(1) The Indigenisation Policy
(2) Property rights violations
(3) Difficulties in dividends repatriation
(4) Favouritism towards Chinese investors
(5) Mining investments only for foreigners
(6) Corruption as the only way to get mining rights
(7) Zimbabwe labour laws draconian
There has been a positive vibe and commitment to invest in the country by big organisations. One of the major setbacks, thus being an impediment to quick investment into the country by investors, is the Zimbabwean labor laws.
The laws are rigid, restrictive to investment and they turn to be more favorable to the employees. This is an aspect that scares away many prospective investors.
Here, it is easy for an employer to acquire cheap labour, but it is not the case with the employers when they want to get rid of excess labour in their organisations.
Therefore there is a myth that labour laws in Zimbabwe are rigid but there are efforts being made at the moment by Government to adress issues around labour laws.
(8) Zimbabwe labour too expensive
(9) Erratic power supply
This development rendered commercial and industrial activities less competitive as companies resorted to more expensive alternative power sources such as diesel generators. But this is now a thing of the past and Zimbabwe right now has better electricity supply compared to South Africa following the commissioning of Kariba South Hydro extension.