#Zimbabwe tones down indigenisation rhetoric after Mbeki visit

via Govt tones down indigenisation rhetoric after Mbeki visit – NewsDay Zimbabwe May 2, 2014 by Paidamoyo Muzulu

PRESIDENT Robert Mugabe’s government has toned down its indigenisation rhetoric after advice from former South African President Thabo Mbeki, who privately visited the country a fortnight ago, sources have said.

Since meeting Mbeki, Mugabe has made two public statements at the Independence Day celebrations in Harare and in Bulawayo at the Zimbabwe International Trade Fair last week where he called on investors to come to Zimbabwe, saying the indigenisation law was not rigid.

“Mbeki came to discuss with Mugabe the country’s investment perception especially by foreign players, who are sceptical on whether their investments will be secure especially with frequent indigenisation rhetoric from his ministers,” the source said.

It is not the first time, however, that Mbeki has spoken to Mugabe about foreign investors’ perception on doing business in Zimbabwe.

Two years ago, Mbeki told Mugabe at the Victoria Falls Diamond Conference that his ministers had demanded $10 million bribes from would-be investors.

But political analyst Ibbo Mandaza said while he was not privy to the purpose of Mbeki’s visit, it was placing too much in trusting him to have changed the country’s indigenisation policy.

“I doubt that Mbeki can influence the country’s policy, but it may be true that he was making representations about foreign investors who have interests in the country,” Mandaza said.

Political analyst Eldred Masunungure concurred with Mandaza saying Mbeki alone could not have changed the policy position, but a multitude of factors have conspired against Mugabe to change course.

“The law of the situation compels Mugabe to change course as the economy is sliding back to the pre-2008 era and it is a universally agreed fact that indigenisation as presently constituted was a major stumbling block to investment,” Masunungure said.

He added: “It’s possible, but improbable, it is rare for Mugabe to be moved by one person (Mbeki) using a wave of pressure unless given a mountain of evidence why he should change course.”

The analysts agree that the wave of economic challenges akin to the pre-2008 period of economic turbulence may be forcing Mugabe to tone down on the rhetoric as he tries to salvage the declining economy.

Nearly a year after the July general elections, Zimbabwe is facing bleak economic statistics. The World Bank this week revised downwards 2014 economic growth projections for Zimbabwe from 4,2% to 3%.

The revenue authority, Zimra, has also indicated that the authority is missing its revenue targets forcing the government twice this year to shift civil servants’ pay dates.

Zimbabwe’s economy after nearly a decade of decline started registering positive growth in 2008 after the signing of the Global Political Agreement (GPA) by Zanu PF and the two MDC formations.

The GPA was facilitated by Mbeki when he was South African President beginning in 2007 until the deal was signed among the erstwhile political enemies.

The coalition government (2008 – 2013) brought some political stability and nascent economic recovery.

COMMENTS

WORDPRESS: 14
  • comment-avatar
    Jono Austin 8 years ago

    hmm I think economic reality is hitting hard. But there will be no huge investment as zanu’s track record of lies cannot be ignored. In addition to the graft and other corruption. There is no fat left to steal. What can they take next?

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      John Thomas 8 years ago

      They might collect foreskins at circumcision clinics and build themselves another big dick to lead them

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    If Mbeki went to Mugabe to get him to water down the Indigenisation laws it can only be because he has his commissions to receive for doing it. Trust none of these leaders and Ex Failed Leaders from Southern Africa. They only have themselves at heart. Would be investors – make sure the investment pays off quickly – these guys can and will change their ideas before you can blink

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    Petal 8 years ago

    “Two years ago, Mbeki told Mugabe at the Victoria Falls Diamond Conference that his ministers had demanded $10 million bribes from would-be investors.” THIS IS THE ORDER OF THE DAY WITH THESE PEOPLE DEMANDING BRIBES IF ONE LOOKS ON THE SADC WEBSITE THERE IS NOTHING CONNECTED WITH COMBATING CORRUPTION IN THE REGION THEY ARE JUST THE SAME LIKE THE SOUTHERN AFRICAN DICTATORS CLUB THEY REPRESENT

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    Petal 8 years ago

    MABE SOMEONE SOMEWHERE SHOULD MAKE A LIST OF WHO ALL DEMANDED BRIBES!

  • comment-avatar
    Petal 8 years ago

    and that is why things do not WORK BECAUSE OF THE BLOODY GREED OF THOSE AT THE TOP ALWAYS ASKING FOR A BRIBE KNOWING VERY WELL THEY WILL NOT BE PROSECUTED

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    Petal 8 years ago

    One would think that the SOUTHERN AFRICAN DICTATORS CLUB WOULD MAKE ANTI CORRUPTION IN THE REGION THEIR TOP PRIORITY NO THERE ARE STALLING BECAUSE ALL THOSE IT REPRESENTS ARE THE ONES SQUANDERING ALL THE MONEY SHAME SHAME SHAME SHAME ON THE SADC

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    roving ambassador. 8 years ago

    Mugabe realises nobody trusts him and his Zanu, they are trying to pig back on Mbeki’s perceived pulling power .
    Well there are in for a shock, no one trusts Mbeki either.
    Do we see a sense of desperation here.

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    Little dorrit 8 years ago

    Better tone down the legislation. Repeal it. The law sits on the books regardless of the lip service paid to it

  • comment-avatar
    Little dorrit 8 years ago

    Love it, JT!

  • comment-avatar
    Chaka 8 years ago

    Good advise from South. Is south better than east? Only the advice has come too late. Of all Zpf plans none is working so far. Let’s see whether the silent rigging plan will work in 2018

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    Mseyamwa 8 years ago

    Guilt, heavy guilt must be sitting hard at the bottom of Mbeki’s heart and he wants to make ammends before the country is totally lost. He worked frantically to prop up a clearly beaten mugabe, who was even at the time murdering opposition activists on a daily basis, in 2008. One thing for certain, his solutions stink. He also deems himself above the rest so much that he will not communicate with/to ordinary men. He wouldn’t even release the 2002 election report to the public, which could remain his only leverage against mugabe, if he kept a copy.

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    Senzachena 8 years ago

    One must never trust MBEKI or the majority of SADC leaders. They all have Zimbabwe blood on their hands, especially MBEKI who supported his friend BOB and ensured that he retained power. Mbeki must wake up and realise, NOBODY in the world trusts Bob or his gang of thieves. Nobody in the world is stupid enough to put any major investment into, or help Zimbabwe. Let change come, get rid of the ZANU trash and you will see Zimbawe boom. Mbeki must also realise that he also is not trusted and disliked by the majority of the civilised world. He falls into the same category as ZANU Trash