Zimbabwe’s Mnangagwa struggles to repatriate offshore cash

John Cassim | Anadolu Agency | Getty Images

South African President Cyril Ramaphosa (R) meets his Zimbabwean counterpart Emerson Mnangagwa (L) during a visit to Harare, Zimbabwe, on March 17, 2018.

Question marks remain over the circumstances in which then-Vice President Mnangagwa assumed power in November last year, ending former President Robert Mugabe’s nearly four decades-long rule. Mugabe himself, speaking on Thursday in his first televised comments since being ousted, described the process as a “coup d’etat.”

Foreign investors are taking note of Zimbabwe’s recent upheaval. “Investors are bullish on Zimbabwe’s prospects going forward, attracted by the market’s resource endowments, large urban middle class and skilled talent pool,” Attwell said. “Senior executives from major local banks I spoke to say the upswing in inbound queries by prospective investors is the highest they’ve seen in many years.”

However, foreign investors from close to home could prove to be the biggest boon for Zimbabwe.

“South African investors will play a critical role in any turnaround of Zimbabwe’s economy, given the countries’ close geographic proximity, long-standing business ties and historically amicable political relations,” Charles Laurie, director and head of politics at consultancy Verisk Maplecroft, told CNBC Monday.