“Australian investors in Zimbabwe have had many difficulties in getting licences and I think the reason could be political. In this country, ministers are very involved in investment. That does not happen in most countries around the world,” said outgoing Australian Ambassador Matthew Neuhaus in a recent interview.
“I know the Zimbabwe Investment Authority tries to help but the reality is that ministers here are too closely involved in investment issues. The bureaucracy moves slowly and it takes many days to get licences – so that creates problems as well. I would have liked to see more opportunities for investment but the political environment has been an impediment to that,” said Neuhaus.
He said it was imperative for Zimbabwe to implement clear and consistent policies governing foreign investments if efforts at re-engaging the international community and luring foreign investors were to bear the desired fruits.
Neuhaus said that the lack of clarity on the indigenisation policy was deterring investors from his country, who he said wanted to be assured of security for their investments. “I am afraid Australian investors are still wary of the situation here. They need to see practical, confidence-building measures – not just good statements. They want to make sure there are no complications around the issue of indigenisation. In fact, they would like to make sure that their investments are secure.
“Despite changes in ministers of Indigenisation since 2013, the policy is still not clear,” he said, adding that Zimbabwe had great potential for economic growth but was standing in its own way to economic growth. Neuhaus expressed his country’s commitment to expanding trade with Zimbabwe but said the onus was upon the host country to implement policies that pave way for the smooth flow of business.
“We have removed impediments to economic cooperation and as I leave I hope there will be positive change in future,” he said. The Ambassador said it was important for Zimbabwe to re-engage with international finance institutions as they were critical as far as the country’s economic revival was concerned.
Post published in: News