Zim should stick to basics on ease of doing business reforms

Tinashe Makichi in Victoria Falls

Government must go back to basics by holistically creating an environment conducive for private enterprises to prosper, an ease of doing business consultant has said.

Zimbabwe has performed lowly on the World Bank’s ease of doing business ranking which militates against the country’s efforts to lure foreign direct investment to reboot the economy ravaged by decades of economic malpractices.

According to the latest World Bank Ease of Doing Business Index, Zimbabwe was ranked at number 155 out 190, a position which is low compared to its African peers.

Eric Zinyengere, consultant for ease of doing business in the Office of the President and Cabinet, said an inclusive approach is required to implement the reforms.

Speaking at the CZI annual conference in Victoria Falls, Zinyengere said there is need for a drive to enable timeous implementation of various ease of doing business reforms.

“Investors out there start by looking at how local investors are being treated and how they do their business before they can make a decision on when and how to invest. At the moment we are sitting at number 155 out of 190 on World Ease of Doing Business rankings,” Zinyengere said.

He said there have been complaints about the pace of reforms but to date nothing has been done to address the issues to date.

The delays in the promulgation of the Companies Act have also compounded the country’s situation as a number of investors have adopted a wait and see attitude.

Zinyengere said the Attorney General’s office is in the process of reviewing the final draft of the Companies Act to be submitted before President Emmerson Mnangagwa soon.

The delays in dealing with the Companies Act have seen the country lagging behind in addressing the protection of minority shareholders.

“I am told that the AG’s office is in the process of reviewing the final draft of the Companies Act which will then be submitted to the President. So despite the milestones, it is not about what we have achieved but what others have done better than us,” Zinyengere said.

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