The Interview: ‘Economic freedom crucial’

Minister of Youth Development, Indigenisation and Empowerment Saviour Kasukuwere (SK) on these and other issues
FN: Government’s empowerment programme has attracted both commendation and condemnation. Would you please explain what the programme is all about and what ground has been covered so far?
SK: This is a decision by Government to ensure that we create a more inclusive economy and to make sure the majority of our people become players and participants in the national economy. It allows for the growth, it allows for the broad-based participation by Zimbabweans in the economy.
The law was passed by Parliament in 2007 and obviously critics criticise now because we are implementing it but this law has always been there. It is a law that also draws on the successful land reform programme.
It is a law that looks at the history of our nation after having gone through the curse of exclusion in the economy and stagnation of the economy because of the limited participation by local people.
And today this law is transforming, fundamentally changing and revolutionalising the way our national economy is going to be run. We are now seeing communities participating in the economy — that is the local people participating in building the nation. So critics will remain critics because of their name, they always remain there.
They criticised the land reform yesterday, but they are now pleasantly enjoying the proceeds from the tobacco farmers who are delivering thousands if not millions of kilogrammes of tobacco.
There were people who criticised our education programme at independence saying it was too expensive and unplanned but look at the benefits of the decision, Zimbabwe has achieved leading literacy rates in Africa.
So we are quite clear that when you take on such a mammoth task it is bound to be misunderstood but you do not abandon an important national programme because you have been criticised. When a programme is criticised, you know that there is substance in what you are doing.
FN: Some members in the inclusive Government are saying the empowerment and indigenisation programme is rushed and is killing the economy. Is the Government divided over the programme?
SK: I wouldn’t like to say that the Government is divided, but I think in Government there is a lot of ignorance of how the economy must be run, a denial of reality that for an economy to grow the majority must be involved.
There is denial by some of our counterparts in the inclusive Government that the foundation upon which a strong nation is built is its people. Development is about the people and it is our people that must be at the centre of that development.
So some of their criticisms and views are based on wrong perceptions, fear of confronting reality and the fear of moving into uncharted waters. What we are saying to our colleagues in Government is let us not bad mouth national programmes but address our concerns through the right channels.
FN: Some say indigenisation or empowerment is not an event and you are in a hurry to ensure companies give 51 percent of their shares when that could have been done over a period. Why this speed?
SK: I don’t know what speed, people can talk about. Actually, we are under criticism for having taken too long to implement the law. At what speed do they want me to move, at 20km an hour, 10km an hour? The speed, at which we are moving we are comfortable with, it is actually determined by the need.
We have taken a view of the mining sector and now the manufacturing sector is in the process of complying. We have set our eyes at the banking sector. We are not only concentrating on indigenisation but we are also looking at serious empowerment programmes, where we are happily encouraging participation of our people in the mining sector.
If you look across the country now you will see that thousands of young people have been empowered in mines, they have been given licences to mine gold. We are seeing an enthusiasm among our people, a build up in terms of participation. We have the land reform programme, which is another empowerment programme which thousands of our people have benefited from. So we actually took too long to implement the law.
FN: Critics of the programme say you are advancing a party agenda. They say you are buying votes for Zanu-PF at the expense of development. Whose agenda are you advancing?
SK: You cannot detach Zanu-PF from the national aspirations because I think the party has always stood for the national interest. So when you talk of the national interest of Zimbabweans you can’t remove the ideology of Zanu-PF from that question.
So when people say it’s a Zanu-PF ideology, I don’t want to waste my time arguing over that, it is our party that came up with idea in 2007, it is a fact that it is President Mugabe that has advocated the need to empower the people of Zimbabwe.
It is a fact that it is President Mugabe who as the leader of Zanu yesterday now united Zanu-PF who fought for the empowerment of the people of Zimbabwe, brought about economic freedom, political freedom and social progress. So agreed you cannot detach Zanu-PF from such a programme.
It is necessary for other political parties to see the need to support such a programme because it is about the people — development is about the people. So if the other political parties cannot be impressed by the need to empower our people then they have no business in politics.
FN: What mechanisms are in place to ensure that the programme does not only benefit “chefs” and party youths?
SK: I think the programmes that we have enacted have empowered communities. The community ownership trust, worker empowerment trusts and the National Empowerment Trust schemes are broad-based economic programmes that are empowering the communities.
There is also a strategic interest for our Government to be players or to be involved in warehousing shares on behalf of the people in critical areas like the mining sector. So the chefs are easily getting attacked for things that they have not benefited from. What we have instituted is a broad-based economic empowerment model that will see our people being uplifted. That is already happening in Shurugwi, it is happening in Zvishavane, in Ngezi, Mhondoro and Zvimba communities were communities are benefiting. It is already happening across the country and our provincial governors are involved in ensuring that our people participate in these empowerment programmes.
So we have gone beyond just the parceling of shares to individuals to embracing the empowerment model that allows the people to be involved and tap on the opportunities being involved.
FN: Mining companies or corporations that can sponsor community ownership schemes are not evenly distributed. How does the Government intend to ensure the benefits of empowerment schemes are spread across the country?
SK: This is where the National Indigenisation and Economic Empowerment Fund comes in to ensure that we equalise the empowerment process across the whole country. It is only the 10 percent that will go to the community with the rest going into the national fund that will be used to develop all areas.
FN: Zimplats says Government will have to pay for the shares. How is Government going pay for them?
SK: What remains is the workshop work. Let their team and our teams finalise the issue then we can come back to you. Let us give them time to work on the agreement. 
FN: Minister, some of the requirements of banks are making it difficult for youths to get empowerment funds. Is Government aware of this and what is being done?
SK: We are engaging with the banks and will continue to crack our whip. We will continue to share with them that they must make it easy for young people to access the facilities that we have made available, for example, the US$10 million fund. It is a fact that CABS had not prepared itself to handle over 3 000 applications overnight hence there were going to be rumblings and grumblings but I am confident that it will be resolved.
I am confident that they are working with us in as far as youth empowerment and development is concerned and will expand their services to a level that embraces the young entrepreneurs. We have made sure that one can send the application through one’s local branch.
FN: Is the banking sector a no-go area for indigenisation? How is indigenisation going to proceed in this “delicate” sector”?
SK: There is the law. We will proceed by the law. The law will have to do its work. I find some of the people who are commenting on what they term their sector are displaying an unacceptable level of ignorance.
You see, when you have a law it does not matter whether you are in charge of that sector or not, whatever you do you have to realise there is a law. So we will not brook any resistance. It is not about personalities but about the law of the land and this must be upheld. It is happening in that sector.

FN: What are you doing in light of concerns that locals are being pushed from available retail space in Harare? And how does Government achieve empowerment without being xenophobic or racist?
SK: We have reserved sectors. We have since published a Statutory statement where we have reserved 14 or 15 sectors for indigenous participation. These include barbershops, salons, all reserved for black Zimbabweans. We are saying that when the licensing authorities look at all these things they should ensure that these laws are maintained.