THE Chewore Safari Lodge dispute could not have come at a more delicate moment for Zimbabwe, as the government amplifies its “Zimbabwe is open for business” mantra in a bid to lure both domestic and foreign investment.
At the centre of the controversy is a Supreme Court ruling that upheld earlier High Court findings that the 2010 lease agreement between Suscaden Investments and the Zimbabwe Parks and Wildlife Management Authority (ZimParks) is invalid.
The court found that the lease lacked clear and proven approval from the responsible minister, despite the document bearing a signature appearing to be that of former Environment minister Oppah Muchinguri-Kashiri. For more than a decade, ZimParks accepted rent, licensed the operation and treated the lease as legitimate.
On paper, the Supreme Court ruling is clear. A lease that lacks demonstrable ministerial approval is legally defective. Courts cannot be faulted for enforcing statutory requirements, particularly where public land and national assets are concerned. Legality, however, while essential, is not the sole measure by which investment destinations are judged.
For over a decade, State institutions recognised the lease as valid and allowed millions of dollars to be invested in Chewore Safari Lodge.
This created legitimate expectations for the investor, employees and financiers.
When a State benefits from an investment for years and then disowns the underlying agreement, it sends a chilling signal to would-be investors.
Investors are, after all, the proverbial goose that lays the golden egg. They seek jurisdictions that honour commitments, provide predictability and resolve disputes fairly. They do not
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expect the State to collect lease fees, issue licences and later retreat behind technicalities to invalidate agreements it long treated as lawful.
This concern is particularly acute in sectors such as tourism, mining and agriculture, where investments are capital-intensive and long-term in nature. Long gestation periods are the norm.
Against this backdrop, it is troubling that a lease issued by State agencies can be nullified years later, notwithstanding that the operation had been fully licensed and rent consistently collected. Such outcomes risk branding Zimbabwe a high-risk jurisdiction where contracts are never truly binding.
This perception flies in the face of the “Zimbabwe is open for business” mantra that has defined President Emmerson Mnangagwa’s administration. When words and actions diverge, confidence erodes. The country’s perceived risk increases and ultimately the cost of capital, especially if it is coming from offshore sources.
The bungling by State agencies comes as Zimbabwe is facing stiff competition from regional counterparts in attracting tourists and investment in the tourism sector.
For Zimbabwe, there have been grumbling that tourism products are more pricier than those in neighbouring countries.
The price of administrative bungling will be high for a destination like Zimbabwe.
There is, however, a silver lining. Government’s willingness to engage stakeholders and explore a lasting solution presents an opportunity to rebuild trust.
The objective should not be to undermine court decisions, but to craft remedies that cushion investors who fall victim to administrative lapses on the part of public authorities.
The Chewore Safari Lodge promoters could regularise the lease under current legal frameworks, negotiate a fresh long-term agreement or receive compensation for verified investments made in good faith. Any of these sends a clear signal that Zimbabwe respects the law while also valuing fairness, predictability and partnership.
How Zimbabwe resolves the Chewore Safari Lodge saga will signal to every investor holding a State-issued lease and every prospective investor weighing Zimbabwe against alternative destinations.
How the saga will be resolved will either reinforce confidence that Zimbabwe learns from its mistakes or entrench fears that long-term investment remains vulnerable long after ribbon-cutting ceremonies are over.
