The Zimbabwean government has made its first compensation payments to white farmers whose land was seized during a controversial land reform program more than two decades ago, officials announced Wednesday.
An initial $3 million has been disbursed to cover compensation for 378 farms, marking the first payouts under a 2020 agreement in which Zimbabwe committed to pay $3.5 billion in total to white commercial farmers whose properties were confiscated between 2000 and 2001.
The land seizures, often carried out violently, were intended to redress colonial-era land ownership disparities but ultimately triggered economic collapse and strained Zimbabwe’s relations with Western nations.
“This is a key part of our economic reform and re-engagement efforts,” Finance Minister Mthuli Ncube said, adding that the compensation would help Zimbabwe move forward with debt clearance and economic recovery. He said the remaining payments will be issued via U.S. dollar-denominated Treasury bonds.
The funds address only “improvements” made to the land, such as infrastructure and buildings, and not the land itself. The government maintains that land taken during colonial rule does not qualify for compensation.
Harry Orphanides, a spokesperson for the farmers, told the BBC that interest in the compensation process is growing, although many farmers have yet to register or still hold title deeds.
Zimbabwe has also prioritized compensation for foreign-owned farms protected under bilateral investment treaties. In January, the government began payouts to those investors as part of separate negotiations.
Since gaining independence in 1980, Zimbabwe has struggled with the legacy of land ownership concentrated in the hands of about 4,000 white farmers. In 2000, then-President Robert Mugabe supported land invasions led by security forces and militia groups, which led to widespread international condemnation and sanctions.
President Emmerson Mnangagwa, who took power in 2017 following a coup, has said land reform is irreversible but compensation is necessary to repair diplomatic and financial relations.
Zimbabwe remains isolated from the global financial system and burdened by significant foreign debt. Analysts say fulfilling compensation commitments could be a critical step in restoring trust with Western creditors and investors.