Zimbabwe has pledged to compensate both local and foreign white farmers who lost land and assets more than 20 years ago during land reforms intended to address colonial injustices.
In 2000, nearly 4,000 white farmers in Zimbabwe were displaced from their land and homes in a controversial redistribution program led by then-President Robert Mugabe, aimed at balancing the inequities established during colonial rule. These sometimes violent land seizures were part of a broader effort to address colonial-era land ownership disparities after Zimbabwe gained independence in 1980. Mugabe, who passed away in 2019, defended the program as essential for land justice.
Compensation Strategy and Financial Allocation
Finance Minister Mthuli Ncube, addressing diplomats, shared that the government has approved compensation totaling $351.6 million for 441 local white farmers and $196.6 million for 94 foreign claimants. Of these amounts, only 1%, or $3.5 million, will be disbursed in cash to local farmers, while the remaining balance will be managed through treasury bonds.
For foreign claimants from countries such as Denmark, Germany, the Netherlands, Switzerland, and parts of Eastern Europe, a $20 million fund will be equally divided among the 94 applicants.
Impact of the Land Seizures
The land seizures led to a sharp decline in commercial farming, disrupting Zimbabwe’s food production capabilities and transforming the nation from a key food exporter to a recipient of international aid. While Zimbabwe’s agricultural sector has shown signs of recovery, recent droughts have imposed new challenges.
Local compensation is limited to structures and infrastructure, like buildings, wells, and irrigation systems, rather than the land itself. However, foreign claimants protected under certain investment agreements will be compensated for both land and infrastructure losses.
Evolving Policies and Controversy
Payments are expected to begin in late 2024, and Zimbabwe continues to work with international creditors, with the compensation plan being a critical part of its $21 billion debt restructuring discussions led by the African Development Bank.
President Emmerson Mnangagwa, who succeeded Mugabe in 2017 after a military-led transition, signed a compensation deal with the white farmers in 2020 and has encouraged them to reapply for new land. Currently, all farmland in Zimbabwe is owned by the government, and usage is permitted only under leasing arrangements.
In a significant policy shift, Zimbabwe announced that beneficiaries of the land reform program can now sell their land, but only to “Indigenous Zimbabweans.” This move has sparked controversy, as some politically connected individuals who gained multiple farms during the redistribution could now benefit from sales, despite the program’s original aim to support economically disadvantaged citizens.
Source: “Zimbabwe to compensate white farmers 20 years after land seizures”, Africa News, October 17, 2024.
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