President Robert Mugabe's government is preparing to seize majority shares in all of Zimbabwe's foreign-owned businesses and mines, a move that economists warn would be as damaging as the widespread land seizures in the country. Top of the list of companies expected to be targeted are London-listed mining groups such as Rio Tinto and Anglo American, though recent remarks by Zimbabwean ministers suggested banks such as Standard Chartered and Barclays could also be hit.One minister said "imperialist companies" would be targeted as they had been operating with what the president described as a "sinister, regime-change agenda", according to reports.
Last night, a senior source at one British company with a presence in Zimbabwe said any such move would "confirm Mugabe as operating what is, to all intents and purposes, a terrorist regime".
| More importantly, they're the only ones with any cash in Zim-bob-we. Especially the banks. |
The Mugabe government has already drafted an amendment to the Mining Act, which requires all foreign-owned mines to have 51% of their shares owned by "indigenous" Zimbabweans. In both proposed bills it is widely understood that the new black Zimbabwean shareholders would have to be closely tied to Mr Mugabe's ruling party, Zanu-PF. Officials have said that if companies cannot find acceptable indigenous Zimbabweans then the government can make suggestions.
| "How 'bout my good friend Charlie? He's always wanted to own a mine." |
| No, reeeeeeeaaally? |