HARARE, Jul. 14 (NewsDay Live) — Zimbabwe's hospitality operators require up to US$30 million each to refurbish existing properties to acceptable standards, underscoring the scale of financing needed as the country prepares to host the Intra-African Trade Fair (IATF) in 2029.
The funding requirements were outlined Tuesday during the Hospitality Association of Zimbabwe (HAZ) Bankers Conference, following Zimbabwe's designation as the permanent host of the continental trade fair beginning in 2029.
Rainbow Tourism Group Chief Strategy, Growth and Investment Officer Tapiwa Mari said refurbishment costs alone present a significant financing challenge for the industry.
"For smaller operators, that gap right now is about US$8 million and for the larger operators, we're speaking in the region of about US$30 million, and this is just to refurbish the existing properties," Mari said.
Beyond refurbishments, Zimbabwe aims to increase national accommodation capacity to 10,000 hotel rooms within the next three years, requiring substantial investment in new developments.
Mari said the cost of developing hotel rooms varies significantly by market segment.
"For three-star hotels, including the cost of land, we estimate about US$70,000 per room, while five-star developments can cost up to US$300,000 per room," he said.
Zimbabwe's expansion plans are constrained by a limited pipeline of new branded hotel developments. According to the 2026 Hotel Chain Development Pipelines in Africa report, only three chain hotel projects, comprising 432 rooms, are currently planned nationwide.
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Of those, 300 rooms are under construction, while the remaining 132 are still at the planning stage, highlighting the scale of investment needed before IATF 2029.
Deputy Minister of Tourism and Hospitality Industry Tongai Mnangagwa urged financiers and tourism operators to view the trade fair as an opportunity to strengthen Zimbabwe's long-term tourism competitiveness.
"Our task is clearly laid out before us," Mnangagwa said. "I urge tourism operators and financiers to think beyond hosting IATF 2029. Let us position Zimbabwe as a memorable destination of choice, attracting visitors from across Africa and beyond."
He said government expected the financial sector to play a central role in closing the industry's financing gap.
"Tourism operators cannot shoulder this development alone," he said. "We count on the financial sector to bridge the funding gap through favourable lending models and strategic long-term development partnerships."
HAZ President Emmah Kativu said infrastructure development alone would not guarantee the country's readiness for the continental event.
"As we upgrade infrastructure for IATF 2029, we must remember that true readiness is not just about brick and mortar," Kativu said. "It is about strong governance, efficient systems, accountable project management, investment in people and service excellence. Without systems, capital leaks. Without processes, projects stall."
Kativu also called on financial institutions to develop financing products tailored to the tourism industry's unique needs.
"We call upon financial institutions to innovate and structure products aligned with tourism realities," she said. "Government should continue strengthening policy consistency and investment facilitation, while industry players improve governance, transparency and project preparedness."
