Toxic business policies and other inconvenient laws have been a major impediment for investors to come to Zimbabwe in order to unlock new business opportunities.
As a result, the economy has continued to take a tumble, characterized by low confidence levels and extreme low levels of production. toxic policies and policy inconsistency have choked the country’s ability to attract much-needed investment.
We fail to attract investors because no one is interested in coming to a country with a hostile business environment.
The indigenization law has been a subject of controversy and it has yielded negative effects, even though the President clearly signed it into law in 2008. It has been enshrouded in confusion. Last month Tanzania’s Bakhresa Group, which took over miller Blue Ribbons Foods, said it has frozen a proposed US$20 million injection of capital into the company to expand operations due to the opaqueness surrounding the indigenization law.
The implementation of the policy saw a huge public tiff between Patrick Zhuwao and Patrick Chinamasa last year, until Mugabe was forced to intervene. Even though he clarified the position of debate, nothing has been amended yet.
This results in low confidence levels, something which simply chases away potential investors.