Zimbabwe’s Move to Reserve Travel Agency Sector for Locals Called Outdated Amid Digital Shift
Zimbabwe’s recent push to reserve certain economic sectors exclusively for locals has sparked debate, with prominent voices arguing that including the travel agency business in this list is a case of “closing the gates after the horses have bolted.” The government’s empowerment drive, under the second republic, recently gazetted a comprehensive list of sectors now reserved for Zimbabwean citizens, aiming to boost local ownership and economic participation. However, critics like Nyanga South legislator Supa Mandiwanzira contend that the travel agency sector is no longer relevant for such protection, given the global shift toward online travel booking platforms.
Statutory Instrument 215 of 2025, the Indigenisation and Economic Empowerment (Foreign Participation in Reserved Sectors) Regulations, ring-fences a wide range of everyday businesses for locals, including passenger transport, bakeries, salons, advertising agencies, and more. Foreign investors in these sectors are now required to gradually cede majority ownership to Zimbabweans, with a transition period of three years to sell 75% of their shares, divesting 25% each year.
Yet, as Mandiwanzira points out, the travel agency landscape has fundamentally changed. “I do not buy tickets from a travel agent today. I buy online. Now, who is running the online travel agencies? No locals are running these,” he remarked, highlighting the dominance of global digital platforms like trip.com and kayak. The legislator questioned the relevance of reserving traditional travel agency business for locals when most Zimbabweans and international travelers now book flights and holidays through online channels, often operated by foreign tech companies beyond the reach of local regulation.
This perspective is echoed by many in the tourism sector, who note that the digitalization of travel bookings has rendered brick-and-mortar agencies less central to the industry’s future. The move to reserve the sector for locals, they argue, risks missing the real drivers of tourism growth and could inadvertently limit Zimbabwe’s ability to attract international expertise, technology, and partnerships that are crucial for modern tourism development.
Tourism remains a key pillar of Zimbabwe’s economic revival strategy, alongside agriculture and mining. Unlike agriculture, which depends on favorable weather, or mining, which is tied to global commodity prices, tourism is seen as a “low-hanging fruit” that can deliver quick returns with relatively little support. The sector’s prospects have been buoyed by recent international recognition, including a top ranking from Forbes Magazine as a best destination to travel, further raising the stakes for effective policy decisions.
While the government’s intention is to empower locals and ensure Zimbabweans benefit from tourism’s growth, the reality is that consumer behavior has shifted irreversibly toward digital platforms. The vast majority of bookings are now made online, and the largest players in this space are international companies. As Mandiwanzira noted, “We are saying you cannot have foreign owned travel agencies into this country,” but in practice, the most influential travel agencies are already digital and global, operating outside the traditional regulatory framework.
For African travel professionals, Zimbabwe’s debate offers a cautionary tale about the need to align policy with technological realities. Efforts to localize ownership in tourism must consider the rapid evolution of the industry, where value is increasingly created through digital innovation, data analytics, and global distribution networks. Rather than focusing on legacy business models, stakeholders may need to prioritize digital skills development, local tech entrepreneurship, and partnerships that enable Zimbabwean businesses to compete in the online travel marketplace.
As Zimbabwe works to grow its tourism sector and increase its contribution to GDP, the challenge will be to craft policies that empower locals without isolating the country from the global digital economy. The future of travel is online, and the most successful destinations will be those that embrace this shift—leveraging technology, fostering innovation, and building bridges to international markets while ensuring local communities share in the benefits of tourism’s growth.
