adminProsper Ndlovu Business Editor
THE government is setting up a commission of inquiry to probe the losses suffered by pensioners and insurance policy holders when the country switched over from the Zimbabwean dollar to the multiple currency system in 2009, President Mugabe said yesterday. Thousands of Zimbabwean lost their savings when banks closed their local currency accounts without compensation, noted the President while officially opening the Second Session of the Eighth Parliament of Zimbabwe.
He said there was a need to address the issue in order to restore public confidence in the banking sector.
“Our people could have been prejudiced in terms of their pensions and insurance in the change over from the Zimbabwean dollar to the United States dollar.
“The government is therefore launching a commission of inquiry to establish the processes and measures used to convert pensions and insurance policy values from the Zimbabwe dollar to United States dollar,” said the President.
He said the findings of the commission and the recommendations thereof would assist in restoring public confidence in the pension and insurance industry.
President Mugabe said the realignment of the country’s laws to the new constitution would take centre stage in the second session of Parliament with the view of rejuvenating economic growth and wooing investors.
He said steering economic growth and creating jobs inline with the country’s economic blue-print, Zim-Asset was government’s top priority.
The President said agriculture remained the backbone of the country’s economy saying it was pleasing to note that experts were projecting a good 2014/15 agricultural season.
He said the government will once again provide inputs as well as tillage services to communal, resettlement, small-scale commercial and A1 farmers.
President Mugabe said high costs of fertilisers, seeds, irrigation water and electricity should be speedily addressed so as to improve the competitiveness of the agriculture sector.
He urged quick private sector involvement in developing requisite infrastructure necessary for economic growth.
The President said the government was also focusing on the mining sector whose contribution to the economy was critical.
He said there was no going back on value addition and beneficiation of natural resources as a means of unlocking the country’s economic potential as opposed to relying on exporting raw minerals.
The President said the government was seized with turning around the economy despite limited access to long term financing for firms in the wake of sanctions, ageing industrial equipment, weak business linkages and pressure from imports.
He, however, said efforts were underway to review restrictive tax and labour systems and improving ways of doing business within the context of indigenisation and economic empowerment framework.
The establishment of Special Economies Zones, said the President, would be used as a vehicle to stimulate foreign direct investment, technology transfer and employment creation.
He said the development of a sound transport network, embracing ICTs and formalising small to medium enterprises and empowering the youth, were also at the centre of the government’s development thrust.
Online Reporter