HARARE – Zimbabwe’s compensation programme for former commercial farmers displaced during the land reform programme is continuing to advance, with the Government allocating additional funding in the 2026 National Budget to honour commitments made under both Bilateral Investment Promotion and Protection Agreements (BIPPAs) and the Global Compensation Deed (GCD).
According to NewZWire, the Government has now paid US$40 million to BIPPA-protected farmers from the 2024 and 2025 national budgets and has earmarked a further US$20 million for payments in 2026. The outstanding US$70.5 million is expected to be settled during 2027 and 2028.
BIPPA claims relate to farms protected under bilateral investment treaties signed between Zimbabwe and several foreign governments. Under Zimbabwe’s Constitution, these farmers are entitled to compensation for both the acquired land and improvements.
Government records show that 97 farms qualified under the BIPPA compensation programme. However, owners of four farms opted to receive title to alternative land instead of financial compensation, leaving 93 farms with approved compensation claims worth US$130.5 million.
To date, 16 farms have been fully compensated, while 77 farms have received partial payments, reflecting gradual progress in implementing the settlement programme.
The largest share of compensation has been paid to claimants from the Netherlands, who account for 44 compensated farms with claims valued at US$20.1 million. Swiss claimants received US$11.9 million covering 27 farms, while German beneficiaries have received compensation amounting to US$4.8 million across 14 farms. Danish claimants account for US$2.8 million covering seven farms, while one claimant from the former Yugoslavia received US$0.4 million.
Alongside the BIPPA programme, Zimbabwe is also implementing compensation under the Global Compensation Deed (GCD), which covers former farm owners whose properties were not protected by bilateral investment treaties.
Under the Constitution, compensation for GCD claimants applies only to improvements made on the land, such as buildings, irrigation systems and other infrastructure, rather than the land itself.
The Government has committed to paying 1% of approved claims in cash, with the remaining 99% being settled through United States dollar-denominated Treasury bonds carrying maturities of between two and ten years at an annual interest rate of 2%.
For the initial US$724 million in agreed claims, the Government has already paid US$7.2 million in cash, while the remaining US$716.8 million has been issued through Treasury bonds.
The 2026 Budget has also allocated US$10 million to continue cash payments under the Global Compensation Deed framework.
In a further development, the Government approved an additional US$77 million in compensation for 89 farms in March 2026, expanding the scope of the compensation programme.
The compensation initiative forms part of Zimbabwe’s broader efforts to resolve long-standing property rights issues arising from the Fast Track Land Reform Programme, strengthen investor confidence and fulfil constitutional and international obligations while bringing closure to one of the country’s most significant economic disputes.
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