Zimbabwe to sell shares in state-owned firms

Zimbabwe is looking to sell shares in 35 state-owned firms.

17 April 2018 | Economics

"The Special Economic Zones Authority will merge with three others, inlcuding the Zimbabwe Investment Authority to provide a one-stop shop for investors". - Patrick Chinamasa, finance minister, Zimbabwe

Zimbabwe is planning to sell shares in 35 state-owned firms including telecoms and mining entities in the latest step to revive the economy under new political leadership, finance minister Patrick Chinamasa said on Friday.

President Emmerson Mnangagwa, who came to power in November after a de facto military coup forced Robert Mugabe to resign, has made reviving the economy his top priority.

Chinamasa told reporters that Mnangagwa’s cabinet had on Tuesday decided the government would partially sell some shares in a range of state-owned companies, known locally as parastatals.

This would be done through engaging strategic partners and floating shares on the local stock exchange.

Targeted firms include mobile carriers NetOne and Telecel, fixed line operator TelOne and savings bank POSB, all owned by the state. Shares in 17 government-run mines would also be sold.

Like most parastatals, the mines, which mainly produce gold, have struggled over the years due to lack of capital and mismanagement, forcing some to close.

Chinamasa said the parastatal reform was “designed to enhance peformance, improve services delivery and to bring more order, discipline and rationality to the sector as a whole.”

Government ministries would present privatisation plans to cabinet for each entity within 100 days, Chinamasa said.

Some state regulators will become government departments while others will merge to save costs and minimise bureaucracy.

The Special Economic Zones Authority will merge with three others, inlcuding the Zimbabwe Investment Authority to provide a one-stop shop for investors, Chinamasa said.

“It is the right thing to do but the government should go a step further and say ‘we are moving out altogether’ out of these companies. When government is a shareholder they are seen by investors as a source of difficulty rather than assistance,” John Robertson, a Harare-based economic analyst, said.

Similar News

 

Inflation continues steady climb

12 hours ago | Economics

Annual inflation in November was 5.6%, up from 5.1% the previous month and higher than the 5.2% of the same month in 2017.Especially food inflation...

Economy remains in the red

12 hours ago | Economics

The Namibian economy grew by -0.8% in the third quarter of the year, marking its 10th consecutive quarter in the red.According to data released by...

Africa Briefs

1 day - 13 December 2018 | Economics

Tanzania to sign deal for power plantTanzania will sign a deal this week for the construction of a US$3 billion hydroelectric power plant, president John...

‘We have a plan for our parastatals’

2 days ago - 12 December 2018 | Economics

The minister of public enterprises, Leon Jooste, says there are several interventions and strategies at government’s disposal to turn some of the now cash-stripped parastatals...

South African cities short of cemetery space

2 days ago - 12 December 2018 | Economics

Susan Njanji - In the middle of the vast Avalon cemetery in Johannesburg's Soweto township, two gravediggers shovelled soil out of an old grave containing...

Nam remains in junk grip

3 days ago - 11 December 2018 | Economics

Moody’s on Friday keep Namibia’s credit rating at junk and maintained its negative outlook for the sovereign.“The negative outlook reflects Namibia's persistent vulnerability to a...

Africa Briefs

3 days ago - 11 December 2018 | Economics

Fitch keeps SA's rating unchangedRatings firm Fitch on Thursday kept South Africa sub-investment grade credit rating steady at subinvestment and maintained its stable outlook, but...

World food prices fall to lowest in more than...

3 days ago - 11 December 2018 | Economics

World food prices declined in November to their lowest level in more than two years, led by declines in vegetable oils, dairy and cereal, the...

Africa Briefs

1 week ago - 06 December 2018 | Economics

SA exits recession as govt eyes 2019 pollsSouth Africa broke free of recession on Tuesday when it reported GDP growth of 2.2% for the third...

BoN leaves rate unchanged

1 week ago - 05 December 2018 | Economics

The Bank of Namibia (BoN) has left its repo unchanged at 6.75%.That means local commercial banks’ prime lending rates will remain 10.5%.Namibia's repo rate has...

Latest News

'Fix it yourselves'

1 hour ago | Government

Tenants of government flats at Rundu have made an impassioned plea to the works ministry to do major renovations to the premises, which is falling...

Cuban doctor charged with rape

1 hour ago | Crime

ELLANIE SMIT A Cuban doctor has been arrested in connection with the alleged rape of a colleague at a local Windhoek state hospital’s flats.Dr...

Refining your leadership skills

1 hour ago | Columns

As a small business owner, it's crucial to be a confident and effective leader, as this will establish your credibility in the eyes of your...

A leader by heart and...

1 hour ago | People

Elizabeth JosephSarel van Zyl, CEO of FirstRand Namibia, has been in the hot seat for the last four years and he has not slowed the...

A Pandora's Box

1 hour ago | Columns

The shocking revelation that police officers across the country are beholden to cash loans, and in fact spend N$40 million a month on servicing loans...

Cheques phased out by Bank...

1 hour ago | Banking

Bank Windhoek’s final cut-off date for processing of cheques as a means of payment will be 30 June 2019. “This is to meet the Namibian...

Maengahama yields great fruit

1 hour ago | People

Elizabeth JosephAfter Maengahama finished high school he immediately started laying the foundation for his future. In 2007 he started at Deloitte and studied long-distance with...

Exam results out on 20...

1 hour ago | Education

The education ministry will release the provisional grade 10 and grade 12 higher level results for fulltime and part-time candidates on 20 December.The ministry will...

Three girls drown in sand...

1 hour ago | Accidents

Three girls, aged 11, 13 and 15, drowned in pits left by sand miners in the Ohangwena Region this week.Some of the pits date back...

Load More