Zimpapers Logo

Prosper Ndlovu in Victoria Falls
THE Speaker of Parliament, Advocate Jacob Mudenda, yesterday expressed reservations about the proposed $200 million Afreximbank backed bond notes strategy saying the money could have been used to boost gold reserves which were going to raise close to $1,5 billion.

Treasury has announced plans to introduce bond notes into the economy to be issued by October this year as part of measures to incentivise exports, boost domestic production and curb externalization, which has been blamed for fuelling cash shortages in the country.

The proposal has sparked widespread national debate with critics fearing the initiative could take the country back to the hyperinflationary era of 2007-2008.

“I do not want to dwell on the bond notes issue but the $200 million from AfreximBank. I would have taken that money to buy gold and with that you can raise $1,5 billion. Why bring that $200 million to bring bond notes for export incentives when we can create $1,5 billion? Where are you as business to advise the Government? Anyway, Parliament is speaking now,” said Mudenda, drawing applause from the large business delegation that is attending the 2016 ZNCC annual congress here.

He said the recent Presidential statement clarifying the indigenisation regulations was a huge milestone that should get a buy in from the private sector through its various organisations.

“I am a disappointed Speaker. What are we waiting for when the big man (President Mugabe) has spoken? If your business lawyers are not sure let them approach the Law Society of Zimbabwe and assist Parliament to look at the Indigenisation Act and make it attractive to business. Let us help the Government clean up this law because this legislation is one of the laws that have created negative perceptions out there,” said Advocate Mudenda.