VISA/Mastercard transaction charges starting to sink in at 25%
TMTMPR
Verified Article
View Editorial TeamFor smaller international online transactions below $5 it feels like paying twice the bill and for $100+ transactions in Zimbabwe you might need to prepare another budget just to cover the transaction charges.
Back in January 2026 the government of Zimbabwe introduced a 15.5% Digital Services Withholding Tax (DSWT). A few months down the line the effects are starting to kick in as more online consumers are starting to notice $4 is not enough to pay a $2 transaction which was previously possible with some banking services.
Standard VISA/Mastercard Charges on international transactions
| Charge | % |
|---|---|
| Digital Services Withholding Tax (DSWT) | 15.5% |
| IMT Tax | 2% |
| Merchant Charges < $5 | $1.50 - $5 |
| Merchant Charges > $5 | 2.5% - 7% |
In most cases the merchant charges always end up above 5% meaning an online purchase of $100 can cost up to $25 in charges while a simple $3 Spotify subscription can cost up to $2.50 in charges.
