ZIDA Invest https://zidatradbox.com Promoting Zimbabwe Mon, 26 May 2025 08:52:13 +0000 en-US hourly 1 https://wordpress.org/?v=6.8.1 https://zidatradbox.com/wp-content/uploads/2024/01/cropped-Untitled-design-2024-01-16T211427.066-32x32.png ZIDA Invest https://zidatradbox.com 32 32 ZIDA pushes for local financing in early-stage mining projects https://zidatradbox.com/zida-pushes-for-local-financing-in-early-stage-mining-projects/ Mon, 26 May 2025 08:43:35 +0000 https://zidatradbox.com/?p=997105

ZIDA pushes for local financing in early-stage mining projects

The Zimbabwe Investment and Development Agency (ZIDA) has called for increased local financing of early-stage mining projects, warning that the country risks missing out on major international investment without strong exploration.

Mining remains Zimbabwe’s largest draw for foreign direct investment, accounting for the bulk of licences processed by Zida since its establishment in 2020.

The country boasts of vast mineral wealth, including gold, platinum group metals, lithium, chrome and coal, but experts say much of it remains underexplored.

According to the Chamber of Mines of Zimbabwe (CoMZ), over 50 000 mining claims are registered in Zimbabwe, yet a significant number remain undeveloped due to financial constraints, particularly in the early stages when risks are high.

Despite significant interest, large-scale international mining investments have slowed showing interest in recent years, partly due to policy uncertainty, project bankability issues, currency volatility, ownership rights concerns, corruption and limited geological data.

“We license more mining investors than any other sector and this trend has held steady over the past two years. But the truth is, we haven’t landed a big mining house in a while and it all starts with early exploration,” Zida’s chief executive officer, Tafadzwa Chinamo, said during a panel discussion at the CoMZ annual conference last week.

“Zimbabwe’s mining value chain is being stifled at the initial stages because we lack funding models tailored for high-risk exploration. Unlike Canada or Australia, we don’t have a culture of supporting small, early-stage ventures, which are the foundation of larger mining projects.”

Chinamo said exploration did not require vast sums of capital to begin.

“You don’t need hundreds of millions of dollars to start exploration,” he said.

“What we need is for local pension funds, institutional investors and the stock exchange to have skin in the game from the beginning. That’s how you build a pipeline of attractive assets.”

While several mining ventures are already operational, the Zida boss argued that unlocking Zimbabwe’s full mineral potential depended on strengthening exploration.

“There’s a missing link,” Chinamo said, adding, “Without proper early-stage exploration, you’re not going to see serious international mining houses taking an interest. They invest in proven assets and proving those assets requires groundwork exploration that’s financed early and locally.”

Zida is engaging financial institutions and regulators to promote domestic funding mechanisms while lobbying for policy reforms to allow junior miners to raise capital locally, he

said.

This raise will include structured listings or special-purpose investment vehicles.

“The groundwork we lay now will determine the scale of mining investment we attract over the next decade,” Chinamo said.

He reiterated that local capital must take the lead.

“If we don’t build our capacity to support early exploration, we won’t have the assets to showcase to big investors,” Chinamo warned.

In Zida’s first quarter report, the licences issued in the mining sector had a projected investment value of US$906,8 million, representing around 19% of the overall amount.

Newsday

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Zida calls for more awareness in entrepreneurial opportunities https://zidatradbox.com/zida-calls-for-more-awareness-in-entrepreneurial-opportunities/ Tue, 22 Apr 2025 08:45:43 +0000 https://zidatradbox.com/?p=997051

Zida calls for more awareness in entrepreneurial opportunities

ZIDA Board Chairman Busisa Moyo

ZIMBABWE Investment and Development Agency (Zida) chairperson Busisa Moyo has called for more awareness of opportunities that exist for entrepreneurs to commercialise their projects.

This comes after the government slashed trademark registration fees for women, small to medium enterprises (SMEs) and university students.

The move is aimed at promoting innovation, entrepreneurship and intellectual property protection for entrepreneurs who often cite regulatory costs as a major burden in starting new businesses or ventures.

“Lowering the cost of patenting and registering marks for women, universities, students and SMEs is a positive step and encourages a legally protected form of entrepreneurship, invention and innovation,” Moyo said in a statement.

“More needs to be done for awareness and for entrepreneurs to be aware of the opportunity to commercialise ideas, concepts and inventions for scalability. Big companies can’t ‘steal’, earn value off your idea any longer if you patent or protect it.”

The Trade Marks (Amendment) Regulations, 2025 (No. 6), published in the Government Gazette replaces the fee in applying for trademarks schedule originally set in 2005.

“It is hereby notified that the Minister of Justice, Legal and Parliamentary Affairs has, in terms of section 104 of the Trade Mark Act [Chapter 26:04], made the following regulations: These regulations may be cited as the Trade Marks (Amendment) Regulations, 2025 (No. 6). The First Schedule to the Trade Marks Regulations, 200. Published in Statutory Instrument 170 of 2005, is repealed and the substitution of,” it read.

“On application to register, a trademark or defensive mark and women/ students/universities/research institutions/individuals now costs US$30, SMEs now costs US$50 and corporate now costs US$200.”

In Zimbabwe, trademark registration costs vary based on the number of classes and stage of the process.

A search fee is US$120 for the first class and US$100 for each additional class. Application fees are US$1 150 for the first class and US$750 for each additional class.

The final fee for registration is US$450 for the first class and US$300 for each additional class and is only due if the registration is successful.

Newsday

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‘Zida aims at proper execution of public-private partnerships’ https://zidatradbox.com/zida-aims-at-proper-execution-of-public-private-partnerships/ Fri, 28 Mar 2025 06:24:47 +0000 https://zidatradbox.com/?p=997010

‘Zida aims at proper execution of public-private partnerships’

ZIDA Chief Executive Officer Tafadzwa Chinamo

THE Zimbabwe Investment and Development Agency (Zida) is responsible for facilitating and promoting investment in Zimbabwe under the Office of the President, governed by the Zida Act (Chapter 14.38). The agency’s mandate is to promote and facilitate valuable investments that drive economic growth, unlock opportunities, and create employment. There are three main categories of investments, namely, general investment, public-private partnerships (PPP), and special economic zones. PPPs, in particular, consist of contractual arrangements between government/agencies and the private sector to deliver a project or to provide services. Zida assesses all PPPs and presents them to the PPP Committee for recommendation to the Cabinet. In this interview, our business reporter, Lee Musaidzi (LM), spoke to Zida chief executive officer Tafadzwa Chinamo (TC) to discuss PPPs:

LM: What is the current framework for PPPs in Zimbabwe, and how does Zida facilitate these partnerships?

TC: The primary legislation governing PPPs in Zimbabwe is the Zimbabwe Investment and Development Agency Act [Chapter 14:38].

Other key pieces of legislation that impact PPPs include the Public Procurement and Disposal of Public Assets Act, the Public Finance Management Act, the Income Tax Act, and the Companies and Other Business Entities Act.

These are further complemented by secondary legislation and policies such as the PPP Policy Framework and Directives, as well as the PPP Guideline.

The agency plays a facilitative role by streamlining the structuring, approval, and implementation of PPP projects. This includes receiving expressions of interest (EoIs) from potential investors and engaging with relevant ministries, departments, and agencies (MDAs) for consideration.

Once MDAs have undertaken the necessary procurement processes, the agency receives PPP project proposals, conducts thorough reviews and analysis, and makes recommendations to the cabinet committee responsible for PPPs. The agency is the secretariat of the cabinet committee.

The PPP Committee is responsible for ensuring the proposed PPP projects align with national development priorities and are structured in a way that they satisfy the legal, technical, and financial standards and are to be implemented in the best of the public interest.

LM: What are the eligibility criteria for private entities looking to engage in PPP projects with Zida?

TC: There is no set eligibility criterion for private entities seeking to engage in PPP projects in Zimbabwe. However, general expectations must be met.

First, entities must have a clear legal status, meaning they must be legally registered as private enterprises with no affiliation to the government of Zimbabwe.

Proof of financial capacity is essential, requiring companies to demonstrate a strong financial position and the ability to secure funding for the proposed project.

Lastly, technical expertise is a key consideration, as companies must either possess proven experience and capability in the relevant sector or have a contractual arrangement with a qualified technical partner.

LM: How does Zida select projects for PPPs, and what factors are considered in the decision-making process?

TC: The agency employs a structured approach to selecting PPP projects, ensuring alignment with Zimbabwe’s national development priorities and delivering tangible economic benefits.

Every potential project is evaluated based on key criteria, including its alignment with national strategic development goals such as the National Development Strategy 1 (NDS1) and National Development Strategy 2 (NDS2).

Additionally, value for money is a critical factor in ensuring that public funds are used efficiently. Risk allocation is another major consideration, with an expectation that the majority of project risks should be borne by the private investor.

Other factors include affordability and long-term sustainability, ensuring that the project can be effectively maintained without excessive public sector burden.

LM: What regulatory challenges do PPPs face in Zimbabwe, and how does Zida work to mitigate these challenges?

TC: PPPs in Zimbabwe face challenges related to legislative overlaps, as multiple laws impact their implementation. Although the Zida Act [Chapter 38:14] provides overarching legislation for PPPs, it does not override provisions in other Acts, which can create complexities in regulatory compliance.

To address these challenges, the Agency has developed a comprehensive PPP guideline aimed at streamlining processes and providing clarity for investors and stakeholders. The guideline covers the full PPP project cycle, including identification, preparation, procurement, and implementation.

Further, the agency conducts capacity-building workshops for MDAs to enhance understanding of PPP appraisal processes. By strengthening governance mechanisms, improving institutional capacity, and fostering transparency, Zida aims to create a predictable regulatory landscape that boosts investor confidence and ensures successful project execution.

LM: What funding mechanisms are available for PPP projects, and how can private investors access these resources?

TC: PPPs in Zimbabwe are primarily financed through various sources, including multilateral development finance institutions, private equity funds, institutional investors, banks, and high-net-worth individuals.

The private party bears the responsibility to raise funding and can recoup its investment from project revenues. The success of fundraising efforts depends largely on project commercial and technical viability.

LM: How does Zida monitor the performance of PPP projects, and what metrics are used to evaluate success?

TC: Zida actively monitors the performance of all approved PPP projects to ensure compliance with contractual obligations and expected outcomes. Upon approval, the agency develops monitoring and evaluation (M&E) frameworks for each project, which will be used throughout the monitoring and evaluation of cycle.

Further, the PPP projects are jointly monitored by the parties through an equally represented joint implementation committee.

The agency produces periodic reports that are submitted to the PPP committee. Key performance metrics used to assess success include technical progress, financial progress, governance, compliance with statutory and regulatory requirements, adherence to the agreed project scope and budget, and overall project impact.

These evaluations help to ensure that PPP projects remain on track and deliver the intended economic and social benefits.

LM: How many PPP projects has the agency reviewed and assessed so far?

TC: In 2024, a total of nine PPP projects were tabled before the cabinet and subsequently approved for implementation. These projects are currently at various stages, including contract negotiations, working towards financial close and implementation.

LM: What future opportunities does Zida foresee for PPPs in Zimbabwe, particularly in key sectors such as infrastructure, health, and education?

TC: The agency recognises that there are significant opportunities for PPPs in Zimbabwe, particularly in infrastructure, health, and education, where private sector involvement can accelerate development and service delivery.

In the education sector, PPPs can support the construction of student accommodation at state universities, the development of modern university facilities to accommodate growing student populations, and the establishment of research centres that promote innovation and technological advancement.

Additional opportunities exist in expanding e-learning infrastructure and developing vocational training centres to equip young people with relevant skills for the modern job market.

In the health sector, PPPs offer the potential for strengthening healthcare infrastructure and improving service delivery. Key focus areas include the construction and expansion of primary healthcare facilities and regional hospitals, as well as the local production and efficient management of medications and medical supplies through private-sector partnerships.

There are also opportunities for enhancing emergency response systems, including the development of advanced emergency medical infrastructure and public-private clinics that improve accessibility to quality healthcare. In the infrastructure sector, Zimbabwe has an urgent need for large-scale investment in critical public infrastructure, including roads, railways, and bulk infrastructure projects that support urban development and industrial expansion.

PPPs will be instrumental in financing and constructing modern road networks, rehabilitating railway systems to improve freight and passenger transport, and developing airports and logistics hubs to enhance regional and international connectivity.

Furthermore, investments in bulk water supply and wastewater treatment facilities will be essential for urban resilience and sustainable development.

By leveraging PPPs, the agency aims to foster sustainable partnerships that drive infrastructure development, enhance public service delivery, and improve Zimbabwe’s global competitiveness as an investment destination.

Zimbabwe Independent

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Going beyond limits at Expo 2025 Osaka https://zidatradbox.com/going-beyond-limits-at-expo-2025-osaka/ Thu, 13 Mar 2025 13:37:27 +0000 https://zidatradbox.com/?p=996988

Going beyond limits at Expo 2025 Osaka

Zimbabwe’s Commissioner General to Expo 2025 Osaka, Mr Allan Majuru

Next month , the world will converge on Osaka, Japan, for Expo 2025, a prestigious international event that showcases innovation, culture, and technological advancements from around the globe.

Zimbabwe, with its rich cultural heritage, diverse emerging economy, and resilient people, is poised to make a significant impact at this esteemed gathering.

Its participation at Expo 2025 Osaka is expected to yield immensely beneficial outcomes that will have a positive impact on the country’s economy. The Expo will provide a platform for Zimbabwe to increase its international trade, tourism inflows and revenue, showcase its investment opportunities, and enhance its brand visibility.

Expected outcomes from Zimbabwe’s participation at Expo 2025 Osaka include; 15 percent increase in tourist arrivals, 10 percent increase in trade deals annually, 10 percent increase in registered investment deals annually and an improved Brand Zimbabwe

This article explores the benefits of Zimbabwe’s participation at Expo 2025 Osaka and why it presents a unique opportunity for the country to reclaim its position on the global stage. It also makes a case on why the whole nation should rally behind the team led by the Commissioner General, Allan Majuru, under the guidance of the Ministry of Foreign Affairs and International Trade.

Unlocking New Markets and Investment Opportunities

Participating at Expo 2025 Osaka offers Zimbabwe a platform to showcase its economic potential, attract foreign investment, and tap into new markets. The expo provides an ideal setting for local businesses to connect with potential investors, partners, and customers from around the world. By highlighting its competitive advantages, such as its rich natural resources, skilled workforce, and strategic location, Zimbabwe can attract significant foreign investment, creating jobs and stimulating economic growth.

Moreover, the expo presents an opportunity for Zimbabwe to diversify its economy by promoting its non-traditional exports, such as horticultural products, crafts, and tourism services. By showcasing its unique products and services, Zimbabwe can increase its export earnings, reduce its dependence on traditional exports, and enhance its economic resilience.

Expo 2025 Osaka will provide Zimbabwe with a unique opportunity to promote its investment opportunities to a global audience. Expos have consistently proven to be effective platforms for attracting investments, as they offer a chance for countries to showcase their economic potential, business-friendly environment, and competitive advantages.

For instance, the UAE’s participation in Expo 2015 Milan led to a significant increase in foreign investment, with the country attracting over $10 billion in investments in the year following the Expo.

Similarly, Singapore’s participation in Expo 2010 Shanghai helped to promote its investment opportunities, resulting in a 20 percent increase in foreign direct investment (FDI) in the following year. The expo provided a platform for Singapore to showcase its business-friendly environment, highly skilled workforce, and innovative economy, attracting the attention of investors from around the world. In fact, a study by the International Expositions Bureau found that 70% of countries that participated in Expos reported an increase in FDI in the following year.

Zimbabwe can learn from these examples and use Expo 2025 Osaka as a platform to promote its investment opportunities. By showcasing its economic potential, business-friendly environment, and competitive advantages, it can attract the attention of investors from around the world.

The expo will provide a unique opportunity for Zimbabwe to promote its investment opportunities in areas such as agriculture, mining, tourism, and infrastructure development.

With a well-designed pavilion and a clear investment promotion strategy, Zimbabwe can use the expo to attract significant investments and promote economic growth and development.

It presents a unique opportunity for the country to enhance its international trade. By showcasing its products and services, including its agricultural products, minerals, and tourism industry, Zimbabwe can increase its exports, attract foreign investment, and expand its market share.

Cultural Exchange and Promotion of Tourism

Taking part at expos can have a profound impact on a country’s tourism sector. By showcasing its unique cultural heritage, natural beauty, and tourist attractions, a country can increase awareness and interest in its tourism offerings, leading to an increase in tourist arrivals and revenue.

For example, after participating in Expo 2015 Milan, the UAE saw a significant increase in tourist arrivals, with over 14.9 million tourists visiting the country in 2015, a 7,5 percent increase from the previous year. Similarly, Singapore’s participation at Expo 2010 Shanghai helped to promote its tourism sector, resulting in a 20% increase in tourist arrivals in the following year.

The exposure gained from participating in an Expo can also lead to increased tourism investment, as investors become aware of the country’s tourism potential.

After participating in Expo 2012 Yeosu, South Korea saw a significant increase in tourism investment, with several major hotel chains and tourism developers investing in the country. This investment helped to improve the country’s tourism infrastructure, making it more attractive to visitors. As a result, South Korea saw a 13,4 percent increase in tourist arrivals in 2012, with over 11 million tourists visiting the country.

Zimbabwe’s participation at Expo 2025 Osaka presents a unique opportunity for the country to promote its tourism sector and attract more visitors. With its rich cultural heritage, stunning natural beauty, and world-class attractions, such as Victoria Falls and Hwange National Park, Zimbabwe has the potential to become a major tourism destination.

Through showcasing its tourism offerings at the expo, Zimbabwe can increase awareness and interest in its tourism sector, leading to an increase in tourist arrivals and revenue. With careful planning and execution, participation can help to leapfrog its tourism sector, creating jobs, stimulating economic growth, and improving the country’s global reputation.

Soft power and nation branding

Expo 2025 Osaka presents a unique opportunity for Zimbabwe to enhance its international relations and diplomacy, soft power, and international branding. The country can showcase its cultural heritage, economic potential, and innovative spirit, thereby promoting a positive image of the country to a global audience. This can help to improve international reputation, foster goodwill, and strengthen diplomatic ties with other countries.

Empirical evidence suggests that participating in international Expos can have a significant impact on a country’s soft power and international branding.

A study by the University of Oxford found that countries that participate in Expos tend to have higher levels of soft power than those that do not. The study cited the example of South Korea, which participated in Expo 2012 Yeosu and saw a significant increase in its soft power index ranking.

Similarly, the UAE’s participation in Expo 2015 Milan helped to promote its soft power and international branding, with the country’s Expo pavilion attracting over 3 million visitors.

Visualising the Pavilion

With careful planning, coordination, and investment, Zimbabwe can overcome challenges that come with exhibiting at international Expos and reap the benefits of participating at Expo 2025 Osaka.

Let us now do a virtual walkthrough of the Pavilion so that the Zimbabwean people can visualize what is going to be done on their behalf and how they will be represented by their team.

Zimbabwe’s pavilion at Expo 2025 Osaka promises to be a mesmerizing experience, offering a small-scale version of the nation that conveys its cultural richness, economic potential, and resilience. Shaped by insights gained from Provincial Engagements, this pavilion will deliver a genuine and authentic presentation that showcases the country’s unique character.

As visitors step inside, they’ll be immersed in exhibits that highlight Zimbabwe’s fascinating history, abundant natural resources, breath-taking tourism attractions, and innovative economic initiatives.

The country’s stunning natural beauty will take centre stage, with showcases of Victoria Falls, Hwange National Park, Nyanga Mountains, and Great Zimbabwe monuments.These exhibits will not only demonstrate Zimbabwe’s rich biodiversity but also its commitment to sustainable tourism. Emphasis will be put on the country’s unique natural attractions, cultural heritage, and unforgettable travel experiences.

The pavilion will also spotlight the country’s key economic sectors, including agriculture, education, health, and mining. This comprehensive look at Zimbabwe’s economic strengths will provide visitors with a deeper understanding of the country’s investment opportunities and trade potential. In line with the expo’s theme, the pavilion will emphasize opportunities for collaboration and growth in fields contributing to sustainable development, leveraging Zimbabwe’s unique resources and strategic position in the region.

Trade will be a crucial pillar of Zimbabwe’s pavilion, with a showcase of key export sectors ready for international partnerships. Visitors will discover the country’s range of value-added products, minerals, tobacco, cotton, and horticultural products, and have the opportunity to establish long-term trade deals. Through direct contact with potential partners, the pavilion will serve as a gateway for discussions on boosting exports and exploring new markets.

Zimbabwe’s participation at Expo 2025 Osaka is a strategic investment that will yield significant returns for the country. The money spent on participating at the Expo will be money well spent, as Zimbabwe will benefit from increased investment, increased tourism, enhanced nation branding and soft power, as well as increased trade.

This is not the first expo Zimbabwe is participating in since the advent of the Second Republic. Not so long ago, the country took part in the Expo 2020 Dubai. So, lessons have to be learnt through reflections, and what was yielded at that international Expo. Zimbabwe’s participation at the 2020 Expo Dubai was a strategic investment that yielded significant returns for the country.

The Expo provided a platform for Zimbabwean businesses to connect with potential investors, partners, and customers from around the world, resulting in several business deals and partnerships. Furthermore, the exposure gained from the Expo has helped to improve Zimbabwe’s global reputation, increasing its visibility and attractiveness to foreign investors and tourists.

The success of Zimbabwe’s participation at the 2020 Expo Dubai provides valuable lessons for its upcoming participation at Expo 2025 Osaka. By building on the experience and momentum gained from Dubai, Zimbabwe can further enhance its global reputation, attract more foreign investment, and increase tourism arrivals. Expo 2025 Osaka presents an opportunity for Zimbabwe to showcase its progress, innovations, and investment opportunities to a new and diverse audience.

With careful planning, effective branding, and strategic engagement, Zimbabwe’s participation can yield even greater returns making it a worthwhile investment.

The Herald

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Zimbabwe’s Manhize steel plant hits key milestone https://zidatradbox.com/manhize-steel-plant-nears-completion-2/ Sun, 23 Feb 2025 09:51:56 +0000 https://zidatradbox.com/?p=996955

Zimbabwe's Manhize steel plant hits key milestone

 

The US$1.5 billion Manhize Steel Plant, located in the Midlands province, has officially commenced the production of reinforced steel bars (rebars), marking a significant milestone in Zimbabwe’s industrial development and its efforts to align with Vision 2030.

This new phase of production is set to play a crucial role in supporting the country’s infrastructure development, reducing imports, and boosting the construction industry, all of which contribute to Zimbabwe’s long-term economic growth.

The Manhize Steel Plant, part of the Tsingshan Group of China’s extensive investment in Zimbabwe, is one of the country’s largest mining projects. Tsingshan Group is already deeply involved in other major projects such as Afrochine Smelting in Selous, Mashonaland West, which specializes in chrome smelting, and Dinson Colliery in Hwange, Matabeleland North, which focuses on coke production. All of these interconnected projects support steel production by supplying essential materials such as ferrochrome and coke.

The plant’s move to produce rebars is seen as a crucial step towards diversifying its product range, with plans to eventually produce other items including pipes, bolts and nuts, smaller slags, rolled tubes, fences, shafts, and wires. The current target for steel production in the first phase of the plant’s operations is 600,000 tonnes of steel products annually.

In an interview, Mr. Wilfred Motsi, Project Director for Disco, confirmed the start of rebar production, stating, “That is true, we have started production, and most of the products will be for the local market. The surplus will be exported to improve export revenue generation and balance of payments.”

This development has been warmly welcomed by industry leaders, particularly in the construction sector. Dr. Tinashe Manzungu, President of the Zimbabwe Building Contractors Association, called the production of rebars at Manhize a welcome addition. “We are working to close the infrastructure gap as contractors, and this requires huge capital outlay. Manufacturing such products locally will cut costs significantly, making the final products more affordable,” he said.

Dr. Manzungu further emphasized that this development will also help drive the capacity utilization of industries, addressing the chronic shortage of foreign currency for importing raw materials. “There has been an acute shortage of foreign currency to import raw materials, such as what Disco Manhize is now producing,” he explained.

Mr. Dosman Mangisi, Chief Operations Officer of the Zimbabwe Institute of Foundries, also praised the move, saying, “The manufacture of rebars will give a major boost to the construction industry, which has been facing challenges due to reliance on imported materials.”

As Zimbabwe moves closer to achieving its Vision 2030 goals, the success of the Manhize Steel Plant in producing steel products locally represents a crucial step towards economic self-sufficiency, job creation, and industrialization.

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Caledonia to invest an additional US$42M to expand Zimbabwe mining operations this year https://zidatradbox.com/canada-based-companies-explore-opportunities-in-zimbabwe-2/ Tue, 04 Feb 2025 06:25:33 +0000 https://zidatradbox.com/?p=996942

Caledonia to invest an additional US$42M to expand Zimbabwe mining operations this year

Caledonia Mining is investing an additional US$41.8 million into its operations this year, after Blanket Mine met its production targets for 2024.

Blanket Mine produced 76,656 ounces of gold in 2024, within projections, and just above the 75,416 ounces produced in 2023. For 2025, Caledonia expects to produce between 73,500-77,500 ounces.

The company had a strong finish to the year. In the fourth quarter, Blanket milled a record 797,000 tonnes, with 89,727 tonnes hoisted in December, exceeding milling capacity.

Going forward, Caledonia plans to increase capital expenditure to expand mining operations. Of the budgeted US$41.8 million capex for 2025, Blanket Mine will get $34.9 million. The company will also spend US$5.8 million on Bilboes and Motapa projects, two of the projects it has acquired in recent years as part of a strategy to grow its portfolio beyond Blanket Mine.

“These investments aim to modernise operations and improve mining efficiency at Blanket. While there will be short-term cost pressures, the long-term goal is to reduce costs, improve profitability, and ensure the continued success of Blanket,” Caledonia says. The capital expenditure will be funded from cash generation.

Over the past seven years, our investment in Blanket has nearly doubled production and has substantially increased the resource base following which Blanket’s mine life now extends to 2034 based on reserves,” CEO Mark Learmonth says.

In 2023, Caledonia spent US$65.7 million to buy Bilboes, potentially one of the country’s biggest gold assets. This year, the company will use part of its capex to complete a feasibility study at Bilboes. Recently, Caledonia announced an agreement that allows it to sell up to US$50 million worth of shares to US investor Cantor Fitzgerald & Co to raise money to develop Bilboes.

newZWire

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Zimbabwe’s Investment Performance in Q4 2024: Key Insights for Global Investors https://zidatradbox.com/canada-based-companies-explore-opportunities-in-zimbabwe/ Tue, 04 Feb 2025 06:22:38 +0000 https://zidatradbox.com/?p=996935

The Zimbabwe Investment and Development Agency (ZIDA) has released its Quarter Four (Q4) report for 2024, offering a detailed overview of the nation’s investment dynamics. 

As Zimbabwe strives to establish itself as a competitive destination for foreign and local investment, the report provides a comprehensive examination of the country’s progress, including legislative reforms, sectoral performance, digital transformation, and regional investment trends. This analysis offers a deep dive into the achievements and challenges outlined in the report, contextualising Zimbabwe’s economic ambitions and policy initiatives for a global audience.

A critical development from Q4 2024 was the finalisation of Public-Private Partnership (PPP) Guidelines. These guidelines, approved by the PPP Committee, establish a structured framework for collaboration between the government and private sector entities, focusing on infrastructure development in sectors such as transport, energy, and housing. This framework is designed to provide clarity, transparency, and accountability, which are crucial for attracting private capital to high-impact national projects. With plans to present the guidelines to the Cabinet for final approval in early 2025, Zimbabwe is positioning itself to close its infrastructure funding gap and accelerate economic growth.

The importance of these guidelines cannot be overstated. Infrastructure has long been a bottleneck for economic development in Zimbabwe. Whether it is roads, power generation, or urban housing, the gap between demand and capacity remains significant. By formalising PPPs, Zimbabwe is not only diversifying its financing models but also showcasing its commitment to fostering partnerships that align with international best practices. However, the success of these initiatives will depend on the government’s ability to build trust among investors. Ensuring consistent policy application and addressing historical concerns around governance and bureaucracy will be pivotal.

ZIDA’s digital transformation agenda is another highlight of the Q4 report. The agency’s “Do It Yourself” Licensing Portal has proven to be a game-changer, with 98.1% of licence applications initiated and processed online during the quarter. This shift towards digitalisation has significantly reduced processing times, with most applications being completed in less than five days. Such efficiency aligns Zimbabwe with global trends in investment facilitation, where speed, transparency, and ease of doing business are paramount.

While the portal represents a major leap forward, its impact must be contextualised within the broader digital infrastructure landscape in Zimbabwe. Internet penetration and connectivity in rural and underserved areas remain challenges, potentially excluding certain stakeholders from reaping the benefits of this transformation. For digitalisation to be truly impactful, it must be accompanied by efforts to bridge the digital divide. Ensuring that investors across all regions can access and utilise this platform will be crucial for sustaining momentum.

The report’s analysis of sectoral investment performance offers valuable insights into the diversification of Zimbabwe’s economy. Mining remained the most active sector by volume, attracting the highest number of licences issued. Zimbabwe’s rich mineral reserves, including gold, platinum, and lithium, continue to make it an attractive destination for resource-based investments. However, in terms of financial commitment, the real estate sector dominated, accounting for 43.6% of total projected investment. This was followed by the energy sector, which contributed 22.76% of total investment value.

The surge in real estate investment reflects growing demand for urban infrastructure and commercial developments, underpinned by Zimbabwe’s urbanisation trends and the government’s focus on modernising key cities. Similarly, the energy sector’s performance signals increased interest in renewable energy and power generation projects, which are vital for addressing the country’s persistent energy shortages. Investments in these sectors are not only critical for improving the quality of life but also for enabling industrial growth and export competitiveness.

Geographically, the report reveals a nuanced distribution of investment activity across Zimbabwe’s provinces. Harare, the capital, led in terms of the number of licences issued, with 84 licences accounting for a projected investment value of over US$542 million. However, Mashonaland Central emerged as a surprise leader in terms of financial commitment, attracting US$2.1 billion in investment. This regional diversity is a promising indicator of Zimbabwe’s efforts to decentralise economic opportunities. Provinces such as Matabeleland North and South also recorded notable investment activity, albeit with fewer licences.

The regional distribution of investments highlights a critical question: how prepared are these provinces to absorb and maximise the potential of incoming investments? While decentralisation is a welcome trend, it must be matched by capacity-building initiatives at the local level. Strengthening infrastructure, administrative frameworks, and workforce skills in less-developed regions will be essential for ensuring that these investments translate into tangible economic and social benefits.

To provide expert insight into Zimbabwe’s progress, Dr. James Moore, a specialist in emerging markets at the London School of Economics, commented: “ZIDA’s Q4 2024 report highlights some promising trends, particularly in its emphasis on sectoral diversification and digital innovation. However, the significant drop in committed investment value compared to the previous year points to underlying structural issues. Addressing these concerns will require consistency in policy implementation and targeted efforts to attract large-scale, high-value investments. Zimbabwe’s strength lies in its resource base and its potential for regional integration—leveraging these assets while maintaining governance and transparency will be critical.”

Another standout initiative from the report is the development of the Single Window for Investor Entry and Establishment (SWIEE). This online platform consolidates all government services for investors into a single access point, simplifying administrative procedures and addressing long-standing bottlenecks. This initiative is particularly significant given feedback from an Investor Sentiment Analysis Survey, which identified cumbersome processes as a key deterrent for potential investors.

SWIEE represents more than a technical upgrade; it is a statement of intent by the Zimbabwean government to prioritise ease of doing business. For international investors, predictability and efficiency are critical. If implemented successfully, this platform has the potential to transform Zimbabwe’s investment climate, making it more competitive on the global stage. However, the effectiveness of SWIEE will ultimately depend on its user experience and the government’s ability to maintain transparency and accountability.

In conclusion, the ZIDA Q4 2024 report provides a balanced and detailed account of Zimbabwe’s investment landscape. It highlights critical achievements, including the finalisation of PPP guidelines, digitalisation milestones, and sectoral diversification, while also addressing areas that require further attention. For Zimbabwe to achieve its long-term economic goals, sustained reforms, regional capacity-building, and a commitment to inclusive growth will be essential. By building on the foundations outlined in this report, Zimbabwe has the potential to emerge as a dynamic and sustainable investment destination.

Southern African Times

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Canada-based companies explore opportunities in Zimbabwe https://zidatradbox.com/canadian-based-companies-explore-zim/ Mon, 25 Nov 2024 06:28:51 +0000 https://zidatradbox.com/?p=996731

Canada-based companies explore opportunities in Zimbabwe

CANADIAN companies are keen on investing in Zimbabwe in response to the Second Republic’s policy to attract investments from across the world. 

The third Canada-Africa Business Conference currently underway in Zimbabwe has seen several Canadian companies in various fields such as finance, mining, agriculture, energy, retail, and distribution, showing interest in setting up projects in the country.  

“Our presence is in response to the Government of Zimbabwe’s policies on engagement and re-engagement and we see more opportunities coming up in a move that will spell opportunities for us as prospective investors,” Polaris Natural Resource Development CEO,  Mr Bill Mooney.         

“The opportunities are there and the fact that the third conference is being held in Zimbabwe is a true testimony of Canada’s commitment to working with the Zimbabwean Government, going forward the scope of business is there in the country,” noted Antrim Masharik, managing director, Mr Adam Camenzuli.

Canada’s Ambassador to Zimbabwe, His Excellency Adler Aristilde revealed commitment to investing in Zimbabwe.

“Canada’s relations with Zimbabwe rest on a solid friendship, a growing partnership and ongoing collaboration dating back over four decades. Since then, we have sought to strengthen ties between our governments, between our peoples, and between our respective private sector businesses, bilateral relations are self-reinforcing,” he said.

Zimbabwean authorities outlined the importance of Canada as a strategic partner. 

“This is the right time to strike a cordial relationship with the respective investors from Canada remember they have come on their own and they are sponsoring the entire event, a clear testimony that they want to seriously set up projects here,” said Zimbabwe Investment and Development Agency CEO, Mr Tafadzwa Chinamo.

The third Canada Africa Business Conference has also created a platform for Zimbabwe to explore ways of increasing bilateral trade ties with Canada.

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Investor’s Notice: License Renewal Procedure and Grace Period Extension https://zidatradbox.com/investors-notice-license-renewal-procedure-and-grace-period-2/ Mon, 25 Nov 2024 06:21:10 +0000 https://zidatradbox.com/?p=996724

Investor’s Notice: License Renewal Procedure and Grace Period Extension

The Zimbabwe Investment and Development Agency wishes to advise its valued investors, that according to our regulations, all renewal applications are supposed to be submitted at least 3 months before the expiry date of such licence according to section 10 (1) of the General Investments Regulations, of SI 227 0f 2023. 

An investor is given a grace period of 3 months after the licence expiry to apply for renewal of such Licence at the cost of US$3,000.

All applications submitted post 3 months of the expiry date, will be treated as new applications in that they will pay a fee of US$5,000 according to Section 10 (3) of the regulations.

In light of the above, the Agency is extending a grace period up to 31 July 2024 for all investors with licences that are above the 3 month post expiry date category to submit their Investment Licence applications at a fee of US$3,000. Thereafter all late licence renewal applications that will be submitted from 1 August 2024 will be at a fee of US$5,000 as per the regulations.

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ZIDA Crafts PPP Guideline https://zidatradbox.com/ppp-guideline/ Mon, 25 Nov 2024 06:17:28 +0000 https://zidatradbox.com/?p=996719

ZIDA Crafts PPP Guideline

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THE Zimbabwe Investment and Development Agency (Zida) is crafting a comprehensive public-private partnership (PPP) guideline aimed at ensuring the government stays focused on national priorities, business digest can report.

This move, according to ZIDA, is expected to streamline PPP processes and procedures, providing a clear framework for investors and stakeholders alike.

“It is expected that once they are approved and adopted, they will ensure that the government, through the contracting authorities, remains focused on pursuing national priorities for infrastructure development,” the agency said in emailed responses to businessdigest.

“The guidelines will improve the project identification of PPP projects, clarify the roles and obligations of stakeholders, and ultimately lead to a focus on solicited projects.”

The organisation also revealed that from November 2023 to date, it had received 26 proposals, of which seven were solicited bids and 19 were unsolicited, spread across different sectors.

Unsolicited projects are projects identified by counterparty and brought to the contracting authority for consideration.

These projects are not part of the project list or pipeline included in the short to medium-term plans for implementation by the contracting authority.

Once received, the contracting authority must assess the strategic fit and alignment with the country’s national development goals. 

“Unsolicited projects impact on a contracting authority’s strategic focus since they are not part of an approved strategy, however, if well-considered and assessed they can still contribute to national development,” ZIDA said.

ZIDA also said it had undertaken project preparation and development capacity building workshops for government ministries, departments and agencies (MDAs) as contracting authorities.

These workshops are meant to equip the MDAs in project identification and appraisal, and develop their project pipeline that they can focus on.

“Secondly, ZIDA is in the process of developing PPP guidelines that will assist in ensuring that as a country, we will remain focused on pursuing national priorities in infrastructure development,” it said.

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