Zim no longer risky for investors: PM

“The perceived risk on Zimbabwe does no longer exist . . . what country in Africa is risk-free?” Tsvangirai said, during a joint address with Prime Minister Arthur Mutambara and President Robert Mugabe, who made a surprise showing at the World Economic Forum (WEF) on Africa in Dar es Salaam last week. “Zimbabwe is ready to do business. If Africa’s time has come for investment then Zimbabwe cannot miss the boat. It must be part of that opportunity,” he said. Zimbabwe, still struggling to recover from a decade-long economic collapse and a protracted political crisis that followed its disputed 2008 elections pitting then opposition leader Tsvangirai against Mugabe, registered its first positive economic growth in ten years last year.

The former rivals formed a power-sharing government last year which has won plaudits for stabilising the country’s economy and improving people’s lives, but the administration has been dogged by political squabbles over full implementation of the power-sharing agreement. “The political crisis . . . no longer exists. The country is making progress and it is time investors started looking at Zimbabwe from a different perspective,” Tsvangirai said. Mugabe also appealed for investment at Africa’s biggest business meeting, dismissing investor worries over new ownership laws meant to transfer majority stake of foreign owned firms to black Zimbabweans and which have strained the unity government.

“People have said it will drive away investment. We say it won’t,” said Mugabe, adding; “Companies have been forthcoming . . . I don’t think it’s a painful thing for them. Forty-nine percent is a lot.” Tsvangirai stressed that discussion was continuing on the empowerment law and its application. The former opposition supremo said he would not enter a coalition government again, but that “it was “necessary” to work with Mugabe because the country had to undergo a transition after the disputed elections. But, he added: “I think it is a very painful exercise . . . It is painful in so far as every day you are negotiating. Would I ever do this again? I don’t think so. I think it is a bad precedent. It would be unfortunate if the next election is conducted in an atmosphere of violence, in an atmosphere of undermining the mandate of the people.”

Tsvangirai pulled out of the second round presidential run-off election in 2008 because of violence against his supporters, leaving Mugabe to claim victory before the African Union and the Southern African Development Community forced him to form a power-sharing government with Tsvangirai. Deputy Premier Mutambara called for the complete lifting of Western sanctions targeted against Mugabe and his inner circle. “We are calling for the total, unequivocal removal of all sanctions,” he said, adding; “The intended target is the individual but the impact of the sanctions is the entire economy. No lines of credit, no investors. The brand of the country is damaged.”