Mutapa income surges 406pc, profits jump 502pc

MUTAPA Investment Fund (MIF) recorded a 406 percent increase in total income and a 502 percent growth in surplus during the 2025 financial year, reflecting improved performance across its portfolio as the sovereign wealth fund intensifies efforts to revive strategic national assets.

The Fund also registered a 139 percent increase in comprehensive income and 10,7 percent growth in assets. Cumulative dividends received by the Fund reached US$93 million, while portfolio companies increased their contributions to Government revenue through higher tax payments.

MIF has disbursed US$152 million to companies within its portfolio to support recapitalisation, rehabilitation and expansion programmes aimed at restoring productive capacity and strengthening their contribution to the economy.

Speaking on the role of sovereign wealth funds as economic anchors in ensuring State sustainability and transforming State-owned enterprises into strategic national assets at the National Defence Course No. 15 of 2026, held at the Zimbabwe National Defence University in Harare, MIF chief executive officer Dr John Mangudya said the Fund was making significant progress in addressing governance challenges and improving investment performance.

He said the Fund was also targeting the establishment of a National Stabilisation Fund next year to promote economic stability, support fiscal sustainability and preserve national wealth for current and future generations.

Dr Mangudya said MIF was restructuring the Industrial Development Corporation of Zimbabwe (IDCZ) to strengthen corporate governance, improve capitalisation and promote financial discipline across its portfolio.

Under the proposed arrangement, IDCZ will provide advisory services to financial institutions both within and outside the Fund’s portfolio. It will also advise MIF on investment opportunities, financing and the execution of its investment mandate.

The restructuring is expected to enhance transparency and establish a framework for turning around underperforming entities.

“Under the proposed structure, IDCZ would provide advisory services to financial institutions within and outside the Fund portfolio and would also serve as an advisor to the Fund in originating and pursuing investment and financing mandate,” he said.

The Fund is also consolidating telecommunications companies into a single entity to reduce operational costs and improve efficiency, while insurance businesses are being reorganised under a hub-and-spoke model.

Dr Mangudya said the interventions were beginning to yield positive results through improved productive capacity, job creation, increased domestic production and stronger value chains, helping to reduce import dependence and boost exports.

Among the major projects being supported by the Fund is the expansion of the National Oil Company of Zimbabwe’s fuel pipeline capacity from three billion litres to five billion litres annually.

MIF has also injected US$13,6 million into the refurbishment of the Sable Chemicals Industries fertiliser plant, with the project now 97 percent complete.

The first phase is targeting annual production of 240 000 tonnes of ammonium nitrate fertiliser, a development expected to strengthen domestic fertiliser supplies and support agricultural production.

At Dorowa Mine, the Fund injected US$5,3 million towards plant refurbishment, which has since been completed. The intervention is expected to increase production capacity from 15 000 tonnes to 80 000 tonnes.