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NewsDay

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US aid freeze: Time for Zim to redefine development paradigm

Opinion & Analysis
This decision, while immediately concerning, forces us to confront fundamental questions about Zimbabwe's development model and its historical dependence on foreign assistance.

The recent executive order issued by US President Donald Trump halting foreign development assistance has sent shockwaves through Zimbabwe's development landscape, potentially jeopardising approximately US$300 million in critical aid funding.

This decision, while immediately concerning, forces us to confront fundamental questions about Zimbabwe's development model and its historical dependence on foreign assistance. The timing is critical, as the Finance, Economic Development and Investment Promotion minister Mthuli Ncube had projected receiving around US$800 million from development partners in the 2025 national budget, with USAid being one of the largest contributors.

The immediate implications of this pause are substantial and far-reaching. USAid's comprehensive support package in 2024, which included "US$55,1 million for the global health supply chain, US$21,8 million for HIV/Aids prevention and treatment and US$20,5 million for food security programmes," was instrumental in sustaining critical social services.

The suspension threatens to unravel years of progress in healthcare delivery, particularly in combating HIV, tuberculosis and malaria. The Food for Peace programme, recognised as the largest donor of humanitarian assistance, has been a lifeline for vulnerable communities, while the Feed the Future initiative has transformed the lives of "over 200 000 smallholder farmers" by enhancing agricultural productivity and income generation.

However, Trump's executive order, premised on the assertion that "the US foreign aid industry and its bureaucracy were misaligned with American interests and values," presents Zimbabwe with an unprecedented opportunity to reimagine its development framework. This situation calls for a serious examination of the President's mantra nyika inovakwa nevene vayo (a country is built by its own people), transforming it from rhetoric to actionable policy. The contemporary global political economy demonstrates that sustainable development cannot be anchored solely on foreign assistance, regardless of how well-intentioned it may be.

Zimbabwe's path forward requires a robust approach that begins with robust domestic resource mobilisation. The country's vast mineral wealth, especially in platinum, gold and diamonds, needs to be leveraged on more effectively through value addition and beneficiation. The current model of exporting raw materials while importing finished products has perpetuated economic dependency and undermined potential revenue streams that could fund social programmes. The government must accelerate the implementation of its industrialisation policy, focusing on establishing special economic zones and promoting local manufacturing capacity.

The agricultural sector, which has historically been Zimbabwe's economic backbone, requires comprehensive reform. The success of USAid's Feed the Future programme demonstrates the potential for transformative change when farmers receive adequate support. Zimbabwe should establish an Agricultural Development Fund, funded through a combination of mining royalties and private sector contributions, to provide sustainable financing for smallholder farmers. This should be complemented by investment in irrigation infrastructure, climate-smart agricultural techniques and modern farming technologies.

USAid has been active in supporting "crucial sectors including health, agriculture, democracy, and food security," Zimbabwe needs to develop indigenous solutions. This includes establishing a robust National Health Insurance scheme, investing in local pharmaceutical manufacturing capacity and strengthening public-private partnerships in healthcare delivery. The success of community health worker programmes in other African countries provides a model for expanding healthcare access while building local capacity.

The education sector must also be realigned to support this new development paradigm. Zimbabwe's curriculum should emphasise innovation, entrepreneurship and practical skills that support industrial development. The country's high literacy rate provides a strong foundation for developing a skilled workforce capable of driving economic transformation. Technical and vocational education should be prioritised to create a pool of skilled workers for the manufacturing and agricultural sectors.

Furthermore, Zimbabwe must address governance issues that have deterred foreign investment and hampered economic growth. The democratic governance programmes supported by USAid have highlighted the importance of transparent and accountable institutions. Strengthening anti-corruption measures, improving the ease of doing business and ensuring policy consistency are crucial for attracting both domestic and foreign investment as alternatives to aid dependency.

While the 90-day review period creates uncertainty, as noted by the Public Service, Labour and Social Welfare ministry, it should catalyse the implementation of these long-term solutions. Zimbabwe's development partners, including non-governmental organisations and contractors, should be engaged in transitioning from aid-dependent programmes to sustainable, locally-driven initiatives.

The journey to genuine economic independence requires painful but necessary reforms. Zimbabwe must use this moment to accelerate its transition from aid dependency to self-reliance, guided by local solutions and indigenous knowledge systems.

The success of this transition will not only secure Zimbabwe's development future but also provide a model for other developing nations seeking to break free from aid dependency. The time has come for Zimbabwe to truly embrace the principle that a nation's development must be driven by its own people, supported by its own resources and guided by its own vision for the future.

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