Tendai Kamhungira 
FINANCE minister Mthuli Ncube has given US$38 million to the controversial war veterans fund, as the ex-combatants seek to establish their own bank, mines and other business ventures.
Ncube said at least eight farms had been identified to cater for the agricultural side of the fund.
“The 2021 budget appreciates and recognises the significant effort of our war veterans and war collaborators in bringing about independence and peace.
“In line with the Constitution, the budget therefore, owns up by supporting the welfare of our war veterans in terms of medical care, general welfare, schooling of their children and promotion of their economic empowerment.
“For that purpose, budgetary resources have been set aside for the war veterans, including the additional equivalent to US$37,5 million for the war veterans fund through the national venture fund,” Ncube said.
Under the controversial plan, which will fall under the Defence ministry’s purview, as many as six subsidiaries with interests in agriculture, tourism and medicine will be established.
“The veterans… investment fund will then become the sole shareholder in each of the investee companies that will be set up to own and operate businesses in each key sector of the economy,” a document seen by The Financial Gazette said, adding “each investee will have its own board of directors and chief executives constituted by war veterans”.
“…investee companies will be capitalised in part through donations of assets that will be made by the government into the investment fund,” it said.
The banking arm, it was said, will be a dedicated charter-financing vehicle to assist all the operating entities to raise capital as well as offer banking services to both serving and former servicemen, the document stated.
The war veterans remain a critical constituency in the country’s delicate and complex power dynamics.
In the late 90s, the late former president Robert Mugabe, acceded to their demands and paid out gratuities amounting to $50 000 each.
The unbudgeted payments caused the local currency to depreciate by 70 percent in a single day and precipitated a spectacular collapse of the economy.
At the height of Zimbabwe’s diamond rush, the liberation war fighters also pressed for mining concessions and parliamentary seats.
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