Investors show interest in Zim’s offshore investment hub

THE Victoria Falls Offshore Investment Centre has seen a significant surge in investor interest, Finance, Economic Development and Investment Promotion Minister Prof Mthuli Ncube has said.

During engagements with investors at the World Economic Forum (WEF) in Davos, Switzerland last week, Minister Ncube, who led the Zimbabwean delegation, met several investors who expressed strong interest in the centre once the initiative is fully launched.

The Victoria Falls Offshore Investment Centre is an initiative by the Government to establish a financial hub in the Victoria Falls Special Economic Zone.

The centre aims to attract foreign investment, promote regional financial development and serve as a platform for cross-border financial transactions, capital raising and investment facilitation.

It will offer a range of incentives and benefits to foreign investors, including tax breaks and simplified regulatory procedures.

While the centre is still in its early stages of development, it has the potential to become a significant player in the regional financial landscape.

Minister Ncube said investors pledged to actively promote the centre within their respective jurisdictions to enhance its global appeal.

“Worth noting was the interest on the Victoria Falls Offshore Investment Centre,” said Minister Ncube.

“We have met investors who have shown huge interest in placing their funds on the centre and promised to market it in their jurisdictions.”

The financial centre will operate as a hard currency zone, denominated in US dollars, and offer attractive tax incentives.

Government has allocated land to entice global banks to establish a presence in the country. The Victoria Falls Exchange (VFEX), which officially launched in October 2020, will be integrated within the financial centre.

The bourse has witnessed a surge in listings, driven by factors such as US dollar trading, tax exemptions on capital gains and the ability to repatriate funds freely in a country where foreign exchange can be scarce.

The Zimbabwean delegation also met potential investors across various sectors, who expressed keen interest in exploring opportunities within Zimbabwe.

“We have invited them to visit the country for them to have first hand information and for further discussions,” said Minister Ncube. “We also took the opportunity to emphasise our policy of value addition, that is, we now want our minerals to be beneficiated locally before export.”

Drawing parallels from the US stance on deregulation to lure investment, Minister Ncube emphasised the critical need for Zimbabwe to expedite the improvement of its business environment to attract foreign investment.

He highlighted that there was fierce global competition for capital, and it will naturally flow towards countries with the most favourable conditions.

“This is very important for Zimbabwe as a country to expedite implementation of the doing business environment to attract foreign investment,” said Minister Ncube.

Minister Ncube also had the opportunity to discuss with the South African Finance Minister Enoch Godongwana regarding the G20, as South Africa assumes the presidency this year.

“We discussed what it means for Africa and Zimbabwe,” said Minister Ncube.

The minister also met with the South African Minister of Electricity Kgosientsho Ramokgopa to discuss energy issues and the pursuit of energy self-sufficiency, acknowledging the shared challenge of energy deficits faced by both countries.

Furthermore, he met with Professor Benedict Okey Orama, president of Afreximbank, to explore potential funding opportunities.

Minister Prof Mthuli Ncube contributed to the debate on global conversations on difficult issues facing the world such as how to deal with climate shocks and how to industrialise through beneficiation.

He also buttressed his published articles on future energy minerals and how to mitigate the effects of climate shock.

During the WEF, the World Global Risk Report was launched which outlines various risks facing the world in the next two years.

Top risk was identified as misinformation and disinformation, especially in an era of social media. The World Economic Forum 2025 was held under the theme “Collaboration in an Intelligent World”.-herald

Leave a Reply

Your email address will not be published. Required fields are marked *

LinkedIn
LinkedIn
Share