.
Right to petition Parliament
Drawing attention to Section 149 of the Constitution, Mudenda highlighted the underutilised right of citizens and permanent residents to petition Parliament to enact, amend or repeal legislation.
“The football is now in your court,” he said, encouraging the business sector to petition Parliament on issues such as tax rationalisation, removal of regulatory bottlenecks, harmonisation of investment laws and modernisation of trade facilitation frameworks.
He questioned why businesses wait for the national budget to be presented before condemning tax measures, rather than proposing alternative domestic revenue mobilisation strategies earlier in the year.
Economic performance and transparency
While welcoming constructive criticism, the speaker rejected claims that Zimbabwe’s economy is “sick,” arguing that such assertions must be evidence-based.
He cited World Bank projections forecasting Zimbabwe’s economic growth at 6.6 percent, describing this as an endorsement of improving macroeconomic fundamentals.
He also pointed to the 2024 Open Budget Survey, which ranked Zimbabwe third in Sub-Saharan Africa for national budget transparency, behind only South Africa and Benin.
“These achievements reflect Parliament’s sustained oversight and the government’s commitment to openness in public finance management,” he said.
Fiscal discipline and revenue collection
The speaker outlined what he described as key economic stabilisation measures, including strengthened fiscal discipline through the cessation of central bank financing of budget deficits, closer coordination between Treasury and the Reserve Bank, and stabilisation of the exchange rate and inflation.
He referenced remarks by the Confederation of Zimbabwe Industries (CZI) president, reported in The Herald on 9 December 2025, who said government is listening and engaging the private sector.
On taxation, the official defended the recent 0.5 percentage point VAT increase, noting that it boosts fiscal revenue while leaving at least 14 basic foodstuffs and major agricultural inputs zero-rated.
“If you want VAT to go down, come up with alternative revenue streams,” he said.
ZIMRA and border efficiency
Mudenda also raised concerns over revenue leakages at border posts, calling for modern, transparent and efficient systems anchored in advanced technology to minimise corruption and inefficiencies.
“A modern revenue system is not optional but foundational,” he said, adding that Parliament supports the use of artificial intelligence to strengthen tax administration.
He concluded by criticising low private-sector participation in parliamentary public hearings, describing attendance by business leaders as “disappointingly sparse,” and urged stronger, continuous engagement in legislative processes.
.jpeg)
0 Comments