BONGANI BHEBE
President Emmerson Mnangagwa has urged the private sector to support government efforts in the development of infrastructure.
Speaking at the recent Zimbabwe Economic Development Conference (ZEDCON) in Victoria Falls, President Mnangagwa vowed to keep fostering an environment that is favorable for conducting business.
“I urge the private sector to complement government efforts in wealth creation through the development of infrastructure such as roads, renewable energy power stations and the building of health and education facilities, among others.
“On its part, my government will continue providing a conducive business operating environment which encourages public-private partnerships, while at the same time guaranteeing stability in the macro- economic environment.
“Zimbabwe is a friend to all and an enemy to none. As such, our country remains open for business to all investors, both foreign and domestic, including Zimbabweans in the Diaspora,” he said.
According to President Mnangagwa, citizens must expand their avenues for accessing to resources for sustainable socioeconomic development.
“The theme for this year’s conference: ‘Public and Private Resource Mobilisation for Sustainable Development’, underscores the need for all of us to explore and expand avenues for accessing resources for sustainable socio-economic development.
“As a country under sanctions, we must not bury our heads in the sand but must grow the economy faster than those countries not under sanctions. This further calls on us to generate and indeed accelerate growth through the utilisation of our vast human and natural resource endowments,” he said.
The country’s Land Reform Programme implemented in 2000 triggered the imposition of economic sanctions against Zimbabwe, mainly in the form of the so-called Zimbabwe Democracy and Economic Recovery Act (ZIDERA) in America.
The sanctions have had a negative impact on the country as they caused massive de-industrialisation and extensive migration.
Mnangagwa emphasized the need for capacity-building initiatives as well as further simplification of the current tax structure.
“On its part, my government will continue to strengthen mechanisms to enhance revenue collection, which remains the most sustainable source of public financing.
“This includes ensuring the efficient, equitable, transparent, and accountable use of public funds towards increasing voluntary tax compliance.
“If you recall, last year I challenged our private sector to come forward and support the provision of critical social services, public infrastructure and our quest to build resilience to climate change.
“I look forward to concrete proposals in this direction, as we go forward. There is need for continued simplification of the prevailing tax regime and capacity-building programmes as well as financing models, targeted at growing Micro, Small and Medium Enterprises.
The formalisation of the sector is a matter that must be attended to with a greater sense of urgency,” he said.
He urged the financial services sector to revert back to their core business of financial inter-mediation and providing incentives for savings by the general public.
“A stable and innovative domestic financial system, which is well integrated with the rest of the economy, is indispensable in broadening financial inter-mediation and pooling domestic savings.
“I, therefore, challenge the financial services sector to revert back to their core business of financial inter-mediation and providing incentives for savings by the general public, while at the same time channelling these savings to borrowers,” he said.
He added: “I further urge the banking sector to roll out financial literacy programmes to cover the unbanked and under banked members of our communities. This will serve to instil greater confidence in our banking sector and cultivate a culture of saving within households.”
