Zimbabwe Investment and Development Agency (ZIDA) has signed an agreement with the association of cannabis investors.
ZIDA is the country’s sole investment promotion agency.
Out of this deal, it was disclosed that investors can now own 100 percent, have 100 percent, forex retention for 2 years for unprocessed exports; 4 years for processed exports.
ZIDA says the just inked deal is also aimed at protecting investors from expropriation, law changes.
Last year, Zimbabwe announced the rules for growing cannabis, as the country seeks to boost foreign currency income and benefit from the rapidly growing industry.
According to regulations published in a government gazette, three types of permits can be issued for growers, researchers and industrial hemp merchants.
Growers are only allowed to cultivate, market and sell industrial hemp and researchers may cultivate for research purposes. A merchant can contract individual farmers, procure and process industrial hemp into a specified product.
Before this new rule people found growing cannabis in Zimbabwe were liable to a jail term of up to 12-years.
Meanwhile, the agency recently launched an investor confidence survey to capture the views of investors on Zimbabwe’s policy and regulatory framework to attract foreign direct investment.
World Bank’s private sector arm, the International Finance Corporation (IFC) pledged to offer technical assistance to help ZIDA administer the survey.
Commenting on the move recently, ZIDA Chief Executive Officer, Douglas Munetsi said the survey will help Zimbabwe’s efforts to change investment narrative, as a good destination.