Public ID: PID-W9ZPYG
Ownership not possible for majority of agricultural land in Zimbabwe (only leasing)
Trade barrier summary
After the Fast Track Land Reform (FTLR) in 2000, the freehold system was replaced with a leasehold system for almost all agricultural land in Zimbabwe.
The government of Zimbabwe introduced offer letters and 99-year leases for use of the land. However, these documents are generally considered unbankable because they:
- restrict lease transfers
- contain a clause that gives the government power to repossess the land
This has resulted in fewer banks providing loans secured against land in Zimbabwe.
Financing imports of UK agricultural equipment is also harder due to tendency for farms to be leaseholders rather than owners. As a result of this, they cannot use their title as collateral.
- Agriculture, horticulture, fisheries and pets
8 January 2020
25 November 2021