TAFADZWA Muguti, secretary for Presidential Affairs in the Office of the President and Cabinet, last week expressed government's frustration at the behaviour of some Chinese investors he accused of violating the country's laws.
Muguti took no prisoners, telling the investor to shape up or ship out.
Among the litany of infractions are operating outside formal financial systems, externalising millions in undeclared earnings and flouting local labour, environmental and mineral beneficiation laws.
Authorities have also raised alarm over reports of corruption, permit abuse and growing social tensions linked to exploitative practices and disrespect of cultural norms.
His salvo demonstrates government's frustration with the behaviour of investors from a country it regards an all-weather friend.
China has made inroads in Africa using its governance-neutral approach at a time when the continent appears tired of the West's governance model that focuses more on human rights.
Zimbabwe looked East at the turn of the millennium after the West penalised the country for governance and human rights deficits.
Since then, Zimbabwe has rolled the red carpet for Chinese investors, which has seen them investing in all sectors of the economy.
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Chinese investors are major players in the lithium sector.
In 2021, China’s Zhejiang Huayou Cobalt shelled US$422 million to acquire Arcadia Lithium Mine.
Another Chinese firm, Sinomine Resource Group, acquired Bikita Minerals from AMMS in a deal worth US$180 million.
Max Mind Investments, a subsidiary of the Chinese global giant Shenzhen Chengxin Lithium Group, is mining lithium in Buhera.
Tsingshan Holding Group of China, one of the world’s largest stainless steel producers, has built a multi-million dollar integrated steel plant in Manhize near Mvuma under its subsidiary, Dinson Iron & Steel.
The mega plant is billed to change the face of Chivhu.
Tianze is one of the largest tobacco contractors, with China the biggest export destination for Zimbabwe’s golden leaf.
But beyond these mega investments are fly-by-night Chinese “investors” that have become rogue, giving themselves carte blanche to violate the country’s laws.
They enter the country as tourists, only to establish businesses, riding on the coattails of politicians and bureaucrats in government.
It is this group of so-called investors that has tainted the name of China.
Authorities know where they operate from, but appear hesitant to act.
These dubious investors must be stopped. It is only in Zimbabwe where one comes as a tourist, sets up shop and starts selling exclusively in cash. The proceeds are shipped to China.
Muguti’s revelations are a starting point. The next step is to flush out the so-called investors who have abused the Look East policy. The authorities know where they are.
They must be held accountable for their actions. The tax authority must knock on their doors to give “Caesar what belongs to Caesar”.
We agree with Muguti that the Chinese embassy must vet investors. The flimsy excuse that authorities are taking long to issue licences does not hold water. The Zimbabwe Investment and Development Agency has launched an online DIY portal for easy licence application.
It has also set up the Investor Grievance Response Mechanism platform to address grievances of investors.
These fly-by-night investors must own up and remedy their anomalous situations. Zimbabwe is not a jungle.
