Short Sightedness Hurting Zim Economy

Addressing the inaugural Prime Minister’s Investors Round Table in Harare, Tsvangirai said:“This schizophrenic approach to economic growth can only result in lack of fulfilled potential, lack of growth and failure to develop our nation in line with the mandate that we have from the people of Zimbabwe.”

He said government still had unfinished business in so far as improving the investment climate was concerned.

“There are still a lot of impediments to investment in this economy and we realise that you, the business fraternity, are best placed to reveal the same because you are affected by this uneven environment in one way or the other,” he added.

Investors complained to Tsvangirai about the business environment which they said was not conducive to investment. They said political issues bedevilling the inclusive government must be resolved so that business can have confidence to inject more capital.

Zimbabwe’s unity government is facing several challenges ranging from lack of fulfilled agreements and outstanding issues from the political agreement which have kept the major parties at a war of words.

Tsvangirai accuses his partner in the coalition government, president Robert Mugabe of flouting the political agreement which gave birth to the transitional arrangement. Tsvangirai saiys Mugabe has refused to appoint provincial governors from his Movement for Democratic Change party and has made unilateral appointments for the RBZ governor and Attorney General.

One investor who said he was from the United States said business wanted access to capital and funding. He said without that businesses could not grow, forcing investors to turn to other countries where capital was readily available.

The investors also raised concern about policy summersaults in government and called for consistency. Others complained of bureaucracy. The time between starting a company and business in Zimbabwe was much longer than it took in other countries in the region.