Emigration into Zimbabwe : A Critical Look at Residence Permits

By Levi Mhaka

Published May 27, 2007

This article has been triggered by the remarks allegedly made by the Reserve Bank of Zimbabwe (RBZ), Mr. Gideon Gono. In an apparent reference to Asian businessmen (Chinese and Indians), he told members of the central bank surveillance team this week: "You find them running small shops with very little merchandise but look at where they live. Look at the vehicles they drive. Look at the number of foreign trips they make. Look at people entering their shops with briefcases at night, and then you will understand what I am talking about. It seems these people are not here to develop our country or to work with us. They are economic looters."

A visit to a commercial place called ‘Gulf’ in Harare , close to Market Square bus terminus will reveal that it heavily populated by Nigerians and Congolese who are running the clothing and general merchandise shops. Combine this with the mushrooming plethora of shops now owned and run by the Chinese, Indians and Lebanese.

Just at the Eastgate Shopping Mall, there are more than 6 clothing shops owned by Chinese. Thus there is overtrading in clothing business from imports in Zimbabwe right now. One would realise that the governor made a valid observation in a way although he did not go beyond identifying the root cause of the scenario.

Entry into Zimbabwe is governed by the Immigration Act (Chapter 4:02) (www.safemigrationzimbabwe.com/zimbabwe_residence_permits.html) and is administered by the Chief Immigration Officer (Director-General) of the Department of Immigration, whose line ministry is that of Home Affairs. The different permits described in this article are based on the South African Immigration Act No. 13 of 2002 for easy of clarity (www.aipsa.org.za/documents/IMMIGRATION%20REGULATIONS%20230605%201.pdf). There are 2 types of residence permits – temporary and permanent.

Temporary residence permits are broken down into that of:

i. Visitor Permits - visa for visitors are usually free of charge and are limited to 90 days. They do allow one to work. A visitor's visa can be extended once for another 90 days. The application must be accompanied by a written statement of the reasons for staying longer and handed over at latest 30 days before the expiry date of the first visa. One should have a passport valid at least for 6 months, a return ticket, extended to the new date of departure, proof of sufficient funding (bank balance or cash or credit card or Traveller's Cheques.

ii. Extended Visitor Permits -This temporary residence permit is valid for up to 3 years and can be applied for, if one plans to spend an academic year, attend a school or other educational institute, pursue charity or voluntary work (without remuneration), or live together with a citizen or permanent resident in marriage. One must produce a clean criminal record and a medical (including radiological) examination. One must also give proof of sufficient financial means to maintain oneself. In South Africa , must have at least R10,000 per month. This residence permit does not allow one to work gainfully.

iii. Residence and Work Permits - If a non-citizen would like to live and work as an employee, he/she requires a work permit. He/she needs to have found an employer already. His/her future employer must have advertised the position publicly. Then he has to hand in the list of applicants and explain why the position cannot be filled with a citizen of equal qualification and what the reasons were to refuse the applications of citizens. Furthermore, one’s university degree and professional qualifications must have been accepted by the higher education qualifying or certifying authorities.

iv. Business Permits – a business permit is issued to a foreigner intending to establish, or invest in a business in which he or she may be employed and to the members of such foreigner's immediate family. In South Africa , entrepreneurs and investors acquire the "Business Permit" which is usually issued for 2 years and can be extended for unlimited times.

The condition for the granting is a minimum investment of R2.5 million (US$357,142) into the book value of an existing or planned enterprise, which has to belong to a sector of national priority.

For example in South Africa, the priority areas are information and communication technology, chemistry and biotechnology, processing of agricultural produce, production of automobiles, raw materials and mining, tourism and craftsmanship. Additionally one has to create at least 5 jobs for South Africans (within 5 years) and a detailed business plan must be presented.

In Singapore , one must inject between US$654,879 and US1,309,758. Such a foreigner has undertaken to comply with any relevant registration requirement set out in any law administered by the tax authorities and a chartered accountant is required to certify compliance with the provisions of the Immigration Act.

2. Permanent Residence Permits

In South Africa , the following groups of persons can apply for a permanent residence permit:

i. Professionals/Technical Personnel and Skilled (PTPS) Workers - persons who are in the possession of a Work Permit for at least 5 years, if they have an unlimited employment. The Permanent Residence Permit includes the marital partner and children less than 21 years of age.

ii. Entrepreneurs/Investors, those who are in the possession of a Business Permit (under the Temporary Residence Permit), for 5 years or have successfully established a company in South Africa for this period, can acquire a Permanent Residence Permit. In China , one should make a direct investment of over US$500,000. According to the Zimbabwe Investment Authority (ZIA), where an investor is seeking to take up permanent residence qualification for such residence permits, it is as follows:

· An investor who injects not less than US$1 million in a business project approved will qualify for permanent residence.
· An investor who injects not less than US$300,000 in a sole business venture will qualify for a three year residence permit. Extension for an indefinite period will be granted at the end of the three years subject to the project proving viable.
· Persons with professional or technical skills who invest a minimum of US$100,000 in a venture of his/her profession will qualify for a three year permit. Extension will be based on project viability. Permanency will be considered on project viability.

iii. Pensioners who receive a permanent pension of more than R20,000 per month from their home country.

iv. Financially Independent Persons (FIP) who transfer at least R7.5 million to plus pay a once-off fee of R75,000 to the South Africa Immigration authority. In Malaysia , this is under the ‘Malaysia My Second Home’ Programme. If aged below 50 years old, one must open a fixed deposit account of US$88,705. After a period of one year, the participant can withdraw up to US$70,964 for approved expenses relating to house purchase, education for children in Malaysia and medical purposes. He must maintain a minimum balance of US$17,741 from second year onwards and throughout stay in Malaysia under this programme. If aged above 50, one can either choose to open a fixed deposit account of US$44,330 or show proof of monthly off-shore income of US$2,955 such as pension scheme.

How and why did these people acquire residence status? What is their residence status? Is it not time we review the status of all non-citizens resident in Zimbabwe ? A lot of scandalous behaviour by the immigration authorities and home affairs may be exposed.

I look forward when the parliament requests the Chief Immigration Officer to prepare and present a report for the period 1980 -2006 of how many and from which country has awarded what status.

Consequently, ZIMRA and the RBZ should make similar periodical checks on the compliance levels of the registration of their enterprises and the injection of foreign currency into the country. The Department of Immigration cannot check itself.

Until we are told otherwise through credible statistics, this country is now full of foreigners who were given residence permits when they are mere vendors. Most of them pose national security risks and are either on wanted list in their home countries or are involved in despicable activities like drug or forex dealing.

Zimbabwe needs genuine foreigners who engage in serious business not vending. This country has become a host of undesirables.