Polling day next Wednesday has not yet been declared a national holiday, and businesses are trying to make plans to accommodate the voting rights of their employees.
But the technicalities of the voting day are not the only issues adversely affecting the sector, which has already felt the impact of uncertainty and instability in Zimbabwe’s political arena.
Economic analyst Masimba Kuchera told SW Radio Africa that the election period has had a “severe impact” on businesses because of a “general reluctance to trade in and with Zimbabwe.” He said this reluctance has grown because of politically related developments that directly influence the sector.
“For example, when Robert Mugabe threatened to pull out of the SADC bloc. We are an import based economy and that would result in higher tariffs being placed on goods. So this instills fear in local businesses because they’d be trading on an unlevel ground,” Kuchera said.
Kuchera said it was likely that most businesses will plan to either close or run a ‘skeletal staff operation’ on polling day, but he added that whatever the plan, elections are not good for businesses.
“Business in Zimbabwe will also need to prepare for bouts of violence and chaos after the elections. We might not be expecting any but like any sane business person will say, this is not the time to only hope for the best. You also need to plan for the worst,” Kuchera said.
The analyst meanwhile said that the political future of the country and stability in the business sector are closely linked, and until there is political certainty, “uncertainty rules supreme in business.”
“We have seen companies closing, some scaling down, and some on hold while they wait for the outcome of the elections. It is clear that there are people who want to do business with and in Zimbabwe, but they are waiting for stability and certainty,” Kuchera said. – SW Radio Africa News
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