HARARE: Zimbabwe’s fiscal space further shrunk in the first half of the year amid indications government revenue collections tumbled 12% in the period under review, showing the economy is crumbling.
Figures released by the Zimbabwe Revenue Authority (Zimra) for the first six months of this year show that the tax collector has missed revenue collection target by 12%, crippling government financially. Government is struggling to meet its obligations, including paying civil servants on time.
Gross revenue collections for the second quarter grew to US$866,96 million from the US$781,99 million collected in the first quarter. “The gross collections were 3% below the target of US$892,88 million. This compares favourably with the first quarter revenue performance where gross collections were 9% below target,” Happias Kuzvinzwa, Zimra Acting Commissioner General said this week. In the first quarter to march, Zimra collected US$782 million against a target of US$861,83 million, missing the target by 9%. In the second quarter to June, Zimra collected US$866,96 million, a 3% variance from a target of US$892,88 million.
