By Jonathan Mbiriyamveka
HARARE – NetOne Cellular has called on Government to remove the 15 percent Value Added Tax (VAT) on imported ICT infrastructure equipment, arguing that the move would significantly reduce the cost of expanding broadband networks and improve access to affordable digital services across Zimbabwe.
Speaking during the Mid-Term Economic Review and High-Level Policy Dialogue in Harare, NetOne Group Chief Executive Officer Engineer Raphael Mushanawani said creating a more investment-friendly fiscal environment would accelerate digital transformation and strengthen Zimbabwe’s economic competitiveness.
He said while selected ICT equipment currently enjoys duty-free status, operators continue to face a 15 percent VAT on imports, varying tariff classifications and inconsistencies in exemptions for broadband infrastructure equipment.
“Rationalising these measures would significantly reduce the cost of network expansion, accelerate investment and improve access to affordable digital services,” Eng Mushanawani said.
He said digital infrastructure had become a strategic national asset that underpins economic growth and productivity.
“Macroeconomic stability creates the foundation for growth, but digital transformation determines the speed, scale and inclusivity of that growth,” he said.
According to Eng Mushanawani, global evidence shows that a 10 percent increase in broadband penetration can contribute up to 1.5 percent growth in Gross Domestic Product (GDP), highlighting the importance of investment in telecommunications infrastructure.
He said Zimbabwe had an opportunity to strengthen the policy and fiscal environment by reducing the cost of deploying digital infrastructure.
The proposed reforms, he said, are consistent with the National Development Strategy 2 (NDS2), the National ICT Policy (2022–2027) and Vision 2030, all of which identify digital infrastructure as a catalyst for industrialisation, innovation and inclusive economic growth.
Eng Mushanawani said collaboration between Government and industry would be critical in unlocking the country’s digital economy.
“By creating a more investment-friendly environment for ICT infrastructure, Zimbabwe will accelerate universal connectivity, strengthen national competitiveness and unlock greater economic value across all sectors,” he said.
