Zimbabwe Indigenisation the Plot Thickens

The Zimbabwe Government wants to push through its Indigenisation & Economic Empowerment Act. The latter would force companies to sell 51% of their equity to local indigenous businessmen.So far, targeted mines are refusing to comply with indigenisation legislation. Surprisngly, The Reserve Bank Governor has brought forward interesting arguments against the current indigenisation strategy. The Governor identifies that equity ownership will not benefit the majority of Zimbabweans. Zimbabwe has high levels of poverty and the majority cannot buy shares in large mining concerns. Also, the Governor indentifies, The Land Reform process benefited connected cliques who are underutilizing farms.
The desire by Zim's rich ruling elites to get their hands on equity shows how disconnected they are from the needs of the masses. As these well connected elites have amassed wealth, they have egotistically reached levels of self actualization, in Maslow's Hierachy of Needs(MHoN). Dr Gono, the Central Bank Governor, advises; indigenisation should be carried out on a Supply and Distribution methodology. Such a method will require the poor and disadvantaged to be involved in the  mining and industry sectors as direct contributors to the production process. This would allow the socially excluded to cater for their basic needs(food & shelter) in MHoN, as they also take part in production. How disparate the needs of the majority have become from those of their rulers. The people need food, and the rulers promise them shares. Dr Gono even states shares will only fall into the hands of the already rich and powerful. As we all live in a world of creative accounting, share ownership does not gaurantee dividend payment.These pieces of paper are grand delusions of desire- in all cases not connected to true productivity and value.
Dr Gono has spoken like a humane economist-his analysis in this case deserves praise. However, the politically connected oligarchs will beg to differ, as the plot thickens. Soon, we will find out whether Dr Gono does have political ambitions.
For the full report by Dr Gono visit:  http://www.newzimbabwe.com/business-5710-Gono+pushes+indigenisation+re-think/business.aspx