(NEWZIMBABWE, REUTERS) Nhema: Flexibility on banks only, not mines
21/11/2013 00:00:00
by Reuters
ZIMBABWE is not softening its drive to force foreign-owned mines to sell majority stakes to blacks, but could be flexible with banks if they agree to lend more, especially to young people, a cabinet minister said on Thursday.
The government has said it is reviewing black economic empowerment deals agreed in the last two years, raising hopes among investors that Harare could roll back on its demands that foreign-owned firms sell at least 51% shares to locals.
But Francis Nhema, the new youth and economic empowerment minister said those reviews did not signal a major policy shift toward mining companies.
"Government is not letting up and is in fact saying let all companies take note," Nhema told Reuters.
"Most of the mines are asking questions, they want us to confirm that it is a win-win situation and that they are not disadvantaged."
But he was more flexible over foreign-owned banks, saying the government would want to see them increase their lending.
A team set up by the government in 2010 recommended that locals could own up to 40 percent shares in foreign-owned financial services firms while the central bank has urged caution when it comes to banks.
"The banks, we have asked them to come forward and we are looking at that sectoral recommendation. There is no one-size- fits-all approach. Every sector is different," he said.
Foreign banks active in Zimbabwe include units of Barclays Plc and Standard Chartered Plc as well as South Africa's Standard Bank.
Labels: BANKING, FRANCIS NHEMA, INDIGENIZATION AND EMPOWERMENT ACT (ZIMBABWE), MINING
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(NEWZIMBABWE) ‘Soft’ Nhema toughens indigenisation talk
New portfolio ... President Robert Mugabe with Francis Nhema when new Cabinet was sworn in
13/10/2013 00:00:00
by Gilbert Nyambabvu
NEW empowerment minister Francis Nhema has vowed to “vigorously pursue” the indigenisation programme, signalling there would be no let-up in the implementation of a policy that has unnerved foreign investors and sparked divisions in the ruling establishment.
The former environment minister, who is not generally associated with the ruling Zanu PF party’s hard-line factions, was handed charge of the empowerment portfolio in President Robert Mugabe’s new cabinet line-up after the July 31 vote.
Nhema replaced Saviour Kasukuwere, whose the “Law is The Law” approach divided the former coalition government, ruffled investors and led to public spats with central bank governor Gideon Gono who urged caution with regard to the financial services sector.
Kasukuwere’s shunting aside, seen by observers as a demotion, was welcomed as a possible indication Mugabe probably wanted a less radical approach in the implementation of a policy that requires foreign firms to transfer to locals control and ownership of at least 51 percent of their Zimbabwe operations.
However, addressing a Confederation of Zimbabwe Industries (CZI) conference in Bulawayo last week, Nhema said the programme, a key part of Zanu PF’s election campaign manifesto, would be driven with just as much vigour.
“It is undisputable that as a country we should vigorously pursue the indigenisation and economic empowerment agenda for the benefit of the generality of Zimbabweans while ensuring that we retain our comparative advantage as a nation especially with regards to our manufacturing sector,” he said.
Mugabe also insisted in interviews with state media that claims Nhema’s appointment suggested a change of tact were wide of the mark.
“That is not the case; the ideas, the objectives of Government must be pursued by every member of Cabinet,” he said.
“Yes, they may be different in terms style or presentations of individual ministers but this does not change the objectives set by Government.”
Prior to the ‘verbals’ with Gono - who argued against a one-size-fits-all approach - Kasukuwere managed to reach compliance deals with leading players in the country’s key mining sector, although not without controversy which included allegations of possible corruption.
Nhema howeve, hinted that the Gono’s one-size-cannot-fit-all suggestion would likely be the new approach going forward.
“There is no debate on the imperative of indigenisation; it is the process of implementation that attracts interrogation. The whole issue here is we want to dialogue; tell us the limitations with regards to the law,” he said.
“We are not applying a one size fits all approach. The peculiarities in each sector and nuances therefore are taken into account in the implementation process.
“Some big foreign-owned companies such as Zimbabwe Platinum Mines and Mimosa Mining Company have since come up with term sheets on how they intend to comply.”
Labels: FRANCIS NHEMA, INDIGENIZATION AND EMPOWERMENT ACT (ZIMBABWE)
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Govt calls for policies promoting green economy
Friday, 13 April 2012 00:00
Herald Reporter
GOVERNMENT yesterday called for the adoption of policies that focus on waste reduction and mitigating the effects of climate change for the sustainable development of a green economy. Speaking at the National Environmental Expo and Conference in Harare, Environment and Natural Resources Management Minister Francis Nhema said the policies should be in place for business as they played an important role in delivering a green economy.
“It is my call to all businesses to operate in a way that does not threaten the future of our existence by continually seeking out new ways of sustainable operations.
“In this regard my ministry, through platforms like the Environment Expo we held in 2011 and this Green Business Indaba for 2012, encourages operations that are environmentally sound and promote sustainable development,” said Minister Nhema.
The expo is running under the theme: “Greening the Economy — Addressing Behaviour, Energy and Climate Change”. The Environment and Natural Resources Management Ministry in conjunction with Exhibit-It Events Management Company organised the event.
He said his ministry’s thrust was to promote sustainable development that is in line with the Millennium Development Goal number seven, which seeks to ensure environmental sustainability.
“In environmental stewardship, the achievement of our objectives and national targets is hinged on the unique partnerships we create with communities, societies and the corporate world at large.
“The environment is of global concern and our mandate is engulfed in global efforts to ensure progress in achieving both national and international targets,” he said.
Minister Nhema said scientific research has over the years drawn attention to existing and hypothetical threats to the environment and humanity.
“There continues to be growing pressure on natural resources from human activities, in particular business exploits.
“That is why it is of paramount importance for businesses to operate with minimum environmental impact, carbon footprint and increased awareness of environmental implications of their operations,” said Minister Nhema.
He said the transition to a green economy was essential for delivering sustainable development and long term economic growth.
Minister Nhema said if people used and managed resources properly, they (natural resources) would continue to meet people’s needs for energy, food, fresh water, clean air and fertile soils, all of which are essential in enabling them to grow and prosper.
“To enable the transition to a green economy, business and consumers must take advantage of the benefits of resource efficiencies.
“All the sectors of the economy will need to grow with less environmental impact and greater resilience to future environmental challenges including adaptation to climate change,” he said.
Also speaking on the same occasion Forestry Commission general manager Mr Darlington Duwa lamented the lack of resources confronting the parastatal.
This has left it unable to effectively roll out programmes that promote the sustainable use of resources in line with the drive to achieve a green economy.
“We get very little from the fiscus, which makes it critical for the corporate sector to chip in through awareness campaigns and maybe the purchase of seedlings for planting in many deforested areas,” said Mr Duwa.
The expo and conference that has drawn participants from the business world and environmentally concerned organisations will end today.
Labels: FRANCIS NHEMA, GREEN REVOLUTION
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Zimbabwe ban on second hand car imports
by Lunga Sibanda
17/08/2010 00:00:00
ZIMBABWE says it will ban second hand vehicle imports in order to “save lives and protect the environment”.
Environment Minister Francis Nhema said the ban would target all vehicles which are five or more years old, as well as vehicles which don’t pass a set carbon emissions threshold.
“A majority of these cars have been banned on the roads in their countries of origin. They are being dumped in Zimbabwe and it is up to us to aggressively stand up against exploitation. We have a duty to save lives, protect ourselves and our environment,” Nhema said on Tuesday.
The ban would hit hard Zimbabwe’s motor industry which consists mainly second hand car dealerships, while denying the country millions of dollars in lost taxes.
Ministers however believe the ban could shore up the local car manufacturing industry which is steadily increasing production after a decade-long economic crisis.
Nhema said most second hand vehicle imports into Zimbabwe were of Japanese origin. Japan imposes an emissions standard forcing vehicle owners to replace old vehicles with newer, cleaner models or retrofit old vehicles with approved nitrogen oxide control devices.
Closer to home in South Africa, the government banned all imports of second hand vehicles except in exceptional circumstances. The regulations are waived for returning residents and work permit holders settling in the country for the first time.
Nhema gave no indication when the ban would become effective. He also could not give the figures of the pollution threshold offhand.
“We are working on modalities to enact a law that we will enforce through the Environmental Management Agency. We aim to stop these cars at the ports of entry. Every car that exceeds the permitted level of exhaust emissions will not enter our borders,” he said.
An official from the Zimbabwe Inland Revenue Authority (ZIMRA) said the agency was clearing 400 vehicles – mainly second hand imports – daily.
The official, speaking on condition of anonymity because he was not cleared to talk to reporters, said Toyota was the most imported brand.
He added: “This proposed ban doesn’t make much sense. Many poor Zimbabweans rely on these used cars.
“The Willovale assembly plant has stopped putting together affordable models like the Mazda 323s and rustlers and are now focusing on the expensive BT50 and Mazda 3 models.”
The official said a ban would also hit the government hard as substantial revenue would be lost from the duty paid on imports. “Nearly 105 percent of the value of the cars is being collected in duty, so you can see why this could prove costly.”
Bulawayo car dealer Buzile Nkiwane attacked the proposed regulations, calling them “rash”.
“Wide consultations have to be made before such a rash decision is taken. Most of the cars that we sell were made between 2000 and 2006,” said Nkiwane of General Car Dealers.
“This ban will destroy our industry because cars that are less than five years old would be too expensive for our customers. These cars are better than most of our locally assembled cars, in terms of exhaust emissions.”
The Environmental Management Agency’s director, Aaron Chagona, said they were waiting for a written directive from the ministry to start work on enforcing the ban.
Labels: ENVIRONMENT, FRANCIS NHEMA, USED CARS
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Zimbabwe ban on second hand car imports
by Lunga Sibanda
17/08/2010 00:00:00
ZIMBABWE says it will ban second hand vehicle imports in order to “save lives and protect the environment”. Environment Minister Francis Nhema said the ban would target all vehicles which are five or more years old, as well as vehicles which don’t pass a set carbon emissions threshold.
“A majority of these cars have been banned on the roads in their countries of origin. They are being dumped in Zimbabwe and it is up to us to aggressively stand up against exploitation. We have a duty to save lives, protect ourselves and our environment,” Nhema said on Tuesday.
The ban would hit hard Zimbabwe’s motor industry which consists mainly second hand car dealerships, while denying the country millions of dollars in lost taxes.
Ministers however believe the ban could shore up the local car manufacturing industry which is steadily increasing production after a decade-long economic crisis.
Nhema said most second hand vehicle imports into Zimbabwe were of Japanese origin. Japan imposes an emissions standard forcing vehicle owners to replace old vehicles with newer, cleaner models or retrofit old vehicles with approved nitrogen oxide control devices.
Closer to home in South Africa, the government banned all imports of second hand vehicles except in exceptional circumstances. The regulations are waived for returning residents and work permit holders settling in the country for the first time.
Nhema gave no indication when the ban would become effective. He also could not give the figures of the pollution threshold offhand.
“We are working on modalities to enact a law that we will enforce through the Environmental Management Agency. We aim to stop these cars at the ports of entry. Every car that exceeds the permitted level of exhaust emissions will not enter our borders,” he said.
An official from the Zimbabwe Inland Revenue Authority (ZIMRA) said the agency was clearing 400 vehicles – mainly second hand imports – daily.
The official, speaking on condition of anonymity because he was not cleared to talk to reporters, said Toyota was the most imported brand.
He added: “This proposed ban doesn’t make much sense. Many poor Zimbabweans rely on these used cars.
“The Willovale assembly plant has stopped putting together affordable models like the Mazda 323s and rustlers and are now focusing on the expensive BT50 and Mazda 3 models.”
The official said a ban would also hit the government hard as substantial revenue would be lost from the duty paid on imports. “Nearly 105 percent of the value of the cars is being collected in duty, so you can see why this could prove costly.”
Bulawayo car dealer Buzile Nkiwane attacked the proposed regulations, calling them “rash”.
“Wide consultations have to be made before such a rash decision is taken. Most of the cars that we sell were made between 2000 and 2006,” said Nkiwane of General Car Dealers.
“This ban will destroy our industry because cars that are less than five years old would be too expensive for our customers. These cars are better than most of our locally assembled cars, in terms of exhaust emissions.”
The Environmental Management Agency’s director, Aaron Chagona, said they were waiting for a written directive from the ministry to start work on enforcing the ban.
Labels: FRANCIS NHEMA, USED CARS
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