Zimbabwe is moving towards a new economic order, as we always see, the new president is giving promises and guarantees all the time. We hope to see a great country back on its feet.
The new government is reengaging the international community and simplifying investment policies. A few weeks back President Emmerson Mnangagwa published an investment policy statement that sets out key principles that will guide Zimbabwe’s investment policy and elaborates a plan of action to expeditiously and effectively implement them.
What are the principles for a sustainable investment policy?
The document line out the following;
- Non-discrimination between domestic and foreign investors and among foreign investors.
- Effective property protection.
- Transparency and good regulatory practices.
- Maintain environmental and social standards.
- Promote investment retention.
- Avoid mandatory performance requirements
- Facilitate entry and sojourn of personnel.
- Pursue high standards of governance.
What needs to be done now?
- Compensation for losses sustained through the Land Reform Programme. The governments intends to compensate farmers who lost their investments through the land redistribution programme. This will be based on international good practices.
- Change of Indigenisation and Economic Empowerment Act. This was done to ensure certainty for investors. Only platinum and diamond mining have been left on this act.
- Special economic zones. This will be done to attract investment and increase exports.
Why invest in Zimbabwe?
- Zimbabwe is at the centre and strategically located in the SADC region. It is strategic for both SADC and COMESA markets.
- The country uses a multicurrency system, this system eliminates exchange rate risk.
- Dividends are freely remitable.
- Fully liberalised current accounts which facilitates ease of doing business.
- Strong human capital base, highest literacy rate in Africa as of 2015.
- Existence of Investment Promotion & Agreements.
- Has world’s best climate according to the International Living Magazine, 2011.
- Voted world’s best tourism destination by the European Council on Tourism and Trade, 2014.
- Has over 55 exploitable important minerals.
- Pro-market policies.
When you have decided to explore or to move to Zimbabwe, is it difficult? The Immigration Department facilitates the issuance of visas, investor and work permits for potential foreign investors and their families.
What did Mnangagwa say in Davos/World Economic Forum?
He will accept if he lose elections
The new president is hoping this tough stance on corruption and focus on reviving the economy will help him stave off defeat in this year’s elections. However, he was adamant he and the ruling Zanu-PF party would accept the result whatever the outcome.
“If we lose elections, that’s it,” he said. “Whichever party wins the election will proceed to take the reins of power.”
Promised free and fair elections
Mr Mnangagwa reiterated his pledge for “free, fair and transparent elections”, saying he would work with Zimbabwe’s other political leaders to ensure the vote was free of violence.
Since the opposition Movement for Democratic Change (MDC) nearly won the polls in 2000, several key elections were rigged and many voters claimed they were intimidated into supporting Mr Mugabe’s Zanu-PF party.
The EU was prevented from monitoring any of those elections. “I would welcome them . . . the European Union. Why would we deny international observers coming into our country?” Mr Mnangagwa said in his first speech at the Forum.
His responses were carefully crafted. Zimbabwe’s President Emmerson Mnangagwa on his first trip to Europe since taking power two months ago. He was eager to convince the world business and political leaders that Zimbabwe has changed. He says Zimbabwe is open to everyone for business.
Author: Gesture Chidhanguro