By Takudzwa Changadeya
Harare – Norton Member of Parliament Richard Tsvangirai has condemned the government’s proposed 2025 national budget, describing it as a document that stifles economic growth, deepens inequality, and neglects the aspirations of Zimbabwe’s youth.
Last month, Finance Minister Mthuli Ncube presented the national budget, introducing a series of new taxes, including a fast-food tax, a betting tax, and a 20% levy on plastic carrier bags.
Critics and economists have widely labeled the budget as punitive, particularly for its negative impact on the informal sector.
During Wednesday’s parliamentary proceedings, Tsvangirai denounced the budget as “deeply troubling” and devoid of vision.
“This is not a budget for growth, jobs, or young people. It perpetuates inequality and punishes the vulnerable,” Tsvangirai said.
He criticized the newly proposed taxes, such as a 0.5% fast-food tax, a 10% tax on betting winnings, and the 20% plastic carrier bag levy for disproportionately targeting low-income earners and small businesses.
“For residents of Norton, where inflation and unemployment are already major challenges, these taxes will exacerbate financial struggles.
“The fast-food tax unfairly targets low-income families and threatens the survival of small businesses, many of which are lifelines for our community,” he said.
Tsvangirai dismissed the budget’s projected 6% economic growth rate as “unrealistic,” arguing that the proposed fiscal and monetary policies would suppress economic activity rather than stimulate it.
“Rather than stimulating growth, these measures discourage investment and demand.
“Small businesses, considered the backbone of Norton’s economy, are also at risk,” Tsvangirai warned.
He singled out the plastic bag tax and the 25% levy on rental income from residential properties converted for business use as policies that stifle entrepreneurship.
“The plastic bag tax and a 25% levy on rental income from residential properties converted for business use were singled out as measures that stifle entrepreneurship.
“These policies discourage innovation and force small enterprises to pass costs onto consumers or shut down entirely,” Tsvangirai said.
Beyond economic concerns, Tsvangirai highlighted the inadequate healthcare funding of $49 per capita, far below the World Health Organization’s recommended levels.
“Health is wealth, yet this government continues to underfund healthcare while prioritizing wasteful expenditures elsewhere,” he lamented.
Tsvangirai also expressed alarm over Zimbabwe’s ballooning debt burden, which has reached US$21.1 billion as of September.
Urging a reconsideration of the budget, Tsvangirai called on the Finance Minister to present a revised plan that prioritizes inclusivity, job creation, and youth empowerment.
“The youth of Norton and the nation deserve a budget that gives them hope and opportunity,” he added.
