Zambia waives duty tax on GSM equipment

Telecoms

The Government has passed a Statutory Instrument (SI) which suspends duty on taxes related to all active and passive Global System for Mobile Communication (GSM) telecommunications equipment.

The ministries of  Finance and National Planning and  Communication and Transport jointly issued SI Number 23 of 2011 under the Customs and Excise Act which waives all taxes for telecommunication site equipment.

Ministry of Communications and Transport permanent secretary Dominic Sichinga said the SI was issued in March this year.

Sichinga said the measure is a response to bridge the digital divide between the rural and urban areas although Government needs the private sector to meet the telecommunication demands in the country. “On our part as Government, we shall continue to make deliberate efforts as the custodians of the Information Communication Technology (ICT) national policy to engage partners for ICT development to reach greater heights and permeate to all parts of the country,” he said.

The waiver has facilitated telecommunication service operators Airtel, MTN and Zamtel as well as any other ICT sector players constructing and installing communication equipment to reduce their capital expenditure and in turn accelerate their network spread.
The SI No. 23, the Customs and Excise focus on re-mission electronic communications regulations, duty waiver on the roll-out towers and associated mobile communication equipment to rural areas and unserved areas.