Govt Launches US$4 Million ZACDEP to Drive Arrears Clearance and Economic Reforms

HARARE— Government has officially launched the Zimbabwe Arrears Clearance Dialogue Enhancement Project, a US$4 million initiative funded by the African Development Bank aimed at building consensus for the financing and clearance of the country’s external debt.

Speaking at the launch on July 28, 2026, a senior government official said the project’s objective is to “enhance dialogue and build consensus on prerequisites for implementation of a roadmap for financing and clearance of Zimbabwe’s arrears.”  

“Clearance of arrears and debt resolution remain critical for macroeconomic stabilisation, promoting investments, unlocking development financing and achieving inclusive and sustainable economic growth,” he said.

The AfDB has committed UA3 million, approximately US$4 million, to ZACDEP. The Project Grant Agreement was signed on 30 June 2026 and implementation will run for three years up to 30 June 2029.  

“We are grateful to the African Development Bank for availing resources amounting to UA3 million approx. US$4 million for this project,” the official said.

ZACDEP is aligned to government’s priorities under the second National Development Strategy 2026-2030, focusing on economic growth and stability, governance, and land tenure reforms. 

The project has two specific objectives: supporting implementation of the Arrears Clearance and Debt Resolution Roadmap and economic stabilisation reforms, and creating an enabling environment through public debt, governance, land and oversight functions of state and non-state institutions.

The launch follows the predecessor Support to Arrears Clearance and Governance Enhancement Project. Government said SACAGE significantly enhanced Zimbabwe’s capacity to engage creditors, development partners, the private sector and civil society.  

Key achievements include the establishment of the Structured Dialogue Platform and Sector Working Groups focusing on three pillars: Economic Stabilisation, Governance, and Land Tenure Reforms.

 The process was led by President E. D. Mnangagwa with support from the AfDB President as champion and former Mozambican President H. E. Joaquim Chissano.

On the policy front, government noted that a 10-month IMF Staff Monitored Programme is currently ongoing to consolidate economic stabilisation gains, and an Arrears Clearance Roadmap has been developed to guide the process. 

Further, compensation processes for Former Farm Owners under Bilateral Investment Promotion and Protection Agreements have been initiated to reinforce trust and property rights in line with constitutional provisions.

The official said NDS2 prioritises macroeconomic stability, governance and international engagement to consolidate gains made under NDS1 and accelerate transformation toward Vision 2030 of an Upper Middle-Income Society.

 He also acknowledged AfDB’s continued support in energy, governance, institutional building and agriculture.  

“Let me also take this opportunity to acknowledge the continued invaluable support that the Government of Zimbabwe continues to receive from the African Development Bank in other sectors of our economy,” he said.

Government commended all stakeholders involved in SACAGE and in developing ZACDEP, but stressed that implementation now begins in earnest.  

“As I conclude, I would like to commend all the stakeholders... Your valuable efforts have enabled us to get to this important stage. 

However, in terms of actual implementation, this is the starting point. Let’s all invest our energies in the implementation of the project to ensure its success.”