With China scaling back its financial support and the West hesitant to engage with Zimbabwe, the United Arab Emirates (UAE) has emerged as Zimbabwe’s key economic partner, investing $1.4 billion in real estate and gold trading.
UAE Becomes Zimbabwe’s Largest Trade Partner
Since 2022, the UAE has overtaken China as Zimbabwe’s top trade ally, marking a strategic shift in the country’s foreign investment landscape. The UAE’s increasing presence in Zimbabwe aligns with its broader $110 billion investment strategy in Africa, covering trade, energy, logistics, food security, and infrastructure.
According to Eldred Masunungure, a political science professor at the University of Zimbabwe, the UAE has rapidly transitioned from an unknown player to Zimbabwe’s foremost trade partner.
Gold and Economic Survival
Zimbabwe’s gold industry, which hit a record 36 tons in 2023, has been a major attraction for the UAE. Economist Lyle Begbie (Oxford Economics) describes gold as a “bright spot” for the struggling Zimbabwean economy, drawing increasing UAE investment.
Zimbabwe’s $21 billion debt burden and unstable economy continue to pose challenges. However, according to Hasnain Malik, an emerging market strategist at Tellimer in Dubai, UAE investments provide “options for survival” but are not enough alone to stabilize Zimbabwe’s currency.
He emphasized that Zimbabwe’s long-term economic stability depends on sovereign debt restructuring, credible fiscal policies, multilateral finance, and a freer currency float.
A New Geopolitical Player in Africa
The UAE’s deepening relationship with Zimbabwe signals a shift in global influence on the African continent, as it competes with China and Western powers for strategic economic and political positioning.
