Foreigners stay put, says Govt – Sunday Mail

via Foreigners stay put, says Govt Sunday, 29 December 2013 by Tinashe Farawo Sunday Mail

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The Government will not evict foreigners operating businesses in economic sectors reserved for Zimbabweans, but will now issue business licences in favour of previously-disadvantaged locals, a Cabinet minister has said.

This follows reports that some individuals have been accosting foreign businesspeople over the past few weeks, seeking to take over their enterprises unprocedurally.

In an interview last week, Youth, Indigenisation and Economic Empowerment Minister Cde Francis Nhema said authorities will provide more support to indigenous Zimbabweans targeting various business ventures.


Cde Nhema emphasised that no one will be allowed to assume ownership of foreign-owned businesses outside prescribed procedures.
He said the concerned business owners should not entertain individuals who seek partnerships or takeovers without going through the National Indigenisation and Economic Empowerment Board (Nieeb).


“We are a business community, which should follow proper business procedures and maintain sanity in our country. All business takeovers should be done and finalised through the National Indigenisation and Economic Empowerment Board. It is important for Zimbabweans to understand that economic empowerment relates to the creation of wealth by locals as well as employment. As Government, we have emphasised broad-based economic empowerment, giving access and opportunity to those who were looked at marginally in the economics of the past.


“What we are saying is: new licensing in reserved sectors, from January, will be skewed in favour of indigenous people.”
Cde Nhema said Government will support locals by way of training, resources, rentals, operating space and permits to make them highly-competitive. He said the foreign-owned enterprises provided goods and services during Zimbabwe’s most difficult time.


“Those foreigners operating in the reserved sectors of our economy should continue. One needs to understand that they have played a very important role in terms of providing services to our people during their time of need.


“We encourage those already in the industry to welcome new players and assist them wherever possible; working with them in the spirit of fair competition, which can only make Zimbabwe a great nation.”


The minister urged financial institutions to continue supporting locals who wish to venture into businesses. He said Zimbabweans should work with investors for the development of the country.


“It has never been the intention of this Government to take over companies for free, but to work towards a Zimbabwe stipulated in the economic blue print, Zim Asset.


“Primarily, Zim Asset talks about improving the standards of living of our people; better education and housing as well as participating in the running of the economy and not chasing away other partners.


“We must join hands with everyone to make our economy better. I have had meetings with various business communities, Indians, Nigerians e.t.c and we have agreed, in principle, that they should assist new players wherever possible.”


Mrs Georgina Duri, a Zimbabwean businesswoman, said it was important for locals and foreigners to foster closer co-operation.
“Some of us are always in foreign lands. So, I think we must just work together as a people. Imagine; what would happen to our people who are running tuckshops in South Africa (if a similar approach was adopted)?” she said.


A Congolese businessman who refused to be identified and operates just outside central Harare said it was important to harness local-foreign co-operation since foreigners also provide services to Zimbabwe.


Government — through the Indigenisation and Empowerment Act — reserved some sectors for locals to empower the previously-disadvantaged. Among these sectors are primary food and cash crop production; transport; retail and wholesale trade; barbershops; salons; employment agencies; grain milling outlets and bakeries; tobacco grading and packaging; milk processing as well as the provision of local arts and crafts.


  • comment-avatar
    Jrr56 8 years ago

    Typical confusion/back tracking/corruption. They say “we are taking over businesses reserved for locals” Now they are going to help some to compete against foreign owned business. In the end the foreigners will pay bribes to stay in business. In return for the bribes they will pay less or no tax in order to affords the bribes. The government generates no income and no social services are started. The government then goes with begging bowl to Europe/America/Asia to fund basic needs that used to be abundant.
    Another business day in Africa…..

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    Sekuru Mapenga 8 years ago

    Typical rent seeking approach, with downstream opportunities in bribe taking and corruption.

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    Mr Mixed Race 8 years ago

    If we assume that the minister has seen some logical sense in this issue ruling out corruption intentions,then we can say those who wanted to reap where they did not sow are feeling let down.I would like to say well done minister for implementing common sense and a bit of wisdom at last.Our economy needs support from every source to kick start it.We now need proper clarification of who is considered indigenous to benefit from government and financial institutions benefits.We are ready to take the challenge to develop our country without corruption and looting.

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    Morris 8 years ago

    The fact is these politicians mess up and realise later. It is always a wrong concept to take what has already been generated by another. Government must empower locals through training, funding and other relevant support. They should not take from hard workers who may be foreign and give to the lazy ones who may be local. In the end the hard worker is discouraged and the lazy one ruins what had been produced which lends us with nothing at all.

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    This has got to be the most unintelligent so called govt on earth!!!!!!!!!!!!!!!! Even more incompetent than drc cuba Angola northkorea venezuela equatorial guinea zumaland Belarus Namibia tanzania syria

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    Tafadzwa 8 years ago

    The minister must be commended for coming to his senses. Those who were eyeing taking over masvotwa. Form your own company and compete. what’s is topping you from competing. How did Ian Smith empower the Nigerian ? or maybe blame it on sanctions. Come on my fellow Zimbabweans, we must be ashamed about the whole idea of forcing out the Nigerians

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    Joboringo 8 years ago

    These try&error ministers induce &upgrade corruption always in their inner circle now bribed they think to defend their bribes.comitted to induce sufferage&poverty

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    Common sense to the business / entreprenurial system is great.
    Without a genuine approach to have Law & Order non political I am not to sure how seriously we must take Nhema’s approach.
    Thier is a very big mind set of change needed.

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    INVESTOR 8 years ago

    “It has never been the intention of this Government to take over companies for free, but to work towards a Zimbabwe stipulated in the economic blue print, Zim Asset.

    Mashonaland West Chairman and Hon MP Temba Mliswa illegally seized my company Noshio Motors incorporating Benbar/Tromps (Zimbabwe’s Number One Choice)under the guise of indiginization? He claims His Excellency had “Sanctioned” this illegal takeover? He said he was “Chairman” of a so called “Banda Trust” BUT NO such trust has ever existed!As of February 2010 we did a search at the deeds office through my lawyer at the time Victor Zvobgo! This means the facts were so real and obvious that a layman could understand! Ask Magistrate Never Katiyo why he “Aquitted” Temba Mliswa and 5 others or were “THE BROWN ENVELOPS” too tempting??

    Investors be warned! My story has reached the highest office in Zimbabwe and I believe it WILL be sorted out through my lawyer but like Professor Moyo stated MP Mliswa should be stripped of his position to show ZANU-PF is serious about the party, it’s own code of conduct and the people who voted for them.

    Actions speak louder than words so Mr EU Ambassdor what do you think?