Economic reform has become one of the major necessities of post-colonial African states, given years of slavery, apartheid, colonialism and underdevelopment. Many scholars have argued that Africa’s lack of development is due to the lack of African participation within the economic sphere, especially as a business class or ‘bourgeoisie’. They contend that African participation in business has been rare, and where granted it has been mostly within the peripheries or petty commerce. This study will investigate Zimbabwe’s IBDC with a view to going some way to answering the major question that arises out of this argument: is creating a nationalist indigenous entrepreneurial class the answer to Africa’s development problems? The focus of this study will be on the emergence of the IBDC as a vehicle for black empowerment. It will attempt to account for its successes, its failures, and its ultimate demise. The research will also chart how some of Zimbabwe's most successful black entrepreneurs, some who have managed to establish a global presence, got their start with this organization, and how they proceeded when the IBDC ceased to exist.The study will also proceed to examine the Indigenous Business Women's Organization and the Affirmative Action Group, similar organisations that came after the IBDC. Crucial within this research agenda is the interrogation of the role of the state in post colonial Africa: can it be a catalyst for economic empowerment, or is it an inhibitor? Finally, efforts will be made to investigate the complementarities and contradictions of efforts to create a black business class with poverty alleviation policies.
Table of Contents
Chapter 1: Post Colonial Period
Chapter 2: First Decade of Independence
Chapter 3: Rise and Fall of the IBDC
Chapter 4: Empowerment for whom?
Research Objectives and Themes
This study investigates the emergence, evolution, and eventual collapse of the Indigenous Business Development Center (IBDC) in Zimbabwe, examining its role as a vehicle for black economic empowerment and its complex, often antagonistic, relationship with the state within the context of post-colonial political economy.
- The historical development of an indigenous capitalist class in Zimbabwe.
- The political economy of indigenization and state-led economic reform.
- The impact of neo-patrimonialism and clientelism on business development.
- The role of political interference and factionalism in the demise of lobby groups.
- Case studies on the state's role as a catalyst or inhibitor of economic empowerment.
Excerpt from the Book
3.1: The Emergence and Rise of IBDC and the 1990s
Taylor records that “…an initiative called the Indigenous Business Development Center was launched in 1990 by a group of Harare-based businesspeople with the endorsement of government” (249). Raftopoulos and Compagnon pontificate that “When originally approached by a group of black entrepreneurs as early as 1988, Mugabe jumped at the idea to act as an official godfather to the creation of the indigenous Business Development Center IBDC in 1990” (2004: 21). The formation of the IBDC has been credited to government in some circles (see, Nicholas, 1994:108). The IBDC managed to popularize the indigenization debate and it was soon adopted by government as a policy and led to various initiatives being undertaken within the state.
Raftopoulos concurs with this assertion and contends that, “Indeed, the IBDC's lobbying interventions have been, to a significant extent, the catalyst which brought indigenization to the forefront of Zimbabwean political debate” (1996 :).For the government to adopt the discourse of indigenization it could thus be argued it was mostly to the efforts of the IBDC given that the government had been apprehensive to the growth of an African business class. The adoption of ESAP and Market driven economic policies created an opportunity for the accumulation of the black bourgeoisie, as the anti-capital attitude of the government that characterized the first decade of independence had faltered away. Indigenisation became a major issue with the introduction of ESAP. It became clear that, due to historical reasons, most blacks could not participate in expanding economic activity. The government established the Indigenous Business Development Corporation in 199018. There was need for the government to address economic questions that it had negated, nevertheless it had no capacity by then to deal with the issues at stake and the discourse of economic Indigenisation provides a relief to it.
Summary of Chapters
Chapter 1: Post Colonial Period: This chapter establishes the historical context of indigenization and the exclusion of the African bourgeoisie from the colonial economy.
Chapter 2: First Decade of Independence: This chapter analyzes the state's suppression of private enterprise during the first decade post-independence and the prevalence of socialist-oriented policies.
Chapter 3: Rise and Fall of the IBDC: This chapter details the emergence of the IBDC as a lobby group, its subsequent political co-optation, internal factionalism, and eventual decline.
Chapter 4: Empowerment for whom?: This chapter examines the neo-patrimonial state, the role of clientelism in business success, and the implications for genuine economic empowerment.
Keywords
Indigenization, Zimbabwe, IBDC, African bourgeoisie, economic empowerment, post-colonial, neo-patrimonialism, ZANU PF, political economy, capitalism, state-capital relationship, entrepreneurship, ESAP, cronyism, political patronage.
Frequently Asked Questions
What is the primary focus of this research?
The study focuses on the historical rise and fall of the Indigenous Business Development Center (IBDC) in Zimbabwe and its influence on black economic empowerment efforts.
What are the core thematic areas?
The core themes include the historical exclusion of African entrepreneurs, the political economy of indigenization, the impact of the Economic Structural Adjustment Program (ESAP), and the relationship between the state and business lobby groups.
What is the central research question?
The work investigates whether the creation of a nationalist indigenous entrepreneurial class serves as an effective answer to Africa's development problems and examines the state's role as either a catalyst or inhibitor of this process.
Which methodology is employed in the study?
The study utilizes a structural framework incorporating historical analysis, media scans, and primary documents like policy papers and organizational records to evaluate the relationship between the state and private entrepreneurs.
What does the main body address?
The main body explores the colonial origins of the African bourgeoisie, the suppressed economic environment post-independence, the rise of the IBDC in the 1990s, and the subsequent influence of neo-patrimonial strategies on the downfall of independent business organizations.
Which keywords define this work?
The research is defined by terms such as Indigenization, Zimbabwe, IBDC, neo-patrimonialism, economic empowerment, and political patronage.
How did the political environment impact the IBDC?
The IBDC suffered due to increased party politicization, factionalism encouraged by the ruling party, and the government's preference for patronage-based networks over autonomous business advocacy.
What was the significance of the Econet Wireless case?
The Econet case serves as an indictment of the indigenization agenda, highlighting the hypocrisy of a government that obstructed an indigenous entrepreneur who refused to participate in corrupt clientelist networks.
How does the author define the relationship between the government and indigenous capitalists?
The author argues that the government ultimately utilized indigenization as a rhetoric tool for political survival and patronage rather than a sincere effort to develop a broad-based, independent black capitalist class.
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- Tamuka Charles Chirimambowa (Autor:in), 2007, The Rise and Fall of the Indigenous Business Development Center in Zimbabwe, München, GRIN Verlag, https://www.grin.com/document/191065
