THE Government of Zimbabwe, in partnership with development agencies, is taking decisive steps to overhaul taxation and regulatory frameworks that have long stifled the growth of women-led small to medium enterprises (SMEs).
This bold initiative is aimed at unlocking the full potential of the sector, which already contributes more than 60% to the country’s gross domestic product (GDP).
The announcement followed a high-level multi-stakeholder dialogue convened during the Zimbabwe International Trade Fair (ZITF) in Bulawayo.
The event, hosted by the Information, Publicity and Broadcasting Services ministry in collaboration with the United Nations Development Programme (UNDP), brought together policymakers, development partners and industry leaders to discuss critical barriers affecting SMEs, particularly those led by women.
Key among the concerns raised were burdensome tax regulations and rigid policy frameworks that limit the scalability of small enterprises.
With women fast becoming the majority of SME operators in Zimbabwe, the dialogue placed strong emphasis on ensuring that future reforms are inclusive and tailored to their unique challenges.
Women Affairs, Small to Medium Enterprises Development minister Monica Mutsvangwa emphasised the need to remove compartments around the business.
“We brought in ministries and stakeholders who are going to identify fiscal policy barriers and work on rectifying them,” she said.
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Confederation of Zimbabwe Industries chief executive officer Sekai Kuvarika weighed in on the issue, noting that a one-size-fits-all approach to taxation hurts the growth trajectory of women-led businesses.
“The cost of regulation is often too high for these enterprises,” she said.
“We must begin to segment policies in a way that reflects the diverse needs of businesses and offer relief to women-led ventures as they scale up.”
Echoing similar sentiments, UNDP national co-ordinator for tax for sustainable development goals, Melusi Tshuma, highlighted that SMEs operate on limited capital and need strategic support.
“We have been engaging with relevant ministries to explore ways of reducing tax burdens while still ensuring revenue is brought in through expanded economic activity,” he said.
Women entrepreneurs were given the platform to voice their day-to-day struggles, offering first-hand insight into the gaps within the current regulatory and tax environment.
