‘China Defends Its Under-Fired Companies’ 25 January 2022

CHINESE authorities have aggressively waded into the standoff between Beijing’s companies operating in Zimbabwe and the “superfluous” non-governmental organisations, boasting that without the world power’s investments, Harare would be “candle lit” and struggling without internet. China has emerged as the biggest source of investment into Zimbabwe since Harare’s diplomatic tiff with Western powers two decades ago, which led to a damaging embargo, whose cost to the economy has been estimated at about US$100 billion. Despite injections of at least US$2,5 billion, Chinese multinationals have had a frustrating time in Zimbabwe, where they face accusations spanning from labour and human rights violations to environmental degradation, tax evasion and foreign currency externalisation.

…The Chinese embassy said the “dubious” NGOs’ combative claim “stinks of a hideous agenda from groups that make a living from political advocacy”. It said they had ignored China’s huge investments, which propped up Harare’s faltering economy. “Were it not for China’s funding support and the work of Chinese companies in ICT and power generation, even the statement in question would perhaps have to be scribbled on a piece of paper, in a candle-lit room, and never find its way on a functioning internet,” Chinese diplomats in a statement. “How can a few unsubstantiated stories be used to negate China’s real, enormous contribution to the development of Zimbabwe…and the improvement of the wellbeing of ordinary citizens?” the embassy said.

…On Sunday, the Chamber of Chinese Enterprises in Zimbabwe (CCEZ) also attacked the NGOs. In a statement, the CCEZ, which represents some of the world’s biggest corporations, came close to admitting serious transgressions by its members, but quickly reminded the NGOs that “it is not within our space to correct perceived legal gaps or inadequacies in laws’ in the country. “We strongly deplore and oppose groundless accusations that are malicious and driven by falsehoods,” the CCEZ hit back. “Our member companies employ more than 100 000 local people throughout different sectors, worth billions in US dollars of investment. We have done this heeding the clarion call that “Zimbabwe in Open for Business” and in line with Zimbabwe’s aspirational targets such as achieving a US$12 billion mining economy by 2023 and Vision 2030 of achieving, and upper middle-income economy by 2030.