Chilufya warns 100% hike on mobile money fees will derail financial inclusion

Victor Chilufya, a public affairs commentator has criticised Finance Minister Situmbeko Musokotwane for reportedly hiking mobile money transaction fees by 100 percent, warning that the move will reverse milestones achieved in financial inclusion.

Musokotwane announced in the 2026 budget the increase in mobile money transaction fees by 100 percent, a measure he defended as broadening the tax base.

But Chilufya argued that the government should have focused on revenue generation from the mining sector instead of targeting the informal sector.

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“He could have loved more resources projected to be realised from the sprouting gold and emerald mining sector rather than targeting the informal sector,” Chilufya said.

He cautioned that while the proposed hike would expand the tax base, it would undermine efforts to promote digital transactions, pushing more people back to cash-based systems.

“The hike in mobile money transactions by 100 percent will be a drawback in terms of advancing financial inclusion in the country,” Chilufya said.

He warned that the decision could drive many back to traditional banks, crowding out the mobile money industry and reversing progress made in digital financial services.

Chilufya further noted that while measures have been introduced in the budget to boost the productive capacities of Artisanal and Small-Scale Miners (ASM), government should have provided revenue targets from the gold industry, which remains dominated by informal miners, to strengthen the country’s fiscal position.

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