Reply to thread

Message: [QUOTE="Munyaradzi Mafaro, post: 79406, member: 636"] Foreign investors in certain business sectors are getting a thirty-day notice from the government. The Ministry of Industry and Commerce directive, based on recently published regulations, gives these operators until early January to submit plans for coming into compliance. The policy affects thirteen sectors reserved for indigenous Zimbabweans. Foreign nationals in these areas must sell at least seventy five percent of their ownership to local citizens over three years, with a minimum of twenty-five percent transferred each year. These rules are formalized under a new statutory instrument. It broadly defines participation to include partnerships, investments, or starting new businesses in the reserved sectors. The government states the goal is to address historical economic imbalances and empower local citizens, a practice it notes exists in several other nations. Foreign investors may only stay in these sectors if they meet specific high thresholds for investment and job creation, such as employing two hundred workers with a twenty-million-dollar investment for retail, or fifty workers with twenty-five million for grain milling. Companies not meeting these standards must follow the divestment schedule. The ministry has also warned manufacturers against selling through unauthorized foreign-owned wholesalers or retailers. Failure to comply is a criminal offense, with penalties including fines, imprisonment, and a potential five-year ban on government contracts for repeat violators. Applications for regularization must be sent to the ministry’s permanent secretary. [/QUOTE]

Name