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Kupukile Mlambo appointed chief executive of the Sovereign Wealth Fund of Zimbabwe

by Staff reporter
07 Dec 2022 at 19:14hrs | Views
Former Reserve Bank of Zimbabwe deputy governor Kupukile Mlambo, who holds a PhD in economics from Gothenburg University in Sweden, has been appointed chief executive of the US$100m Sovereign Wealth Fund of Zimbabwe by Finance minister Mthuli Ncube for a three-year tenure.

An equivalent of US$100 million was been set aside in the 2020 National Budget to operationalise the Sovereign Wealth Fund (SWF), established to build reserves for long term savings.

SWF is a State-owned investment fund that is established from the balance of payment surpluses, official foreign currency operations, the proceeds of privatisation, government transfer payment, a fiscal surplus and resource earnings.

Zimbabwe passed a law in November 2014, the Sovereign Wealth Fund of Zimbabwe Act and subsequently set up a SWF in 2015, but funding shortages hampered operationalisation of the fund.

Prof Ncube said the broader objective of the fund is to build reserves that will facilitate investments for future generations, support socioeconomic development programmes as well as fiscal or macroeconomic stabilisation.

The fund was to be primarily funded by 25 percent of royalties from mineral exports and special dividends on sales of diamonds, gas, granite and other minerals through the Zimbabwe Mining Development Corporation.

Source - online