Harare, (New Ziana) – Formalisation of the economy through simplified registration and minimum mandatory licencing requirements is one of the main focuses of the proposed Industrial Reconstruction and Growth Plan, a cabinet Minister has said.
The Zimbabwe Industrial Reconstruction and Growth Plan: 2024-2025 (ZIRGP) is a transitional framework for aligning industrial policy with the National Development Strategy 2 (2026-2030), following the lapse of the National Industrial Development Policy: 2019-2023 in December last year.
Expected to address immediate challenges that the manufacturing and commercial sectors face, the Plan lays a solid foundation for accelerated industrial development under the Zimbabwe National Industrial Development Policy to achieve Vision 2030 aspirations.
Information, Publicity and Broadcasting Services Minister, Dr Jenfan Muswere told the media after the Cabinet meeting on Tuesday that Cabinet had adopted the proposed Industrial Reconstruction and Growth Plan after a presentation by Industry and Commerce Minister, Mangaliso Ndhlovu, who chairs the Cabinet Committee on Industrialisation and Export Development.
Dr Muswere said measures will be implemented to promote electronic transactions and the development of the Small to Medium Enterprises Formalisation Strategy as the use of Point of Sale (POS) machines will become compulsory for all businesses.
In line with the 2025 Budget Strategy Paper theme of “Building Resilience for Sustained Economic Transformation,” the Plan will focus on growth opportunities in the manufacturing sector by reducing costs of doing business, strengthening value chains and promoting Small to Medium Enterprises (SMEs) linkages.
It will also focus on improving the ease of doing business, enhancing government and private sector collaboration while considering developments in Bilateral and Multilateral engagements such as the African Continental Free Trade Area (AfCFTA), Southern African Development Community (SADC), and the Common Market for Eastern and Southern Africa (COMESA), he said.
To deal with commerce issues constraining industrial growth, the focus will be on quality assurance and trade measures, ease of doing business and formalisation of businesses while on quality assurance, the Plan will enforce Consumer Protection and Trade Measures legislation as well as quality standards to safeguard against smuggled counterfeit, and substandard goods.
“Major focus to promote growth of the manufacturing sector will be on import substitution, manufacturing of raw materials for the manufacturing industry, utilisation of idle manufacturing assets, the local content strategy implementation, value chain optimisation, rural industrialisation, export development, research and innovation for industrial development, and financing for manufacturing,” said Dr Muswere.
“Stock-taking of idle infrastructure will be conducted with a view to legally and procedurally make them available to potential investors and businesses in need of operating space. The revitalisation of bus and truck manufacturing initiatives in the country will serve to unlock more funding.”
Priority will be given to institutionalisation of the Buy Zimbabwe Campaign, harmonization of standards and establishment of specifications in promoting the public procurement of locally available goods, said Muswere, adding that an incentive structure for companies procuring and supporting the local industry in an upward ratio of 70:30 for local versus imports will be developed and operationalised.
“The Plan will foster and facilitate linkages in all sectors through backward and forward linkages,” he said.
“Key enablers to the implementation of the rural industrialization drive includes identification of land for the development of industrial parks, identification of competitive and comparative advantage resource endowments and industrial projects in rural districts, setting up an Inter-Ministerial Committee on Rural Industrialisation which will periodically update Cabinet on progress”.
Note has to be taken that rural industrialization will take on board automation of existing industries to enhance competitiveness, and establishment of hubs across the country including within farming areas with a view of creating markets for agricultural products, said Muswere.
The Plan will also prioritise export of value-added products, trade promotion, strengthening of regional integration, and active participation in the ACFTA Guided Trade Initiatives and re-introduce export incentives to motivate increased investments for exports.
It will pursue industrial transformation through research, development and innovation with emerging issues such as the use of Artificial Intelligence (AI), smart manufacturing and digital industrialisation being taken on board.
“To address challenges with access to affordable long-term financing, an array of options will be utilised including equity financing, private and government funding,” said Muswere.
“The Industrial Development Corporation of Zimbabwe (IDCZ) will enhance its role as a development finance institution. Additional funding sources will also be pursued, including working with the multilateral finance institutions. Efforts will be made to nurture and improve the environment for the participation of the private sector funding mechanisms.”
Priority has also been given to harmonisation of the Plan with sector specific initiatives such as the Education 5.0 policy which seeks to move the nation forward toward an innovation-led and knowledge-driven economy with plans to establish industrial parks as well as banks that will absorb and capacitate the graduates who have experience from working at university industrial hubs being pursued.
New Ziana
