- $1.7bn mining licenses issued.
- $6.94bn proposal under review.
- Harare leads with 79 licenses.
- Varied investments: Harare $1.054bn, Masvingo $1.735bn, Manicaland $1.440bn
Harare- ZIDA, the Zimbabwe Investment and Development Agency, recently released its highly anticipated Q4 2023 report, providing valuable insights into the investment landscape in Zimbabwe. The report highlights the dominant role of the mining industry, which accounted for the majority of investments during the quarter.
A staggering 63 mining licenses were issued, totalling an impressive US$1.7 billion in investment value. However, what truly caught the attention of industry experts was a proposal that ZIDA received for minerals trading and mining development. This ambitious project is projected to have a staggering investment value of US$6.940 billion, making it a potentially game-changing endeavour. Currently, the proposal is under careful review, but its potential impact on the sector cannot be overlooked.
Interestingly, the province of Harare boasted the highest number of new licenses, with a remarkable 79 issued. In contrast, Matabeleland South received the fewest, with only three licenses granted. Surprisingly, despite having the most licenses, Harare's projected investment value stands at US$1.054 billion. In comparison, provinces such as Masvingo and Manicaland, with eight and three licenses respectively, have higher projected investment values at US$1.735 billion and US$1.440 billion. In total, the number of licenses issued during the quarter amounts to 148, with a combined projected investment value of US$4.4 billion.
During this period, 81 licenses were renewed, indicating a sustained interest in the Zimbabwean investment landscape. The report also sheds light on the countries contributing the most significant investment values. South Africa leads the pack with an impressive US$1.712 billion, closely followed by Botswana at US$1.411 billion. When considering investment licenses issued by the country of origin, China takes the top spot with 81 new licenses, while India and Zimbabwe tie at seven licenses each. Surprisingly, even though South Africa only received seven licenses, it still managed to secure a significant investment value.
Despite a slight decline in the number of licenses issued compared to the previous quarter, ZIDA reported a remarkable 232.85% quarter-on-quarter growth in projected investment value. A staggering 76% of this growth can be attributed to the mining sector alone, underscoring its crucial role in driving economic development in Zimbabwe.
Furthermore, ZIDA has made notable strides in enhancing its services and boosting investor activity. The agency reported increased inquiries and follow-ups through its Mining Matchmaking Platform, prompting them to launch the second phase of this initiative. Additionally, ZIDA unveiled the Tourism Matchmaking Platform during the Sanganai Hlanganani Tourism Expo. This digital platform aims to connect local and international tourism promoters with potential investors, creating exciting opportunities within the sector.
In conclusion, ZIDA's Q4 2023 report offers a comprehensive overview of the investment landscape in Zimbabwe. The mining industry continues to play a pivotal role, attracting substantial investments and driving economic growth. With the agency's efforts to enhance matchmaking platforms and diversify investment opportunities, Zimbabwe has the potential to become a highly sought-after investment destination in the region.
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