Addressing senior managers from a number of local companies, Economic and Business Consultant Simon Kaereka said although an MDC-T government was likely to have some policy inconsistencies, it would be possible for strong business associations to lobby Parliament and inform policy decisions.
Kaereka said business should position itself for an economic upturn and be more innovative.
“There should be no wait and see. Now is the time for positioning yourself so that when the economy improves, we are there. We have to be more innovative and competitive and position ourselves to help make the rules,” he said.
In the event of Zanu (PF) winning the election, Kaereka said the country would see slow economic growth. The industrial base would be unlikely to grow, and business would have to adopt new survival strategies.
“We will have to become more entrepreneurial and think outside the box. If companies remain the same, they will shrink and die. If Zanu is in power, business will need to concentrate on basic commodities, where the market is, or simply become distributors of Chinese commodities,” he said.
Kaereka said business could influence policy by getting people who supported their positions into Parliament.
“We are not entering the political arena, but simply saying how can business position itself ahead of the elections,” he said, adding that all the political parties lacked policies that addressed issues to do with business.
Another consultant, Moss Kapumha, said although Zanu (PF) would empower the people and create owners of the economy, their model was not practical as it would create employers without employees.
“Their model is like we all must be employers and is based on selective engagement with some parts of the world. Who will work for those employers?” he asked.
Brains Muchemwa said government’s expenditure was misplaced, with more than 70 percent of revenue going towards salaries, and urged civil service reforms in order to create fiscal space and promote private sector investment.
“The GNU has failed to resolve the labour issues. They could have changed the current laws, which are the biggest enemy to investors,” he said.
He said the main cause of the economic slowdown was the agriculture sector which was hitting growth bottlenecks.
The Distressed Industries and Marginalized Areas Fund, Muchemwa said, was a waste of time and money as it was being channeled to companies that were collapsing and had no capacity to revive.
“DIMAF is a case of national ignorance. What is it going to do, the companies will just pay off banks and remain where they are,” he said.
Post published in: News