Search

 

Cablegate: Govt May Ax Epzs

This record is a partial extract of the original cable. The full text of the original cable is not available.

090548Z Dec 03

UNCLAS HARARE 002365

SIPDIS

STATE FOR AF/S
NSC FOR SENIOR AFRICA DIRECTOR JFRAZER
USDOC FOR 2037 DIEMOND
TREASURY FOR OREN WYCHE-SHAW
PASS USTR FLORIZELLE LISER
STATE PASS USAID FOR MARJORIE COPSON

E. O. 12958: N/A
TAGS: EINV ETRD ECON EFIN PGOV ZI
SUBJECT: Govt may ax EPZs


1. Summary: Yesterday's Herald suggests the GOZ may
eliminate export processing zones (EPZs), taking to the
next level its obliteration of a once-thriving and
diversified economy. End summary.

2. The lead article in the State-run Herald's business
section announces: "EPZs fail to deliver - RBZ [Reserve
Bank of Zimbabwe]." In recent weeks, the GOZ has implied
that firms in EPZs are sheltering foreign exchange from
Reserve Bank controls. Although we have not heard
anything definitive from GOZ sources, the Government
appears to be laying the groundwork for de-certification
of EPZs.

3. Comment: EPZ companies continue to do well, since they
are not subject to the GOZ's mandatory exchange
requirements and take full advantage of an industrious
workforce at very low wages. It is one area of this
plummeting economy that is even drawing new investment.
Although GOZ statistics are sketchy, we believe most
Zimbabwean exports to the U.S. now originate in EPZs. If
EPZ companies must comply with present export
regulations, most will no longer operate competitively.

Sullivan

© Scoop Media

 
 
 
World Headlines

 



UN: Visionary ‘Blue Transformation’ Strategy To Enhance Underwater Food Systems

Record levels of fisheries and aquaculture production are making a critical contribution to global food security, the UN Ocean Conference under way in Lisbon, Portugal, heard on Wednesday...
More>>
Abu Akleh Shooting: Fatal Shot Came From Israeli Forces, Says OHCHR
Israeli forces were behind the fatal shooting of Al Jazeera journalist Shireen Abu Akleh in the West Bank - not indiscriminate Palestinian firing - the UN human rights office, OHCHR, alleged on Friday... More>>


Ethiopia: Conflict, Drought, Dwindling Food Support, Threatens Lives Of 20 Million

Hunger is tightening its grip on more than 20 million Ethiopians who are facing conflict in the north, drought in the south and dwindling food and nutrition support beginning next month, the UN food relief agency warned on Thursday... More>>


UN Ocean Conference: Opens With Call For Urgent Action To Tackle Ocean Emergency
With climate change, biodiversity loss and pollution exacting a devastating toll on the world’s ocean — critical to food security, economic growth and the environment... More>>

World Vision: Deeply Concerned For Thousands Affected By Afghanistan Quake
World Vision is deeply concerned about the deteriorating humanitarian situation in Afghanistan in the wake of a powerful earthquake in the early hours of this morning... More>>



Malaysia: UN Experts Welcome Announcement To Abolish Mandatory Death Penalty

UN human rights experts* today commended an announcement made by the Malaysian government that it will abolish the country’s mandatory death penalty and encouraged Parliament to take concrete steps to pass the agreement into law... More>>