Gono Wants Engagement Over Indigenisation Of Banks

Reserve Bank of Zimbabwe Dr Gideon Gono has encouraged engagement rather than a militant approach over the indigenisation of banks.

He expressed these sentiments in a meeting with the Affirmative Action Group in which he said the equity model was not viable for the banking industry.

In an unequivocal tone The Herald quoted him as saying,

Do not come near my banks.

Dr Gono fancies a Supply and Distribution Indigenisation Empowerment model in which individual Zimbabweans benefit from contracts to supply goods and services across the economy while the equity model simply says 51% of any foreign asset has to 51% local ownership.

We think that there is a middle approach here that can be used here. Some assets can be cut in half plus one but others need a more prudent approach. It is the sign of a maturing society that we can use different solutions to deal with various challenges even if they fall into what seem like similar categories.

That said, the banks need to start acting right. The system is a joke.