By Martin Kadzere and Tinashe Farawo
Government’s new framework for indigenisation is expected to be effective from March next year subject to Cabinet approval, Youth, Indigenisation and Economic Empowerment Minister Patrick Zhuwao said.
Minister Zhuwao said the proposed framework aims at ensuring that the implementation of indigenisation and economic empowerment dovetails with other Government initiatives to attract investment such as the Ease of Doing Business.
It also seeks to ensure that foreign-owned companies comply with the empowerment laws.
Minister Zhuwao said during the first three weeks of next month, stakeholders could engage the respective line ministries on feedback regarding the new framework.
In a statement yesterday, Finance and Economic Development Minister Patrick Chinamasa said the framework, as agreed among his ministry, Indigenisation and Economic Empowerment and the Reserve Bank seeks to eliminate discretionary application of law by providing guidance on the implementation of the Indigenisation and Economic Empowerment Act in the following three broad categories, resources- based sector, non-resources sectors and reserved sectors.
He said the framework will outline procedures for ensuring compliance with the legislation, articulate the Empowerment Levy, describe the indigenisation compliance process flow, highlight the National Indigenisation and Economic Empowerment Charter and outline measures for ensuring compliance with procurement requirements of the legislation.
Minister Zhuwao said President Mugabe has been consistent in calling for the implementation and compliance with the law.
“His Excellency President Mugabe has been consistent in calling for implementation and compliance with Zimbabwe’s indigenisation and economic empowerment . . . and has consistently highlighted the need to implement indigenisation and economic empowerment,” said Minister Zhuwao.
The Ministry of Youth, Indigenisation and Economic Empowerment will ensure sufficient consultation. Cabinet approval shall be sought for the final implementation framework.