Zhuwao accuses fellow ministers of derailing empowerment drive

Indigenisation minister Patrick Zhuwao has accused line ministries and State agencies of derailing the implementation of the black empowerment drive by giving permits and licences of reserved sectors to foreigners.

BY XOLISANI NCUBE

Opening a workshop for government officials on the implementation of the indigenisation law organised by the National Indigenisation and Economic Empowerment Board, Zhuwao said a number of line ministries were not protecting local investors who wanted to venture into reserved sectors from being elbowed out by foreigners.

PATRICK-ZHUWAO

“A number of companies have been licensed to operate in reserved sectors against the law and government policy that they must not. We expect that the licensing authority within that reserved sector to ensure that the company seeking a permit is complaint with the law and statutes of this land,” Zhuwao said.

“There is provision in the Act for lesser shares for our indigenous people, but that has to be submitted to the line minister for approval in concurrence with Cabinet, but this has to be a special case.”

According to the indigenisation law, certain sectors of the economy have been reserved for locals and no foreign partner is allowed to invest unless Cabinet – chaired by President Robert Mugabe – approves.

The reserved sectors include retail, transport, salons and barber shops and travel agencies among other businesses that require less investment.

Zhuwao said soon the fuel sector, which has for long been in the hands of foreigners along with artisanal mining of all minerals other than diamonds, would be declared a reserved sector in a bid to empower and protect local investors.

The workshop drew participants from other ministries. Zhuwao said all foreign firms operating in the reserved sectors should brace for a fight which could include paying fines and levies.

The indigenisation law compels all foreign-owned firms to cede majority shareholding of at least 51% to indigenous people as a way of empowering the previously marginalised community.

17 Responses to Zhuwao accuses fellow ministers of derailing empowerment drive

  1. mazeru mandirahwe January 14, 2016 at 7:24 am #

    ” local investors” seka zvako

  2. Dr. Dhewa January 14, 2016 at 9:12 am #

    Dzinonyatsodhonza mushe apa or imbanje dzoga?

  3. cloud January 14, 2016 at 9:56 am #

    Petulant fool, history wont remember this damp squib of a man!

  4. The future January 14, 2016 at 10:48 am #

    Name and shame them Cde Zhuwao

  5. truth January 14, 2016 at 11:15 am #

    We cant even mine our own diamonds without foreign help, useless indeginisation

  6. Sagitarr January 14, 2016 at 11:21 am #

    Patrick, about 200m from Parliament building is the former Quality Int. Hotel which has turned into dereliction. Start with that, get it “indigenised” by those “local investors” you’re talking about. Once it starts operating profitably, then move on to bigger investment areas.

    Many pea-brained ideas by your uncle’s govt have destroyed what some of us long for – a functional economy where you don’t have to bribe cops, headmasters or Zimra or council officials to get a service.

    It’s a life that those who never experienced life in Rhodesia can ever understand. It wasn’t Utopia believe me but things worked. Rhodesians simply got the politics wrong.

  7. Musona January 14, 2016 at 12:17 pm #

    All black people in formal employment were exempt from paying income tax and all black businesses were exempt from paying corporation tax in white ruled Rhodesia. Only whites and mixed race paid income tax and corporation tax. When Mugabe was voted into power he compelled everyone in formal employment to pay income tax and black businesses were compelled to pay corporation tax. Mugabe and his henchmen have the audacity to talk of empowering people when they have made black people pay income tax and corporation tax when white governments exempted all black people from paying these taxes. Utter garbage.

  8. Ethan January 14, 2016 at 12:26 pm #

    Mr Minister, please call a spade a spade, you don’t want investment because it then becomes competition for you, Cde Chiyangwa and your uncles wife.
    PS: With regards to your economics assignments, i hope you didn’t write in them that FDI is important just to pass exams, i hope you wrote in your assignments and exams that FBI is garbage and the enemy

  9. Hoko January 14, 2016 at 12:28 pm #

    This indigenization crap remains the stumbling block to our ailing economy. Our President is a good orator and Politician but his problem is that of mixing economics and politics. He is not a flexible man in terms of changing for the betterment of the entire country. This Patrick Zhuwao is just trying to gain popularity using wrong equation his answer is going be called failure and retrogressive thinking.
    In Zimbabwe we must remove the so called “we fought for this country mentality” and revise our investment policy and change our style of leadership and mentality.
    Since when we did our Murambatsvina, Land reform ,indigenization and black empowerment what did we achieve?
    Some idiots blame sanctions from the west. Sanctions COMES from Zanu pf government to the majority people of Zimbabwe.

  10. Rufus January 14, 2016 at 1:24 pm #

    when does this guy realize that nobody will invest in a country where people still loose farms and business to this indiginous acts, no law and security for investors . . .

  11. Jail.4.Jogi January 14, 2016 at 1:33 pm #

    Empowerment” and “indigenization” are currently favored buzz words in the Zanu pf asylum.
    They simply mean theft of foreigners assets.
    The Zanu pf goons think that potential investors are retarded idiots…

  12. s shumba January 14, 2016 at 3:26 pm #

    I wonder is this why Puma is scaling down its spruicng-up of service stations.
    Just now fuel prices will climb up

    “Zhuwao said all foreign firms operating in the reserved sectors should brace for a fight which could include paying fines and levies.”

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      • Thambolenyoka January 14, 2016 at 5:45 pm #

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  13. Samaita January 14, 2016 at 5:14 pm #

    Can someone explain how this position taken by Mukukuru wa Sekuru, ties in with the current government battle cry of ”ease of doing business”?

  14. Tiger Shona January 14, 2016 at 6:53 pm #

    This Min of Indiginisation is just a plain and simple criminal. The guy should be arrested in put in jail for stealing and sabotage.

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