THE National Indigenisation and Economic Empowerment Board (NIEEB) has issued a 14-day ultimatum to about 100 companies to apply for certification or face being classified as non-compliant with the Indigenisation and Economic Empowerment Act.
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In a statement published yesterday, NIEEB urged all companies whose indigenisation plans were approved to apply for certification immediately.
NIEEB also published a list of companies that require certification within a fortnight.
“The Board is hereby advising all compliant companies that were approved by the Minister of Youth Development Indigenisation and Empowerment in terms of the Indigenisation and Economic Empowerment Act (Chapter 14:33) to immediately apply for certification,” NIEEB said.
“If any company listed below or any other that obtained approval from the Minister (of Youth, Development, Indigenisation and Empowerment Saviour Kasukuwere) does not apply for the certificate, the company faces risk of being classified as non-compliant with the Act.
Companies are urged to apply for the certificate within 14 days from the date of publication of this statement.”
Among the listed companies are Lifestyle Holdings, Art Holdings, Sunway City, Duly’s Holdings, Afre Corporation and PG Industries.
NIEEB said companies trading in the reserved sectors of the economy such as retail, had until January next year to comply.
“NIEEB also reminds companies that are trading in the reserved sector of the economy to apply for certification before 1st January 2014,” added NIEEB.
“Any person who operates a business in the sectors prescribed under the Third Schedule without an indigenisation compliance certificate from 1st January 2014 shall be guilty of an offence and liable to a fine not exceeding level four or to imprisonment for a period not exceeding three months or to both such fine and such imprisonment.”
Zimbabwe is currently implementing an empowerment policy spearheaded by President Robert Mugabe’s Zanu PF party requiring all foreign-owned firms to sell at least 51% shareholding to locals.
Zanu PF is targeting to indigenise over 1 138 companies across 14 sectors of the economy.