Online Reporter
Oliver Kazunga
Senior Reporter
ZIMBABWE’S economic transformation agenda continues to gather momentum, with fresh high-value investments flowing into the country as global and regional corporates deepen their footprint in line with Vision 2030.
Since the ushering in of the Second Republic led by President Mnangagwa in November 2017, the country has received investments whose total exceeds US$15 billion.
Such investments include the US$4,2 billion Karo Resources Platinum project, the US$1,5 billon Dinson Iron and Steel Company’s steel plant and the manufacturing sector which last year alone attracted US$1,4 billion in new investments for expansion.
In the latest vote of confidence, Varun Beverages Zimbabwe has unveiled an ambitious US$650 million investment programme to be rolled out over the next three to four years — underlining growing investor trust in the Second Republic’s pro-business policies and stable economic environment.
“Aligned with Vision 2030, under the leadership of President Mnangagwa, the company is projecting an additional US$650 million investment over the next three to four years across multiple strategic sectors.
“Varun Beverages Zimbabwe believes every strong economy is built on reliable infrastructure, productive agriculture, industrial capacity and a thriving private sector working in partnership with the Government,” said the company in a statement.
The investment, to be undertaken alongside its holding company RJ Corporation and international partners, including INOX Energy, spans critical sectors such as energy, agriculture, manufacturing and fast-moving consumer goods (FMCG) — areas that form the backbone of Zimbabwe’s industrialisation drive.
Economic analysts say the scale and diversity of the investment by Varun Beverages, signals a clear shift, with Zimbabwe increasingly emerging as one of Southern Africa’s preferred destinations for long-term capital.
“I think the company has found comfort in the Zimbabwean economy in the form of being able to capital raise — and also being able to recoup capital which is a fundamental attribute of comfort that investor money looks for.
“That’s a high-ticket investment that can only happen if all variables have been tipped right and I think that is an affirmation of confidence in the market that Varun is operating in locally,” said economic analyst Dr Langton Mabhanga.
“At another tier the fact that they are eyeing to diversify into multi-tier sectors within the commanding heights of the Zimbabwean economy is statement of market confidence and also the confidence that Varun has in the economy.”
In agriculture, Varun Beverages Zimbabwe is strengthening its local supply chains through an expanded backward integration model that supports Zimbabwean farmers.
The company is working to scale up production of barley, malt and maize — key inputs in its beverage and snacks operations — while introducing modern, technology-driven farming methods to improve yields and efficiency.
And this approach is expected to boost food security, empower local producers and position Zimbabwe as a competitive exporter within the region and beyond.
The investment drive is also set to deliver significant employment opportunities.
Economic commentator Ms Chipo Warikandwa said the continued inflow of investments reflects the success of Government policies aimed at promoting ease of doing business, value addition and private sector-led growth.
“These investments are critical building blocks towards Vision 2030. They demonstrate how private sector participation, supported by enabling Government policies, is driving industrial growth, job creation and economic transformation,” she said.
The Zimbabwe National Chamber of Commerce (ZNCC) past president Mr Trust Chikohora said: “It’s a positive development because it is foreign direct investment and will help to boost foreign currency reserves for the country.
“It will also create more products which will help to increase the GDP of the country while also creating some jobs in the process as well.”
Varun Beverages Zimbabwe said its expansion is anchored on a long-term vision of sustainable growth, driven by strong collaboration between Government and the private sector.
