SINO Zim added to US sanctions list

Published: 23 April 2014

The United States Treasury's Office of Foreign Assets Control (OFAC) has added to its Zimbabwe sanctions list Sam Pa, a business partner in Sino Zim and Anjin.

This means Sino Zim and its various subsidiaries - Sino Zimbabwe Cotton Holdings, Sino Zim Development and Sino Zim Holdings - all of which are joint ventures between Zimbabwean, Singaporean and Chinese nationals, are now under US sanctions.

Observers see the move as further undermining the local economy.

Economic analyst Ronald Chizenga said the move was aimed at trying to further hurt the Zimbabwean economy because of Sino Zim's significance to the economy.

"The US realises how critical Chinese investment is critical for the Zimbabwean economy, hence the move to add Sino Zim. It also shows the double standards on the part of the US as they recently removed several individuals from the sanctions list.

"What they are doing is that they are actually strengthening the sanctions as they are picking the critical sectors they know will hurt the economy," he said.

China has been Zimbabwe's key source of trade and investment since Zimbabwe's trade relations with the West soured.

Last week, the US removed 11 individuals from its financial sanctions list.

The 11, according to a US Department of Treasury statement released last week, include businessman Billy Rautenbach, the late Vice President John Nkomo, former Anti-Corruption Minister Munyaradzi Paul Mangwana, SMEs Minister Sithembiso Nyoni, the late former Deputy Education Minister and Zanu-PF Masvingo provincial chairman Isaiah Shumba, Local Government Minister Ignatius Chombo's former wife Marian, Msipa Sharlottie, former Tourism minister and Zanu PF politburo member Victoria Chitepo, the late Zanu-PF Politburo member and Buhera senator Kumbirai Kangai, and Bulawayo businessman Peter Nyoni.

Ringerpoint Overseas Development Private Limited was also removed from the sanctions list.

However, some key firms in the local economy, including diamond entities Marange Resources, Mbada Diamonds, Oryx Diamonds, the Zimbabwe Mining Development Corporation (ZMDC) and the Minerals Marketing Corporation of Zimbabwe (MMCZ) remain on the US sanctions list.
- BH24