Mushowe contradicts Mnangagwa

Emmerson-Mnangagwa.jpg

NEWLY appointed Youth, Indigenisation and Economic Empowerment minister Christopher Mushowe said yesterday government could compel foreign-owned companies to relinquish as much as 99% ownership to Zimbabwean locals.

Taurai Mangudhla

This is in sharp contrast to acting President Emmerson Mnangagwa’s recent pronouncements that government would relax the controversial indigenisation policy in 2015 to attract much-needed foreign direct investment.

Mushowe’s inaugural speech, which comes only three days after assuming office, sets the tone of how he is going to implement the policy, which compels foreign-owned companies to cede at least 51% ownership to locals.

Mushowe defended his position saying the country’s natural resources are far more than what foreigners bring in as investment.

However, this contradicts Mnangagwa’s recent statement that government would in early 2015 pronounce new business policies biased towards relaxation of the Indigenisation Act blamed for spooking foreign investors.

Mushowe told stakeholders at his Munhumutapa offices: “In fact, they (foreigners) are very lucky that they get 49%; in fact 49% is the maximum and 51% is the minimum so it’s not cast in stone, it can be 1% to foreigners and the 51% for locals can be 99% because it’s a minimum.

“If we understand that then we will get rid of these problems of threatening each other saying if we do this we won’t get foreign direct investment.”

“I have companies mining diamonds in my constituency. The diamonds are said to account for 25 to 30% of global diamond deposits so what do you think costs more, the money they invested or what they have extracted?”

The minister said Zimbabwe has a right to control its policies to suit its needs.

“We are a sovereign state, we welcome foreign direct investment, we welcome foreigners to come into our country and invest but certainly on our terms,” he said.

“If we decide as a country that we must give foreigners 60% and we take 40%, it’s our decision and if we decide the foreigner must take 20% and we take 80% it’s our decision in consultation with the investor so we can’t start saying their money is more important than our resource because it doesn’t work like that.”

Mushowe also said he had demanded the list of beneficiaries of the empowerment policy so far saying the exercise is meant to check for double dipping and expose individuals who benefit multiple times by using different companies which they own.

13 thoughts on “Mushowe contradicts Mnangagwa”

  1. chikata says:

    Which tangible benefit has the diamonds done Mr Mushowe

  2. Portia King says:

    policy consistence is needed in zimbabwe whichever minister is there let there be policy consistence

  3. Thabani Khumalo says:

    To expect policy consistency under a ZANUPF is expecting too much.It might be a good time for Zimbabwean business to engage Grace Mugabe directly to get this government to start implementing sound economic policies!!

  4. E Makhate says:

    Ha Mshohwe unoziveyi? Go back to your domestic chores at State House. Just look at the DRC, lots of minerals but no investors. Mining requires big investment. Without trust there will never be investors and will wallow in poverty.

  5. Garikayi says:

    Mushowe is only trying to please Mugabe. Which business have you successfully managed Cde Mushowe??? You can leave in your imaginary world with your 99% compulsory shareholding to local companies. You should aim to make money. as government from taxes, and not grabing shares from companies. Dream on Mushowe

  6. C Frizell says:

    It makes a person weep to see such total stupidity displayed in public. Our country will never succeed when we allow educationally sub-normal people to be in positions of power. I always wonder if such stupidity comes naturally, or does it take years and years of practice?

    What happened to all our supposedly highly educated Professors of this and Doctors of that? Can they not speak into the ear of this grade 1 moron?

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  9. Mushowe is tap-dancing to his master’s music, which to even Mugabe is rhetoric to antagonize perceived enemies. We all know the old man is going through the motions in his sinile state. Old age, has all the tell tales. Mugabe said, “Down with ZANU PF,” proof he does not care for the party, its people and country. All he wants is control, chidembo tamba tamba muswe ndakabata. He did this to Tsvangirai n 2008. Mugabe, the honest one told us Tsvangirai won the presidency by 73% folks but he refused to give up power. What ever we do he is willing to use the military against anyone dare snatch power from this vulture. His operatus mondi chidembo tamba tamba muswe ndakabata.

    Mnangagwa knew the old lusts in absolute power. The party constitution was changed and unequivocally endorsed by a bunch of yes men, some of who were discarded a week later. So he rewards Ngwena, now waiting like a hawk to snatch power as soon as the old man is totally gone. Yes he is gone with his dementia, while Jezebel is running the show at State House. This happened because Josef Goebbels used his propaganda machinery to create what appears like mayhem. Of course the clueless Jezebel fell for it, sealing Mujuru and her faction demise. So Jezebel partnered with Rasputin. Jezebel got her annihilation of Mujuru, Rasputin got his vicegrip leaving the architect of the plot Goebbels with no reward. We haven’t seen the end of Goebbels machinations yet the country is in a financial coma, a vegetative state for quite some time.

  10. SHIBOBO says:

    I SAID SO BEFORE, AND I REPEAT IT HERE: CHRISTOPHER MUSHOWE IS AN ABSOLUTE IDIOT WITH THE BRAIN OF AN ANT, AND MUGABE HAD THE AUDECITY TO MAKE THIS FOOL A CABINET MINISTER!!!!

    CRY THE BELOVED COUNTRY FOR SURE!!!!!

  11. Mutape says:

    Shibobo, at least an ant knows when to go out and gather food and to navigate back to base with amazing ability. Now our new broom minister in praise-singing mode needs to be snapped out of it by the now dysfunctional puppet handler and the comedy goes on and on.

    We don`t need a rocket scientist to know what`s needed to turn around this economy. You can never use a screwdriver to change your car wheel-nut. But the powers-that-be say you can if you try harder! Cry my beloved country!

  12. RAMBAKUUDZWA says:

    We desperately need FOREIGN DIRECT INVESTMENT which will remain a pipe dream with Cde Mushowe’s attitude.I doubt very much if min Mushowe really understands what needs to be done to attract the very important foreign investment.We would not be crying foul on sanctions if we had foreign investments in Zimbabwe.Please people like min Mushowe should be given other duties not the one he has just taken over.

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