Business Reporter
THE country’s only licensed Unified Telecommunications services provider, TelOne says it is ready to tap into the vast opportunities presented by the Mutapa Investment Fund (MIF).
The MIF was initially established under the Sovereign Wealth Fund Act (Chapter 22:20) and renamed the Mutapa Investment Fund through Statutory Instrument 156 of 2023.
A total 20 State Owned Enterprises (SOEs) including TelOne were removed from the previous arrangement of line ministries and were placed under the fund.
Speaking to journalists on the sidelines of a media tour Thursday, TelOne CEO Lawrence Nkala expressed optimism over the move.
“We are very excited to move to the Mutapa Investment Fund. We believe the move will open up new investment opportunities and unlock potential for the company,” he said.
The development comes at a time when the company has lined up lucrative projects requiring capital.
The company is also saddled with debts dating back to the late 1980s which and a cocktail of other challenges they believe will be expeditiously resolved under the new setup.
Available information shows that the MIF is like a savings account for the country, where they put extra money that would have been generated from trade and fiscal surpluses, or when they sell off government-owned businesses.
The fund will also help the government achieve its development goals, including long-term economic and social growth. It will help stabilize the country’s economy and add to the government’s income.
Despite fears from other sections of the society, experts believe that it represents a significant milestone for Zimbabwe, not just as a financial instrument but as a harbinger of economic potential.
Many countries have these funds and they can be very successful. For example, Norway has one of the largest and most successful funds in the world, which is funded by oil revenues.
The Government Pension Fund Global of Norway is the world’s largest sovereign wealth fund, with over US$1 trillion in assets, including 1.4% of global stocks and shares
