Government says it will not ignore the challenges that the manufacturing sector is facing.
Minister of Finance and National Planning Situmbeko Musokotwane said this in Lusaka today, when he officiated at the Zambia Association of Manufacturers 2024 Pre-Budget Meeting.
Dr. Musokotwane said that government is aware of the energy crisis and exchange rate that has negatively affected the sector.
“This is why government has implemented strategic interventions such as increasing the company income tax relief from 14.5% to 20% of taxable profits for the first five years of operation for businesses located in rural areas,” said Dr. Musokotwane in a statement issued to RCV News in Lusaka today.
He said that government has also broadened the list of local products eligible for the 2% local content allowance, in order to encourage domestic value addition.
Dr. Musokotwane added that the implementation of tax holidays at various stages of the cotton value chain to spur investment and foster job creation, is another measure government has rolled out to support the manufacturing sector.
He has assured players in the local manufacturing industry that government is open to dialogue for the benefit of the sector.
By Angel Kasabo
