Zimbabwe Begins Compensation for Former Farm Owners

The Zimbabwean government has started compensating Former Farm Owners (FFOs) under the Global Compensation Deed (GCD). The initiative involves an immediate cash payment of 1% with the balance in US$ denominated Treasury bonds having a 2% coupon and maturing in 2 to 10 years. This compensation effort is part of a wide-ranging strategy to settle the country's arrears and encourage foreign investment.

To date, US$3.1 million has been distributed to 378 approved farms. The Zimbabwean government allocated US$10 million in the 2025 National Budget for the compensation under the GCD. The move is part of the country's broader reform efforts, aiming to restore trust and initiate new dialogues with international creditors.

Key figures such as Zimbabwe's Finance Minister, Prof. Mthuli Ncube, and representatives from Switzerland and the UNDP have expressed optimism about this development. They emphasize its importance for economic recovery and international relationship rebuilding.