Categories: Stories

MDC calls on Mthuli Ncube to resign immediately

The Movement for Democratic Change today called on Finance Minister Mthuli Ncube to resign for implementing a tax regime which it said was totalitarian, draconian and fascist.

Ncube announced a two cents per dollar transaction tax on 1 October but it was only gazetted yesterday and came into effect today.

The tax, which is aimed at largely roping in the informal sector, is for transactions of $10 and above but there is a cap of $10 000 for transaction of above $500 000.

The tax was strongly opposed by the nation but President Emmerson Mnangagwa stood behind his Finance Minister.

Prices rocketed, fuel ran out and the exchange rate ran amok.

Exchange rates, however, started falling when Afreximbank guaranteed the exchange rate of the bond note at par with the United States dollar and the Confederation of Zimbabwe Industries changed its mind to welcome the tax yesterday and exchange.

The MDC, however, said the statutory instrument that Ncube used to regularise the tax was unconstitutional in two ways.

“Firstly Parliament’s primary law making power cannot be delegated and secondly a statutory instrument cannot repeal an act of parliament neither can it be in opposition of an enabling act,” the MDC said.

“Fundamentally, the creation of a robber state which pick pockets the poor is an evil of the highest order.

“Forcing the suffering masses living in abject poverty to fund lives of the political elites who are the sole reason of economic decay is unbelievable.

“It is also the opposite of the interventions required, taxing the citizens to death in a recession is digging the economy deeper into an abyss.”

The main opposition party also demanded the following:

  1. That Mthuli resigns forthwith for causing economic chaos.
  2. The new taxes must be reversed unconditionally.
  3. Supply side solutions be employed – that is the sane way to expand fiscal leg room.
  4. National dialogue be initiated in line with President Chamisa’s 5 point plan.
  5. An Emergency Economic Recovery program must be adopted and stop the unpalatable suffering of the Zimbabwean people.

(765 VIEWS)

This post was last modified on %s = human-readable time difference 3:47 pm

Charles Rukuni

The Insider is a political and business bulletin about Zimbabwe, edited by Charles Rukuni. Founded in 1990, it was a printed 12-page subscription only newsletter until 2003 when Zimbabwe's hyper-inflation made it impossible to continue printing.

View Comments

Recent Posts

Can the ZiG sustain its rally against the US dollar?

Zimbabwe’s battered currency, the Zimbabwe Gold, which was under attack until the central bank devalued…

November 10, 2024

Will Mnangagwa go against the trend in the region?

Plans by the ruling Zimbabwe African National Union-Patriotic Front to push President Emmerson Mnangagwa to…

October 22, 2024

The Zimbabwe government and not saboteurs sabotaging ZiG

The Zimbabwe government’s insatiable demand for money to satisfy its own needs, which has exceeded…

October 20, 2024

The Zimbabwe Gold will regain its value if the government does this…

Economist Eddie Cross says the Zimbabwe Gold (ZiG) will regain its value if the government…

October 16, 2024

Is Harare the least democratic province in Zimbabwe?

Zimbabwe’s capital, Harare, which is a metropolitan province, is the least democratic province in the…

October 11, 2024

Zimbabweans against extension of presidential term in office

Nearly 80% of Zimbabweans are against the extension of the president’s term in office, according…

October 11, 2024