The Confederation of Zimbabwe Retailers (CZR) has welcomed the government’s reserved sector policy, stating that the new regulations will protect local businesses while still allowing for meaningful foreign investment.
Statutory Instrument 215 of 2025, issued by the Ministry of Industry and Commerce, outlines sectors reserved for Zimbabwean citizens and sets conditions for foreign participation in selected areas of the economy.
Under the policy, 13 sectors are now exclusively reserved for locals. These include artisanal and small-scale mining, transport services such as taxis and car hire, barber shops and beauty salons, bakeries, employment agencies, customs clearing, pharmaceutical retailing, real estate agencies, borehole drilling, and arts and crafts.
Foreign-owned firms operating in these sectors are required to gradually reduce their shareholding. The regulations stipulate that at least 75 per cent of shares must be transferred to Zimbabwean citizens within three years, at a minimum of 25 per cent per year.
In a statement, CZR president Denford Mutashu said the policy strikes a balance between empowering local businesses and attracting long-term investment. Said Mutashu:
“These regulations seek to preserve specific economic spaces for Zimbabwean citizens while ensuring that foreign investment is channelled toward high-impact, capital-intensive industrialisation.”
Mutashu also welcomed the introduction of minimum investment and employment thresholds for foreign investors operating in selected sectors.
Under the new framework, foreign firms in retail and wholesale trade must invest at least US$20 million and employ a minimum of 200 people.
Grain milling requires an investment of US$25 million and 50 employees, while haulage and logistics demand US$10 million and 100 workers.
CZR said the thresholds are meant to ensure foreign participation delivers tangible economic value.
The organisation also praised the requirement for manufacturers to distribute their products through locally owned wholesale and retail channels. It said:
“This provision directly empowers local traders and ensures that value chains benefit Zimbabwean businesses instead of being dominated by foreign interests.”
Mutashu added that the reserved sector regulations reflect the Government’s wider drive for inclusive growth, industrialisation, and the empowerment of Zimbabwean citizens. He said:
“As retailers, we fully support this policy direction. It protects local enterprise, promotes fair competition and lays a strong foundation for sustainable economic growth.”
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