News / Local
Sanctions stifling Zimbabwe's potential
10 Sep 2022 at 06:17hrs | Views
THE illegal sanctions imposed on the country by America and its allies are hindering infrastructure development by frustrating lines of credit and the private sector should help the Government in lobbying for their removal, officials have said.
Zimbabwe was slapped with the economic sanctions by Britain and America and their allies following the fast track land reform programme that Government embarked on in 2000.
Relations between Zimbabwe and the West have been sour but the Second Republic's policy of engagement and re-engagement has seen thawing of relations.
Last week President Mnangagwa met former British Prime Minister Tony Blair who promised to work to improve the two countries' relations.
Speaking at the inaugural infrastructure summit organised by the National Economic Consultative Forum in Victoria Falls yesterday, Finance and Economic Development Deputy Minister Clement Chiduwa said illegal sanctions were a direct attack on Zimbabwe's potential to develop.
He bemoaned difficulties faced by the financial sector in the country to access international funding.
"On the issue of sanctions, they are an attack on the growth potential of Zimbabwe. If you look into the financial institutions, banks lost corresponding institutions. We had more than 100 corresponding banks and I think as a country we are left with two and when we transact, we do it through third parties and this has increased the cost of doing business in Zimbabwe," said Deputy Minister Chiduwa.
He said there is a misguided notion that sanctions targeted politicians yet they are actually hurting every Zimbabwean including ordinary citizens and industry.
The presence of sanctions is a hindrance even to attainment of the country's Vision 2030 as they derail the implementation of the National Development Strategy (NDS1).
"It is critical to know that the issue of targeted sanctions, are actually targeting the private sector. The private sector can't deliver on its mandate and we are saying as Government in order for us to move forward, we need the private sector.
"The growth potential of Zimbabwe is rooted in the private sector but it is that private sector which is hamstrung," said Deputy Minister Chiduwa.
He said the two-day conference which started on Thursday was a critical platform to foster collaboration in the fight against sanctions.
Zimbabwe was slapped with the economic sanctions by Britain and America and their allies following the fast track land reform programme that Government embarked on in 2000.
Relations between Zimbabwe and the West have been sour but the Second Republic's policy of engagement and re-engagement has seen thawing of relations.
Last week President Mnangagwa met former British Prime Minister Tony Blair who promised to work to improve the two countries' relations.
Speaking at the inaugural infrastructure summit organised by the National Economic Consultative Forum in Victoria Falls yesterday, Finance and Economic Development Deputy Minister Clement Chiduwa said illegal sanctions were a direct attack on Zimbabwe's potential to develop.
He bemoaned difficulties faced by the financial sector in the country to access international funding.
"On the issue of sanctions, they are an attack on the growth potential of Zimbabwe. If you look into the financial institutions, banks lost corresponding institutions. We had more than 100 corresponding banks and I think as a country we are left with two and when we transact, we do it through third parties and this has increased the cost of doing business in Zimbabwe," said Deputy Minister Chiduwa.
He said there is a misguided notion that sanctions targeted politicians yet they are actually hurting every Zimbabwean including ordinary citizens and industry.
The presence of sanctions is a hindrance even to attainment of the country's Vision 2030 as they derail the implementation of the National Development Strategy (NDS1).
"It is critical to know that the issue of targeted sanctions, are actually targeting the private sector. The private sector can't deliver on its mandate and we are saying as Government in order for us to move forward, we need the private sector.
"The growth potential of Zimbabwe is rooted in the private sector but it is that private sector which is hamstrung," said Deputy Minister Chiduwa.
He said the two-day conference which started on Thursday was a critical platform to foster collaboration in the fight against sanctions.
Source - The Chronicle
