The Harare City Council has slashed shop licence fees by 54 percent to support Small to Medium Scale enterprises.
The fees have been reduced from US$649 to US$300 annually.
The local authority also introduced flexible payment options: monthly (US$40), quarterly, biannual, or annual payments.
Fees now categorized by business size:
•Small businesses: US$400 annually
•Medium businesses: US$600 annually
•Large businesses: US$800 annually.
🟢Reasons for the Reduction:
•Address complaints from SMEs about high fees and rigid non-transferability of licences.
•Encourage SME growth as they contribute 60% of Zimbabwe’s GDP.
•Zimbabwe has a large informal economy due to company closures, currency instability, and inflation.
🟢Policy Improvements:
•Introduction of flexible payment plans to ease financial pressure.
•Options for monthly or quarterly licences for frequently relocating businesses.
•Greater engagement with SMEs through consultations and feedback channels.
🟢Broader Goals:
•Part of Harare’s vision to become a world-class city.
•Supports formalisation of informal traders.
•Budget approval pending from the Ministry of Local Government and Public Works.
