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Golden Sibanda
A DELEGATION from Egyptian multi-sector investment firm, Elsewedy Electric, yesterday met President Mnangagwa and several senior Government officials and expressed keen interest to invest millions of United States dollars across various sectors of Zimbabwe’s economy.
Elsewedy prides itself in creating multimillion dollar sustainable projects in energy and infrastructure that enable businesses, communities, and regions to thrive. The company has been listed on the Egypt Stock Exchange since 2006.
Finance and Economic Development Minister Professor Mthuli Ncube said yesterday a four member delegation of Elsewedy officials was in the country exploring Zimbabwe’s abundant investment opportunities.
The Egyptian firm’s delegation, led by director Ahmed Amin, met and held wide ranging deliberations with President Mnangagwa and a number of senior Government officials at State House yesterday, among them the Treasury chief.
This comes as foreign investors continue to flock into Zimbabwe taking note, Professor Ncube said, of the huge strides Harare has made on key reforms to improve the investment climate, business environment and macro-economic stability.
Minister Ncube said the Government of Zimbabwe will be signing a Memorandum of Understanding (MoU) with Elsewedy for various investments across the entire economy.
“This company is a multi-sector company, they are involved in so many sectors; they are into construction of dams, they are into construction of power plants, they are also into solar plants, they are involved in agriculture, they are involved in building railways systems.
“They are all over the place, hotels…they also build hotels and do construction and right across the economy.
“So, we met with them, we will be signing an MoU as a Government to support various Government projects right across the sectors that I have mentioned,” he said.
Minister Ncube said the Egyptian company did not indicate how much it would invest nor when it intended to start the cocktail of investments across Zimbabwe’s economy.
“For now, they have just come to explore the opportunities and really, the sky is the limit in terms of how much they can invest…” Minister Ncube said.
Minister Ncube said the growing foreign investor interest in Zimbabwe, including Egypt’s Elsewedy, was testimony to the significant progress that President Mnangagwa’s administration has made on investment reforms, opening up the business environment right across the economy as well as stabilising the economy.
“The opportunities are there for all to see; whether it’s in agriculture, whether it is in mining or whether it’s in manufacturing and infrastructure development, the investment opportunities are there and they are becoming more and more obvious everyday.
“Investors also realise that the investment climate is improving everyday, the stability that we are currently enjoying is also being recognised outside our borders by investors and they really appreciate what we offer here as a country,” Minister Ncube said.
Among the major economic reforms by the incumbent Government was the scrapping of the Indigenous and Economic Empowerment Act, which prescribed equity holdings for locals in foreign firms, measures to reduce national budget deficit, doing away with reliance on the central bank overdraft window and restoration of local currency.
Minister Ncube’s sentiments buttress the pledge President Mnangagwa’s administration made upon assuming power in 2017 that Zimbabwe is open for business.
The economic environment, supported by the Government’s investor and business-friendly policies, have given the economy more impetus, which resulted in economic growth of 7,4 percent last year.
Zimbabwe’s economy is projected to grow by 4,6 percent this year, from 5,5 percent initially, only weighed down by lingering impact of Covid-19 and disruptions from the war in Eastern Europe.
Only last week, President Mnangagwa told investors at the Africa Investment Forum in Abidjan, Ivory Coast that Zimbabwe’s engagement and re-engagement efforts had paid off, leading to a change in negative investor perceptions.
He said his Government was cognisant of the fact that capital was apprehensive to go to jurisdictions plagued by volatility, hence the reforms by his Government to stabilise the economy.
“So, we have instituted comprehensive economic reforms in the country in order to be competitive. And I can assure you that we are receiving more (foreign investments) now than before sanctions,” he said.
Foreign Affairs and International Trade Minister Frederick Shava said last week that Zimbabwe had received US$3,o8 billion in foreign direct investment (FDI) between 2019 and 2022, with China accounting for 76 percent of that.
Some of the investments have gone into expanding the country’s energy infrastructure (Kariba South, Hwange 7 and 8), airports (Robert Mugabe International Airport, Victoria Falls International Airport) and the US$1 billion Dinson steel manufacturing project in Manhize, Chivu.
In April this year, the Government approved the setup of US$1 billion worth projects by the United Arab Emirates (UAE) headquartered conglomerate, MULK Holdings.
The Dubai (United Arab Emirates, UAE) billionaire, who founded Mulk Holdings, Shaji ul Mulk, further affirmed his commitment to invest in Zimbabwe by visiting Harare last month.
He intends to construct a state-of-the-art complex in Mt Hampden, a few kilometres north of the capital Harare. The US$500 million Zim Cyber City is a mixed-use hi-tech park near the outskirts of the capital city.
Another UAE billionaire, Khalil Ibrahim Albalishi, flew into Zimbabwe in May to explore investment opportunities in various sectors of the economy, as foreign investors stampe for opportunities in the country.
In September this year, the Government and two Chinese investors, Eagle Canyon International Group and Pacific Goal Investment signed an MOU to pave the way for the construction of a U$13 billion Mine to energy Industrial park in Mashonaland West Province.
Online Reporter