Government rolls out investor education campaigns

GOVERNMENT has rolled out nationwide investor education awareness campaigns aimed at stimulating internal savings to support the productive sector and steer the economy towards an upper middle-income status by 2030.

The participation of every Zimbabwean is critical in rebuilding the country’s economy and the Government hopes to rope in every stakeholder in generating savings towards rejuvenating the productive sector and widening the job market.

Zimbabwe has set a target of achieving a US$8 billion industrial and commercial sector by 2023 whose ambitious roadmap was approved by Cabinet a fortnight ago. As the country moves to implement the National Development Strategy (NDS1:2021-2025), developing a robust industrial and commercial sector is vital to import substitution and a key component of the Government’s economic transformation agenda.

Industry experts and the Government concur that realising the gains of a diversified economy that is anchored on vibrant value chains requires millions of dollars in recapitalising domestic industry.

Under the US$8bn focus, a number of investments are scheduled for implementation through private-public-sector-led initiatives.

These include 23 planned investments amounting to US$545 million in the food, drink and tobacco sub-sectors, US$32 million investments in the textiles, clothing and leather sub-sectors and a total of eight projects with an investment value of US$1,5 billion in the metals and electricals sub-sectors.

To buttress productive sector revival, Finance and Economic Development Minister, Professor Mthuli Ncube, on Friday launched the drive to harness domestic investments as he unveiled the “Investment 101 Handbook” and stock market educational video in Bulawayo.

The handbook provides all the information an investor may need to make informed decisions about savings, investing and asking the right questions while the video illustrates how small businesses can ride on capital markets to expand their operations. “We need the participation of the Zimbabwean public to help our nation’s economy grow,” said Prof Ncube.

“The more people and investors we have participating on our capital markets, the lighter the burden of growing Zimbabwe and achieving Vision 2030. To this end, we must stimulate internal savings and direct these to the productive sector for sustainable economic activity and for the long-term stability and development.”

The Treasury boss said while every Zimbabwean was a potential investor in financial markets, there was a gap in financial literacy. He also admitted that historic economic failures and subsequent investment losses were also contributing to public frustration. As such, the minister said scaling up investor education campaigns was critical in unlocking high value domestic savings.

“A key component of this effort is building the financial literacy of our people, which will equip the public with the knowledge and skills to manage their money effectively.

“Through no fault of their own, and indeed owing to the many challenges that they have encountered, Zimbabweans have understandably invested in a reactionary way that is based on their experiences,” said Prof Ncube.

For instance, the minister said Zimbabweans have displayed unstoppable focus and clarity around investment in property, which is a solid long-term asset.

In this regard, Prof Ncube said the growth of participation in capital markets must be underpinned by financial inclusion. The model seeks to open up the investment space to the average man and woman through lowering and removing barriers to participating on the capital markets.

The minister said the investment handbook and stock market video, were part of tools already developed to enhance ongoing outreach on financial matters.

In view of the higher levels of informality in the economy, he directed the Securities and Exchange Commission of Zimbabwe (SECZ) and the Investor Protection Fund to effectively regulate the activities of licensed players and to provide wider investor education.

Prof Ncube said collaborative efforts were significant in helping the Government achieve its broader goals of financial inclusion and attracting individual investors to invest in capital markets and building the nation’s wealth.

Last month the SECZ launched its “GrowWealth” a similar initiative whereby trust fund managers are collaborating to support the growth of their industry through co-ordinated information sharing. As the Government is pursuing ease of doing reforms, it has also pledged to ensure protection of all investments and widening the choice for potential investors.

Business leaders, academics, stock market players and senior Government officials attended the event.-chronicle.co.zw

Zimbabwe engages SA over border commercial chaos
THE Government is formally engaging South Africa to speed up the clearance of both commercial and light vehicles at Beitbridge Border Post.

Truckers are experiencing long delays before crossing into the neighbouring country due to slower Covid-19 screening processes that are being carried out at the border.

The development has seen the movement of mainly cargo delaying by at least 48 hours and in the last five days, haulage trucks have become a menace on the Zimbabwe side forming long queues of more than 8km along roads leading to Bulawayo and Harare.

However, all the trucks would have completed the clearance processes in Zimbabwe since they are done at the Document Processing Centres (DPC) in Masvingo, Bulawayo and Harare before they proceed to respective ports of entry.

Home Affairs Minister, Kazembe Kazembe said during the tour of the Sub-National Joint Operation Command (Joc) in Beitbridge yesterday that he would discuss the way forward with his counterpart in South Africa, Dr Aaron Motsoaledi.

“We have taken note of the state of affairs as outlined by the border authorities and will be engaging my counterpart on a diplomatic footing with the help of our embassy and foreign affairs office.

“When we met recently to lay plans to create a seamless passage for both human traffic and commercial cargo, we agreed to continue liaising on issues of mutual understanding,” said the minister.

The two ministers recently met in Musina to harmonise management and health systems at Beitbridge Border Post so that more people can cross the Limpopo during the festive season without health risks and without compromising immigration and customs checks.

According to Immigration and Customs authorities at Beitbridge, joint engagements are ongoing at inter-border agencies level.

“We have engaged our counterparts so that they may streamline Covid-19 screening processes, because presently that is being done from one central point (at the foot and mouth checkpoint) and this has seen South Africa failing to absorb the commercial traffic we are sending that side.

“Under the new work environment, the first point of interaction for travellers is now at Port Health and not immigration, as was the case before the pandemic,” said Mr Nqobile Ncube, the Assistant Regional Immigration officer-in-charge of Beitbridge.

Zimbabwe Revenue Authority (Zimra) Regional Manager, Beitbridge, Mr Innocent Chikuni said all the trucks had been cleared on the Zimbabwe side and were being released across the border in batches.

“We have gone hi-tech and these trucks only travel to the border when documentation is complete. That’s the case, but then the South Africans are saying they have limited space on their commercial side,” he said.

An average 1 500 commercial trucks are processed at the country and Sadc’s busiest inland port daily.

The department of immigration is processing about 5 000 people daily and this is expected to peak to 18 000 when schools close and some companies have an annual shut down in both countries. -chroncie.col.zw