Zimbabwe courts US gas investors

Energy and Power Development Minister July Moyo has urged U.S. businesses to invest in Zimbabwe's vast gas reserves, which he says are three times larger than those found in South Africa. Speaking at the Partnering Africa Summit in Washington, D.C., Moyo highlighted the immense potential for economic growth and energy development through foreign investment in Zimbabwe's gas sector.

"Now we need it to start producing power and to start doing other economic interventions that we think should be invested in," Moyo emphasized during his address.

Zimbabwe's gas reserves have been explored by an Australian company, but Moyo expressed the government's eagerness to partner with the U.S. to fully harness this resource. He stated that Zimbabwe was willing to sign a compact with the U.S. to facilitate investment.

"We believe that compact is our own way of saying we want to have more access," he said, referring to the country's commitment to attracting foreign investors.

Moyo also pointed out the need for investment in Zimbabwe's energy infrastructure, including the expansion of the national grid and distribution network. He stressed that private sector involvement, along with partnerships between governments, could play a critical role in modernizing the country's power sector.

"So our plea again, to the U.S. with Zimbabwe, is to release your private sector so that they can invest directly into Zimbabwe. We have created an environment where they will earn money because their investment will be guaranteed," he assured potential investors.

Moyo further emphasized that Zimbabwe has put in place risk guarantee mechanisms to ensure investor confidence. "In the Zimbabwe case, the government has finalized risk guarantee mechanisms through what we call a government implementation agreement, and just last week we were issuing these agreements to prospective developers in the private sector," he revealed.

Finance Minister Mthuli Ncube, who was also present, reiterated the government's efforts to create a favorable investment climate through tax incentives and guarantees for investors.

Moyo's presentation reportedly impressed attendees, offering a comprehensive overview of Zimbabwe's energy potential and the positive steps the government has taken to reassure investors.

The Partnering Africa Summit serves as a platform to promote economic cooperation and investment between the U.S. and African nations. With its rich gas reserves and government-backed guarantees, Zimbabwe is positioning itself as a key player in Africa's energy sector, hoping to attract substantial foreign investment to boost its economy.