China still Zim’s biggest foreign investor

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CHINA remained Zimbabwe’s largest investor in the first five months this year, accounting for 74 percent of the US$134 million of the foreign direct investments pouring into the country, it was revealed on Tuesday.
Chinese businesses invested US$81.2 million in the manufacturing sector, and another US$16 million in mining between January and May 2013, according to the government’s investment promotion agency, Zimbabwe Investment Authority (ZIA).
The other top investors to Zimbabwe were Mauritius, investing 11 million U.S. dollars in mining and service sectors, and South Africa, injecting 7 million U.S. dollars in mining.
Zimbabwe is recovering from the abyss of a decade-old economic meltdown characterized by the hyper-inflation in 2008.
After the authorities abolished the worthless Zimbabwe dollar and adopted a range of currencies including the U.S. dollar, foreign investments slowly began to trick in.
Last year, the Zimbabwe Investment Authority approved US$929 million of FDI, among which 72 percent were from China.
Finance Minister Tendai Biti said last month that uncertainty around the general elections had been holding back the country’s economic growth so far this year.Advertisement