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Foreigners Tighten Grip On Harare’s Retail Sector

This
growing
trend
comes
despite
legal
restrictions
that
reserve
the
retail
sector
for
Zimbabwean
citizens
under
the
country’s
indigenisation
and
economic
empowerment
regulations.

Many
of
the
foreign
traders
are
alleged
to
be
operating
either
without
the
proper
business
permits
or
under
licences
registered
in
the
names
of
local
Zimbabweans.

Beyond
running
shops,
some
have
taken
full
control
of
entire
commercial
buildings,
which
they
subdivide
into
mini-markets.

These
spaces
are
then
leased
out
to
local
vendors,
effectively
turning
them
into
foreign-managed
shopping
complexes.

According
to
The
Herald,
one
such
example
is
on
Sir
Seretse
Khama
Street
(formerly
Angwa
Street),
where
a
Congolese
national
is
reportedly
managing
over
20
retail
units
within
a
single
building.

Commenting
on
the
issue,
Confederation
of
Zimbabwe
Retailers
(CZR)
president
Denford
Mutashu
said
that
some
foreign
nationals
enter
the
country
claiming
they
intend
to
invest
in
manufacturing,
mining,
or
other
productive
sectors—only
to
divert
into
retail,
which
remains
a
protected
sector
under
Zimbabwean
law.
He
said:

We
also
have
reports
of
some
investors
who
come
into
the
country
purportedly
to
invest
in
manufacturing,
mining
or
other
productive
sectors,
only
to
divert
into
retail;
that
is
not
only
unfortunate
but
unacceptable.

CZR
will
soon
take
stock
of
who
should
remain
or
vacate
the
sector
to
pave
the
way
for
locals.
It
is
also
disheartening
that
others
have
become
a
nuisance
by
pushing
illicit
drugs,
entering
into
marriages
of
convenience.

Mutashu
further
claimed
that
some
of
these
foreign
traders
are
not
merely
flouting
business
regulations
but
are
also
involved
in
more
serious
offences,
including
funding
opposition
political
activities,
engaging
in
money
laundering,
and
showing
a
general
disregard
for
Zimbabwe’s
laws. He
added:

Others
have
operated
retail
and
wholesale
businesses
with
no
traceable
investment
locally.
There
are
some
who
came
into
the
country
as
‘refugees’
but
sneak
in
and
out
of
the
country
to
build
mansions
in
countries
they
‘ran
away’
from.

Ministry
of
Industry
and
Commerce
Permanent
Secretary,
Thomas
Utete
Wushe,
reinforced
that
foreign
nationals
are
prohibited
from
operating
in
sectors
legally
reserved
for
Zimbabweans—unless
they
have
received
explicit
authorisation
from
the
Minister.

According
to
Zimbabwe’s
Indigenisation
and
Economic
Empowerment
framework,
several
sectors
are
legally
reserved
exclusively
for
Zimbabwean
citizens.
These
include
transportation
services
such
as
passenger
buses,
taxis,
and
car
hire;
retail
and
wholesale
trade;
barber
shops,
hairdressing,
and
beauty
salons;
employment
and
estate
agencies;
valet
services;
grain
milling;
bakeries;
tobacco
grading
and
packaging;
advertising
agencies;
as
well
as
the
provision,
marketing,
and
distribution
of
local
arts
and
crafts.
Artisanal
mining
is
also
among
the
sectors
restricted
to
locals.