Bankers demand Ncube scrap money transfer tax

Zimbabwe's banking sector formally urged Finance Minister Mthuli Ncube to abolish the Intermediated Money Transfer Tax (IMTT), warning that the levy is damaging business formalization and digital payment adoption. The Bankers Association of Zimbabwe (BAZ) argued the tax is punishing formal commerce and driving transactions into the informal economy. The demand came ahead of the Mid-Term Budget Review, expected in July 2026, where fiscal policy adjustments will be tabled. Banks proposed a phased reduction of the tax as a first step toward full elimination. The IMTT currently generates significant government revenue, but the formal sector is shrinking under the combined weight of taxes and a constrained economy.