Referral to Minister of proposed notifiable transactions in respect of which no counterparties have yet been identified. Transfer of employees of National Investment Trust to Board and conditions of service of transferred employees. To provide for support measures for the further indigenisation of the economy; to provide for support measures for the economic empowerment of indigenous Zimbabweans; to provide for the establishment of the National Indigenisation and Economic Empowerment Board and its functions and management; to provide for the establishment of the National Indigenisation and Economic Empowerment Fund; to provide for the National Indigenisation and Empowerment Charter; and to provide for matters connected with or incidental to the foregoing. Provided that any such notice which is in force on the date of commencement of the Finance No.
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Referral to Minister of proposed notifiable transactions in respect of which no counterparties have yet been identified. Transfer of employees of National Investment Trust to Board and conditions of service of transferred employees. To provide for support measures for the further indigenisation of the economy; to provide for support measures for the economic empowerment of indigenous Zimbabweans; to provide for the establishment of the National Indigenisation and Economic Empowerment Board and its functions and management; to provide for the establishment of the National Indigenisation and Economic Empowerment Fund; to provide for the National Indigenisation and Empowerment Charter; and to provide for matters connected with or incidental to the foregoing.
Provided that any such notice which is in force on the date of commencement of the Finance No. Provided that the line Minister may issue a provisional certificate to the business in question instead of a final one if the business undertakes or is is required to comply with any specified conditions. Provided if the Minister, at any time before the expiry of the forty-five days referred to in this paragraph, indicates in writing to the notifying party that he or she requires more time to consider the transaction, the Minister shall have a further forty-five days to indicate his or her approval or disapproval of the transaction.
Provided that the Minister shall not disapprove of a transaction referred to in subsection 1 except on the grounds that the transaction does not comply with the objectives specified in section 3 1 b , c , d or e , as the case may be. Provided that the Minister shall not require anything to be done under this subsection which will result in the transaction in question being concluded on less favourable terms than those originally notified to him or her under subsection 1 a.
Provided that the Minister, with the approval of the Public Service Commission, may assign persons employed in his or her Ministry to act as the chief executive officer and staff of the Board.
Provided that his or her appointment shall not terminate on the ground that he or she has ceased to be a citizen of Zimbabwe or ordinarily resident in Zimbabwe, if the Minister has granted authority under subsection 2. Provided that no such amendment shall impose upon any unit holder any obligation to make any further payment in respect of his unit or to accept any liability in respect thereof. It shall be a condition of any financial assistance provided through the Fund that the beneficiary shall comply to the best of his or her ability with the framework for ethical and good business conduct contained in the National Indigenisation and Economic Empowerment Charter set out in the Fourth Schedule.
Provided that a member shall not continue to hold office in terms of this subsection for more than six months. The Minister may suspend from office a member, other than one referred to in section 7 1 a or g , against whom criminal proceedings are instituted for an offence involving dishonesty and, whilst that member is so suspended, he or she shall not carry out any duties or be entitled to any remuneration or allowances as a member. On the death of, or the vacation of office by, a member other than one referred to in section 7 1 a or g , his or her office shall be filled within three months in accordance with section 7.
Provided that, if the chairperson and vice-chairperson are both absent from any meeting of the Board, the members present may elect one of their number to preside at that meeting as chairperson. Provided that in the event of an equality of votes the chairperson or person presiding at the meeting shall have a casting vote in addition to his or her deliberative vote.
Provided that if a member requires that such a proposal be placed before a meeting of the Board, this subparagraph shall not apply to the proposal. Provided that the vesting of any function in a committee shall not divest the Board of that function, and the Board may amend or rescind any decision of the committee in the exercise of that function. No decision or act of the Board or a committee or act that is authorised by the Board or a committee shall be invalid solely because there was a vacancy in the membership of the Board or the committee or because a disqualified person purported to act as a member of the Board or the committee, as the case may be, at the time the decision was taken or the act was done or authorized.
In this Schedule, unless inconsistent with the context, the following words shall have the meanings stated below. The terms and conditions of this Schedule, as amended in accordance with section 13 3 of the Act from time to time, shall be binding on each unit holder and all persons claiming through him or her.
A copy of this Schedule and of any amendment thereto shall be available for inspection at the offices of the chief executive officer or of any manager at all times during normal business hours and shall be supplied by the chief executive officer or any manager to any person on application at a charge to be specified by the chief executive officer with the approval of the Board.
All legal proceedings in relation to the Unit Trust Account shall be instituted by or against the Board. Whenever any certificate, notice, instruction or other communication is to be given by the chief executive officer or any manager to the Board, the Board may accept as sufficient evidence thereof a document signed or purporting to be signed on behalf of the chief executive officer or any manager by any two persons whose signature the Board are, for the time being, authorised by the chief executive officer to accept.
The managers shall be a company or a consortium of companies, appointed by the Board, who are responsible to the unit holders for the management and control of the Unit Trust Account and for the issue and redemption of units of the scheme. Subject to this Schedule the managers, in their own name and in the name of the Unit Trust Account, shall have power to do all such things and enter into all such arrangements as are necessary to achieve the provisions, intentions and objects of the Unit Trust Account in such manner as in the opinion of their proper officers may be most advantageous to the unit holders and, without prejudice to the generality of the foregoing, shall have the following powers :.
The Board or the managers shall be entitled to require that the signature of any unit holder or joint unit holder to any document required to be signed by him under or in connection with this Schedule shall be verified by a banker or broker or other responsible person or otherwise authenticated to its or their reasonable satisfaction. Any indemnity expressly given to the Board or to the managers in this Schedule is in addition to and without prejudice to any indemnity allowed by law.
Provided that the Board or the managers or any such subsidiary company may buy, hold or deal inn any investments upon their respective individual accounts notwithstanding that similar investments may be held under this Schedule as part of the deposited property. Such fixed price shall apply for so long a period as the invitation shall remain open. New units may be issued at the fixed price provided that a new unit shall be deemed to be issued on the day on which the application to subscribe for that unit is received by the managers.
Before giving notice to exercise such right, it shall be the duty of he managers to ensure that the deposited property includes or will upon the completion of the sale of investments or immovable property agreed to be sold include sufficient cash to pay the amount payable to the managers upon such reduction. Upon such payment and surrender the units in question shall be deemed to have been cancelled and withdrawn from issue.
A unit holder shall be entitled at any time during the life of the Unit Trust Account, by a request in writing to the managers or their duly authorised agent accompanied by his or her certificate with the endorsement thereon duly completed, to surrender for value all or any part of the units comprised in his or her certificate at a surrender value per unit ascertained by dividing the value of the deposited property at the time of such surrender by the number of units then deemed to be in issue; by deducting therefrom such a sum as the managers may consider represents the appropriate allowance for fiscal and sale charges in relation to any realisation of the deposited property; and by adjusting the resulting total downwards by not more than 1 cent per unit, provided that:.
Certificates shall be in such form as may from time to time be agreed between the managers and the Board. A certificate shall bear a distinctive number and shall specify the number of units represented thereby and the name of the unit holder.
Certificates may be issued in any denomination provided that no certificate shall be issued for a number of units less than ten 10 or such lesser number as the managers may decide with the approval of the Board. Every such signature may be autographic or may be affixed lithographically or by other mechanical means. No certificate shall be of any force or effect until so signed.
Signed certificates shall be valid and binding notwithstanding that before their issue the Board or any person whose signature appears thereon as a duly authorised officer of the Board ceased to be a member of the Board or, as the case may be, an officer so authorised.
The holder of a certificates shall be the only person recognised by the Board or by the managers as having any right in such certificate and the Board and the managers shall recognise such unit holder as the absolute owner thereof and shall not be bound by any notice to the contrary save those expressly provided in this Schedule, or as by the order of any court of competent jurisdiction.
The Board shall be deemed to be the holder of each unit during such time as there is no other person entitled to be regarded as the registered holder of the unit. Before any such exchange is carried out the unit holder may surrender to the Board the certificate or certificates to be exchange and shall pay to the Board all moneys payable hereunder in respect of the issue of the new certificate or certificates.
Neither the managers nor the Board shall incur any liability for any action which they may take in good faith under the provisions of this sub-paragraph. Provided that no transfer shall be registered if the registration thereof would result in the transferor or the transferee being a registered holder of less than ten units or such lesser number as the managers may decide with the approval of the Board.
The Board may dispense with the production of any certificate which has become lost, stolen or destroyed upon compliance by the transferor with the like requirement to those arising in the case of an application by him or her for the replacement thereof;.
All the provisions of this Schedule relating to transfer shall be applicable to any such notice or transfer as if the death had not occurred and such notice or transfer were a transfer executed by the unit holder. The Board may retain any moneys payable in respect of any units of which any person is entitled to be registered as the unit holder or which any person in entitled to transfer until such person is registered as the unit holder of such units or has transferred them.
In the case of a surrender of units for value in terms of paragraph 20, the Board shall cancel the certificate or certificates in respect of the units surrendered and remove the name of the unit holder from the register, provided that such removal shall only be treated for the purposes of this Schedule as a cancellation of the units and as withdrawing them from issue if the managers fail to effect a resale before the termination of the customary period for the realisation of investments on the Zimbabwe Stock Exchange.
Notwithstanding the provisions relating to certificates the managers shall only be obliged to issue certificates to those unit holders who request them, and if a unit holder does not request a certificate, any deal note issued by the managers shall be deemed a certificate for the purpose of this Schedule. The managers shall if required by any unit holder furnish to that unit holder a quarterly transaction statement confirming all the details which could be derived from the certificate if issued.
Provided that all or any amount of cash may during such time or times as the managers may think fit be retained in cash or on deposit with any banker or building society approved by the Board and the managers.
Any sale of an investment for the account of the Unit Trust Account shall be made by the managers or their nominee on the instruction of the managers with the approval of the Board, and in the event of the managers receiving a share of any commission payable to the brokers the managers shall be at liberty to retain it without being liable to account therefor. Provided that the selection of all investments or immovable property, whether partly paid or not, shall in all respects be the responsibility of the managers solely and not of the Board.
If the Board consents to the acquisition of any partly paid investment or immovable property it shall in all respects be the responsibility of the managers solely and not of the Board. If the Board consents to the acquisition of any partly paid investment or immovable property, the Board shall be entitled to appropriate and set aside cash or other property approved by managers and acceptable to the Board sufficient to provide for paying up such investment in full of for meeting such liability.
Permitted adjustments shall be:. The Board and the managers shall be absolutely protected in relying on and shall act such an audited statement.
The auditors shall further report whether the account is in their opinion properly drawn up in accordance with such books and records to disclose the profits or losses accruing to the managers from the Unit Trust Account. Such minutes and records shall be kept at the office of the managers and shall be open to inspection by unit holders during normal business hours.
Any notice served by post shall be deemed to have been served on the fifth day following that on which the letter is posted, and in proving such service it shall be sufficient to prove that the letter was properly addressed, stamped and posted.
Moneys in the Fund shall be applied to the purposes referred to in section 12 and to the cost of administering the Fund. The financial year of the Fund shall be the period of twelve months ending on the 31st December each year. In order to achieve the objectives stated above, all stakeholders undertake to abide by the following:.
All businesses shall protect the environment in which they operate in order to ensure sustainable development. Skip to main content. An HIV mother breastfeeding a baby: Did she commit a criminal offence? Indigenisation and Economic Empowerment Act [Chapter ].
Long title:. Year of Act:. Number of Act:. Date of assent:. Date of promulgation:. Date of commencement:. In force:. Short title and date of commencement. Objectives and measures in pursuance of indigenisation and economic empowerment. Power of Minister to review and approve indigenisation and empowerment arrangements. Enforcement of notification and approval requirements. Functions of Board. Chief executive officer and staff of Board. Reports of Board. Minister may give Board directions in national interest.
Composition of Fund. Administration of Fund. Imposition of levies. Failure to pay, collect or remit levies. Transfer of assets, obligations, etc. Disqualification for appointment as member. Terms and conditions of office of members.
Vacation of office by appointed members of Board. Filling of vacancies of Board. Meetings and procedure of Board. Committees of Board. Minutes of proceedings of Board and committees.
Validity of decisions and acts of Board and committees. Disqualification for appointment as member 1. Terms and conditions of office of members 2.
Indigenisation and Economic Empowerment Act [Chapter 14:33]
Please contact customerservices lexology. These far-reaching changes, first announced in the Budget in December , should pave the way for foreign investors wishing to establish operations in the country and boost the economy. Any other person is free to invest in, form, operate and acquire the ownership or control of any business without restriction. Affected companies may apply to the minister potentially, the Minister of Finance to be assigned to administer the Act for permission to comply with the Act within an agreed period of time. In respect of reserved sectors, only a business owned by a Zimbabwean citizen may operate in such sectors.
Indigenisation and Economic Empowerment Act
The law will give Zimbabweans the right to take over and control many foreign-owned companies in Zimbabwe. Specifically, over 51 per cent of all the businesses in the country will be transferred into local African hands. The law does not specify whether or not the transfer of ownership would simply apply to mergers and restructurings in the future, or if it applies to all current companies. This is not a new idea because there have been proposals for similar transfer actions, but have all come up fruitless.
Zimbabwe government officially amends indigenization law
Government will repeal the Indigenisation and Economic Empowerment Act as it moves to enhance the attractiveness of the minerals sector to foreign direct investment FDI. It will be replaced by a more "business-friendly" Economic Empowerment Act, but in the interim, the Indigenisation Act has been amended to remove the critical diamond and platinum sub-sectors from the reserve list. It now means local shareholding will depend on agreed terms by investors, while foreign shareholding can reach up to percent. The rest of the minerals have already been removed from the list. The Indigenisation and Economic Empowerment Act worked to discourage and alienate much-needed FDI and investment as the way it was implemented threatened business.
Amendments to Zimbabwe’s indigenisation laws to open economy to foreign investment