Zaca Calls 2026 Budget Counterproductive for Living Costs

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Zaca Calls 2026 Budget Counterproductive for Living Costs
Zaca Calls 2026 Budget Counterproductive for Living Costs

Africa-Press – Zambia. The Zambia Consumer Association-ZACA- has described the 2026 proposed national budget as counterproductive in addressing the escalating cost of living, financial inclusion and job creation and has warned of dire consequences for consumers.

ZACA Executive Secretary Juba Sakala tells Phoenix News in an interview that the proposed increase in toll fees for trucks will push the cost of goods even higher, as transporters will pass on the expense to producers and distributors, who in turn will push it onto consumers.

According to the budget, medium heavy vehicles with two to three axles will now pay K400 from K300 at the Michael Chilufya Sata toll plaza and K200 from K50 at all other plazas while heavy vehicles with four axles and above will pay K600 from K460 at the Michael Chilufya Sata toll plaza and K300 from K250 at other plazas.

The 2026 national budget, presented by Finance and National Planning Minister Dr Situmbeko Musokotwane last Friday, has also proposed an increase in levies on mobile money transactions, with the lowest bracket of between K1 and K150 rising from 16 ngwee to 32 ngwee, while transactions above K5,000 and K10,000 will now attract K8 from K3 previously.

Mr. Sakala says while government is seeking to raise revenue to fund the budget, it should have taken a more consumer-centered approach, contending that taxing mobile transactions heavily will slow job creation, make the business environment difficult, stagnate local economies and hinder both digital and financial inclusion.

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