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The Zimbabwean government says it will compensate local and foreign white farmers who lost land and property during the farm seizures around the year 2000.
Approximately 4,000 white farmers were affected by the land redistribution programme launched by then-president Robert Mugabe in 2000, which turned violent at times.
Finance Minister Mthuli Ncube announced on Wednesday at a meeting with diplomats that the government approved $351.6 million for local white farmers and $196.6 million for foreign claimants, but only 1% of the compensation will be paid in cash.
The remaining compensation will be issued through treasury bonds.
The government has approved payments for 444 former commercial farm owners, compensating them for improvements made to the land before their eviction.
Foreign claimants from countries including Denmark, Germany, Netherlands, Switzerland, and Eastern Europe will share an initial $20 million. Said Ncube:
<blockquote>
The government allocated $35 million in the 2024 budget for compensating former farm owners who are part of the Global Compensation Deed signed in 2020.
</blockquote>
The compensation for local farmers covers infrastructure such as buildings and irrigation equipment, not the land itself.
Foreigners covered under investment agreements will be compensated for both land and infrastructure.
The payments are expected in the last quarter of 2024.
The payments are vital in the southern African nation’s bid to win over creditors for the restructure of the $21 billion debt it owes, after defaulting in 1999.
The nation confirmed that it had hired advisers to help with the restructure, including Global Sovereign Advisory and Kelper-Karst, with support from the African Legal Support Facility.
In 2020, President Emmerson Mnangagwa’s government signed a compensation deal with white farmers, encouraging them to apply for new land.
All farmland is now government-owned and leased to occupants.
The government plans to allow beneficiaries of the reform to sell land only to “Indigenous Zimbabweans,” sparking criticism.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

Pindula News

The government of Zimbabwe is going to pay over 400 white farmers for improvements they made on their land before being evicted. The compensation includes cash and treasury bonds. These farmers lost their land during a violent redistribution program in 2000. Foreign farmers from countries like Denmark and Germany will also be compensated. This is part of Zimbabwe's plan to restructure its debt. All farmland is now owned by the government, and they will only allow Indigenous Zimbabweans to buy land in the future. Payments are expected in late 2024.

Zimbabwe To Compensate Over 400 Evicted White Farmers For Land Improvements

The Zimbabwean government will pay an initial US$20 million this month to foreign white and local Black farmers who lost land due to farm invasions under former leader Robert Mugabe, Finance Minister Mthuli Ncube said on Friday, reported <a href="https://www.reuters.com/world/africa/zimbabwe-compensates-foreign-local-farmers-over-land-invasions-2024-10-04/">Reuters</a>.
This payment is part of the 2024 budget and aims to restore the country’s agricultural sector and support economic revival.
The collapse of agriculture began when Mugabe initiated the seizure of productive farms in 2000, impacting many white commercial farmers and some Black Zimbabweans.
Most of the farms were owned by Zimbabwean white commercial farmers after colonialists forcibly took them from Blacks early in the 20th century.
The compensation will include foreign farmers from Belgium, Germany, and other countries, as well as 400 Black Zimbabweans.
A separate much larger $3.5 billion compensation scheme for 4,000 white Zimbabwean farmers was announced in 2020, but funds have not been released due to Zimbabwe’s financial struggles.
President Emmerson Mnangagwa is working to engage Western governments to restore relations, resolve foreign debt, and revive the economy, though last year’s elections raised concerns about donor confidence.
Finance Minister Mthuli Ncube indicated that the dialogue process is ongoing and essential for clearing Zimbabwe’s debt arrears. He said:
<blockquote>
The dialogue process is working and will help us in clearing our arrears eventually.
</blockquote>
Zimbabwe is seeking an International Monetary Fund (IMF) staff-monitored program as a first step towards debt relief, with an IMF team scheduled to visit Harare in the next two weeks.
Zimbabwe’s total foreign debt stands at $12 billion, owed to various international financial institutions and private funders.
More: <a href="https://www.pindula.co.zw/">Pindula News</a>

The government of Zimbabwe will pay $20 million to farmers who lost land because of Robert Mugabe. This money is to help the agricultural sector and the economy. The farm seizures by Mugabe in 2000 affected white and Black farmers. The compensation includes foreign farmers and Black Zimbabweans. President Mnangagwa is working to improve international relations. Zimbabwe is trying to clear its $12 billion debt with help from the IMF. The dialogue process is ongoing to help with clearing the debt. This is good news for farmers who lost their land.

Government To Pay US$20 Million To Farmers Affected By Land Seizures

White farmers who lost their land during Zimbabwe’s chaotic land redistribution exercise have made some changes to the government’s proposal of paying the US$3.5 billion compensation through a 10-year commercial paper.
The former farmers rejected the proposal and have made some changes to suit the age profile of the supposed beneficiaries.
Speaking to <a href="https://businesstimes.co.zw/ex-farmers-turn-heat-on-govt/">Business Times</a> on Wednesday, Commercial Farmers Union (CFU) president Andrew Pascoe said they are currently engaging members to get their views on the Government proposal. Said Pascoe:
<blockquote>
We made some new changes to the government’s proposed deal and currently, we are carrying out surveys with our members to see if they agree to the new proposals.
</blockquote>
In 2020, the Government pledged to compensate the former farm owners in phases.
The first installment of US$1.75 billion was supposed to be paid in 2021 and the balance was to be paid in four equal installments of US$437.5 million per year.
The Government failed to fulfill the promise to the formers farmers and has shifted goalposts on several occasions.
Moreover, critics argue that the compensation does not go far enough to address the harm caused by the land reform programme.
More: <a href="https://zero.pindula.co.zw/">Pindula News</a>

White Former Farmers Scrutinize Compensation Deal

Zimbabwean white former farmers have rejected the Government’s new compensation proposal of paying in government securities over a 10–year period.
When the agreement was signed in 2020, the government initially wanted to offer payment terms of 20 years but has since decided to expedite the process.
A source privy to the information told <a href="https://businesstimes.co.zw/ex-farmers-reject-govt-deal/">Business Times</a> that the former farm owners want urgent cash payment as most of them are now in their 80s. Said the source:
<blockquote>
Ex-farmers have rejected the Treasury Bonds as they need cash payments with much shorter periods which allow them time to plan with their money due to their age profiles which are between the 80s and 90s.
For that reason, they are not taking any deal which does not include cash in the shortest possible time.
</blockquote>
In February this year, Finance and Economic Development Minister Mthuli Ncube, said the compensation will be financed through a Treasury bond, which will have prescribed-asset status and not be liable to any form of taxation as a way to entice investors.
He said farmers will hold a referendum on the matter soon and the bond will be issued once outstanding details are finalised.
Finance and Economic Development deputy minister Clemence Chiduwa told <a href="https://businesstimes.co.zw/ex-farmers-reject-govt-deal/">Business Times</a> that engagements between the parties are continuing. He said:
<blockquote>
At the moment, I am not aware of this position but what I know is that there were some engagements this week and an agreed position will be reached soon as both parties continue to engage to find common ground for compensation to take place.
</blockquote>
Business Times said they could not get a comment from Commercial Farmers Union president Andrew Pascoe as his mobile number went unanswered.
More: <a href="https://zero.pindula.co.zw/">Pindula News</a>

Former Commercial Farmers Reject Revised Govt Deal

CCC vice president Tendai Biti said that Zimbabwe’s mining, farming, manufacturing, banking, legal and auditing sectors are still controlled by white people and serve white commercial interests.
Biti, who is Harare East MP (CCC), made the remarks while contributing in Parliament on Thursday during the Defence, Home Affairs and Security Services Parliamentary Committee debate on war veterans’ welfare. He said:
<blockquote>
Forty-four years after independence, much of that land is still intact and owned by white commercial interests.
Billy Rautenbach for instance, owns tonnes and tonnes of land in the Chipinge-Chisumbanje area.
Whilst we complained about the problem of white ownership of farms and multiple ownership of our farms by white farmers, right now the biggest challenge is multiple farm leasing by white interests in this country.
This country is still owned, controlled and run by white commercial interests, whether it is in mining, farming, manufacturing, banking, legal and auditing sector, white commercial interests are still dominating in this country.
It is not yet Uhuru; there is unfinished business in the liberation struggle.
</blockquote>
The former Finance Minister also urged the government to give war veterans title deeds of farms they acquired in the Land Reform Programme, saying the offer letters given to the ex-combatants were not enough. He said:
<blockquote>
Many of the war veterans have nothing to show for that. We are giving them pensions in a volatile, non-stable currency.
Let us give our war veterans their pensions in a stable currency.
The government itself has recognized the volatility of the Zimbabwean dollar by levying everything in USD; passports, number plates, birth certificates, milk from Pick ‘n’ Pay, school fees and license in USD but war veterans’ salaries in RTGs isu tonyebera kuvada vanhu ava.
</blockquote>
He said there should be a permanent representation of war veterans in the National Assembly through a quota system.
ZANU PF has often accused the opposition of being against the land reform programme and failing to appreciate the noble role played by war veterans in the liberation of the country from settler colonial rule.
More: <a href="https://www.newsday.co.zw/local-news/article/200009522/ed-demands-re-run-in-violence-hotspots">Pindula News</a>

Zimbabwe Still Controlled By White Commercial Interests - Tendai Biti

A white former farmer Shane Warth who in December 2022 was evicted from his 60-hectare plot in Mwenezi says his several attempts to get an offer letter have all been in vain.
The plot is located in the Mpapa area of Mwenezi East’s Ward 13 in Masvingo Province.
Warth (65) had utilised the plot for 32 years and his farming equipment is now lying idle at his homestead in Chiredzi following his eviction from the plot.
He had a total of 25 permanent workers and besides specialising in sugar cane farming, Warth also grew maize and soya beans among several other crops.
In a telephone interview, Warth told <a href="https://tellzim.com/evicted-mpapa-white-farmer-denied-offer-letter-for-over-32-years/">Tellzim News</a> that the eviction had completely ruined his life. He said:
<blockquote>
I acquired the plot by paying for it some 32 years back and I made a huge investment to ensure massive production at my plot.
Right now it is very painful that someone who had put absolutely nothing came over to claim ownership of the plot.
The eviction had completely ruined my life. Right now my farming equipment is idle here in Chiredzi.
Despite overwhelming evidence that I had been very productive for the past 32 years, I made countless efforts to get the offer letter at district, provincial and national levels but I was turned down in all the offices.
</blockquote>
A farmer in the Mpapa area who spoke on condition of anonymity said they relied on Warth for farming expertise. Said the farmer:
<blockquote>
We were given this land and we paid for it as it was part of the pension package from Triangle Sugarcane Company where all the plot occupants used to work.
What irks me the most is that in the case of Warth’s eviction, the issue of property rights was completely ignored.
We are really wondering where exactly are we going as a nation when proven progressive farmers like Warth are kicked out of their land like that and replaced by people without any track record of farming.
Why doesn’t the government look for several vacant lands for newcomers to prove their farming skills?
More worrisome is the fact that his yearly production regularly surpasses the rest of the farmers here.
He was the only local farmer with the Centre Pivot and many of us relied on him in diverse ways.
</blockquote>
Warth was evicted from his plot to pave way for ZANU PF central Committee member Cuthbert Muzara and one Emmanuel Chugubu.
Muzara told Tellzim News that he is legally occupying the 21-hectare part of the plot that used to belong to Warth.
He admitted that Warth was evicted from the main house and the larger plot section that has now been occupied by Chigubu.

Govt Denied Evicted White Farmer Offer Letter For Over 32 Years

White former commercial farmers, whose land was compulsorily acquired during the fast-track resettlement programme, have expressed worry about the new payment terms offered by the government.
Last month, the Government proposed new payment terms to compensate the farmers for improvements made on the farms before they were seized at the turn of the Millenium for re-distribution.
Commercial Farmers Union (CFU) president Andrew Pascoe last week said the proposed new payment terms are “completely” different from schedules outlined in the initial deal, also known as the Global Compensation Deed signed in 2020.
Under the original agreement, the farmers were to receive a total of US$3.5 billion between 2020 and 2024.
Half the money had to be paid during the first year, followed by four US$437.5 million annual instalments.
The Government, however, failed to fulfil its obligation. Said Pascoe:
<blockquote>
We have engaged our financial and legal advisors and our biggest worry is that the compensation was going to be much faster than the new terms.
We have proposed some safeguards, which we want to be included in new payment terms; we are waiting for a response from the Government so that discussions can start.
But the major issue is that we want to see if the Government can provide additional safeguards.
</blockquote>
Pascoe did not disclose the finer details citing confidentiality and protocol issues.
Finance and Economic Development Minister Mthuli Ncube said in the 2023 Budget Statement in November last year the Government was still on course to raise the funds.
He said US dollar Treasury bonds would be issued this year to raise US$3.15 billion. | <a href="https://www.businessweekly.co.zw/govt-white-farmers-head-for-showdown/">Business Weekly</a>

Govt, White Former Farmers On Collision Course

Some white former farmers who lost land during Zimbabwe’s fast-track land resettlement programme have criticised the Commercial Farmers Union (CFU) leadership for allegedly failing to be firm during their engagements with the government.
<a href="https://businesstimes.co.zw/divisions-rock-ex-farmers/">Business Times</a> reported sources as saying aggrieved farmers accuse CFU leadership of being “too weak” to deal with the issues at hand.
The farmers suspect that the leadership may have been persuaded by the government into accepting compensation outside the agreed timeline of 5 years.
Two years ago, the government tabled a US$3.5 billion offer to the former farmers.
But four months ago, the government gave the former farmers four months to decide on a 20-year bond that would see the government paying US$70 million per year as compensation for their assets expropriated during the land reform exercise.
An aggrieved former farmer who spoke to Business Times said CFU leadership accepts “everything” tabled by the government. Said the former farmer:
<blockquote>
We are saying we don’t want the bonds as they take time to recoup our money but the leadership is taking time to tell the government that we don’t want them.
Why do we have to wait for December to tell the authorities that bonds are not viable given our age?
The problem is that some of our leaders still have pieces of land which they were removed from and they don’t share the same pain we have.
</blockquote>
The CFU president Andrew Pascoe is reportedly still farming at his Ivordale Farm located 45km East of Harare along Nyamapanda road.
Recently, former CFU president Charles Tuffs urged the former farmers to exercise patience and “give the government a chance”.

Divisions Rock Former Farmers | Report

Zimbabwe has deferred paying the first instalment of compensation for white farmers who lost land during the <a href="https://www.pindula.co.zw/Third_Chimurenga">fast-track land reform programme</a> which the <a href="https://www.pindula.co.zw/Robert_Mugabe">Robert Mugabe regime</a> embarked on at the turn of the millennium.
The government has proposed that it will pay the first instalment of US$3. 5 billion agreed in the Global Compensation Deed (GCD) in July 2022 instead of this July. Reads the government statement on the matter:
<blockquote>
<h2>PRESS STATEMENT</h2>
<h2>
PROGRESS MADE TO DATE IN RESOURCE MOBILISATION FOR THE GLOBAL COMPENSATION AGREEMENT</h2>
<h2>1. Introduction</h2>
On 29 July 2020, the signing of the Global Compensation Deed (GCD) marked a turning point in the restoration of trust and cooperation between the former farm owners (FFOs) and the Government of Zimbabwe. The GCD was also consummated in the context of Governments desire and commitment to move the Vision 2030 agenda forward and to ensure its timely realisation through increased agricultural productivity, among other initiatives.
<h2>2. Funds Mobilised</h2>
In the 2021 National Budget, Government committed an amount of Z$2 billion towards the compensation of FFOs. These resources are currently being disbursed to distressed FFOs as interim relief payments. In addition, on 18 December 2020 Government secured USD250 million towards the compensation process through the donation of a shareholding of equal value in a mining asset – Kuvimba Mining House, to a special purpose vehicle specifically created to raise funds for the GCA. The first dividend from this long term shareholding was paid on 23 June 2021. An amount of USD1million was declared in favour of the fund for compensating former farm owners and this amount will be applied towards partial settlement of the agreed global compensation figure. Subsequently, dividends will be paid quarterly and applied in the same manner.
<h2>3. Appointment of Financial Advisors</h2>
In compliance with the Public Procurement and Disposal of Public Assets (PPDPA) Act [Chapter 22:23], the procurement of Financial Advisory Services for the joint resources mobilization process began with the issuance, through the Ministry of Finance and Economic Development, of an international call for Expressions of Interest (E01s) in September 2020. The procurement process went through several stages which took longer than had been originally anticipated. Nevertheless, we are pleased to advise that the process has now been completed and the contract with the Financial Advisors-Newstate Partners, was signed on 21 April 2021. The Financial Advisors have already commenced work with the JRMC supporting its capital-rasing efforts.
<h2>4. Financing Instruments and Funding Options</h2>
Working with the Financial Advisors. Newstate Partners, a number of possible financing instruments and funding options are already being worked on. These include, but are not limited to:-
i. Bonds issued domestically (both listed and unlisted);
II. Bonds issued into international markets (both listed and unlisted);
iii. Listed and unlisted equity and quasi-equity type instruments;
iv. Structured financial arrangements, including the issuance of asset-backed securities, and;
v. Off-balance sheet financing arrangements using commercial guarantees.
These structures will augment and complement the resources that have already been made available as alluded to in 2. above.
<h2>5. Extension of the Period for the First Payment</h2>
The longer than had been anticipated period for the appointment of the Financial Advisors alluded to above and the COVID-19 pandemic slowed down the resource mobilisation process. The Parties to the GCD, therefore agreed to extend the period for the first payment from 31 July 2021 to 31 July 2022. The Parties signed an Addendum to the GCD on 7 May 2021 to give legal effect to their agreement.
<h2>6. Establishment of a Dedicated JRMC Project Office and Secretariat</h2>
Treasury has funded the establishment of a Dedicated JRMC Project Office manned by a full-time Secretariat. The Project Office is also receiving technical assistance support from our international cooperating partners. The office is now operational and has given impetus to the joint resource mobilisation process.</blockquote>
<h2>More: <a href="https://news.pindula.co.zw">Pindula News</a></h2>

Zimbabwe Has Deferred Compensation For Farmers

Zimbabwe Land Commission chairperson, Tendai Bare has said that the commission has been working with white farmers to help them get 99-year leases for their land. Said Bare,
<blockquote>We are also working with these farmers to see whether they have documents to allow them to stay on the farm so that we recommend them to be given 99-year leases. There is also a programme by Lands ministry where white farmers who are interested in farming can embark on joint venture programmes with the beneficiaries of the agrarian reform programme…We have discovered that the black farmers still lack access to cheap loans from banks. The interest for those who have been able to access is too high. They won’t be able to service them at the end of the season.</blockquote>
More: <a href="https://www.newzimbabwe.com/land-commission-knuckles-down-helps-white-commercial-farmers-to-obtain-99-year-leases/" rel="noopener" target="_blank">New Zimbabwe</a>

Land Commission Helping White Farmers To Get 99-Year Leases, Says They Can Also Enter Joint Ventures

In an interview with Reuters in Harare, President of Zimbabwe’s Commercial Farmers Union (CFU) Peter Steyl said that there are white farmers which still hope of returning to Zimbabwe.
Said Steyl:
<blockquote>I know friends who have gone to Zambia, Britain, South Africa and Australia. They’d love to come back to Zimbabwe. Things have progressed a lot in even the last year. I think mistakes were made on both sides and we’re beginning to talk to each other with a common goal for Zimbabwe. Farming is a difficult life. There are easier ways to make money. For a lot of the guys who left, it’s in their blood. That’s why they want to come back.</blockquote>
More: <a href="http://www.enca.com/money/some-white-farmers-still-hope-to-return-to-zimbabwe">ENCA</a>

White farmers still hope of returning to Zimbabwe

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