Zimbabwe will next month begin disbursing funds to compensate white former commercial farmers whose land was expropriated during the Fast-track Land Resettlement Programme at the turn of the millennium.
This announcement was made by Stéphane Rey, the Swiss ambassador to Zimbabwe, Zambia, and Malawi, during recent celebrations for Switzerland National Day. Said Rey (via NewsDay):
I want to express my appreciation for the bold steps taken, particularly the effective compensation of farmers.
This historic development is not just about financial settlement; it’s about reconciliation and moving forward.
The initial disbursements will start being effective next month. Twenty-seven Swiss farms are directly impacted.
Seventeen of them have been validated and approved for compensation this week and the remaining 10 will be examined by the end of this week.
The arrears clearance and debt resolution strategy is based on Zimbabwe’s commitment to pay US$3.5 billion to former farm owners, compensating those who lost their farms despite protections under the Bilateral Investment Promotion and Protection Agreement. This strategy also includes implementing economic and governance reforms.
The African Development Bank (AfDB) has developed financial tools to help raise the necessary $3.5 billion for compensation, aiming to leverage capital markets and prevent further deterioration of Zimbabwe’s debt situation.
In 2020, Zimbabwe agreed to compensate local white farmers whose land was expropriated by the government from 2000 onwards as part of efforts to resettle black families.
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