The Zimbabwe Investment Development Agency (ZIDA) has reported significant strides in investment facilitation and infrastructure development for the second quarter of 2024.
The agency’s Chief Executive Officer, Tafadzwa Chinamo, presented a detailed report outlining ZIDA’s commitment to driving economic growth through strategic investments and public-private partnerships (PPPs).
“As the global economic landscape continues to evolve, ZIDA remains steadfast in its mission to facilitate, attract, protect, and establish investments, and drive sustainable development across Zimbabwe. The performance of investments licensed in this quarter, as well as the introduction of new investment opportunities and policies, reflects our work to driving economic growth and fostering a conducive environment for both domestic and foreign investments,” said Chinamo.
A key highlight of the quarter, Chinamo said was the progress made in Public-Private Partnerships (PPPs) following Cabinet’s approval of a policy framework to guide private sector participation in infrastructure development marks a significant step forward.
“The past quarter, Public-Private Partnerships (PPPs) have seen substantial advancements. Cabinet approved the policy framework that will play a crucial role to guide private sector participation in infrastructure development. We believe PPPs are a key driver for economic growth and development, and this framework will provide a clear road map for implementing these projects effectively, in accordance with the applicable procedures as set out in our laws,” he said
Among the notable projects, feasibility studies for the Thuli-Moswa Dam and the Harare-Nyamapanda Road have been approved, with a combined estimated project cost exceeding US$1 billion.
The second quarter also saw an 8% increase in the issuance of licenses compared to the first quarter, a positive development attributed to the use of ZIDA’s online DIY Licensing Portal.
However, the agency reported a decline in timely license renewals during the same period. As of June 30, 2024, only 29% of the projects licensed in 2022 are operational.
In response, ZIDA will implement a new Monitoring and Evaluation (M&E) framework through its Customer Relationship Management (CRM) system starting July 1, 2024. This initiative aims to improve the turnaround time for project implementation, aligning it with international best practices.
“A decline in timely license renewals was noted in the same period. As at 30 June 2024, 29% of the projects licensed in 2022 are operational. This performance leaves much to be desired and with effect from 1 July 2024, the recently developed M&E framework through our CRM system shall be in use to close this gap and ascertain that the turnaround time falls into a more desirable range as per international best practices,” Chinamo explained.
ZIDA also highlighted significant legislative and regulatory advancements, including the introduction of the ZIDA Investor Grievance Response Mechanism and the development of an Investor Handbook.
These initiatives aim to simplify the investment process and provide a structured approach to addressing investor concerns, further enhancing the investment climate.
“Our legislative and regulatory advancements, including the introduction of the ZIDA Investor Grievance Response Mechanism and the development of an Investor Handbook, are pivotal in enhancing the investment climate. These initiatives aim to simplify the investment process and provide a structured approach to addressing investor concerns,” Chinamo said.
In terms of capacity building, the agency reported progress in training and development.
“The previous quarter saw an enhancement in a number of capacity building for the Gems alongside other Ministries Departments and Agencies on enhancement of PPP structuring and management, and Investment Promotion training for the 10 Provinces executives,” he said.
Furthermore, Chinamo said with assistance from the International Finance Corporation, ZIDA rolled out the Investment Sentiment Analysis (ISA).
This research, he said aims to identify key factors shaping investor sentiment, guiding the agency’s strategy on improving the Ease of Doing Business, attracting new investors, and retaining existing ones.
“During the quarter, the Agency with the assistance of the International Finance Corporation rolled out the Investment Sentiment Analysis (ISA), research to identify key factors that shape investor sentiment positively or negatively, in a bid to guide the Agency’s strategy on Ease of Doing Business, attracting new investors and retention of existing investors,” Chinamo said.
