Mutapa to shake – up State firms
...move to instil commercial discipline
CLOUDINE MATOLA
The Mutapa Investment Fund, Zimbabwe’s sovereign wealth vehicle, is set to launch a sweeping leadership shake-up across dozens of its portfolio state-owned companies in a bold push to enforce corporate governance, instil commercial discipline, and eliminate dependency on Treasury bailouts, Business Times has learnt.
The plan was disclosed by Simba Chinyemba, the fund’s Chief Investment Officer, who said Mutapa is moving decisively to overhaul boards and senior management as part of a broader strategy to professionalise operations, enforce accountability, and compel firms to start declaring dividends.
“Number one is to fix the corporate governance issues that we’ve seen, and the uncertainties that we’ve inherited,” Chinyemba said. “Number two is to create a commercial mindset.”
To date, at least five boards have been reconstituted and six new chief executive officers appointed, with more changes on the horizon. Chinyemba said the transformation is essential to shift state firms from a model reliant on Treasury lifelines to one driven by profitability, value creation, and sustainability.
“ We’ve made it clear: if you’re a commercial company, you’ve got to declare dividends or show a pathway to profitability,” Chinyemba said.
He added that robust board oversight is now Mutapa’s top priority, and newly appointed leadership across entities has been given clear performance expectations.
“The board matters to us. What our boards and chairmen are doing is the most important thing we worry about at Mutapa right now,” he said.
The governance shake-up comes amid Mutapa’s strong fundraising performance. In the first half of 2025, the fund mobilised US$350 million, a portion of which has already been deployed to clear legacy debts and inject fresh capital into key enterprises to drive recovery and growth.
Established in 2022 via Presidential decree, the Mutapa Investment Fund now controls 66 state-owned enterprises spanning six strategic clusters: mineral resources; energy and trade; ICT, transport and logistics; agriculture and agro-industries; financial services; and real estate.
Among its most strategic or high-profile investments are the National Railways of Zimbabwe, Air Zimbabwe, TelOne, NetOne, People’s Own Savings Bank, ZESA Holdings, Zimbabwe Power Company, Hwange Colliery, Fidelity Gold Refinery, National Oil Infrastructure Company of Zimbabwe, Petrotrade, Infrastructure Development Bank of Zimbabwe, Afreximbank’s Zimbabwe representative office, ZB Financial Holdings, FBC Holdings, Agribank, Grain Marketing Board, Cold Storage Company, COTTCO, Zimbabwe Mining Development Corporation, Zimbabwe Consolidated Diamond Company, Mining Promotion Corporation, Silo Food Industries, Willowvale Motor Industries, Zimbabwe United Passenger Company, CMED (Private) Limited, Airports Company of Zimbabwe, Zimbabwe National Roads Administration, Allied Timbers, ZimParks, and the Zimbabwe Investment and Development Agency.
Most of these enterprises have been plagued by chronic inefficiencies, corruption, and undercapitalisation—many of them operating at a loss for years.
Under Mutapa’s new investment-led strategy, state firms will be expected to operate as commercially viable entities, deliver returns, and contribute meaningfully to the country’s economic development.
Chinyemba said companies that fail to demonstrate a path to profitability will be required to justify their continued existence under the fund’s stewardship.
“This is a very good example of a structure that is linked to project finance. If we fix the corporate governance, we create value. And we are already starting to see the change,” he said.
Analysts say the Mutapa shake-up signals the beginning of a potentially transformative era in public sector reform. By installing competent, performance-oriented executives and holding boards to account, the fund could become a powerful catalyst for industrial recovery and long-term economic growth.
However, they caution that real success will depend on sustained political support, insulation from interference, and a relentless commitment to results.
As Chinyemba summed it up: “Zimbabweans expect their sovereign wealth fund to take that money and invest it in other things for the future.”
Mutapa’s bold overhaul of its portfolio firms could mark the beginning of the end of decades-long dysfunction in Zimbabwe’s state enterprise landscape—provided execution matches ambition.
