Harare - AFP
Foreign banks operating in Zimbabwe have missed a deadline to hand in plans to cede their majority shares under a new equity law, a cabinet minister said on Thursday. \"We have our Standard (Chartered) Bank who still show a lot of disrespect of our laws,\" indigenisation minister Saviour Kasukuwere told journalists. \"Barclays Bank is still trying to find all excuses that they can and Stanbic Bank which ignores its own commitments to the people of this country.\" \"It must be clear to them that they will not escape the law.\" Zimbabwe gave foreign companies until September 25 to submit plans on how they will sell 51 percent shares to local blacks as required under new equity rules meant to benefit local blacks. Kasukuwere said most major foreign mining companies have complied. \"The major firms that control the entire mining industry have largely complied with the indigenisation and economic empowerment programme,\" he said. Kasukuwere\'s statement comes as Prime Minister Morgan Tsvangirai on Wednesday said the indigenisation regulations were eroding investor confidence in the country, which is battling to secure investment after years of economic decline. The regulations have been met with resistance with 700 companies failing to meet the deadline, officials said this week. \"You would expect that when you are implementing such a programme there would initially be resistance by those who probably who are benefiting in the main,\" Kasukuwere said. \"We have to remain firm and steady,\" he added. Kasukuwere said companies could comply with the law by awarding shares to employees, but said Zimbabwe also wants to set up a sovereign wealth fund. He did not explain how the cash-strapped government would start a fund.