As an Ambassador of Zimbabwe, how would you like to portray your country, opportunities for Trade and Tourism?
Zimbabwe is a beautiful and peaceful country with hard-working people and a high literacy rate. The country is rich in diversity, culture and heritage amongst other factors. Under the exemplary leadership of our President, His Excellency Cde. E. D. Mnangagwa, the people of Zimbabwe are working towards the attainment of Vision 2030. This vision reflects the collective aspirations and determination of the people of Zimbabwe, towards attaining the status of a Prosperous Upper Middle-Income Nation by 2030. Zimbabwe’s economy is well diversified making the country a reliable and competitive supplier of a wide range of minerals; agricultural products; manufactured goods; as well as value-added services. Zimbabwe has the requisite infrastructure to facilitate trade and is strategically located in Southern Africa and is well connected through efficient road, rail and air transport networks. The population is approximately +15 million people and Zimbabwe is a party to several preferential trading arrangements such as the Southern African Development Community (SADC),
Common Market for Eastern and Southern Africa (COMESA), African Continental Free Trade Area (AfCFTA), frican Caribbean Pacific – European Union Eastern and Southern Africa Economic Partnership Agreement (ACP-EU ESA EPA). Zimbabwe is a remarkable tourism destination and is home to five UNESCO world heritage sites namely:: Victoria Falls; Mana Pools National Park, Sapi and Chewore Safari Areas; Great Zimbabwe; Khami Ruins; and Matobo Hills. Notably, Victoria Falls is the greatest waterfall on earth and locals refer to it as the “Mosi-oa-tunya” meaning the smoke that thunders”.
How do you see your country’s situation and areas of Trade and Infrastructure Development?
Under Zimbabwe’s National Development Strategy 1, macroeconomic objectives for the five years 2021-2025, Zimbabwe aims to achieve an average annual real GDP growth rate of above 5%. The Domestic GDP growth rate forecast for 2022, is approximately 5.5%. Further, exports and imports for 2022, are forecasted at US$4.73 billion and US$5.9 billion respectively, presenting vast opportunities for trade in goods and services. Investment opportunities in the area of Infrastructure Development are mainly in the form of Public-Private Partnerships (PPPs). These lie in enhancing existing: Health Care Facilities; Power Generation Plants and Power Transmission and Distribution Networks; Renewable Energy Works; Gas and Petroleum Infrastructure; Transport Infrastructure; Urban Transport Systems; Water Supply, Treatment and Distribution
Systems; Solid Waste Management Works; Education Facilities; Housing Projects; and Information Communication Technology.
What prospects does Zimbabwe have in terms of investments or businesses for outsiders?
There are vast investment opportunities for foreign investors in the Mining; Pharmaceuticals; Tourism; Energy; Agribusiness; Infrastructure, ICT and the Digital Economy economic sectors. Some of the opportunities are as follows:
Tourism:
Zimbabwe presents vast investment opportunities in tourism, anchored on nature, wildlife, good climate, sound infrastructure and services. Investment opportunities for tourism include Budget to Luxury Hotels, Lodges and Safari Camps; Integrated Resorts, Golf Estates and Casinos; Medical Tourism and Amusement Parks.
Mining:
Zimbabwe has several minerals including Palladium, Rhodium, Gold, Platinum, Diamonds and Rare Earth Elements. Investors should, therefore, take advantage of the smelting and refining opportunities presented by the beneficiation of minerals such as platinum (one of the largest known platinum group metals reserves in the world), chrome, lithium, nickel, diamonds, copper and gold (2021 exports exceeded USD 1 Billion). Investments are also sought in the mining and processing of Rare Earth Elements.
Agribusiness:
The agri-business opportunities in Zimbabwe include manufacturing of irrigation equipment; Precision Agriculture, Efficient Technologies; Production of Veterinary Drugs; and Agro- processing.
Energy:
Zimbabwe has a power generation shortfall of about 1000 MW during peak periods. Opportunities in the Energy sector, therefore, include Coal; Coal Bed Methane (CBM) Gas; Base metals (nickel, copper, iron, cobalt) recovery from PGMs; Hydropower; Solar power; Biomass; Wind; Geothermal; Natural Gas; and Uranium.
Special Economic Zones
The government designated five Special Economic Zones (SEZs) namely Victoria Falls; Sunway City in Harare; Bulawayo; Beitbridge; and Fernhill in Mutare.
SEZs offer opportunities which include: Construction of Convention Centres and Hotels; Shopping Centres; Medical Tourism; Financial Services hub; Tourist Activities; Logistics; Mineral’s beneficiation; Agro-processing; Manufacturing; Power Generation; Heavy and Light Industries and Logistics. Incentives offered in the SEZs include:
- Zero-rated Corporate Income Tax for the first 5 years of operation with a corporate tax rate of 15% applying thereafter; ·
- Special Initial allowance of 50% of the cost from year one and 25% in the subsequent two years; ·
- Specialized expatriate staff will be taxed at a flat rate of 15%; ·
- Exemption from Non-residents withholding tax on fees on services that are not locally available; ·
- Exemption from Non-residents withholding tax on Royalties; ·
- Exemption from Non-residents withholding tax on Dividends; and ·
- 100% rebate on customs duty for all imported equipment, machinery and raw materials.
What will be your message for Indian businessmen seeking to invest in Zimbabwe?
Zimbabwe is open for business and welcomes investments from Indian businesspeople. There are several business and investment opportunities in various sectors of the economy as mentioned earlier. Indian business persons seeking to conduct business or invest in Zimbabwe can contact the Embassy via email: zimnewdelhi@gmail.com or come through to our offices. Zimbabwe has made reforms to enhance the business climate including the operationalization of a One-Stop Investment Shop namely Zimbabwe Investment and Development Agency (ZIDA) that handles all investment-related matters. Further, the promotion and protection of foreign investments in Zimbabwe is a priority, including fair and equitable treatment which is no less favourable than that which is accorded to investments by Zimbabweans.
There has been a trend of development of Education and Sports in Zimbabwe. Any inputs you would like to share on it so that other countries can be benefitted?
Zimbabwe has always valued human capital development. The Government constantly spends a sizable proportion of the national budget each year on the construction of educational facilities including higher and tertiary institutions of learning. The government also constantly seeks to ensure that education is affordable across the country. Regarding sports, Zimbabwe’s Ministry for Youth, Sport, Arts and Recreation puts a lot of effort and resources into ensuring athletes are well trained and facilitated to undertake their sporting activities be it at National, Regional or Global levels.
Any other area or question, you may wish to add or highlight to promote your country? Zimbabwe is making good progress on the African continent regarding covid-19 vaccination with vaccination rates of 38% and 29% of the targeted population have been inoculated with the first and second doses respectively.
Interviewed by ECCI