Analysis on the Impact of the Proposed Rental Fees for The Newly Rebuilt Mbare Musika on Competitiveness

Following the fire that burnt down Zimbabwe’s most popular market, Mbare Musika, on the 8th of October 2024, Harare City Council embarked on the construction of a new market to house the affected traders. The market building has since been completed and is ready for occupation. The Harare City Council has proposed an array of charges for use of the market, which have been deemed by many as above the reach of ordinary traders traditionally operating from the area.

This paper provides an analysis of the implications for competitiveness of Harare City Council charging these fees on competitiveness and socio-economic welfare of the city.

PROPOSED CHARGES

The Harare City Council has proposed the following charges for traders who want to trade at the revamped Mbare Musika after the fire:

• Deposit on rent of US$150
• US$50 rent per week
• US$1 for every visit to the toilet
• US$240 per month for parking if one has a car.

Mbare Musika has been in existence for more than five decades, and the place has been affordable to traders coming from poor backgrounds seeking a source of livelihood. Over the years it has grown to be a popular place for the supply of fruits and vegetables, hardware items, and others. Before the fire in October 2024, traders operating from the market were paying US$25 rental per month to the Harare City Council. The new charge of US$50 per week, culminating in US$200 per month, is way above the thresholds of operations of the traders. This implies a 700% rental increment.

NCC ANALYSIS ON THE PROPOSED MBARE MUSIKA RENTALS