Harare, (New Ziana) – Zimbabwe is set to become a key player in a US$3 billion African Export-Import Bank (Afreximbank)-funded program to overhaul fuel supply chains in Southern Africa and reduce reliance on imports from the Middle East.
Afreximbank senior executive vice-president Denys Denya outlined an ambitious plan centred on improving fuel logistics, storage capacity and pipeline infrastructure across Southern Africa.
The initiative is expected to cut delivery times and reduce the cost of fuel imports.
“We are working on building a more efficient and resilient African fuel supply system that reduces our dependence on distant markets. By investing in infrastructure and regional linkages, we can significantly shorten delivery timelines and stabilize supply for countries like Zimbabwe,” said Denya.
A key component of the strategy is the creation of a fuel corridor linking West African refining output, particularly from the Dangote Refinery in Nigeria, to Southern African markets.
Plans are underway to establish a major fuel storage facility in Walvis Bay, Namibia, which would serve as a distribution hub for Zimbabwe, Zambia and Botswana.
The corridor is expected to reduce delivery times from Nigeria’s Atlantic coast to under five days, offering a faster and potentially more reliable alternative to current supply routes.
Denya emphasised the importance of this shift, noting: “What we are doing is reconfiguring how fuel moves across the continent. Instead of relying on global shipping routes that are often volatile, we are building African solutions for African markets.”
For Zimbabwe, the initiative could be transformative as the country has long grappled with fuel supply challenges linked to foreign currency shortages and dependence on distant suppliers.
Denya said the Afreximbank is exploring the construction of a new pipeline from Namibia’s coast into inland markets, while also engaging local stakeholders to upgrade existing infrastructure.
Discussions are ongoing with the Mutapa Investment Fund and private sector players to expand the capacity of the Beira–Msasa pipeline, Zimbabwe’s main fuel supply route, and possibly extend it into Zambia.
“In Zimbabwe, we are looking at both immediate and long-term solutions. Upgrading current infrastructure while developing new pipeline systems will be critical in ensuring consistent and affordable fuel supply,” said Denya.
As a short-term intervention, the bank is also procuring around 550 fuel tankers to ease transportation bottlenecks while pipeline projects are still under development.
The push comes against the backdrop of growing global energy insecurity, particularly due to instability in the Middle East.
Afreximbank has already extended support to several East African countries, including Kenya, Ethiopia and Tanzania, under its crisis-response financing framework, with Denya warning that prolonged disruptions could put pressure on the bank’s broader US$10 billion contingency facility.
The initiative is aligned with the broader goals of the African Continental Free Trade Area (AfCTA), which seeks to boost intra-African trade and reduce dependency on external markets.
Denya stressed that unlocking the full potential of the AfCFTA will require a shift towards value addition and stronger financial integration.
He pointed to tools such as the Pan-African Payment and Settlement System, which enables cross-border transactions in local currencies, as part of the solution.
If successfully implemented, the Afreximbank fuel corridor initiative could fundamentally reshape the way energy is sourced and distributed in Southern Africa, placing Zimbabwe at the centre of a more integrated and self-reliant regional system.
New Ziana
