Foreign-owned businesses still trading in the 17 sectors set aside for Zimbabweans face having their operating licences suspended or revoked, the government said after Tuesday's Cabinet meeting, The Herald and Pindula News report.

The warning follows inspections of more than 3,000 companies across all 10 provinces, which found that most foreign operators had not regularised their businesses despite awareness campaigns and formal notices, according to both outlets.

"The Ministry of Industry and Commerce will suspend or revoke the operating licences of all non-compliant businesses operating in the reserved sectors as per regulations," Acting Information Minister Prof Paul Mavima told the post-Cabinet briefing.

Which sectors are covered

The reserved sectors are set out in Statutory Instrument 215 of 2025, gazetted in December last year, The Herald reports. Both outlets describe two groups:

13 sectors for citizens only, including borehole drilling, customs clearing, tobacco grading, estate agencies and artisanal mining.

4 sectors open to foreign firms only with an exemption or an approved regularisation plan: retail and wholesale, haulage and logistics, grain milling, and shipping and forwarding.

The full list

The Ministry of Industry and Commerce publishes the list on its website. The 13 citizens-only sectors are: passenger buses, taxis and car hire; barber shops, hairdressing and beauty salons; employment agencies; estate agencies; valet services; bakeries; tobacco grading and packaging; advertising agencies; local arts and crafts marketing; artisanal and small-scale mining; borehole drilling; clearing and customs; and pharmaceutical retailing.

The ministry's page lists the four sectors with thresholds, where foreign firms may operate only if they meet investment conditions, as retail and wholesale trade, grain milling, haulage and logistics, and shipping and forwarding. These are the same four named in the Cabinet reports.

### Why the ministry says 21, not 17

The 17 in the Cabinet briefing is the 13 citizens-only sectors plus the four with thresholds. The ministry's page adds a third group of four "additional reserved sectors": brick moulding, granite mining, quarrying and travel agencies. That makes 21 in total. The reports of Tuesday's briefing did not mention this third group, although The Herald and Pindula did name brick moulding as an area where unregularised firms are still trading.

Who has applied so far

Industry and Commerce Minister Mangaliso Ndlovu told Cabinet that 693 compliance applications had been received, both outlets report. Of these:

269 came from foreign operators offering to transfer 75% of their equity to Zimbabwean citizens

144 asked for confirmation that they count as local businesses

63 qualified for an exemption, because they met investment thresholds or are recognised international brands (The Herald)

Despite the applications, most foreign-owned firms in the reserved sectors have not complied, with retail and brick moulding named as areas where unregularised businesses are still trading, The Herald and Pindula report.

What this means for diaspora investors

Zimbabweans abroad who are planning a business back home, or who already run one with foreign partners, may want to check whether it falls in one of the reserved sectors before the ministry starts enforcing.

What we don't know yet

When the suspensions and revocations will begin. No date or deadline was given.

Which businesses are affected. No companies have been named.

Why the Cabinet briefing referred to 17 reserved sectors while the ministry lists 21.

Sources: The Herald (Mukudzei Chingwere) via Zimbabwe Situation, 21 Oct 2026: https://www.zimbabwesituation.com/news/blitz-targets-defiant-foreign-firms/ · Pindula News (Lovemore Muzira), 21 Oct 2026: https://news.pindula.co.zw/2026/10/21/foreign-firms-in-17-reserved-sectors-face-licence-revocation/ · Ministry of Industry and Commerce: http://www.mic.gov.zw/?service=economic-empowerment-reserved-sectors