Omega Ukama 
ZIMBABWE has of late seen a spike in investor interest from the United Arab Emirates, with a number of visits by high profile investors from the region, apparently a result of an expo which was recently held in Dubai, where Zimbabwe’s pavilion reportedly attracted “much interest”.
This comes as foreign direct investment (FDI) inflows into the country have declined markedly overall in the past two decades — recording a 62,4 percent drop in 2019 to US$280 million, and a further 30,7 percent dip in 2020 to US$194 million.
It also comes as FDI has made up just one percent of the country’s gross domestic product (GDP) since 2000, in sharp contrast to say 1996, when its proportion of GDP was around 25 percent. But there could be a silver lining, with the surge in interest from the Arabian Peninsula, which has previously not featured much in the country’s investment landscape.
One of the UAE’s youngest billionaires, Sultan Khalil Ibrahim Albalishi of Ajman, jetted into the country last Thursday.
The royal founder and chief executive officer of Dubai-based Rind Properties, disclosed that he was targeting Zimbabwe’s real estate and aviation sectors.
He said he had already filed applications with the Zimbabwe Investment Development Agency (ZIDA).
Sultan Khalil and his associate, Alder Archibald, were convinced to look into investment opportunities in the county by Kevin Mapingire, a Zimbabwean pilot who works for the Emirates airline.
“The purpose of this trip is to look for opportunities in real estate, mining and aviation — the commercial and private side of aviation, including establishing a flight school in Zimbabwe which will be the first of its kind,” Mapingire, who was acting as the Sultan’s spokesperson, told The Financial Gazette.
“We had engagements at the Dubai expo. The value of the proposal (lodged with ZIDA) is that it will bring change here in Zimbabwe.
“Right now, after the ZIDA clearance I am sure everything will flow as planned. We are looking at about a week (time for clearance),” he said.
This also follows recent visits from a number of other investors from the UAE, including billionaire Shaji Ul Mulk, who had meetings with several ministers earlier this month.
They promised to invest in real estate, mining and agriculture.
This also comes as the UAE has emerged as one of the fastest growing markets for Zimbabwean exports. Shipments to the region were up by 94 percent to US$1,73 billion in 2021 compared to 2020, latest data from the Zimbabwe National Statistics Agency (ZimStat) has shown.
The expanding economic activities and increased tourism in the hub, renowned for luxury resorts, ultramodern architecture and expansive shopping malls, has created a taste for exotic products, opening up opportunities for Zimbabwean wares.
Exports to the Emirates accounted for 29 percent of the country’s total exports in 2021, up from 20 percent in 2020, according to ZimStat.
Exports to the fast-growing economic hotspot were second only to merchandise sent to South Africa, Zimbabwe’s neighbour and largest trade partner, which amounted to US$2,92 billion in 2021 and accounted for 48 percent of the country’s total exports during the year.
The Emirates have focused more on reducing dependency on oil exports by diversifying the economy, anchored on developments around Dubai, which has resulted in a boom in other economic activities such as tourism, construction and trade.
According to the International Trade Centre, Dubai is the most important export hub in its region and has become the third largest export centre in the world after Hong Kong and Singapore.
“With tourists coming from across the world, the demand for exotic and imported horticultural produce has grown in Dubai,” ZimTrade chief executive Allan Majuru said in a recent note.
