Corruption threaten Zimbabwe economic recovery

Zimbabwe offers exciting business opportunities with a huge potential to become the continental economic power house though issues of financial indiscipline and corruption among the business community have been cited as the stumbling block.

Externalisation of funds has remained a major challenge which is threatening the stability of the financial service sector while corruption is costing the nation billions of dollars.

Zimbabwe boasts of vast mineral resources, strategically positioned within the region, good climate and a lot of green fields that if tapped can register double digit growth in the economy within a space of five years.

Some of the companies that were on the brink of collapse benefitted from the Distressed Marginalised Areas Fund and they have employed thousands of people which is one way adopted by government to save the local industry.

On the financial front, a number of instruments were introduced to curb the closure of banks but another problem of externalisation of funds by business executives has emerged to destabilise the sector.

While government has created a conducive environment for local firms to compete on the regional and international market, corruption has become a cancer within the economy.

For Vantage Holdings chairman Charles Nyachowe, corruption is rampant in the private sector than the public sector.

The government has played its part by clarifying the Indigenisation and Economic Empowerment Act and calls are becoming louder for the private sector to play it role.

Zimbabwe National Chamber of Commerce chief executive officer Christopher Mugaga says political grand standing will dent efforts made by government in attracting foreign direct investment.

Zimbabwe has to do more if it is to be part and parcel of the 'Africa rising story'.

All citizens have to sacrifice in one way or another, accept the reality, and work very hard to achieve sustainable economic development is the message from industry.