elton mangoma.pngThe local business community has expressed optimism that the recently ratified Bilateral Investment Protection and Promotion Agreement (BIPPA) between South Africa and Zimbabwe will unlock investment inflows and improve the country’s investment climate. 

 

The optimism by the local industry follows the recent ratification by Zimbabwe of the BIPPA signed in with South Africa in November last year.

 

Economic analyst Mr. Innocent Makwiramiti as well as the Zimbabwe Investment Authority (ZIA) Public Relations Executive Mr. Nixon Kanyemba concurred on the significance of the arrangement in unlocking lines of credit and improving the country’s investment climate.

 

“We are hopeful that this arrangement will increase investment inflows thereby increasing capacity utilisation on the local industry and creating employment,” said Mr Makwiramiti.

 

Minister of Economic Planning and Investment Promotion Mr. Elton Mangoma who confirmed the country’s ratification of the agreement encouraged the local business community to exploit opportunities being availed by the arrangement.

 

Mr Mangoma said: “As governments we have shown our commitment to this arrangement and we hope that the local business community will make use of the agreement in stimulating the local economy.”
 
On 27 November last year the governments of South Africa and Zimbabwe signed a Bilateral Agreement for the Promotion and Reciprocal Protection of Investments (BIPPA) in Harare with the objective of creating a favourable investment climate for business between the two countries.

 

South Africa which is one of Zimbabwe’s largest trading partners has a well diversified economy backed by sound infrastructure, making the country an important trading partner and a viable market for Zimbabwean products.