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Wallace Ruzvidzo
Herald Reporter
Zimbabwe attracted investments worth US$1,2 billion during the third quarter of the year, with 168 new licences being issued to investors by the Zimbabwe Investment and Development Agency (ZIDA).
The mining sector is leading the charge, with 74 licences issued, totalling a projected investment value of US$579.90 million.
This year, Zimbabwe has attracted multi-billion-dollar investments, evidence that the Second Republic has instituted investor-friendly policies that guarantee ease of doing business.
In his report for the third quarter, ZIDA chief executive officer, Mr Tafadzwa Chinamo, said a 9 percent increase had been registered in the number of licences issued compared to the previous quarter.
The mining sector continued to attract the most investments as compared to others and this has been the trend in all three quarters.
“In total, 168 new licenses were issued in the just ended quarter, with a projected investment value of US$1,171 billion.
“Also pleasing is the fact that investors have fully embraced the online DIY Licensing Portal. On 1 September 2024 the Agency adopted the digital DIY Portal as the sole means by which investors can apply for the ZIDA Investment Licence.
“In terms of the sectors investors are obtaining licences to operate in, the mining sector continues to attract the greatest number of investors, closely followed by the energy sector,” he said.
The country’s provinces, which now set targets in tandem with the devolution thrust, played a crucial role in attracting investments.
Mashonaland West Province had 14 new licences worth US$393,18 million, Masvingo had three worth US$146,71 million, Midlands had 24 valued at US$139,07 million, Bulawayo had seven worth US$134,27 million and Mashonaland East six licences valued at US$13,80 million.
Manicaland Province had 4 new licences issued valued at US$121,07 million, Harare 83 worth US$104,78 million, Mashonaland Central 14 worth US$60,81 million, Matabeleland South 8 valued at US$41,93 million and Matabeleland North 5 valued at US$$15,80 million.
“The Agency acknowledges the importance provinces play in attracting investments and this is reflected in their mandates at Provincial Government and Urban and Rural District Council level.
“To equip the provinces with the requisite skills in attracting and facilitating investments as well as developing bankable project proposals the Agency conducted workshops in Bulawayo and Harare.
“Southern provinces attended the Bulawayo workshop and northern ones the Harare one. Since the training we have noted considerable improvement in the quality of proposals being submitted by RDCs (Rural District Councils) to the Agency,” he said.
Mr Chinamo said the 7th SADC Industrialisation Week, which was held just before the regional bloc’s gathering of Heads of State in August, had been catalytic to attracting more investment.
“The standout events during the quarter were the Inaugural SADC Investment Forum hosted by Agency alongside the 7th SADC Industrialisation Week.
“The event brought together esteemed speakers from around the globe to discuss regional industrial development, emphasising the importance of promoting regional value chains in priority sectors across Southern Africa.
“The exchange of ideas and strategies during the forum laid a strong foundation for future collaboration and investments that will undoubtedly drive our economies forward,” he said.
The ZIDA boss said following Cabinet’s approval of the Public Private Partnerships (PPP) Policy Framework during the second quarter, the investment agency was now drafting guidelines which will establish regulations subject to which all PPPs in Zimbabwe will be administered.
“This important endeavour is 90 percent complete, and we anticipate its finalisation in the fourth quarter.
“PPP’s are a key driver for infrastructure development and economic growth, as such, these guidelines will ensure that contracting authorities will achieve their objectives in a cost effective manner while providing counterparties (private sector partners to PPP agreements) a fair return on their investment,” he said.
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