Source: Group warns of violence over Mugabe succession – DailyNews Live
Gift Phiri 21 July 2017
HARARE – Not for the first time, Zimbabwe has been warned that President
Robert Mugabe’s failure to resolve the succession issue could plunge the
country into bloodletting violence.
This comes as much-needed foreign investors are increasingly taking a
wait-and-see attitude as the country prepares for the crucial 2018
national elections.
Business Monitor International (BMI) – an independent group which provides
country risk and industry analysis on developing economies and slightly
developed but small economies – warned that Mugabe’s refusal to plan for
a transition, was forcing large international companies to re-think their
plans to invest in Zimbabwe.
The increasingly frail Mugabe has consistently refused to name a
successor, leaving that job to Zanu PF which, according to its
constitution, should do that at an elective extraordinary congress.
“The main security risk to investors in Zimbabwe stems from the threat of
political violence, which tends to flare up around election periods.
“Ongoing succession battles within the ruling Zanu PF party have
contributed negatively to political stability in Zimbabwe.
“We have seen a premature spike in political violence with different
factions engaging in clashes countrywide in 2016, and we expect risks of
outbreaks of political violence to remain elevated through to 2018,” the
BMI said in its latest report.
Zimbabwe is currently in the grip of an economic crisis which has resulted
in shortages of cash and many company closures and job losses.
As the 2018 elections loom large on the horizon, rights and opposition
groups have been reporting an increase in the incidents of violence which
they both blame on Zanu PF and the state.
Last week, several police details were left nursing injuries when police
indiscriminately fired teargas to disperse MDC youths who were holding a
demonstration in Harare, before assaulting ordinary citizens who were
caught in the chaos that ensued during the running battles with the
opposition members.
In the aftermath of the demonstration, suspected political thugs torched
an MDC truck in Kuwadzana where one of the opposition party’s councillors
reported his house was stormed and damaged by gangs believed to be
sympathetic to Zanu PF.
Former Harare mayor and MDC deputy president Elias Mudzuri had his bar set
on fire by unknown people and suspects the incident is
politically-motivated.
BMI noted many weaknesses which it said were making Zimbabwe an
unattractive destination for foreign investors.
“The amalgamation of pervasive corruption, weak rule of law and policy
uncertainty underscored by shifting positions on the country’s opaque
indigenisation policy makes Zimbabwe an unattractive investment
environment for foreign firms.
“Corruption and high levels of political interference in the business
environment, pose major obstacles to foreign investment and private sector
growth.
“Property rights are also poorly enforced, raising the probability of
financial losses due to land acquisition and risk of bias in the
resolution of contractual disputes particularly in cases involving the
state or Zanu PF-backed entities,” it said.
BMI Research said Zimbabwe’s political isolation and concomitant economic
downturn over the past 17 years have been key factors that contributed to
a marked deterioration in the country’s business environment.
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