Indigenisation moves to Zimbabwe banks

All sectors of the economy including banks, will be required to indigenise ownership within the next 12 months, the chairman of the National Indigenisation and Economic Empowerment Board, Mr David Chapfika said yesterday.

He said the Government was moving to indigenise other sectors of the economy after completing the mining sector and added there would be no exceptions.

There has been disagreement over giving majority ownership in banks to locals with the Reserve Bank of Zimbabwe Governor Dr Gideon Gono saying there was no need to give direct indigenous ownership in banks as this could destabilise the volatile sector.

However, Mr Chapfika said a Government Gazette ordering the remaining 13 sectors to comply with indigenisation and empowerment policies was due to be issued later yesterday.

"We have decided to gazette all the remaining 13 sectors. All companies must comply within 12 months, including the so-called scared financial sector. It will not be spared.

"We are done with mining and manufacturing. Other sectors will be gazetted today (yesterday)," he said at the Zimbabwe National Chamber of Commerce annual congress in Victoria Falls.

Sectors which have been identified for indigenisation include transport, energy, tourism, road transport, construction and engineering, trade, agri-finance, entertainment, education, sport, information communication technology and culture.

Mr Chapfika said the indigenisation programme was the last phase of Government's empowerment programme.

Most mining houses have come up with plans to localise majority ownership which have been accepted by the Government. Plans so far approved include those of the largest mining house in the country, Zimplats, while Matabeleland South-based Blanket Mine has come up with a proposal to sell 15 percent of its shares to a consortium of locals.

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