Information, Publicity and Broadcasting Services Minister Zhemu Soda has announced that the government of Zimbabwe has approved a proposed Public Private Partnership between Mosi Oa Tunya Development Company and JR Goddard Private Limited for the development of bulk infrastructure on Lot 1 of Jafuta Estate.
Lot 1 of Jafuta Estate is in Masuwe, a Special Economic Zone, in Victoria Falls. The proposal was presented by the Minister of Finance, Economic Development, and Investment Promotion , Mthuli Ncube.
In a statement, the Minister highlighted that ‘’The Masuwe Special Economic Zone (MSEZ) is a flagship National Development Project which the Second Republic established in September 2018 with a strategic intent to transform Victoria Falls into a diversified, high-value hub integrating tourism, financial services, and sustainable real estate.
‘’The Special Economic Zone encompasses a total of 1 200 hectares of Jafuta Estate, outside Victoria Falls City, and is strategically located within the Kavango-Zambezi Transfrontier Conservation Area (KAZA-TfCA).
‘’The proposed projects will entail the surfacing of 8 km of internal road network; the upgrading of 9 km of gravel roads; the construction of a 13 km water-pipeline covering the entire 1 200 hectares and the neighbouring communities; the construction of a package water treatment plant, a sewerage reticulation system, effluent re-use storage ponds, a power sub-station; and the provision of management services for the Special Economic Zone.
‘’A rigorous evaluation of the project proposal was undertaken in line with the Zimbabwe Investment and Development Agency (ZIDA) Act and the Private Public Partnership Guidelines. Under the proposed Commercial Joint Venture (CJV), the Mosi Oa Tunya Development Company will contribute 271.5 hactares of Jafuta Estate as equity-in kind, valued at US$25.6 million.
‘’On its part, the JR Goddard Consortium, which comprises of four companies namely: JR Goddard Pvt Ltd, Sesani Pvt Ltd; Stewart Scott Zimbabwe Pvt Ltd; and GGF Africa Pvt Ltd, will provide US$66.9 million investment for the construction of the bulk infrastructure. The shareholding structure will be 39% for the Mosi Oa Tunya Development Company and 61% for JR Goddard Consortium.
‘’Cabinet noted that if implemented, the project will unlock numerous benefits to the country including catalysing high-value investment, sovereign asset utilisation, strategic diversification of the Tourism economy with world class infrastructure, sustainable fiscal contribution to Gross Domestic Product (GDP), downstream job creation and the socio-economic upliftment of communities.
‘’Ultimately, the project is expected to catapult the transformation of Victoria Falls into a modern and vibrant economic development city, fulfilling the attainment of Vision 2030.
‘’Additionally, the Joint Venture will incorporate a 25-year structured profit recoup period, under the management of a proportionally represented Board chaired by Mosi Oa Tunya Development Company and will be guided by the governance framework to ensure strategic alignment with the objectives of the country’s National Development Strategy 2.’’