Biti's ministry should manage Zim's wealth fund - Mthuli Ncube

Zimbabwe's sovereign wealth fund (SWF) should be under the ministry of Finance's ambit considering its role to manage the country's financial resources, African Development Bank vice president and chief economist Mthuli Ncube said.

Mthuli Ncube was weighing in after concern have been raised over the custodian ministry of the fund, with the Indigenisation, Mines and Finance ministries playing key roles in its set up and operation.

Ncube said the Fund's board should also include independent directors.

"However, in the constitution of the board for the Fund the other ministries should be represented," Mthuli told a local newspaper.

A SWF is a state-owned investment fund composed of financial assets such as stocks, bonds, property, precious metals or other financial instruments.

Zimbabwe's SWF would mainly receive funds from royalties and dividends from mining companies.

Mthuli said government should make sure it gets a fair deal and set appropriate levels on royalties.

In September last year, the National Indigenisation and Economic Empowerment Board (NIEEB) â€" a body set up to implement the government's indigenisation programme â€" said it was evaluatingn findings from its global fact finding visits, for consideration in the establishment of the SWF.

Kasukuwere has said the SWF is set to house company interests on behalf of government, underwrite developmental and empowerment projects as well as create a sustainable long term capital growth.

"The SWF is being established in order to equitably distribute wealth across all regions of Zimbabwe, develop infrastructure across all the regions of Zimbabwe, create parallel industries in areas involved in the extraction of natural resources and to support empowerment projects across all regions of Zimbabwe," he said.