Published on
November 8, 2025
Zimbabwe is losing millions of dollars annually as widespread non-compliance in airline ticketing diverts funds abroad, undermining the country’s tourism recovery. A significant portion of travel agencies operate outside internationally recognized payment systems, causing revenue leakages, reduced foreign currency circulation, and incomplete market data for airlines. Experts warn that without urgent reform, these practices could stall the growth of Zimbabwe’s tourism and aviation sectors, limiting connectivity and investor confidence.
The report reveals that nearly three-quarters of Zimbabwean travel agencies operate outside the globally accepted Billing and Settlement Plan (BSP), the standard platform used by airlines to manage secure payments. This widespread non-compliance allows unregistered or foreign-based agencies to divert funds away from Zimbabwe, depriving the economy of critical foreign currency and limiting tax revenue collection.
In many cases, travelers pay in US dollar cash locally, but the corresponding tickets are processed through BSP systems in neighboring countries like Zambia and Malawi. This arrangement not only reduces the circulation of foreign currency within Zimbabwe but also obscures the true scale of domestic and international air travel demand. Consequently, airlines and investors perceive Zimbabwe as a smaller and higher-risk market than its regional peers, discouraging new routes and connectivity improvements.
According to TBCZ data, Zimbabwe’s BSP recorded US$78.6 million in airline ticket sales between January and August 2025, with 86% of those payments made in cash. However, the actual market size may be nearly double once offshore sales are included, underscoring the magnitude of revenue leakages. Of the country’s 300 travel agencies, only 85 are BSP-compliant, representing just 28% adherence to international ticketing standards.
The aviation sector has already seen sharp declines. In the first quarter of 2025, flights fell by 42%, from 19,588 to 11,376, while passenger traffic dropped nearly 20% and air freight volumes declined by 38.8%. Industry analysts warn that continued revenue outflows and unregulated practices could further delay recovery to pre-pandemic levels.
The TBCZ report also points to widespread operational irregularities. Some agencies are registered domestically but conduct core business abroad, while others employ foreign staff without permits or process ticketing via offshore servers. Some offer cash deals with no service fees, undercutting compliant operators and eroding market fairness.
Comparisons with other African nations illustrate the risks of weak regulation. In certain jurisdictions, authorities have frozen agency accounts and placed them under judicial oversight after uncovering large-scale tax fraud and money laundering, demonstrating the potential effectiveness of coordinated enforcement in protecting public revenue and maintaining industry integrity.
To address these challenges, the report recommends stricter monitoring and enforcement of BSP compliance, better oversight of offshore ticketing transactions, and tighter regulation of licensing and operational practices. Ensuring that ticket sales are processed domestically would strengthen foreign currency inflows, increase tax collection, and provide accurate data to help airlines assess route profitability and expand services.
Reforming Zimbabwe’s ticketing ecosystem is seen as a critical step for the tourism industry’s recovery. Transparent and regulated operations would protect compliant agencies, rebuild investor confidence, and provide a true reflection of domestic and international travel demand. Closing these financial leakages could also enhance connectivity, support sustainable growth, and position Zimbabwe as a competitive player in regional tourism and aviation markets.
Without decisive action, Zimbabwe risks continued revenue loss, diminished airline investment, and slower tourism recovery. Strengthening the regulatory framework and enforcing compliance are essential to restoring market integrity, improving transparency, and securing the future of the nation’s travel and tourism sector.
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