AGP Executive Report

Electric Truck Incentive: Zimbabwe has removed import duty on fully electric trucks weighing more than five tonnes. The change, published on 16 October, applies retrospectively from 2 March and could cut costs for freight, mining and construction operators. Business Costs: The ZNCC has proposed capping fuel taxes at US$0.40 a litre, arguing the measure would ease pressure on businesses. Policy and Investment: Kudakwashe Tagwirei’s elevation to ZANU-PF’s Politburo, followed by Vice-President Constantino Chiwenga’s pointed warning to party leaders, adds uncertainty around succession and economic policy. Currency and Debt: Zimbabweans remain wary of holding ZiG despite its gains against the US dollar in September. China says its departments and financial institutions are still discussing Zimbabwe’s debt resolution, but gave no details of progress. Tax Compliance: ZIMRA plans to widen the tax base, including by targeting 50,000 informal traders, as African tax officials meet in Zimbabwe to strengthen cross-border cooperation.

Currency Confidence: Zimbabwe is urging wider use of ZiG to reduce reliance on the US dollar, but memories of past currency losses leave many citizens reluctant to hold it. Taxes and Costs: ZIMRA is targeting 50,000 informal traders to broaden the tax base, while the ZNCC has proposed capping fuel taxes at US$0.40 to ease pressure on businesses. Energy Infrastructure: NOIC has started a multi-million-dollar second phase of its pipeline expansion as fuel demand grows from regional markets, including Zambia and the DRC. Zimbabwe has also approved a US$650 million solar project. Business Security: Econet is working with Meta to restore compromised WhatsApp accounts, amid a surge in takeovers affecting businesses and users. Growth and Exports: The IMF projects 5% economic growth in 2026; mining revenue is nearing US$10 billion for the first nine months, while exports to China rose 142.4% to US$1.44 billion.

Investment: Kudakwashe Tagwirei has been appointed Zanu PF’s secretary for economic affairs and investment promotion, days after taking the same portfolio in Cabinet. His rapid rise places a prominent businessman closer to economic policymaking as succession tensions grow. Energy: Zimbabwe has approved a US$650 million solar project after delays, a potential boost to power supply for businesses and households. Digital Security: Econet is working with Meta to restore compromised WhatsApp accounts and has set up support through short code 658; account takeovers pose risks for businesses that rely on the platform. Capital Markets: Amalgamated Brands has launched a US$20 million VFEX IPO, with proceeds earmarked for expanded food production capacity. Growth and Food Security: The IMF projects 5% economic growth in 2026, while the government is assembling a US$500 million drought buffer in cash and grain as dry conditions threaten harvests. Mining: Lithium producers’ move into sulphate processing is expected to lift mineral export revenues from 2027.

Power Supply: The Zambezi River Authority has cut Kariba’s 2027 water allocation for electricity generation to 23 billion cubic metres from 36 billion, split equally between Zimbabwe and Zambia. Below-normal rainfall forecasts and low reservoir storage add to blackout risks. Mining: Mineral export sales under MMCZ more than doubled to US$4.73 billion in the first nine months of 2026, as Zimbabwe’s raw mineral export restrictions reshape trade. MMCZ is also integrating tracking systems to curb smuggling. Lithium Investment: India’s Lohum, which began mining in Zimbabwe last month, says the project is key to diversifying its supply chain as it targets 30,000 tonnes of annual lithium refining capacity in India. Drought Planning: Finance Minister Mthuli Ncube says the 2027 budget will provide US$500 million for cash and grain reserves as El Niño threatens a maize harvest nearly 30% smaller than this year’s. Diaspora Finance: Bard Santner has secured an RBZ deposit-taking microfinance licence and plans a banking platform for Zimbabweans abroad, tapping a remittance market that brought in US$2.45 billion last year.

Food Security: Zimbabwe plans a US$500 million cash and grain reserve to cushion an El Niño drought. The government forecasts a 1.6 million-tonne maize harvest in 2027, below annual needs of about 2.2 million tonnes. Mining: Mineral revenue reportedly reached US$9.93 billion in the first nine months of 2026, nearly double last year’s level, driven by gold, lithium and platinum. Finance: The Reserve Bank has licensed Bard Santner Microfinance Bank, which plans to build a diaspora-focused service around remittances. Investment: Kudakwashe Tagwirei has been sworn in as Economic Development and Investment Promotion Minister, pledging to bring in capital as questions over his sanctions status raise concerns about investor confidence. Economic Outlook: The IMF approved Zimbabwe’s second programme review and projects 5% growth in 2026. Regional Trade: An expansion of the Beira–Feruka fuel pipeline aims to lift annual capacity by 67%, strengthening supply links for Zimbabwe and neighbouring markets.

Investment: Kudakwashe Tagwirei has been sworn in as economic development and investment promotion minister after the Finance Ministry was split. He pledged to bring capital to Zimbabwe, but his appointment has raised investor-confidence concerns; more than US$3 billion in investment licences approved this year still needs to translate into funded projects and jobs. Energy & Logistics: A new pipeline operating model is sending fuel from Beira directly to Harare, bypassing Feruka and adding flexibility to the strategic corridor. Mining: A Chinese investor plans to build a lithium sulphate plant in the Midlands, while mining power demand is forecast to reach 1,500MW—putting pressure on the need for reliable electricity. Economic Outlook: The IMF approved its second programme review and projects 5% growth in 2026.

Fuel Corridor: A new series-pumping model now sends fuel from Beira directly to Harare without stopping at Feruka, adding flexibility to a key regional supply route. Investment: Kudakwashe Tagwirei has been sworn in as investment minister after the Finance Ministry was split. He pledges to bring in capital, but his US and UK sanctions may complicate efforts to build investor confidence. ZIDA approved 378 investment licences worth more than US$3 billion in the first half of 2026, though approvals do not guarantee projects will proceed. Growth and Food Supply: The IMF approved Zimbabwe’s second review and forecasts 5% growth in 2026. Meanwhile, officials project a 266,881–541,881-tonne grain deficit next season as El Niño threatens harvests and fuel and fertiliser costs rise. Mining: Mineral sales reportedly doubled to US$4.7 billion, with lithium leading exports; lower global lithium prices could test the sector’s momentum.

Property: WestProp declared a US$1.81 million dividend, payable on October 30, while its minority-shareholder exit offer process continues. Jobs and Digital Services: Econet has revived Technites, a platform connecting independent tradespeople with paid work; its first major project is installing 20,000 cameras at EcoCash agent locations. Investment: Kudakwashe Tagwirei was sworn in as economic development and investment promotion minister. His US sanctions could complicate efforts to attract international capital. Mining and Power: Zimbabwe’s mining power demand is forecast to reach 1,500MW, while falling Kariba water levels renew concerns about electricity supply. A Chinese investor is also planning a lithium sulphate plant in the Midlands, adding to the push to process minerals locally. Business Costs: Delta says punitive taxes are squeezing the beer value chain, while Prospect Lithium says it has paid more than US$100 million in taxes and is seeking relief from double taxation. Trade: Government plans to scrap food import duty, a move that could ease import costs.

Technology: Zimbabwean firm FreedPer Scientific is expanding partnerships with US technology providers to improve weather and environmental monitoring for sectors including mining, agriculture and research. Mining and Power: Mining electricity demand is projected to rise 50% to more than 1,500MW within a year, putting pressure on an already constrained supply system. Lithium Investment: Chinese-backed Zheli Mining plans to establish a lithium sulphate plant in the Midlands by December, building on about US$15 million invested in Zimbabwe since 2024. Prospect Lithium, meanwhile, says it has paid more than US$100 million in taxes but wants export levies made deductible to ease what it calls double taxation. Business Costs: Delta says a 40% beer excise duty, policy shifts and a disputed US$100 million retrospective tax bill are squeezing reinvestment and its agricultural value chain. Digital Payments: India’s Viyona Fintech is in talks with government to launch contactless payments in Zimbabwe, targeting small businesses with smartphone-based terminals. Regional Debt: South Africa is relying on diplomacy to recover more than R900 million owed to SAA by Zimbabwe; officials gave Parliament no repayment timeline.

Cost of Living: Zimbabwe plans to suspend food import duties if El Niño-related crop shortages push up prices. Finance Minister Mthuli Ncube says the 2027 growth forecast remains 5%. Power Investment: A 370MW pilot will test competitive tenders for new generation, replacing unsolicited bids that regulators say encouraged speculative projects. A World Bank-backed framework aims to make procurement more credible, though developers still face concerns over power-purchase agreements and payment guarantees. Mining: Mineral sales doubled to US$4.7 billion, with lithium leading the surge and strengthening the sector’s role in export earnings. Investment Climate: Kudakwashe Tagwirei’s appointment as investment minister has drawn scrutiny because he is under US and UK sanctions, raising questions about investor confidence. Retirement Savings: Pension contribution arrears climbed 22% to US$181.8 million by June, prompting the regulator to warn defaulting employers could face enforcement action.

Transport & Trade: Chinese truck brands drew strong interest at the Harare expo, with suppliers pitching vehicles and after-sales support to Zimbabwe’s mining, construction and freight sectors. Investment Climate: Kudakwashe Tagwirei’s appointment as investment minister, despite US and UK sanctions, is unfolding alongside a cancelled ZANU-PF Politburo meeting and reported tensions over party changes—developments that put state appointments and investor confidence in focus. Party Finance: ZANU-PF says it raised US$9.5 million for its conference, topping its US$6 million target as many households face economic strain. Minerals: Zimbabwe’s mineral exports reached US$4.7 billion, with lithium leading the surge; Caledonia Mining has meanwhile cut its 2026 gold output forecast and raised its cost outlook. Digital Reach: Zimpost demonstrated drone parcel deliveries over a 50-kilometre route in Bulilima, linking remote communities to faster services. Business Expansion: Helcraw Water is extending pipe-replacement work to Chinhoyi, while regional operations now account for nearly half of Zimre’s insurance contract revenue.

Investment Policy: President Emmerson Mnangagwa appointed US-sanctioned businessman Kudakwashe Tagwirei to lead economic development and investment promotion, splitting the portfolio from Finance. Critics warn of conflicts of interest and state capture. Mining and Trade: Mineral sales doubled to US$4.7 billion, with lithium leading exports. Digital Finance: Zimbabwe is negotiating with India’s NPCI International to adopt UPI-style real-time payments, potentially linking banks, mobile-money firms and fintechs on one platform. Business: Zimre says regional operations now generate nearly half its insurance contract revenue. Stanbic Bank appointed Louissa Jane Evans as an independent director. Start-ups: Zimbabwean founders raised US$2 million for Ocular AI, which supplies voice and audiovisual data to major AI developers. Economic Outlook: The IMF completed its second review of Zimbabwe’s monitoring programme; it projects 5% growth in 2026 and reported August inflation of 2.9%, but says protected social spending targets were missed.

Digital Payments: Zimbabwe is negotiating with India’s NPCI International to adopt UPI technology for a shared real-time payments network. The Reserve Bank says it could lower transaction costs, with talks potentially concluding by October 31. Investment Policy: Kudakwashe Tagwirei’s appointment as economic development and investment promotion minister puts a businessman under US sanctions in charge of attracting investment, drawing scrutiny over the implications. Mining Exports: Mineral sales doubled to US$4.7 billion, with lithium leading the surge and a banned critical mineral making up most of the country’s mineral wealth. Currency: Zimbabwe is moving closer to a ZiG-only system, as the Reserve Bank seeks public views on the proposed transition.

Investment Policy: President Emmerson Mnangagwa appointed US-sanctioned businessman Kudakwashe Tagwirei as Minister of Economic Development and Investment Promotion, drawing criticism over conflicts of interest and the concentration of business influence in economic policymaking. Mining: Zimbabwe’s mineral sales doubled to US$4.7 billion, with lithium leading exports. But Caledonia Mining cut its 2026 Blanket Mine production forecast after weaker-than-expected output, citing limited compressed-air capacity and processing delays. Trade and Payments: Zimbabwe and Namibia are seeking to deepen agricultural trade and investment, while CBZ Bank’s connection to the Pan-African Payment and Settlement System could ease cross-border transactions for a new trade venture. Public Projects: Fresh questions have surfaced over the Gwanda solar project after Wicknell Chivayo’s brother alleged that US$5 million in project funds was spent without the plant being built. Air Transport: Air Zimbabwe is banking on maintenance contracts and planned Harare–Guangzhou flights to support its turnaround.

Investment Policy: President Emmerson Mnangagwa has appointed businessman Kudakwashe Tagwirei as Minister of Economic Development and Investment Promotion, splitting the role from Finance. His US sanctions over alleged corruption have raised concerns about conflicts of interest and investor confidence; the government says the sanctions do not affect his appointment. Minerals: Zimbabwe’s mineral sales doubled to US$4.7 billion, with lithium earnings reaching US$2.16 billion as spodumene prices surged. The figures strengthen the case for local processing, though much of the value chain remains offshore. Trade: Zimbabwe and Namibia are seeking to expand agricultural exports, investment and agro-processing, while Zimbabwe’s upcoming COMESA chairmanship offers exporters a chance to reach regional markets. CBZ has also joined the pan-African payments system, supporting cross-border transactions for a new trade venture. Business: Air Zimbabwe is counting on maintenance contracts and planned Harare–Guangzhou flights to support a turnaround. Fidelity Life’s first-half contract revenue fell 4% to US$8.3 million, while Caledonia Mining cut its 2026 gold-output forecast after operational setbacks at Blanket Mine.

Investment Policy: President Emmerson Mnangagwa has appointed US- and UK-sanctioned businessman Kudakwashe Tagwirei as Minister of Economic Development and Investment Promotion, splitting the portfolio from Finance Minister Mthuli Ncube’s brief. The move gives Tagwirei direct influence over investment policy and is likely to draw scrutiny from investors. Mining Exports: Mineral sales more than doubled to US$4.735 billion in the first nine months of 2026. Lithium led with US$2.159 billion, overtaking platinum group metals as higher prices and processing lifted earnings. Economic Outlook: The IMF approved Zimbabwe’s second review under its Staff-Monitored Programme, saying the country met nearly all core targets. Export Markets: ZimTrade is urging businesses to use the upcoming COMESA summit in Harare to pursue regional opportunities; the bloc represents about 640 million people. Project Accountability: At Wicknell Chivayo’s funeral, his brother alleged that money from a US$5 million advance for the stalled Gwanda solar project was spent on luxury shopping. The claims renew questions about the project, which produced no panels before its contract was terminated.