Zambia has extended the temporary suspension of excise duty and the zero-rating of Value Added Tax on petrol and diesel imports for a further 90 days, aiming to limit the impact of elevated global oil prices on consumers and businesses.
Zambia has extended the temporary suspension of excise duty on petrol and diesel, together with the zero-rating of Value Added Tax (VAT) on the two fuel products, for another 90 days.
The extension applies from 1 July to 30 September 2026 and is intended to cushion consumers and businesses from higher fuel costs linked to rising global oil prices and ongoing geopolitical tensions.
The measures were introduced through Statutory Instrument (SI) No. 60 of 2026 under the Customs and Excise Act, which extends the suspension of excise duty, and Statutory Instrument (SI) No. 61 of 2026 under the Value Added Tax Act, which continues the zero-rating of VAT on petrol and diesel imports.
Announcing the decision on 1 July 2026, Information and Media Permanent Secretary Thabo Kawana said the tax relief forms part of the government’s response to continued volatility in international oil markets, including supply chain pressures arising from the conflict in the Middle East.
According to Kawana, the extension is designed to help stabilise pump prices, protect households and businesses from higher fuel costs, and support broader economic stability.
He added that the government will continue to implement targeted interventions aimed at protecting livelihoods, maintaining energy security and supporting sustained macroeconomic resilience.
The latest extension follows the introduction of the temporary tax relief measures earlier this year as Zambia sought to reduce the domestic impact of higher international fuel prices.
This announcement was made on 2 July 2026.
