Zimbabwe has made its first payment to white farmers whose land was seized more than 20 years ago. The government released US$3 million this week, marking the beginning of a long-promised compensation process.
This payment is part of a 2020 deal between the government and local white farmers. Under the agreement, Zimbabwe committed to pay US$3.5 billion for infrastructure and improvements on farms taken during land reform. The government says it will not pay for the land itself, claiming it was originally taken through colonial-era policies.
Finance Minister Mthuli Ncube confirmed that the US$3 million will cover 378 farms out of 740 approved for compensation. He said the rest of the US$311 million set aside for this first phase will be issued through Treasury bonds in U.S. dollars.
“This is a key step in our economic recovery plan,” Ncube said. “It shows our commitment to resolving past issues and improving relations with the global financial community.”
The land reform program began in 2000 under then-President Robert Mugabe. It aimed to return land to black Zimbabweans who had been pushed off their ancestral land during colonial rule. Around 4,000 white commercial farmers lost their farms, often through force. The program faced global criticism and triggered an economic crisis that lasted for years.
President Emmerson Mnangagwa, who came to power in 2017, has said the land reform will not be reversed. However, he supports the compensation deal as part of efforts to rebuild trust with Western countries. “We stand by the land reform, but we also honor our obligation to those affected,” he said.
Many former farmers are still not part of the compensation program. Some continue to hold title deeds for their former farms. Harry Orphanides, who represents some of the affected farmers, said more people are now showing interest. “Farmers are slowly coming forward, but many remain uncertain,” he said.
Zimbabwe has also started compensating foreign nationals whose farms were protected by international agreements. These payments began in January and are part of separate talks.
Analysts see this compensation effort as an important step. It could help Zimbabwe access international funding and reduce its foreign debt. After years of financial isolation, the country hopes this move will open new doors for recovery.
The success of this program will depend on how fairly and efficiently it is carried out. For now, Zimbabwe’s first payout signals a shift in approach and a bid to move forward.