Zimbabwe needs to walk the talk on ZIDA

Having a good policy is one thing and having it working for you is the other. Zimbabwe have in the past produced  some best pieces of policies which on paper would seem that we have now reached the targets even before implementing it. We have seen the Zimbabwe Programme for Economic and Social Transformation, 1996-2000 (ZIMPREST), which came as reactionary of the failures of Economic Structurial Adjustment Program (ESAP) 1991-1995.

The Export Processing Zones came and went without any justifications for their termination.

In 2017 we saw the coming in of Special Economic Zones (SEZs) Act and all systems were put in place for transformation of the export sector and attraction of Foreign Direct Investments (FDIs) with the creation of Zimbabwe Special Economic Zones Authority (ZIMSEZA).  

We have seen the ZimAsset 2013-2018 which was abandoned without and no information was disseminated on whether it was a success story. Our challenge remains on if we can walk the talk on implementation to be taken serious by potential investors whether foreign or domestic.  

With Zimbabwe Development Agency Act  (ZIDA) now promulgated,  it’s time for serious business. It should be business unusual from the onset and the trust should be on easing rules of doing business in Zimbabwe. There is need for clear set targets to be achieved by the established authority with officials being held accountable for failing to meet the agreed set targets. There is need for continuous assessment and application of Results Based Management systems on the evaluation of these parastatals.

 The era of well-articulated blueprints which failed to realize their intended objectives is over and we need action which bears fruit. Those who will be tasked fore leading ZIDA should understand the challenges at hand and be attentive to contributions from all sectors for a better Zimbabwe. It is key to synchronize the ZIDA programs with Zimbabwe Vision 2030 and other policies which seeks to see the realization of the national vision for the next decade.  Sectors which should work closely with the ZIDA are the SMEs and informal sector which have been marginalized in previous efforts to stimulate production for exports. It should be clear that the easing of the doing business in Zimbabwe is not meant for foreign investors only but should just seek to remove all barriers hindering the entrance to business opportunities for both foreigners and locals.

 There is need to have supportive institutional framework which assist the SMEs and capacitate them to be involved in the development equation. Any failure by the current policy to promote backward and forward linkages between the domestic and foreign investments will result in an unsustainable development.

Hirschman introduces the concept of backward and forward linkages. A forward linkage is created when investment in a particular project encourages investment in subsequent stages of production. A backward linkage is created when a project encourages investment in facilities that enable the project to succeed. The people are waiting to see what is it all about ZIDA and it’s the time the policy should not disappoint. This is the time for Zimbabwe to rise again and be a contributor to regional intra-trade in Africa . With opportunities in various FTAs including SADC, COMESA, AU_ACP and the incoming African Continental Free Trade Area (AfCFTA), Zimbabwe has the opportunity to and markets to make use.

Apart from attracting foreign direct investment (FDI) and boosting employment, ZIDA through SEZs can also play a role in helping to add new sectors or sub-sectors to an economy. ZIDA should target mineral beneficiation and agricultural processing in Zimbabwe. The challenges that have been  hampering  the intra-trade in Africa have  been continued export of raw material and unprocessed agricultural  produce thereby  making it difficult for Africa to trade among itself.  

ZIDA‘s shift should be to relaunch the Special Economic Zones (SEZs) as tools for national industrial development and supporting underdeveloped regions. It will be interesting to see the linkages for example between recapitalized Bata with SEZs turnery in Bulawayo and the National Restocking policy on livestock

On local SMEs ZIDA should develop program in conjunction responsible authorities such as Ministries of Industry and Commerce, Small and Medium Enterprises etc on the utilization of local resources through value addition.  It should inspire the development of clusters to stimulate local (rural and peri-urban) resource utilization and value addition and how they can contribute to the exports.

Gender as one of the cross cutting issues should be taken into account on the implementation of ZIDA. Failure to address the issues of gender equality will result in non-inclusive development which may have adverse consequences in the future.  

With ZIDA, there is potential. What is left is to walk the talk and avoid the errors we did with previous policies. Zimbabwe is rising and people should have the desire first to work for their country and the political will should be always be present.  I say again lets walk the talk on ZIDA.

Published by levious chiukira

Politics and International Relations Analyst Customs and international Trade Expert

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