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Limitation for Foreign Participation in Reserved Sectors in Zimbabwe

The Indigenisation and Economic Empowerment (Foreign Participation in Reserved Sectors), 2025 as read with section 67 of the Finance Act, 2025 creates limitations for foreign participation in what are known as the reserved sectors in Zimbabwe. 

In terms of section 4 of the Indigenisation and Economic Empowerment (Foreign Participation in Reserved Sectors), 2025 a foreign national may qualify to participate in a reserved sector of the economy of Zimbabwe if the foreign national:

1. Is an individual or legal entity registered or incorporated in Zimbabwe of which majority or minority of the stake or shares are owned by the foreigner; 

2. Meets the threshold stated in the Schedule;

3. Is registered for tax purposes with the Zimbabwe Revenue Authority (ZIMRA); 

4. Maintains a bank account under the Bank Use Promotion Act [Chapter 24:24];

5. Presents a sound business plan detailing how the application will achieve the objectives with the objective of:

1. Significant and sustainable employment creation in Zimbabwe;

2. The transfer of skills and technology for the benefit of the people of Zimbabwe;

3. The creation of sustainable value chains; and 

1. Other prescribed socially and economically desirable objectives, supported by proof of its capacity to meet these objectives, including bank statements, guarantees, or similar documentation from a reputable financial institution.