President Emmerson Mnangagwa has formalised the amendments of the Indigenisation Act confirming that he really means it when he says Zimbabwe is now open for business.
The requirement that 51 percent of all businesses worth more than $500 000 should be owned by locals has been removed leaving only two extractive industries, diamonds and platinum.
The Act also applies to 12 reserved sectors which are:
• Transportation – passenger buses, taxis and car hire services;
• Retail and wholesale trade;
• Barber shops, hairdressing and beauty saloons;
• Employment Agencies;
• Estate Agencies;
• Valet Services;
• Grain milling;
• Bakeries;
• Tobacco grading and packaging;
• Advertising Agencies;
• Provision of local arts and crafts and their marketing and distribution;
• Artisanal mining.
Below is a review of the amendments by Veritas:
BILL WATCH 5/2018
[17th March 2018]
Indigenisation Act Amendments Are Now Law
It was expected that amendments to the Indigenisation and Economic Empowerment Act would have been made in Indigenisation and Economic Empowerment Amendment Bill.
Instead they were tucked away in the annual Finance Act, which deals mainly with taxation and as usual was passed by Parliament with little debate.
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