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Minister Simon Khaya Moyo

Oliver Kazunga Senior Business Reporter
ECONOMIC Planning and Investment Promotion Minister Simon Khaya Moyo has urged potential investors to tap the vast opportunities offered by the country in water infrastructure development.

Speaking at the Water Resources Infrastructure Summit in Harare yesterday, the minister said the country was open to foreign and domestic investment.

He noted the growing interest being shown by investors coming to Zimbabwe to scout for investment since January.

“Over the past six months we’ve received over 30 foreign delegations and investors coming to Zimbabwe. My ministry would like to channel these to infrastructural investment projects such as water projects,” said Khaya Moyo.

“We all know that Africa is rich in natural resources but infrastructure is poor. The implications of water infrastructure and water resources management are far reaching to affect economic activities in neighboring countries sharing the same water body or catchment area.”

The minister noted the poor 2014-2015 agricultural season that was characterised by erratic rains.

He said the effects of the dry spell could be averted through harnessing major investments in irrigation infrastructure to ensure food security.

Khaya Moyo assured investors that the government was implementing investment policies and programmes aimed at ensuring provision of infrastructure for storage and conveyance of water designed to maximise economic and financial benefits.

“Once again I wish to invite serious investors to invest into the water sector and my ministry is ready to facilitate such investments. In Zimbabwe it is indeed highly profitable to invest into the water sector,” he said.

Khaya Moyo urged creation of joint ventures in water infrastructural projects through amalgamations that include the Build, Lease and Transfer (BLT), Build, Operate and Transfer (BOT), Build, Own, Operate and Transfer (BOOT).

He said leveraging on the above financing mechanisms would require a viable water system (that is, viability of the investment projects from the water sources all the way up to final users).

“Most investors have been shying away from projects underwater sector citing the above reasons as the main course of concern. However, I want to assure you that the government is seriously considering those concerns and strategies are currently underway to make the returns of these projects viable as well as predictable,” said the minister.

The government is working on improving the investment environment and would want to dramatically improve the ease of doing business in the country while enacting the Joint Venture Act — expected to attract foreign investors in local water projects.

“Work is also underway to review the country’s labour laws to be competitive and assist in attracting investors. And finally we shall be presenting to Parliament very soon a Bill to establish the Special Economic Zones SEZ,” said Khaya Moyo.

He said SEZs will go a long way in attracting foreign direct investment and in building the necessary infrastructure.

“Enablers such water, electricity, and transport will receive special priority treatment through special incentives in these SEZs. We’ll soon be inviting international and local companies to construct the SEZs and water companies should be ready for this task. Water projects will be key enablers in the special economic zones,” said the minister.