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Tinashe Makichi Business Reporter
United Arab Emirates-based financial institution, Tabarak Investment Bank has submitted funding proposals to relevant authorities as the bank steps up preparations to start investing in Zimbabwe’s mining and petroleum sector, a company official said.
The company has already obtained an investment licence from the Zimbabwe Investment Authority to start its operations but the bank has been submitting funding approvals from shareholders and other relevant authorities.

Tabarak Investment Bank through its Zimbabwean based subsidiary Mondore General Trading (Pvt) Limited is currently involved in the trading of agricultural products.

Responding from his base in Dubai, Mondore General Trading executive director Dr Andre Homberg told The Herald Business that plans are at an advanced stage to start joint venture deals with local companies.

“We are excited about the investment opportunities in Zimbabwe and already plans to start joint ventures are taking off. We have submitted significant funding proposals to the relevant authorities, however, I cannot divulge much as we are bound by confidentiality agreements at this stage,” said Dr Homberg.

Dr Homberg said the company will invest heavily in mining and petroleum businesses while agriculture will be a focal area as well.
He, however, could not disclose the size of the financial investment earmarked for Zimbabwe saying they are still engaging different authorities.

Mondore Trading has been involved in small-scale importation of wheat into the country in recent years but it now hopes to expand its business portfolio by going into full scale farming.

Tabarak Investment Bank is also working with its stakeholders to provide structured finance to Zimbabwe. The company recently finalised a joint venture deal with a local upcoming petroleum company, Line Petroleum based in Chisipite.

As part of the deal, Mondore Trading would be responsible for facilitating the importation of petroleum into the country on behalf of Line Petroleum.
Dr Homberg confirmed that there is potential to explore other markets in the east to raise funds for the development of Zimbabwe.

Dr Homberg said the Tabarak Investment Team is set to meet the Ministry of Finance and Economic Development to discuss financial solutions that can be offered to Zimbabwe.

He noted that a vibrant banking system and financing are critical for the success of the Special Economic Zones, which have been proposed by the Government in a bid to attract foreign direct investment.

Dr Homberg said Government should consider establishing an investment guarantee fund which will be used to offer sovereign guarantee to attract public private partnerships.

A sovereign guarantee is a Government instrument issued by the central bank, guaranteed by assets like mineral rights and land infrastructure which can be used as collateral.