DEPUTY Prime Minister Arthur Mutambara has appealed to South Africa’s investors to invest in productive industries in Zimbabwe in a bid to reduce the country’s trade deficit as well as create employment.
By Our Staff
Speaking at an investment conference in South Africa last week, Mutambara said government is working on measures to reduce the trade deficit with its major trading partner.
This development is expected to ease the liquidity constraints on the domestic market following the introduction of the multiple currency system in 2009.
Official statistics show that for every export made, three imports are brought into the country resulting in trade imbalances.
“We must create access to financial and technical partnerships in SA,” said the deputy premier.
He added: “We seek to expose local firms interested in joint ventures with South African companies, while availing opportunities for joint venturing into export and import markets in South Africa.
“We desire to strengthen banking and broader financial relationships with South Africa.
We seek to attract regional and international banks keen to facilitate trade and investment in Zimbabwe.”
South Africa is Zimbabwe’s main trading partner, accounting for more than 60% of Zimbabwe’s international trade volumes.
Zimbabwe’s main export to South Africa is platinum.
“There is need to balance imports versus exports. Zimbabwe should not be a supermarket of SA products.
“To avoid this; we seek SA investment in Zimbabwean productive industries, in particular manufacturing and beneficiation,” said Mutambara.
He said Zimbabwe also seeks to export more value added products to SA.
“In carrying out all these investment and trade activities SA and its corporates must not be driven by a charity disposition,” he said. “We seek a win-win framework, where the two sister economies benefit.
“In any case, under globalisation regional and continental integration presents the only viable basis for survival.
“African countries will neither be viable nor vibrant as individual entities.”