Zimbabwe has recorded a remarkable increase in investment inflows in the third quarter of 2023, reaching US$3.4 billion, according to the Zimbabwe Investment and Development Agency (ZIDA). This is a 36% rise from the US$2.5 billion recorded in the same period last year and a 12% increase from the US$3 billion recorded in the second quarter of 2023.
The investments are mainly in mining, agriculture, manufacturing, tourism, and infrastructure, which are the key drivers of the country’s economic transformation and growth. ZIDA chief executive officer Douglas Munatsi said the investments resulted from the government’s efforts to improve the business environment and attract foreign and local investors.
“The government has implemented various reforms to enhance the ease of doing business and create a conducive investment climate. These include the establishment of ZIDA as a one-stop shop for investors, the enactment of the Zimbabwe Investment and Development Act, the amendment of the Indigenisation and Economic Empowerment Act, and the ratification of several bilateral investment treaties,” Munatsi said.
He added that ZIDA also facilitated investments into special economic zones, which offer incentives such as tax holidays, duty-free imports and exports, and streamlined procedures. He said some of the notable investments that were secured in the third quarter of 2023 include:
- A US$1.2 billion joint venture between Zimbabwe Mining Development Corporation and Bravura Holdings to explore and mine platinum in Selous.
- A US$500 million investment by China Railway Construction Corporation to construct a new railway line from Harare to Chirundu.
- A US$300 million investment by Dubai-based Albwardy Investment to upgrade and expand Meikles Hotel in Harare.
- A US$200 million investment by South Africa’s Tongaat Hulett to revive its sugar operations in Zimbabwe.
- A US$150 million investment by Russia’s Vi Holding to establish a gold refinery in Kwekwe.
Munatsi said ZIDA was optimistic that the investment momentum would continue in the fourth quarter of 2023 and beyond, as Zimbabwe was poised to achieve its vision of becoming an upper middle-income country by 2030.
“We are confident that Zimbabwe is on the right track to achieve its economic goals and aspirations. We have a lot of potential and opportunities for investment in various sectors, and we are ready to welcome and assist any investor interested in partnering with us,” he said.
He also urged existing investors to reinvest their profits and expand their operations, as well as to promote Zimbabwe as an attractive investment destination to their networks.
“We appreciate the support and confidence that our investors have shown in Zimbabwe. We encourage them to reinvest their earnings and grow their businesses, as well as to be our ambassadors and advocates in attracting more investors to our country,” he said.
Source: The Herald
