Govt committed to indigenisation: PM

a dinner to discuss Zimbabwe’s future here on Wednesday, PM Tsvangirai defended the policy and said as parties in Government they were committed to the success of the programme.
“Across the political divide, citizenship empowerment is a policy and we are committed to ensuring the majority of Zimbabweans’ participation in the economy.
“It is not an expropriation strategy or a nationalisation policy but it’s a voluntary piece of legislation.”
He repeated the same message at a press conference he addressed yesterday at the World Economic Forum on Africa’s 21st meeting that began on Wednesday, dismissing fears that Government was intent on grabbing companies under the indigenisation thrust.
The policy has raised fears with the international community largely expecting the two MDC formations to resist what they view as attempts by Zanu PF to take away companies for free.
“Government can rightfully claim that the nation has something to contribute.
“We have mineral resources which we can exploit for a win-win situation.
“That is the only way in which the country will benefit,” PM Tsvangirai said.
He said Government was ready to engage investors to fine-tune specific implementation modalities.
Deputy Prime Minister Professor Arthur Mutambara described indigenisation as a global best practice.
“There is nothing new about Zimbabwe’s indigenisation programme. China has such laws and so are many other countries.
“What we just need to do is explain our laws better.
“Investors must understand that its in their interest for Zimbabweans to be empowered and they must view this as an opportunity and not a problem.
“When Zimbabweans are empowered it means their (foreign investors) investments are secure because if people are economically disenfranchised it is not good for business in the long term,” he said.
Zimbabweans owned the mineral resources underground and their value is what they brought to the table.
“The asset underground has value. Gone are the days when investors could get claims for free.
“Zimbabweans are no longer satisfied with surviving on taxes and royalties but they want equity,” he said.
The proposed Sovereign Wealth Fund will be a vehicle through which Zimbabweans would be empowered.
DPM Mutambara challenged all mining firms to list on the Zimbabwe Stock Exchange for the economy to benefit from the local circulation of capital.
“The idea of listing in Australia, London or wherever, is not on because we are benefiting these economies and not ours.”
Youth Development, Indigenisation and Economic Empowerment Minister Saviour Kasukuwere said the indigenisation programme was not against foreign direct investment.
He said it was about inclusive investment where foreign and domestic investors came together to create shared development strategies.
Mining has been identified as the first sector under which “win-win” investment measures would be employed.
Minister Kasukuwere said some companies had submitted their compliance proposals in the past few weeks.
He said the major issue that constrained economic growth in Zimbabwe were the illegal sanctions imposed by the West.
“Indigenisation is secondary but sanctions are hurting the economy more,” he said.
Small and Medium Enterprises and Co-operatives Minister Sithembiso Nyoni said sanctions were constricting the economy.
“We need to fight sanctions together. What is putting Zimbabwe down is that we cannot globally act together.”
She said indigenisation was a way of ensuring economic democracy in Zimbabwe.
South Africa International Relations Minister Maite Nkoana Mashabane said her country was fully behind Zimbabwe’s efforts to shrug off its challenges.
“You are not walking alone. We will be there for you,” she said.
Wife of former South African President Nelson Mandela, Ms Graca Machel, Afrexim Bank president and chairman Jean Louis Ekra, International Monetary Fund Director for Africa Antonette Sayeh, former industry minister Dr Nkosana Moyo and other investors and partners from the continent and beyond, attended the dinner.