Kasukuwere warns foreign-owned banks again

NYANGA — Foreign-owned banks operating in the country should cede 51% shareholding to locals before elections this year, Youth Development, Indigenisation and Empowerment minister Saviour Kasukuwere has said.


Addressing members of the Youth Empowerment Trust in Nyanga last week, Kasukuwere said he was targeting the banks namely Barclays, Stanbic and Standard Chartered which are still to comply with the indigenisation law.

“These three banks are on top of the list among others. All foreign banks must comply with the indigenisation law,” he said.

“Zimbabweans should be their own investors. Zimbabweans should invest in their economy. The banking industry is the key to the economy and this move will go a long way in empowering our people.”

The minister did not indicate when the elections would be held. President Robert Mugabe has said elections will be held in March this year but the MDCs have vowed that the polls would only he conducted after the implementation of reforms to level the electoral playing field that currently favours Zanu PF.

Analysts have however, dismissed the March poll date saying it was too near because the country still had to complete the constitution-making process, hold a referendum and then synchronise different laws of the new charter.

Kasukuwere said Zimbabweans should not be treated as aliens in their country.

“This is our country and we should benefit from all that is in it. These banks should comply or ship out. We are not going back on indigenisation,” Kasukuwere added.

Kasukuwere’s ultimatum comes a week after he warned foreign banks to adhere to the law meant to address historical imbalances or face stern measures.

Addressing guests at the signing ceremony for the terms agreement between Zimplats and government recently, Kasukuwere warned that the government would rein in banks that defied the indigenisation legislation.

“I would like to encourage other companies, particularly in the banking sector, to comply with our laws as non-compliance will no longer be tolerated,” said Kasukuwere.

“Uncalled-for defiance and arrogance will not be tolerated as all companies must respect the law and desist from provoking the State,” he said.

Kasukuwere’s latest ultimatum to banks is likely to be met with resistance from Reserve Bank of Zimbabwe governor Gideon Gono and Finance minister Tendai Biti, who have in the past called for caution when dealing with the delicate banking sector.

6 Responses to Kasukuwere warns foreign-owned banks again

  1. squarebasher January 20, 2013 at 3:00 pm #

    what about Anjin and the other diamond companies Minister?When are the so-called locals going to get their 51% from them.Otherwise we are going to ask you this question every week.

  2. Seke Mutema January 20, 2013 at 6:20 pm #

    Charles Blé Goude the former Ivory Coast equivalent of Kasukuwere was arrested in Ghana yesterday and is being extradited to Ivory Coast to face charges among them economic crimes. There are some similarities between Gbagbo and Mugabe. Kasukuwere is commiting economic crimes and he knows it. Why does he have to emphasise before the elections. Somebody wants to stash the loot somewhere before the game is up.

  3. Vakeni January 20, 2013 at 9:53 pm #

    Saviour is concentrating on the three foreign owned banks at the detriment of the locally owned banks. Recent reports indicate that the foreign owned have no problem in meeting the new capital levels and the locally owned are struggling and are forcad to seek foreign investors who end up with controlling stakes as in Premier which is now Ecobank and Kingdom Bank which is now controlled by foreigners. Royal Bank and Saviour’s Genesis Bank failed to attract foreign investors and had to close shop and more are likely to close or merge if they are to survive. The bottom line is local investors dont have resources to acquire the controlling stakes.

  4. Papaz January 21, 2013 at 8:23 am #

    ZANU pf does not want to leave anything functional as they are now sure of the boot. Through ZANU pf,s mismanagement, industry, mining, agriculture, health, education, transport, parastatals you name it has been destroyed. As if that was not enough now its the banking sector. How many indigenous banks have collapsed? Kasukuwere himself was involved in a failed bank. They now want again to destroy this sector in the name of indigenisation. This will obviously affect the thousands of employees in this sector should owners decide to close shop. Anyone trying to knock some sense into his thick head will be branded a western puppet. When all is said and done the situation will be similar to the Mashaba Zvishavane scenario and Tyson and ZANU pf will be congratulating themselves for a job well done. This is pathetic.

  5. Santos January 27, 2013 at 6:30 pm #

    How can you compare airlines with banks they are in two different sectors which have different fiscal ans economic effects. This indigenisation policy does not work all the way this Kasukuwere guy is clearly out of his mind the country is in the embryo stage of rebuilding itself empower the people without chasing investors lets have economic policies with actual economics being implemented not solely on political incentives

  6. womens designer dresses January 30, 2013 at 9:28 am #

    It’s appropriate time to make some plans for the future and it is time to be happy. I have read this post and if I could I want to suggest you few interesting things or tips. Perhaps you can write next articles referring to this article. I want to read more things about it!

AMH logo

© 2021 The Zimind. All Rights reserved.

DMMA logo