CHAIRPERSON
Mr. Evans Muhanga
Permanent Secretary
Ministry of Tourism
CO-CHAIRPERSON
Mr. Yousuf Zumla
Chairperson
Tourism Council of Zambia
KEY ISSUES, ACTION PLANS & ACCOUNTABILITY FRAMEWORK
| Sector | Working Group Leads | Market Failure | Proposed Solution | Agreed Solution | Next Steps in Operationalising Reforms | Key Beneficiaries | Expected Impact / IG/ PSS |
| Tourism | Tourism Council of Zambia Hotel and Catering Association of Zambia Zambia Revenue Authority Ministry of Finance and National Planning Ministry of Tourism | Removal of VAT on hotel and lodging services | Zero-rating VAT on services offered and provided by hotels and lodges | All stakeholders agreed that VAT on hotel and lodging services was making the sector uncompetitive Test measure for two years then review impact thereafter. | Tax Policy Review Committee under the Ministry of Finance to consider the budget submission for implementation in 2023 National Budget | Both local and International Tourists | Competitive pricing by accommodation establishments Increased affordability hence increased room occupancy Improve domestic tourism |
| Tourism | Ministry of Home Affairs and Internal Security Department of Immigration Ministry of Tourism Tourism Council of Zambia | Waive visa fees for selected countries | Elimination or scrapping off visa fees from selected countries Facilitate issuance of electronic visas and others at the point of arrival | Agreed to start with the Top 10 countries of choice. UK, USA, EU, Canada, Japan, Dubai, Australia, New Zealand, China, Switzerland | Ministry of Tourism to coordinate Immigration, Ministry of Home Affairs and Ministry of Finance for implementation | Tourism Sector | Increased tourist arrivals Increased revenue from foreign tourists due to increased arrivals |
| Tourism | Ministry of Finance and National Planning Zambia Revenue Authority Ministry of Tourism | Remove 20 percent withholding tax (WHT) on the re-insurance of planes outside the country | Eliminate the 20 percent WHT on reinsurance of planes outside Zambia as by default all Large Companies that reinsure aircrafts are not local | Resolution to be implemented through the budget process | Tax Policy Review Committee under the Ministry of Finance to consider the budget submission for implementation in 2023 National Budget | Airline industry Insurance industry | Reduced cost of doing business for the airline industry Lower airfares for the general public |
| Tourism | Ministry of Tourism Tourism Council of Zambia | Extend Tourism Concession Agreement (TCA) fixed fee concessions in national parks | Extend the relief that was granted on fixed fees on Tourism Concession Agreements to end of 2023 (targeting tourism operators in national parks) Should include relief on the minimum guaranteed fee to 2023 when tourist numbers are expected to improve | Resolution to be implemented through the budget process | Tax Policy Review Committee under the Ministry of Finance to consider the budget submission for implementation in 2023 National Budget | Tourism industry Ministry of Tourism or Government of the Republic of Zambia | Full recovery of tourism enterprises, post-covid-19 |
| Tourism | Ministry of Finance and National Planning Zambia Revenue Authority Ministry of Tourism Tourism Council of Zambia | Corporate tax reduction to 15 percent (as applicable to the agricultural sector) | Benchmark company or corporation tax for tourism enterprises against businesses in other sectors Benchmark company or corporation tax for tourism enterprises against similar businesses in other countries | Resolution to be implemented through the budget process | Tax Policy Review Committee under the Ministry of Finance to consider the budget submission for implementation in 2023 National Budget | Tourism industry Government of the Republic of Zambia | Reduced cost of doing business Increased competitiveness of tourism enterprises |
| Tourism | Ministry of Tourism Hotel and Catering Association of Zambia Tourism Council of Zambia | Scrap hotel managers’ registration fees of ZMW 12’000 as similar fees are not applicable to other industries | Benchmark hotel managers’ fees of ZMW 12’000 with other countries in the region Benchmark hotel managers’ fees with other industries within Zambia | Fees are provided for in the law therefore the Hospitably and tourism Act needs to be reviewed. Review the Hospitality & Tourism Act | Ministry or Tourism to coordinate with BRRA, PPDF and Justice Ministry to effect the review of the Hospitality & Tourism Act | Hospitality industry or tourism sector | Reduced cost of doing business hence increased competitiveness of tourism or accommodation enterprises |
| Tourism | Zambia Tourism Agency Tourism Council of Zambia Hotel and Catering Association of Zambia Ministry of Tourism | Suspend mandatory grading requirements for Tourism Establishments | Consider making hotel grading and classification voluntary and see how industry will respond Benchmark with what is prevailing in other countries in the region | Grading requirements are provided for in the law therefore the ZTA Act needs to be reviewed. Review the Hospitality & Tourism Act | Ministry or Tourism to coordinate with BRRA, PPDF and Justice Ministry to affect the review of the Hospitality & Tourism Act | Hospitality industry or tourism establishments | Reduced cost of doing business Increased competitiveness Innovation that should result in quality (hence tourism enterprises could compete based on quality) |
| Tourism | Ministry of Tourism Zambia Tourism Agency Tourism Council of Zambia | Streamline the Zambia Tourism Agency (ZTA) role in tourism | Restructure the Zambia Tourism Agency (ZTA) Split marketing function from regulatory function | ZTA is established by law which provides for both Marketing and Regulation Increase Marketing Budget for ZTA | Make ZTA more effective and efficient in marketing. Better use of ICT and digitisation to market destinations Collaborate on Celebrity marketing between Private Sector and ZTA | Tourism industry | Increased effectiveness in: Regulatory functionMarketing function |
| Tourism | Zambia Tourism Agency Ministry of Tourism Tourism Council of Zambia | Destination promotion | Increase budget allocation to tourism marketing: local and international Finalise and launch the “Zambia Tourism Investment Guide” Engage international agents and brands as destination marketers Formulate and develop plan to attract anchor investors to selected destinations | Embark on strategic marketing through trade shows, expos and use of influential and famous people Make ZTA more effective and efficient through better use of ICT and digitisation, consider streamlining grading and regulation and benchmark with other countries | Private Sector, ZTA and Ministry of Tourism to have a collaborative effort in promoting destinations | Tourism industry or sector | Increased awareness about Zambia and its tourism products Increased foreign tourist arrivals in Zambia Increased revenues from foreign tourists |
MEMBERS
| No. | Name | Organisation | Designation |
|---|---|---|---|
| 1 | Matongo Matamwandi | Zambia Tourism Agency | CEO |
| 2 | Keira Langford Johnson | Proflight/ Board of Airlines Zambia | Commercial Director/A Chair |
| 3 | Osama Bux | Tourism Council of Zambia | President |
| 4 | Tresford Musonda | Ministry of Finance and National Planning | Principal Planner |
| 5 | Maxwell Masempela | Zambia Ass. Of Tour Operators | Chairman |
| 6 | Mulemwa Moonga | Mice Academy | CEO |
| 7 | Kabemba Mwambilwa | Ministry of Fisheries and Livestock | Director Livestock |
| 8 | Victor Inambwae | Tourism Council of Zambia | CEO |
| 9 | Christopher Nsenje | HCAZ | President |
| 10 | Chris O’Donnell | Tourism Council of Zambia | Vice |
| 11 | Chanda Mwale | Tourism Council of Zambia | Board Member |
| 12 | Tecla Ngwenya | Tourism Council of Zambia | Board Member |
| 13 | David Banda | BRRA | Director- Business Facilitation and Engagement |
| 14 | Lillian Bwalya | MOT | Director Tourism |
| 15 | Esjan Van der Heide | Kafue /Mukambi | Director |
| 16 | Nkole Rachel Chisanga | Hostels Board of Management | Operations Manager |
| 17 | Grant Cumings | Eco Tourism Association of Zambia | Senior Econimist |
| 18 | Grant Gatchell | Tourism Council of Zambia | Board Member |
| 19 | Ms Nachilala Nkombo | WWF Zambia | Country Director |
| 20 | Mwenya Bwalya | Ministry of Justice | PS Legislation |
