Fin24

'Indigenisation not nationalisation'

2012-07-17 12:05

Johannesburg - The indigenisation in Zimbabwe is not nationalisation, a government official from that country said in Johannesburg on Tuesday.

"Indigenisation is not nationalisation. It is not forced on an investor," Prince Mupazviriho, permanent secretary of the ministry of mines in Zimbabwe, told the Africa Mining Congress.

"You find your own partner and you come up with your own structure on how you need to do it.

"A perception has been created that if an investor comes to invest to Zimbabwe, the moment the investor touches down, he is surrendering 51% of that investment. No, that is not the case."

Mupazviriho said investors were expected to identify a local partner and come up with their own arrangement.

"The aspiration is that it must be 51% (local-owned) and 49% (foreign-owned)."

Mupazviriho said indigenisation was done for the benefit of people living near mining projects.

The Mail&Guardian reported in March that the controversial law orders foreign-owned companies, such as mines, banks and retailers, to submit plans on how they will give up a majority share to locals. The government had however not explained how the process would be undertaken.

 

Comments
  • Chumscrubber1 - 2012-07-17 12:44

    True, nationalisation is only if the state owns or takes over something. For once an honest statement. I guess if I go and farm in Zim, I can make an arrangement that a group of locals own the land, and I rent it from them? Tricky to trust anyone at this stage though, so I'll pass thank you very much.

      Renny - 2012-07-17 12:50

      Agreed, stay clear investors!

      rob.gunning.1 - 2012-07-17 13:04

      I also agree. Not such a bad policy provided the colour of the skin of the "local" is not required to be of a certain colour.

      james.weather.9 - 2012-07-17 13:19

      NO but its still robbing people of their money and business's. Instead of taking from someone else or as they like to call it 'transforming the economy' why don’t they create NEW businesses and NEW jobs and NEW investment, why are they always looking at taking someone else hard earned businesses? Once again the focus is in the wrong place. - That way the economy will be stimulated, jobs would grow, competition will heat up, prices will drop and it has a knock on effect...

  • michael.bushes - 2012-07-17 12:56

    So now these blacks move to europe and want jobs there as well. But whites cant live in africa and get discriminated against, and now we as coloureds as well,because of an oversupply, but yet they wanna move to europe as refugees. Hmmmmmmm... Coloureds and whites better join hands to have an independent Cape, time is running out

      rob.gunning.1 - 2012-07-17 13:06

      Coloureds and whites joined hands a long time ago. One of the bigest reasons why the WC is one of the best places to be, if not the best.

      michael.bushes - 2012-07-17 13:08

      @Rob Join hands i mean, Independence Sir :)

      George - 2012-07-17 13:21

      @Rob, Nikka plz, Gauteng outclass out smart and outperforms WC in all aspects. Economically you can't even begin to compare the two. Coloureds and whites join hands.... yeah right!!! If you wanna push you racial agenda's please don't drag couloreds into it. Your on your own with you little racial ideals. Even the term coulored doesn't exist any more, it was created to discriminate against native. Aparheid is over... move on

      michael.bushes - 2012-07-17 13:27

      @george, Dont ever tell me what I am, I am a coloured person, and NO, i aint black. Both of us are in serious trouble here because blacks are using their majority against us. Gauteng outperform us in WC? Stop smoking your socks ! Coloured people dont vote for the same party over and over, rape 10 yr old girls to cure ourselves from AIDS, so how can anyone even begin to think that we are black, when Khoisan people, our forefathers are miles apart from black africans in genetics and mentality?

      rob.gunning.1 - 2012-07-17 13:36

      @michael - Agreed

  • richard.hipkin - 2012-07-17 12:58

    His statements are contradictory. He says an investor is not expected to give up 51% of his investment when touching ground, but then he goes onto say that the investment should be 51% locally owned?

      littlegiantn - 2012-07-17 13:37

      Maths aren't diffucult, or are they? Read the statement correctly, if an investor has $49 to invest, what Zim Law says is that this investor's money should be 49% of the final/total investment. This means he must find a local partner with $51 which will form the 51% of the total investment of $100.

  • Gideon - 2012-07-17 13:11

    Sure, if the local 51% stakeholder comes up with 51% of the starting capital, takes 51% of all the liabilities and 51% of all responsibilities then yeah! Wait, what? They don't have the money? Guess it's not going to work then.

  • ryan.a.smith.3958 - 2012-07-17 13:14

    Prince is a crack smoking african single celled organism ... see I can also say anything and pass it off as fact (although he probably is something like that actually lol). ITS MOST DEFINITELY NATIONALISATION. Prince can call it by any other name that he makes up, whether it be indiginization or whatever else. it still boils down to the same thing. and investors have every right to be concerned. just look at what that stupid corrupt government has turned Zim into .. it used to be called the bread basket of Africa 20 years ago .. now its the basket case of africa ..

  • George - 2012-07-17 13:14

    Two fat thumbs up for Bob, at least Zimbabweans will not remain poor and own nothing in their country until the 2nd coming of Christ. We must remember the poverty in Southern Africa was man made (For all the un-educated one's who may not understand o know what I am talking about. Take an education trip to down town JHB, Newton Jozi. Workers museum it is free).

      william.nigh.5 - 2012-07-17 13:20

      George. Africans were always poor, long before the white settlers, and Christ is not coming back.

      bennie.kruger.5 - 2012-07-17 13:21

      if you own 51% of nothing its still Nothing !! but 1% of something is much better.

      ryan.a.smith.3958 - 2012-07-17 13:21

      George did you ever get past Grade 3 ??? "at least zimbabweans will not remain poor" ??? one of the dumbest things ive ever heard. and you are certifiable !! the average Zimbabwean is poorer than theyve ever been. the economy of Zimbabwe is smaller now than it was 15 years ago you idiot. WHICH MEANS THAT THE AVERAGE PERSON IS MUCH POORER

      George - 2012-07-17 13:26

      @PhilMemon, how can a man have a thousand cattle and thousands of hectors of land and be poor. Until you get a book and educate yourself or maybe go to JHB workers museum and educate your dumb s. I will refrain to engaging in any debate with you. "Like slavery and apartheid, poverty is not natural. It is man-made and can be overcome and eradicated by the actions of human beings. "I say to all those leaders [of the G7 and G8]: do not look the other way; do not hesitate. Recognise that the world is hungry for action, not words....." Nelson Mandela 2005

      ryan.a.smith.3958 - 2012-07-17 13:34

      George we are not talking about one man you CHOP. we are talking about a COUNTRY. i dont care if one man has a million head of cattle and a million hectares, that means nothing. by the way, is that man BOB MUGABE by any chance ??!!!!! the COUNTRY of Zim is in a pathetic state, with ZanuPF having run it into the ground over the last 20 years. go look at yearly real GDP figures, real GDP growth rates (growth decline every year in Zim's case for like the last 15 years, except for 2011), GDP per capita. then look at what happened to Zim's infrastructure over the last 20 years, look at what happened to the Zim dollar (R 1 could buy you a couple billion Zim dollars before they scrapped the Zim dollar). GO BACK TO SCHOOL GEORGE

      ryan.a.smith.3958 - 2012-07-17 13:35

      and by "country" i mean ALL its people. the average zimbabwean. NOT ONE MAN !!!!

  • Nonkosi Xaba Mzi - 2012-07-17 13:36

    i like this, Indigenise

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