Zimbabwe’s Mutapa Investment Fund says it has mobilised US$317 million for ZESA Private Limited, with the capital aimed at generation and transmission projects that could improve electricity supply and support regional power trade.

Speaking at a Ministry of Energy and Power Development strategy review, MIF deputy chief investment officer Ernest Denhere said the funding was channelled toward rehabilitation of Hwange Unit 5, the Hwange–Mukuni 400kV transmission line and early-stage work on a large solar pipeline. The figure represents funding mobilised across projects and facilities, not a single cash transfer to ZESA.

Generation and grid investments

The Herald reported that US$50 million had been disbursed for the Hwange Unit 5 rehabilitation, with a further US$70 million secured through a Stanbic facility. A separate US$37 million Stanbic facility was secured for the 115-kilometre Hwange–Mukuni line, intended to support electricity wheeling and regional trade.

MIF also said US$5 million had been provided as project-preparation funding for solar, while an Afreximbank syndicated facility remained in progress. The solar pipeline comprises 31 projects with a combined proposed capacity of 1,649 megawatts, according to the report. That is a pipeline under development, not installed generation.

Financing will need commercial discipline

The fund framed the investments as part of a broader effort to improve portfolio-company operations, financial performance and governance. Denhere also highlighted predictable tariffs, competitive procurement and regional integration as conditions needed to attract lenders and make utility projects viable.

For businesses, improved generation and transmission could reduce one of the key constraints on planning and production. But infrastructure commitments do not translate immediately into more reliable electricity: projects still need to be completed, connected to the grid and operated sustainably. The financing mix and delivery milestones will matter as much as the headline amount.

Source: The Herald’s report on MIF’s ZESA financing.