US$3 billion deal set to boost Zim economy

Zimbabwe has signed a memorandum of understanding with One World Group, a company based in the United Arab Emirates, which will invest US$3billion in the initial phase of its activity in Zimbabwe covering sectors such as tourism, infrastructure, mining and agriculture.

Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube signed on behalf of the Zimbabwean Government. The signing follows a meeting in Harare on Thursday between President Mnangagwa and representatives from the company held to follow up on the initial meeting in Dubai recently.

The Zimbabwe is open for business mantra being spearheaded by President Mnangagwa continues to bear fruit as he interested investors two weeks ago on the sidelines of the 28th United Nations Framework Convention on Climate Change (COP28) in the UAE.

In brief remarks after the signing Minister Ncube said Government expected the group to make critical investments that would grow the economy of Zimbabwe.

“Today, we have signed the MoU between the Government of Zimbabwe and a group that is based in Abu Dhabi in UAE. We welcome this development. This group basically invests across the world, across all sectors.

“The MoU strikes a partnership with the group across the different sectors. As you know that the relations between Zimbabwe and UAE are very strong. We look forward to the group making critical investments here in Zimbabwe and, over the next few years, we will be availing various projects and they will also be scouting for various projects so that they can invest in those projects.

“They will also be able to cooperate. This is very important to Zimbabwe as you know that Zimbabwe is looking for business and it wants to attract the investment,’’ he said.

The initiative would create jobs and grow the economy with the MoU would start bearing fruit in January.

Chief Advisor to the President in Middle East Affairs Ambassador Mohamed Jasat said he was looking forward to stronger relations between the two countries with investors from UAE and the rest of the cash-rich Arabian peninsula having shown willingness to do business with Zimbabwe.

“The One World Group is efficient. The MoU which was signed is US$3 billion to start with. One of the clients is LG Corporation. This is a multi-billion-dollar company. We are going to start very quickly.

“They really showed passion to invest in the country. We are going to hit the ground running and many Zimbabwean may ask if this is real but l can assure everybody that this is going to happen very quickly.

“UAE is very close to Zimbabwe and they are very keen to invest in our country. This will make us very proud,” he said.

“LG is one of the biggest manufacturers of batteries and we encourage them to open a battery manufacturing plant here. We want to make sure that our energy sector is ready so they are willing to invest in the energy sector,” he said.

One World Impact Group chairman Mr Rabellin Tchoumi said they had identified some of the areas they were interested in.

“I want to thank you for the reception we have had in Zimbabwe. We are living with a lot of excitement on the opportunities that we are seeing in Zimbabwe. We agree that the Government should establish the framework of collaboration.

“We have identified strategic opportunities in the hospitality space, agricultural space, digitalisation and financial services and we also see potential in energy and mining.

“We have a team also coming next year to scout opportunities that we are being offered,’’ he said.

The planned investments will see five hotels being built in the country among them, the first ever seven-star hotel in Zimbabwe.

A proposal has also been tabled to fund Air Zimbabwe to boost Zimbabwe’s tourism sector.

-herald