12 °c
London
Monday, June 27, 2022
No Result
View All Result
FurtherAfrica
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About
FurtherAfrica
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About
No Result
View All Result
FurtherAfrica
No Result
View All Result
Home Africa

Mugabe’s ministers at odds over indigenisation of banks

FurtherAfrica by FurtherAfrica
April 4, 2016
in Africa, Banking, Economy, FDI, Finance, Government, Zimbabwe
Reading Time: 2 mins read
1.3k 13
0
Share via QRWhatsappShare on FacebookShare on TwitterLinkedInPinteresteMail

Patrick Zhuwao, Zimbabwe’s indigenisation minister, says depositors’ funds at foreign-owned banks are not safe as the banks failed to meet the March 31 deadline to submit plans for “indigenisation” – local majority ownership.

But Zimbabwe’s finance minister, Patrick Chinamasa, has quickly contradicted Zhuwao, President Robert Mugabe’s nephew, by saying all foreign-owned banks and financial institutions have submitted credible plans.

Chinamasa is supported by the central bank in this latest row with Zhuwao.

Zhuwao set this and other deadlines and alterations to the indigenisation law over the last year. Most of the changes he announced were not legal, according to lawyers in Harare, and have been previously contradicted by Chinamasa.

Chinamasa issued a brief statement at the weekend saying that foreign banks had submitted “credible indigenisation and economic empowerment plans” ahead of the deadline set by Zhuwayo.

Last month, Zhuwao threatened foreign-owned companies – including banks – with closure, warning that if they missed the March 31 deadline to submit plans to give locals majority shareholdings he would withdraw their operating licences.

Several South African banks and financial institutions, such as Standard Bank and Old Mutual, have large operations in Zimbabwe.
Several South African banks and financial institutions, such as Standard Bank and Old Mutual, have large operations in Zimbabwe.

“The indigenisation plans,” Chinamasa said in his latest written statement, “are promotive of socially and economically desirable objectives and goals as set out in the gazetted indigenisation frameworks.

“The submitted plans are consistent with the letter and spirit of the Indigenisation and Economic Empowerment Act…”

Zhuwao quickly reacted by issuing a statement to journalists in Harare in which he wrote: “(Chinamasa’s) position puts at risk the savings and investments of depositors and shareholders in an all-ready compromised financial services sector.”

Zhuwayo and Chinamasa have previously argued in public and via statements about the indigenisation laws.

John Mangudya, governor of the Reserve Bank of Zimbabwe, also said last week that banks had complied with the indigenisation law.

Mugabe signed the Indigenisation and Empowerment Bill into law in 2008, but a serious push to implement it only began after Zhuwao’s appointment last year.

Zhuwao says Zimbabwe does not need foreign investment and he has scorned Chinamasa’s attempts to restore Zimbabwe’s relationship with the International Monetary Fund.

Source: IOL

Related

Tags: banksCentral BankForeign InvestmentIMFIndigenisationInternational Monetary FundJohn MangudyamugabePatrick ChinamasaPatrick ZhuwaozimbabweZimbabwe indigenisation minister
ScanSendShare510Tweet319Share89Pin115Send
FurtherAfrica

FurtherAfrica

Founded in 2015 FurtherAfrica is an online platform centralising news and content focusing on the development and growth story of the African continent.

Related Posts

Government

Ramaphosa urges for UN Security Council reform

by FurtherAfrica
June 27, 2022
Energy

TechnipFMC awarded Angola offshore subsea contract

by Energy Capital & Power
June 27, 2022
Energy

Total renewables & gas – the way to Mozambique’s new electricity demand

by Fabio Scala
June 27, 2022
Sonangol
Business

Publication of Sonangol’s accounts awaits statutory obligations

by FurtherAfrica
June 27, 2022
Venture Capital

Nigeria edtech startup Kibo Schoo raises US$2M

by TechGist Africa
June 27, 2022
Angola Oil & Gas 2022
 
AFSIC 2022
 
Great Limpopo Transfrontier Park
 
MozParks

Translate this page

Read the Latest

Government

Ramaphosa urges for UN Security Council reform

by FurtherAfrica
June 27, 2022
0

President Cyril Ramaphosa says there is a need to urgently reform the United Nations Security Council so that it can...

Read more

TechnipFMC awarded Angola offshore subsea contract

June 27, 2022

Total renewables & gas – the way to Mozambique’s new electricity demand

June 27, 2022
Sonangol

Publication of Sonangol’s accounts awaits statutory obligations

June 27, 2022

Nigeria edtech startup Kibo Schoo raises US$2M

June 27, 2022

FurtherAfrica Partners Network

The Exchange Club of Mozambique Taarifa Rwanda
TechGist Africa Africa Oil & Power Farmers Review Africa
Tanzania Invest Zambia Invest See Africa Today
Africa Global Funds Novafrica CrudeMix Africa
Harambee Africa Botswana unplugged Financial Insights Zambia
Digilogic Africa Web3Africa

Subscribe to FurtherAfrica

Enter your email address to receive new articles on your email.

Join 73,051 other subscribers.

FurtherAfrica

© 2021 FurtherMarkets

FurtherAfrica is a FurtherMarkets Limited platform

  • Countries
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About

Follow Us

No Result
View All Result
  • Countries
    • Angola
    • Botswana
    • Cape Verde
    • DRC
    • Eswatini
    • Ethiopia
    • Kenya
    • Malawi
    • Mauritius
    • Mozambique
    • Namibia
    • Nigeria
    • Rwanda
    • South Africa
    • Tanzania
    • Uganda
    • Zambia
    • Zimbabwe
  • Interviews
  • Understanding
  • Videos
  • Travel
  • Weekend
  • About

© 2021 FurtherMarkets

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?
 

Loading Comments...