FOLLOW UP MISSION CONDUCTED FOR THE ZIMBABWE REVENUE AUTHORITY

MEFMI conducted a follow up in-country technical assistance mission to develop a revenue forecasting model for the Zimbabwe Revenue Authority (ZIMRA) from 20 to 24 February 2017. This technical assistance is expected to be conducted in three (3) phases.  The first phase was conducted from 28 November to 1 December 2016.  This mission involved structured training in revenue forecasting, taxation and the economy, data analysis and the development of mini Personal Income Tax (PIT) and Corporate Income Tax (CIT) models using the Zimbabwe data.

The second mission resulted in the development of the first version of the ZIMRA revenue forecasting model and involved the following:

• Finalization of PIT and CIT Models;

• Modelling of direct taxes, indirect taxes and non-tax revenues;

• Introduction and development of micro simulation modelling;

• Overview of data sets and implications for model building data assessments; and

• Overview of the Monthly Receipts Model.

The final mission, tentatively scheduled for May 2017, will include the development of microsimulation models. This will lead to the delivery of the final operational revenue forecasting model for Zimbabwe.

A team of (9) participants from the Research and Development Department of ZIMRA attended the activity to receive the Technical Assistance.  The mode of delivery during this 5 day capacity building activity was done through a combination of short lectures, discussions and hands-on, step-by-step practical exercises using the Zimbabwe data.  This was done to ensure effective skills transfer.

The main outputs from the mission include the following:

• Production of the first version of the ZIMRA revenue forecasting model, which will be used to produce revised revenue forecasts in April 2017. • The Research Department of ZIMRA is now equipped with technical skills on development and analysis of revenue forecasts.

The mission team members were Mr. Donald Ndwandwe (Director, Research, Strategy and Statistics); Mr. Edward Groening (Manager, Analysis/Research) and Mr. Sayed Timuno (MEFMI, Programme Manager – MEFMI Macroeconomic Management Programme. Mr. Ndwandwe and Mr. Groening are from the Swaziland Revenue Authority.