Zimbabwe Government Gazette dated 2015-12-24 number 92

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ZIMBABWEAN

GOVERNMENT GAZETTE
EXTRAORDINARY
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Vol. XCUI, No. 92A 24th DECEMBER, 2015 Price US$2,00

General Notice 394A of 2015. ¢ Resources based sector;
« Non-resourcessectors; and
FRAMEWORKS, PROCEDURES AND GUIDELINES FOR ¢ Reservedsectors.
IMPLEMENTING THE INDIGENISATION AND ECONOMIC
EMPOWERMENT ACT[CHAPTER14:33] Further,the paperwill:
(i) Outline procedures for ensuring compliance with the
legislation;
INTRODUCTION
(ii) Articulate the Empowerment Levy;
The Minister of Youth, Indigenisation and Economic (iii) Describe the indigenisation compliance processflow;
Empowerment was mandated to simplify and clarify the (iv) Highlight the National Indigenisation and Economic
guidelines and processes for complying with the country’s Empowerment Charter; and
Indigenisation and Economic Empowermentlaws espousedin
the Indigenisation and Economic EmpowermentAct (Chapter (v) Outlinemeasures forensuring compliance withprocurement
14:33]|(“TEE Act”)in orderto achieve the following objectives: requirements ofthe legislation.
¢ Encouraging private sector investment in line with His Resources-Based Sector
Excellency, the President’s 10-point economic plan;
¢ Economically empowerindigenous Zimbabweans; and His Excellency President Mugabe spoketo the policy position
on natural resources during his inauguration speech of 22nd
e Ensuring compliance with the law. August, 2013, in whichhestates:
In the State of Nation Address, His Excellency, the President, “As we go about reorganising this critical mining sector,
madeit clear that“in line with the RapidApproach Framework, our policy reflexes must be oriented towards the goals of
weshould see, before 31st December, 2015, an urgent overhaul indigenisation and economic empowermentof our people.
of the Companies Actandall piecesofallied legislation which
have hitherto hindered the Ease of Doing Business. Instead, This was the centrepiece of our manifesto. This is what
we expectto have a clear and robustlegislation and regulatory the people votedfor. It must become the centrepiece of our
framework to be urgently put in place in order to create a development endeavours.
One Stop Investment Centre that streamlines processes and We dare not let our people down. We are aware that people
procedures. This is nowvery urgent and high priority matter of ill will have cast aspersions on our hallowed policy of
for which those responsible will be held to account.” indigenisation and economic empowerment. Well, it is a set
During my 2016 National Budget Statement, I indicated that: policy, our chosenpathto full sovereignty.
“Consultations towards strengthening and clarifying the The premise of that policy is an easy one. Our minerals are
process ofimplementing the indigenisation policiesinthe other a depletable resource. We cannot grow them again once they
sectors of the economy outside the resources sector have been have been exploited.”
completed. To this end the Minister of Youth, Indigenisation
andEconomic Empowerment, will be announcing andgazetting During my 2016 NationalBudgetpresentation [also highlighted
before Christmas theframeworks’ templates andproceduresfor that: :
implementingthe indigenisation policies ina mannerthat both
promotes investment and eliminates discretionary application “The position of indigenisation in the resource sector has been
of the law. Such measures will contribute immensely towards clarified on several occasionsby his Excellency the Presidentto
the ease of doing business in the country and will render the reflect that the contribution of our designated entities towards
services sector of our country conducive for Foreign Direct our 51% shareholding will be effected through the resource
Investment.” being exploited and at no monetary cost to the Governmentor
designated entities.”
FRAMEWORK
The framework as agreed amongst the Minister of Youth, According to section 3(1) of the IEE Act:
Indigenisation and Economic Empowerment, the Minister of The Governmentshall, through this Act or regulations or other
Finance and Economic Developmentand the Governorof the measures underthisActoranyotherlaw, endeavour to secure that—
Reserve Bank of Zimbabweseeks to eliminate discretionary
application oflaw by providing guidance onthe implementation Atleast fifty-one per centum of the shares of every public
of the Indigenisation and Economic EmpowermentActin the company and anyother business shall be ownedby indigenous
Zimbabweans.
following three broad categories: