THE Zimbabwe Investment and Development Agency (Zida) said this week the country must revise its policy framework to meet the needs and current demands of foreign investors.
Busisa Moyo, chairperson at the investment promotion agency, told businessdigest on the side-lines of the Zim-United States (US) business forum in Harare that the national policy framework needed to be in line with changing trends.
This comes as the CEO Africa Roundtable (CEO ART) has roped in an American-based organisation, Atlanta Black Chambers, as part of measures to drum up foreign investment into the country.
Zimbabwe’s embassy in the United States facilitated engagements between the chamber and CEO ART, who are co-hosting the programme with Zida and the Confederation of Zimbabwe Industries.
“There is a need to keep adjusting because things change. You need to keep abreast,” Moyo told businessdigest.
“As Zida, we do not know every sector. But we believe we have experts that are in those sectors and we can interface with them to say, what policies will allow them to flourish and to do well in their line of business?”
Moyo said Zida would consult with the government, local and foreign investors to come up with investor friendly policies.
“We want to advocate by listening to investors. We are (talking to) the energy sector to see what policies (are required) to have lots of investments coming in,” he added.
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Moyo encouraged investors to be licenced with Zida to cushion investments against risks and make sure the laws on investment protection are followed.
“Investor protection advocacy is one of our critical roles as Zida. We do not interfere with private arrangements, but we certainly want to make sure where there is a legal document supporting investment, the obligations from both sides are upheld,” he said.
“We want to make sure all the laws protect investment.”
Moyo said Zida has been consulting local and foreign investors on incentives needed to boost businesses.
“We have been talking to investors about incentives that we can proffer to the Ministry of Finance, who govern all the fiscal incentives, so that we see how we can make these businesses flourish and improve the overall economy,” the Zida chairperson said.
“We have incentives like tax-free holidays for the first five years. Special economic zones have a special set of incentives to encourage foreign investment.”
Moyo said to encourage transparency, all investments under special economic zones and private — public partnerships were supposed to be published.
“There are three types of investments. The first is in special economic zones. That is a public investment. A special economic zone is a public investment. A private-public partnership is a public (one),” he noted.
“So those are publicised in the press. But we also have private investment. So, a company that comes in and wants to manufacture chairs, they do not have to tell the world what they are doing.
“We only licence them, but then they conduct their private activities according to the laws of the country.”
The Zida chairperson said companies operating under special economic zones should respect local laws.
