SA keen to invest in Zimbabwe
http://www.theindependent.co.zw/
October 19, 2012 in Business
SOUTH African Trade and Industry deputy minister Elizabeth Thabethe
(pictured) (ET) is in Zimbabwe, leading a trade and investment delegation of
33 companies.
Report by Faith Zaba
Zimbabwe Independent News Editor Faith Zaba (FZ) spoke to her on Wednesday
on several issues including trade, investment, indigenisation and
intra-Africa trade.
FZ: Investors have expressed concern over Zimbabwe’s indigenisation policy.
Is this an issue among South African investors?
ET: They (the business delegations) want to seek clarity on how it is going
to work and how it is going to be implemented. That is what people are
asking. Overall people are positive. They are keen to contribute to the
recovery of the Zimbabwe economy.
FZ: The balance-of-trade between the two countries is one sided. How can
this be redressed?
ET: As you know it is skewed in our favour. So if we were another country,
we would sit and relax) we have nothing to lose. But we don’t believe in
that. We believe in working together and dealing with the imbalances. We
have businesspeople coming in so that they can end up investing here.
FZ: How sustainable is this skewed trade balance in the long term?
ET: We live in a global village and you can’t work as an island. It (trade
imbalance) will take time to be balanced. We believe in doing these trade
missions (since) it is then that we try and deal with the trade imbalance.
FZ: Bippa agreements have often been disregarded. What is South Africa doing
to deal with such issues?
ET: They should go to the embassy which is able to deal with them. It’s not
like they are not getting any help. The ambassador must be vocal in
assisting and supporting some of the moves here to make sure that we can
have a fair trade.
FZ: But when such cases happen, doesn’t that put off investors in Zimbabwe?
ET: The people who are doing business from South Africa are increasing, not
decreasing. If there were bigger problems, we wouldn’t find South African
people investing here. We still have a lot of companies that are operating
here. So in essence, when problems arise, they are tackled.
FZ: Do the impending elections have an impact on investment and trade?
ET: We believe that every country has its own systems of democratic
processes and elections come and go. The country can’t stop just because
there are elections. Elections are going to come and we hope that they will
be free and fair. Governments come and go (and) some are re-elected, but
people-to-people relations stay.
FZ: What are your views on a single regional currency?
ET: That can only come after thorough negotiations. Just look at the euro
zone; there are problems now. Remember we are developing countries (and) a
developing continent. The needs and priorities are much more. We can come to
that at a later stage. To me, it is too early to talk about a single
currency.
FZ: How would you describe the two countries’ relations?
ET: Without the political will, you won’t have the economic relations with
other countries. You first have to have the political relationship. You need
the political will and the political relationship so that the government to
government economic relationship is also informed in what you do. So far,
the relationship between our two heads of state seems OK.
It has paved the way for some of the things that are happening now.