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Economic development

Sunway CITY Aims for 70% Completion within the Next Five Years

Strategic Insights

— 2 min read

Sunway CITY, Zimbabwe's prominent special economic zone and smart city urban development project, is poised to reach at least 70% completion in the next five years. Currently, 35-40% of the project has been developed under the National Development Strategy 1 (NDS1), with over 36 local and foreign investors operating within the zone, employing more than 1,000 people. Born out of a partnership between the then-Malaysian Prime Minister, Dr Mahathir Mohamad, and the late former Zimbabwean President Robert Mugabe, Sunway City combines Harare's 'Sunshine City' moniker and Malaysia's successful 'Sungwei' export processing zone.

Key Takeaways:

  • Sunway CITY aims to reach at least 70% completion within the next five years, with 35-40% already developed under the National Development Strategy 1 (NDS1).
  • Over 36 local and foreign investors operate within the zone, employing more than 1,000 people, with employment generation remaining a key focus.
  • The SEZ model offers incentives such as zero corporate tax for the first five years of operation and duty-free importation of capital equipment to qualifying investors.
  • Sunway City faces infrastructure hurdles, particularly unreliable water supply, but funding constraints have been partly addressed through support from institutions like the African Development Bank and local banks.
  • The project includes integrated industrial, residential, institutional, and commercial zones, with a master plan that includes schools, hospitals, a regional shopping mall, a solar park, and high-rise apartments for workforce accommodation.
  • Sunway City is wholly owned by the Industrial Development Corporation of Zimbabwe (IDCZ) under the Mutapa Investment Fund, representing Zimbabwe's push towards industrialisation.
  • Sunway City CEO Mr Collin Mutingwende emphasizes the role of local investors in boosting the economy through import substitution, which helps preserve foreign currency.
  • The project is designed to develop eco-friendly, world-class integrated industrial, commercial, institutional, and residential parks to facilitate industrialisation and economic growth.

Statistics:

  • 35-40% of Sunway CITY has been developed under the National Development Strategy 1 (NDS1).
  • Over 36 local and foreign investors operate within the zone.
  • More than 1,000 people are employed by the investors operating within the zone.
  • The SEZ model offers incentives for zero corporate tax for the first five years of operation and duty-free importation of capital equipment to qualifying investors.
  • Funding constraints have been partly addressed through support from institutions like the African Development Bank and local banks.
  • Sunway City spans 1,559 hectares along Mutare Road.
  • The project includes integrated industrial, residential, institutional, and commercial zones.

Sources:

  • [No external source mentioned]

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