Zimbabwe: Sugar Tax Boost for Cancer Fight

29 October 2024
The Herald (Harare)
By Farirai Machivenyika,

Treasury has urged the Ministry of Health and Child Care to expedite its procurement processes for the purchase of cancer treatment machines from the revenue generated through the sugar tax that was introduced in this year's Budget.

Treasury has so far collected at least US$18 million in local currency equivalent from the tax levied on sugar contained in beverages.

Chief Director responsible for expenditure management in the Ministry of Finance, Mr Percy Takavarasha, yesterday told the Parliamentary Portfolio Committee on Budget, Finance, Economic Planning and Investment Promotion that the Ministry of Health had been formally informed of the existence of funds.

"The cancer funds are ring-fenced and also that the Ministry of Health has been notified to the existence of the funds as well as the need for them to expedite the procurement processes so that the cancer equipment, which have been requested, is actually procured.

"Our recommendation (to the Committee) would therefore be to also get in touch with the Ministry of Health to get an up-to-date status report with regards to procurement. We formally advised them of the availability of funding and from the point of view of Treasury, we expect that the ministry will also expedite the process since it's a ring-fenced funding, which is critical and which has been set aside by Parliament for that purpose," he said.

Cancer has become a major health concern and the leading cause of death in the country.

Meanwhile, the Acting Permanent Secretary in the Ministry, Mr Edwin Zvandasara, said they were exploring ways to increase the tax base to reduce the burden on those who are formally employed.

"My submission was that we are currently reviewing the tax structure with a view to broaden the tax structure and improve efficiency. So, we are actually looking at how best we can bring on board those who are currently not contributing, while also, of course, reviewing.

"That review can result in a number of actions, but that has to be informed by the results of the review. But the general thrust is to ensure that we broaden the tax base so that as many people as possible contribute towards the fiscus," he said.

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