MBABANE:Eswatini Parliament has approved the 0.5% Value Added Tax(VAT) increase, triggering a huge surge in food prices and an extra financial burden for consumers in other basic commodities.
The increase comes after the South African Government approved the VAT increase with a similar percentage, South Africa is eSwatini’s largest trading partner and, both countries are members of the South African Customs Union(SACU).
As a result, the parallel VAT increase introduced by both countries seeks to enhance convenient trade particularly in the movement of goods through the boarders but, at a huge cost for the financial struggling end consumers.
Eswatini Parliament approved the VAT increase on Wednesday and this means, emaSwati will now pay 15.5% as a Value Added Tax.
Eswatini Parliament approves 0.5% Value Added Tax(VAT) increase triggering surge in food prices and other basic commodities, decision to boost SACU revenue(pic: Internet).