Zimbabwe has taken a landmark step toward transforming its energy sector with the launch of its first Renewable Energy Fund in late 2024. Supported by the UN Joint SDG Fund and implemented in partnership with Old Mutual, UNESCO, UNCDF, UNDP, UN Women, and the Government, the Fund introduces an innovative financing model aimed at extending energy access to communities traditionally overlooked by conventional investments. By combining public and private capital, the initiative seeks to deliver both financial returns and social impact, accelerating progress on the Sustainable Development Goals (SDGs) while promoting inclusive participation, particularly for women and youth.
The Fund pools $16 million—$8 million from the UN Joint SDG Fund matched by $8 million from Old Mutual—as seed capital, with projections to attract more than three times that in follow-on investments. By the end of 2025, the Fund is expected to grow to $30 million and reach $50 million by 2026. Concessional funding absorbs early-stage project risks, encouraging commercial investors to join once projects prove viable, ultimately delivering reliable renewable energy to hospitals, schools, farms, and entire communities.
Impact stories highlight the tangible benefits of the Fund. At Dairibord Zimbabwe in Chipinge, a $1 million solar installation allows the country’s largest dairy producer to refrigerate milk reliably, supporting 480 small-scale farmers—40 percent of them women—and providing electricity to nearby schools with solar-powered wells. In Guruve District, a $6 million investment in a ten-megawatt solar plant not only reduces electricity imports and carbon emissions but also empowers the local community through shared ownership and dividends that fund irrigation, renewable-powered clinics, schools, and small enterprises.
The Fund’s impact framework ensures measurable outcomes aligned with multiple SDGs, including Gender Equality, Affordable and Clean Energy, Decent Work and Economic Growth, Industry, Innovation and Infrastructure, Partnerships for the Goals, and Climate Action. Every project aims to extend energy access, create jobs, empower women, foster innovation, and reduce emissions, ensuring that the Fund delivers inclusive growth alongside sustainable energy solutions.
For Zimbabwe, where only 62 percent of the population and just 52 percent in rural areas have electricity access, the Renewable Energy Fund represents more than policy—it is a pathway to a brighter, equitable future. From powering clinics and schools to supporting farmers and entrepreneurs, the initiative is beginning to rewrite the country’s development story, harnessing renewable energy as a foundation for health, education, livelihoods, and dignity.
