Foreign-owned businesses operating in 17 economic sectors reserved for Zimbabweans face suspension or revocation of their licences after inspections of more than 3,000 companies across all 10 provinces found widespread non-compliance.
The update was presented to Cabinet by Industry and Commerce Minister Mangaliso Ndlovu. It shows that 693 formal compliance applications have been received.
Of these, 269 foreign operators applied for regularisation by submitting plans to transfer 75 per cent equity to Zimbabwean citizens, 144 entities sought confirmation of their local status, and 63 qualified for a statutory exemption after meeting prescribed investment thresholds or operating as recognised international brands.
Despite this, the majority of foreign-owned entities in the restricted sectors have not complied and continue to operate without being regularised, including in areas such as retail and brick moulding.
The sectors were restricted under Statutory Instrument 215 of 2025, gazetted in December last year, to protect local commerce.
Under the framework, 13 sectors are exclusively reserved for Zimbabwean citizens. These include borehole drilling, customs clearing, tobacco grading, estate agencies and artisanal mining.
Foreign firms can only participate in the remaining four sectors — retail and wholesale, haulage and logistics, grain milling, and shipping and forwarding — through specific exemptions or regularisation plans.
Addressing the post-Cabinet media briefing on Tuesday, Acting Information, Publicity and Broadcasting Services Minister Paul Mavima said the Ministry of Industry and Commerce will now enforce the regulations.
“The Ministry of Industry and Commerce will suspend or revoke the operating licences of all non-compliant businesses operating in the reserved sectors as per regulations,” he said.
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