Harare, Zimbabwe – February 7, 2025 – The Government of Zimbabwe has begun compensating investors whose farms were affected by the 2000 Land Reform Programme, fulfilling its commitment under Bilateral Investment Protection and Promotion Agreements (BIPPAs). This follows the disbursement of US$20 million allocated in the 2024 National Budget, a crucial step in the country’s Arrears Clearance and Debt Resolution Process.

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The compensation process, which began in January 2025, applies only to claimants from countries with BIPPAs signed and ratified before 2000, covering 94 farms owned by investors from Denmark, Germany, the Netherlands, Switzerland, and former Yugoslavia. Zimbabwe’s Minister of Finance, Professor Mthuli Ncube, reaffirmed that the initiative aims to build trust, improve investor confidence, and align with constitutional provisions on property rights. The Harare-based ambassadors of Germany, the Netherlands, and Switzerland welcomed the move, calling it a historic achievement and a positive step toward economic recovery and land tenure security.

With US$125.9 million still outstanding, the government has set a multi-year payment plan through annual budget allocations from 2025 to 2028, starting with an additional US$20 million in the 2025 National Budget. The compensation process is a key component of Zimbabwe’s Structured Dialogue Platform, an initiative engaging creditors and development partners to advance economic, governance, and land tenure reforms. As Zimbabwe pushes forward with its National Development Strategy 1, this milestone marks a significant step in rebuilding international relations and unlocking external financing for long-term economic growth.