Two US$3.4 mln tourism joint ventures get Cabinet nod

Harare, (New Ziana) – Cabinet on Tuesday approved two tourism infrastructure joint venture projects worth over US$3.4 million, a minister has said.

Information, Publicity and Broadcasting Services Minister, Monica Mutsvangwa said the projects involved partnerships between two government companies, Mosi Oa Tunya Development Company (MOTDC) and the Zimbabwe Parks and Wildlife Management Authority (Zimparks) and two private companies.

Zimparks will partner on a 50/50 basis with a company called Zambezi Crescent Private Limited in a US$3 million deal, while Mosi ao Tunya, whose responsibility is development of the Victoria Falls special economic zone, will partner with Old Mutual.

“ZimParks and Zambezi Crescent are in partnership for the revamping and upgrading of all of ZimParks’ lodges at Zambezi Camp in Victoria Falls to an agreed market-related status at a total cost of US$3 009 000,” Mutsvangwa said.

“This amount will be contributed by the investor, while ZimParks will provide exclusive rights to the use of the lodges at the camp and their surroundings.”
The two will share profits over a 25 year period.

“The joint venture is set to significantly improve the performance of the Zambezi Camp Lodges, which are strategically located along the banks of the Zambezi, but have been performing poorly over the years,” Mutsvangwa said.

The MOTDC and Old Mutual deal which is worth US$ US$430 948 is expected to see the construction of a four star hotel and 5 000 seater conference centre in Victoria Falls.

“In lieu of payment for the feasibility study cost, MOTDC will grant OMLAC (Old Mutual Life Assurance Company Zimbabwe), a lease over 55 hectares of land for construction of a four-star hotel with a 5 000-seater conference centre; a hospital facility, a golf course; and a shopping mall on land to be allocated by Government,” Mutsvangwa said.

“OMLAC will then have to pay rentals after recovery of the cost of the feasibility study.”
New Ziana