Remarks by Board Chairman, Mr Antony Mandiwanza
It is my pleasure to present ZIMRA’s Annual performance for the year ending 31 December 2022.
The global economic growth for 2022 slowed down to 3.2 from 6% in 2021 as the rising cost-of-living, tightening financial conditions in most regions, the Russia-Ukraine conflict and the lingering COVID-19 pandemic all weighed heavily on the global growth projections.
Following further relaxation of COVID-19 related restrictions, domestic economic activity relatively improved in 2022 on the back of improved performance in various sectors led by a boom in Agricultural production.
The improvement was supported by tight monetary and fiscal policy measures, which helped stabilize the domestic economy. The stability improved the generation of taxable income from companies, employment and trading of goods and services among others.
The Zimbabwe Revenue Authority, hereafter referred to as the Authority, managed to surpass the 2022 Annual target by 26.47%. Between 2021 and 2022, the nominal and real revenue grew by 332.3% and 39.8% respectively, therefore the Authority contributed significantly towards Domestic Resource Mobilisation which is necessary for the implementation of Government’s National Development Strategy (NDS 1) and the National Vision 2030 - “Towards a Prosperous and Empowered Upper Middle Income Society by 2030”. This was achieved through directing management on strategic areas aimed at increasing revenue collection, reducing cost of collection, deepening and widening the tax base, embracing digitalisation, innovation and improving service delivery.
Further, ZIMRA, implemented some transformative strategic projects to improve the Authority’s ability to deliver on its mandate and support. These include new Commercial and Passenger terminals that were commissioned under the Beitbridge Modernisation project. In addition, heavy-duty scanners and long-range drones were procured to mitigate revenue leakages.
ZIMRA also played a critical role in the Facilitation of Trade and Travel, to improve the country’s Ease of Doing Business index.
In 2023, the Authority will continue implementing the transformative projects that are underway and will be pursuing revenue enhancing measures targeted at increasing the tax base and ensuring high compliance levels with taxation laws. To this effect, the revenue is expected to grow to levels above 19% of GDP.
Governance
There were key changes within the governance structures of the Authority in 2022. These included the appointment of new board members and substantive appointment to executive roles, the details of which will be covered in the main report. A new Commissioner General, Regina Chinamasa, was appointed with effect from 1 September 2022. I once again extend my heartfelt congratulations to her and commit the Board’s support as she directs the day-to-day operations of the Authority.
Acknowledgement
My appreciation goes to the ZIMRA Board, Management and staff for their dedicated commitment that allowed ZIMRA to fulfil its mandate.
I also express my gratitude to the Minister of Finance and Economic Development, Honourable Professor Mthuli Ncube, the Permanent Secretary, Mr George Guvamatanga, and the entire Ministry for providing timely and adequate policy support during the year. I am truly grateful for the requisite support rendered.
Finally, I would like to thank our valued compliant taxpayers for paying their dues in full and on time.
I thank you.