Zimbabwe abolishes controversial equity law

If the politicians in Zimbabwe were clever they would capitalise on the morons running South Africa by doing the following:

1) Update the constitution to provide a higher standard of property protection than South Africa and protection from all racial discrimination (including the likes of affirmative action).
2) Decrease the corporate and income taxes to be substantially less than South Africa.
3) Put in place more flexible labour law than South Africa. Namely making it easier to fire employees.
4) Put a cap on government spending.
5) Create a 20 year period where anyone in the SADC, EU or US can gain permanent residence in Zimbabwe.
6) Devolve most of government responsibility to local governments.
7) Allow private sector to take over most of the infrastructue and services

The politicians in charge can do this whilst still being the maniacal dictators they want to be. 10 years of policy like this and Zimbabwe would solve most of its problems.
 
Wow, this law made some of my family lose their livelihood. In a way I am more positive about Zimbabwe than SA
 
Zoomzoom said:
Wow colour me shocked, a law which requires people to just hand over half their hard work to someone who did nothing, contributed nothing, cares nothing, inhibited business growth and investment.

WOW who would have thought that it would have that effect? I mean REALLY!
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It was a bit more complicated than that. Many white people in Zimbabwe did have black business partners, the indignation law in practice only get shares to ZanuPF politicians who obviously didn't do anything to build a company. Both black and whites lost a lot in this process.
 
Nicodeamus said:
It was a bit more complicated than that. Many white people in Zimbabwe did have black business partners, the indignation law in practice only get shares to ZanuPF politicians who obviously didn't do anything to build a company. Both black and whites lost a lot in this process.
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Both black and white people are losing a lot in South Africa due to ANC corruption, theft and plain uselessness. Unfortunately, it appears that it is going to get worse long before there is any improvement.
 
Cius said:
The problem is investors would have very little confidence that that law would stay repealed. It feels like a lure to get more money in only for them to change their minds and steal it all again. Its the same bunch of loonies at the wheel after all.
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True, loss of long term confidence is the price they paid when they went down that route.

It will eventually work though, but only after the law has been repealed for longer that it was in place - i.e. they will have to consistently show that they are investor friendly for at least ten years or more before investors will grow some trust. It won't happen overnight.
 
konfab said:
If the politicians in Zimbabwe were clever they would capitalise on the morons running South Africa by doing the following:

1) Update the constitution to provide a higher standard of property protection than South Africa and protection from all racial discrimination (including the likes of affirmative action).
2) Decrease the corporate and income taxes to be substantially less than South Africa.
3) Put in place more flexible labour law than South Africa. Namely making it easier to fire employees.
4) Put a cap on government spending.
5) Create a 20 year period where anyone in the SADC, EU or US can gain permanent residence in Zimbabwe.
6) Devolve most of government responsibility to local governments.
7) Allow private sector to take over most of the infrastructue and services

The politicians in charge can do this whilst still being the maniacal dictators they want to be. 10 years of policy like this and Zimbabwe would solve most of its problems.
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Jirre - you want to leave us with a shortage of investors and labour?
 
garp said:
True, loss of long term confidence is the price they paid when they went down that route.

It will eventually work though, but only after the law has been repealed for longer that it was in place - i.e. they will have to consistently show that they are investor friendly for at least ten years or more before investors will grow some trust. It won't happen overnight.
Click to expand...

Confidence will only come back if you can convince your own citizens to invest in their own country.
 
So Zim got rid of the whiteys and now things are not working out the way they wanted it to and the whiteys must come back? But why would they want to do that?
 
All the pessimists who's saying that we will have to hit rock bottom before turning around might just be correct.
 
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