Tear down investment barriers

CHENGETAI MURIMWA

Industrialist Busisa Moyo has challenged local authorities to dismantle regulatory and administrative barriers stifling business, warning that Zimbabwe’s ability to attract investment will increasingly depend on how effectively cities compete for domestic and foreign capital.

Moyo said municipalities needed to modernise outdated by-laws, streamline licensing procedures and digitise service delivery to create commercially attractive environments capable of drawing investors and supporting business expansion.

He argued that investment promotion should no longer be viewed as the preserve of central government and the Zimbabwe Investment and Development Agency (ZIDA), but should involve local authorities, financial institutions, private-sector players and communities.

Moyo identified Bulawayo, Mutare and Gweru as cities with significant potential to strengthen their investment propositions by reducing bureaucratic bottlenecks and improving the ease of doing business.

He said attracting capital also required a stronger pipeline of bankable projects, with investment proposals demonstrating clear prospects for profitability, financial viability and long-term sustainability.

Economic needs and market opportunities, he said, had to be converted into commercially structured projects capable of meeting investor expectations.

He also highlighted the importance of financial professionals, including accountants, investment bankers and chartered financial analysts, in helping entrepreneurs package proposals that meet international investment standards.

On regulation, Moyo said local authorities needed to adapt their frameworks to emerging business models, citing short-term accommodation platforms such as Airbnb, which create income-generating opportunities for property owners.

He said outdated municipal regulations risked constraining new economic activities and preventing cities from capitalising on evolving market opportunities.

Macroeconomic stability was another critical consideration for investors, with Moyo arguing that predictable economic conditions were essential for long-term capital allocation.

“The biggest incentive for investment is a stable macroeconomic environment,” Moyo said.

He also proposed targeted incentives to encourage pension funds and other institutional investors to channel capital into emerging industries, particularly technology, where Zimbabwe has opportunities to commercialise local innovation and technical expertise.

Moyo said investment mobilisation required a broader national strategy that leveraged foreign direct investment, domestic institutional capital and private-sector funding.