The 2018 budget statement presented by Finance Minister and Economic Planning Cde Patrick Chinamasa has been welcomed as a document conducive for foreign direct investment through a number of changes that have been introduced to make Zimbabwe an attractive investment destination.
Omissions and commissions signaling policy reversals and conflicting pronouncements by different agencies of the same government will no longer be allowed as government take moves to ensure policy consistency and credibility to ready itself for investment under the new economic dispensation.
Government is also planning through the Finance Bill to amend the indigenisation and empowerment act, to bring by April 2018 into effect, the designation of diamonds and platinum as extractive, confine the 51/49 indigenisation threshold to only two minerals namely diamonds and platinum.
Secondly the 51/49 threshold will not apply to the rest of the extractive sector, nor will it apply to other sectors of the economy which will open to any investor regardless of nationality.
Regarding the ease of business a number of strategies will be undertaken to lift Zimbabwe out of the low international rankings.
Zimbabwe’s biggest trading partner South African said the budget has all the ingredients to woo foreign direct investment and is in tandem with President Emmerson Mnangagwa’s pronouncement at his inauguration that Zimbabwe is open for business notes South Africa’s Ambassador to Zimbabwe Cde Mphakama Mbete.
With the new provisions in the 2018 budget statement the foundation has been made for potential business people to come on board.