Business Writer
EX-Finance Minister Tendai Biti has predicted a long winter of suffering following the delivery of a ‘disastrous’ 2024 National Budget presentation which has fast attracted backlash across the nation.
This follows the tabling of a ZW$58,2 trillion budget paper by Finance and Investment Promotion Minister ,Prof Mthuli Ncube on Thursday.
The blueprint has not excited many ordinary citizens as much due to the heavy taxes introduced on assets such as residential property, vehicles importation, and passport fees among others.
So dire is the situation that Treasury has gone to the extent chasing after the paltry US$300 allowances being paid to civil servants.
Adding his voice , Biti described the blueprint as a shocking parody of fascism, extraction, dishonesty, incompetence and downright narcissism.
He said all in all ,the 2024 Budget reflects a regime “totally oblivious of the structural challenges” facing the economy ,the plight of the ordinary citizen and the myriad issues affecting business .
“The Budget betrays respect of economic fundamentals and as a result its prescriptions are a disastrous panalopy of cruel extractive illegal if not unconstitutional measures. This a budget that reflects a regime with total contempt of its subjects.
“The imposition of a massive array of taxes on a population mulcited by poverty and social challenges is reflective of this anti -citizen polity. The increase in toll gate charges ,passport fees ,duty on soft drinks, vehicle registration ,fuel levy are narcissistic and unnecessary,” he said
The former Treasury boss said the proposed government takeover of Third Party insurance is clearly unconstitutional and zany while highlighting that the massive removal of VAT zero rating on all goods except exports and medicines will hurt the poor and elderly as will the removal of duty suspension on basic goods.
Biti said the powers given to the Zimbabwe Revenue authority of temporary shutting down businesses, seizing storage devices ,raiding custody vaults at Banks, seizure of goods , seizure of digital data , without due process are fascist and unconstitutional.
“These measures can’t stand legal scrutiny. The introduction of a 1 % tax on people s homes above $100 000 is another ill thought measure that will hurt innocent home owners and struggling working people. After all capital gains, rates and stamp duties are already being paid by homeowners,” he said.
The seasoned barrister said the structure of the Budget is technically unsound as it fails to express the allocations in US$ making it lose any decency or credibility.
“Further the budget grossly hides huge budget deficit created in 2023 which will be reflected in a condonation Bill that will come two years from now.
“The Budget fails to address exchange rate mess thus guaranteeing continued existence of exchange rate arbitrage and hyperinflation. It fails to give relief to working people and punishes same through vast array of punitive revenue measures. It will be a long winter of suffering,” added Biti.
