Zimbabwe starts compensation for BIPPA-protected investors

The Government of Zimbabwe has started compensating investors protected under Bilateral Investment Protection and Promotion Agreements (BIPPAs) whose properties were affected by the 2000 Land Reform Programme.

The disbursement of US$20 million, allocated in the 2024 National Budget, marks a significant step in Zimbabwe’s arrears clearance and debt resolution efforts.

The Minister of Finance, Economic Development, and Investment Promotion, Professor Mthuli Ncube (pictured), reaffirmed the government’s commitment to honoring these agreements to build investor confidence and comply with constitutional obligations.

The payments began in January 2025 and are transferred to claimants’ bank accounts.

Eligible claimants include investors from Denmark, Germany, the Netherlands, Switzerland, and the former Yugoslavia, with 94 farms and 56 farmers approved for compensation, amounting to US$145.9 million.

The government plans to settle the outstanding balance of US$125.9 million through annual budget allocations from 2025 to 2028.

The initiative aligns with Zimbabwe’s National Development Strategy and broader efforts to re-engage the international community while ensuring economic stability.

The compensation process is overseen by a sector working group co-chaired by the Office of the President, the UNDP, and representatives from Switzerland.

President Emmerson Mnangagwa has reiterated his administration’s commitment to these economic reforms, signaling a new chapter in Zimbabwe’s investment and governance strategies.

NewZwire