Zimbabweans Demand Crackdown On Foreign Shops
Foreign nationals are increasingly dominating Zimbabwe’s retail space, sparking growing frustration among local traders who say the Government is failing to enforce laws meant to protect them.
“It’s not fair,” fumed a vendor on Chinhoyi Street. “We are being pushed out of our own economy. These foreigners are taking over everything.”
The retail and wholesale sectors are legally reserved for Zimbabweans under the country’s Indigenisation and Economic Empowerment framework. However, enforcement appears weak, and foreign businesspeople are reportedly bypassing restrictions through loopholes, false licensing, and fronting arrangements.
Entrepreneurs from Nigeria, Ghana, the DRC, Rwanda, India, China, and Tanzania have opened hundreds of shops across Harare’s central business district. Key streets such as Chinhoyi, Kaguvi, Angwa, and George Silundika have become hotspots for these foreign-run businesses.
“They’ve rented entire buildings,” said a local retailer. “They subdivide them into stalls and lease them out to other foreigners or locals. You wouldn’t believe it — some buildings have 30 stalls run by people with no business permits.”
“They’re operating illegally under our names”
Sunday News reporters Ivan Zhakata and Nokuthula Dube revealed that many foreign traders are operating illegally. Some use Zimbabwean names to register businesses, while others run entirely unlicensed operations.
“You’ll find a Congolese man controlling over 20 units in one building,” said a Harare business owner. “No one knows if he has a licence. But he’s making thousands every month.”
Formal supermarkets, including OK Zimbabwe, TM Pick n Pay, and Spar, are feeling the impact.
“We’ve seen a drop in customer traffic,” a manager from a major chain said. “People now buy from these small, cheap shops that don’t pay tax or follow the rules.”
Dr Denford Mutashu, president of the Confederation of Zimbabwe Retailers (CZR), confirmed the scale of the problem.
“The retail and wholesale sectors are reserved for Zimbabweans.
But we’re seeing people come in claiming to invest in manufacturing or mining, then shifting into retail. That’s unacceptable. Some are also involved in illegal activities.”
He continued:
“We’re concerned about reports of drug trafficking, sham marriages, and financing of political agendas. Some entered Zimbabwe as refugees, yet travel back home to build luxury homes.”
The CZR says it will soon launch a countrywide audit to verify who is operating legally and who should be removed.
“The law is being ignored while locals suffer”
Dr Thomas Utete Wushe, Permanent Secretary in the Ministry of Industry and Commerce, reiterated the legal position.
“Foreigners are only allowed to operate in reserved sectors if they receive written permission from the Minister.
These sectors are meant to empower Zimbabweans, especially where there are low barriers to entry.”
In 2024, the list of reserved sectors was expanded to include pharmaceutical retailing, haulage and logistics, shipping and forwarding, customs and clearing, and borehole drilling.
“We don’t have clear operating thresholds for each sector yet,” Dr Wushe admitted. “This makes enforcement difficult. But we are conducting compliance checks.”
Despite this, traders say nothing is changing on the ground. Corruption and inefficiency are blamed for the continued rise of unlicensed foreign businesses.
“We’ve reported these things before,” said a market representative. “Council officials come, look around, and leave. A few days later, everything goes back to normal.”
Harare City Council spokesperson Mr Stanley Gama insisted that licences are only granted legally.
“We don’t issue licences for reserved sectors unless there’s ministerial approval. Every applicant is screened,” he said.
Still, traders insist the system is broken. They say enforcement is selective, and some foreign shop owners allegedly bribe their way past inspections.
“This is our economy — we just want a fair shot”
Many local vendors feel squeezed out.
“The foreigners buy goods in bulk and sell cheaply because they avoid paying taxes,” said a woman selling groceries on Kaguvi Street. “We can’t compete with that. We end up losing money.”
Another young entrepreneur, running a clothing stall, added:
“I tried to open a shop, but rent is too high. The foreigners take over entire buildings. We get pushed out before we can even start.”
The demand for action is growing louder. Traders want the Ministry of Industry and Commerce to strengthen enforcement and close legal loopholes.
“We are not saying chase anyone away,” said one vendor. “But let them follow the law. These sectors were reserved for a reason — to empower Zimbabweans.”
As the debate intensifies, the CZR’s promised audit could be a turning point. Until then, frustration continues to build in the streets of Harare.
“Give us our chance,” said a young shopkeeper. “We’re not lazy. We just want the law to be followed.”
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The post “It’s Not Fair”: Zimbabweans Cry Foul As Foreigners Dominate Retail Business Sector Reserved For Locals appeared first on iHarare News.
