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THE Government has completed the drafting of the Special Economic Zones (SEZs) Bill with areas to benefit from this new economic policy expected to be identified before the end of this year.
Economic Planning and Investment Promotion Minister Ambassador Simon Khaya Moyo said the SEZs Bill was likely to become an Act before the end of next month.
“The Bill is being worked on and it’s going through the Ministry of Justice (Legal and Parliamentary Affairs), the law drafters and then of course we get it to Parliament and once it becomes an Act of Parliament we start moving it, it shouldn’t take long,” Amb Moyo said.
He expressed optimism that Bulawayo would be chosen as a Special Economic Zone as Government moves to revive it to attain its once flagging status of being the country’s industrial hub.
“I’m one of those who believes very seriously that Bulawayo should be a Special Economic Zone. If you go to any of these zones where they have succeeded, it’s something else because the incentives will be there. There is so much we can benefit from these Special Economic Zones.
“Once the Act is through in Parliament, which we want to be done perhaps by this month or by the end of the month latest of course being August, we want to see what that will mean to Bulawayo, once a properly established and a properly run Special Economic Zone, with accountability and zero tolerance on corruption is put in place,” Amb Moyo said.
He said his ministry in consultation with the Ministry of Public Service, Labour and Social Welfare would be dispatching economists to all provinces to ascertain investment opportunities in those areas.
“We shall be sending full-time economists with investment knowledge to each province to work with Ministers of State for Provincial Affairs and provincial leadership to show them that this (investment) can be done here.
“We want these investment oriented economists to spend time with the public in the districts and provinces to assist people to understand that with their natural resources so plentiful there is a lot which this country can do,” Amb Moyo said.
Transformation leadership and investor relations expert Mr Zwelibanzi Ndlovu of Stop to Start International Private Limited said one of the most important aspects of Special Economic Zones or Exports Processing Zones was to assist the country to access foreign markets by reducing barriers to production of goods and services.
“It means that if you are producing something to market it in Zimbabwe there are certain duties and taxes that are payable because you are operating from here but Special Economic Zones will actually have you operating as if you are already in “no man’s land”. So you have certain tax holidays, allowance, grace periods and then you can immediately have access.
“Anyone, who is producing under special economic zone, should therefore commit to exporting a very large percentage of what they produce and benefit from the special economic zones relaxed conditions and come back and compete with those people who are competing outside the special economic zones,” Mr Ndlovu said.
The term special economic zone is commonly used as a generic term to refer to any modern economic zone. In these zones business and trade laws differ from the rest of the country. Broadly, SEZs are located within a country’s national borders. The aims of the zones include: increased trade, increased investment, job creation and effective administration. To encourage businesses to set up in the zone, financially libertarian policies are introduced. The policies typically relate to investing, taxation, trading, quotas, customs and labour regulations. Additionally, companies may be offered tax holidays.
Online Reporter