Zimbabwe attracts US$25 million worth of new investments in January: ZIA

Zimbabwe attracts US$25 million worth of new investments in January: ZIA
ZIA Boss

Zimbabwe Investment Authority chief executive officer Richard Mubaiwa

ZIMBABWE Investment Authority chief executive officer Richard Mubaiwa has said that the quality of investment proposals has significantly improved with 13 projects valued at US$25 million having been approved by end of January.

Mubaiwa said he was optimistic that the Rapid Results Initiative, being supervised by the Office of the President and Cabinet and is in its second 100 day period ending in May, would help improve Zimbabwe’s ranking since it seeks to reform the doing business conditions in the country

“The first 100 day period of this national project that started in September 2015 registered significant progress and we are now in the second 100 day period ending in May, which we hope will bring positive results that will shift Zimbabwe’s position to at least top 100. We are also hopeful that 2016 will be a good year in terms of investments as we have been experiencing an upward trend in terms of value of investment (proposals)’, he said.

The trend in investment proposals saw ZIA approving 170 projects in 2015 valued at $3.16 billion compared to 157 projects valued at $1.142 billion for the same period in 2014.

“The level of confidence of investors is improving as shown by the bigger value project proposals that are coming into the country. We used to get more investors who used to invest in smaller projects,” the ZIA CEO said. The proposals are mainly into manufacturing and mining.

Statistics from the investment authority show that there has been a significant increase in interest in the manufacturing sector with 63 projects valued at $1.963 billion having been approved in 2015 from 55 projects worth $650,175 million in the same period the previous year.

But there was a drop in interest in the mining sector with 37 projects valued at $484 million approved in 2015 compared to 47 projects with a total value of $159 million in 2014.

There is evidence of huge improvement in the number of project proposals in the services sector last year with 48 projects being approved compared to 39 projects the prior year

However, statistics showed that last year services sector registered marked drop in value terms, with $230 million worth of project proposals compared to $286 million in 2014.

The figures also show a drop in interest in the tourism sector where two projects valued at $539 thousand were approved compared to four projects valued at $3.3 million in 2014.

In agriculture, a total of seven projects valued at $12,7 million were approved from four projects worth $10 million in 2014.

Construction saw six projects valued at $30 million approved in 2014 from eight projects worth $71,6 million in 2015.

The transport sector continues to attract the least number of proposals with two projects valued $2 million approved in 2014 while three projects valued at $2,6 million in 2015. FinX

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