Govt gives local firms ultimatum

THE National Indigenisation and Economic Empowerment Board (NIEEB) has set its sight on locally owned entities demanding they should attain indigenisation certification as proof of compliance, amid concerns local businesspeople are fronting foreign investors.

Report by Tarisai Mandizha

Under the country’s indigenisation and economic programme, foreign-owned companies are required to sell 51% shareholding to locals.

In a notice on Friday, NIEEB gave local entities a 14-day grace period to apply for compliance certificates, failure which the companies, despite being locally- owned, would be deemed non-compliant.

NIEEB chief executive officer Wilson Gwatiringa could not be reached for comment yesterday as his mobile phone went unanswered.

Indigenisation and empowerment minister Saviour Kasukuwere could also not be reached for comment.

“NIEEB would like to advise all companies with approved indigenisation implementation plans and shareholding structures to immediately apply for indigenisation certification.

“The certification will be primary proof that a company has successfully complied with the indigenisation and economic empowerment Act,” said NIEEB in a statement.

A total of 226 companies had been short listed to comply within 14 days. “The following companies are therefore urged to apply for certification within 14 days from the date of this publication, failure of which, these companies may be deemed non-compliant with the indigenisation law,” said NIEEB in a statement.

The indigenous companies include prominent ones such as Kuchi construction, Rainbow Tourism Group, Harambe Holdings, Anchor Yeast, Costain Zimbabwe, Econet Wireless, Modzone Enterprises, Pelhams, Tigers Bricks, Zimphos and Wedzera Petroleum, among many others.

10 Comments

  1. Even China our erstwhile friends do not have such indigenous laws. If everyone in China was an entrepreneur who would be left to provide the labour…These companies that are being harassed by tyson should just play for time till end of June when tyson will become just like his namesake in the USA, washed, spent & pathetic.

  2. Kasukuwere leave these companies alone can your please declare your assets and then apply for the indigenous certificate for your own companies. tipewo masrerious

  3. take over cdes the struggles continues and blair and bush wont stop us. take over all companies we want 100% indeginisation

  4. Sorry Comrades, these companies worked hard for what they are. It is about time you showed your true talents of hard work with good economic results. Your talents to date have destroyed what was a strong independant economic country.
    We are going through an economic period where entreprenureal skills are required and not skewed political desperation to cling to power.

  5. These guys know their time is up…they want to grab and destroy everything,mines,industries…Bulawayo is now grounded,is this indiginous or Zezuru enrichmeent…Kasukuwere zvichakuwana mangwana

  6. Are these laws about empowering locals or punishing foreigners?

  7. If Mugabe & Kasukuwere were really honest about empowering people through their indigenisation program they should have taken over all the ailing local companies such as Shabanie/Mashaba Mines, ZiscoSteel, Alaska, Sheckelton & Elvington Mines, ZECO, Craster International, Lancashire Steel, CSC, Zimphos, G&D Industrial etc, turn them around to be very profitable and hand chunks to the local population. It is obvious that they are seeking to perpetuate their stay in power by trying every trick to gain one more vote. This indigenisation rot will not give them a single vote because there are no tangible benefits to the povo. Why do you seek to destroy the few remaining companies that are providing employment to the less than 10% zimbabweans still employed in the formal sector. I pray that the you don’t get funding for the elections which you are determined to rig this year.

  8. You hit the nail on the head lazy boy. some of those companies you mentioned have already been bought by the greedy ones and they failed to run them, now they are after the more viable ones. What does MDC have to say about this article

    1. bvisai nyika kumhandu

      why cant we empower our nations with roads and education inorder to boost our capacity of development. if those guys want to proove themselves they can remove Zimbabwean citizens from the mud of poverty why they dont assist them in giving them finance to refurbish industries of Bulawayo now turning the city into ghost town. These companies are not also complying the 51% do you think the Zimplats 51% worth 10 million . Do not disturb foreign direct investment because you are greed mr minister or take this law to gain funds for campaign and gain support. We tired with your corrupt policies and unfair policies that you aim to increase yo wealth to extreme levels while the majority perishing with poverty

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