The United States Agency for International Development (USAID) program of development assistance to Zimbabwe dates back 23 years, having started with the country’s independence in April 1980.  A total of US$892 million had been committed through FY2002.  United States development assistance has been wide-ranging, including support for structural adjustment, sustainable and equitable economic growth, housing investment guarantees, environmental programs, health, democracy and governance, education, housing, urban development and small and medium-scale enterprise (SME)  development.  USAID has also been actively involved in humanitarian efforts during periods when Zimbabwe has suffered from drought, most notably in 1992 and 2002/3. 

1980-1989: Post-Liberation Struggle Reconstruction

In line with the goals of the new government in Zimbabwe, USAID’s strategy was focused on the reconstruction of the country, with a significant proportion of the support going towards the resettlement of Zimbabweans and the provision of agricultural assistance.  During this period, USAID’s program included US$172 million in commodity import programs that financed the foreign exchange of manufacturing and agricultural equipment, with local currency generated used to improve the productivity of smallholder farmers, as well as to support health, housing, local government projects and education.  The USAID program sponsored one of the largest participant training programs in sub-Saharan Africa, with nearly 200 candidates sent to the U.S. for advanced degrees.  With US$50 million in housing guaranty loans, USAID provided more than 20,000 housing plots, 7,000 core houses and approximately 17,000 house construction loans for low-income households. 

1990-1997: Economic Reform and Development

In the early nineties, Zimbabwe began to embrace more growth-oriented, outward-looking, market-oriented policies.  At the same time, USAID’s strategy shifted towards the support of structural adjustment, increased participatory and equitable economic growth and an enabling environment.  USAID’s support resulted in successful grain-market reform, private sector enterprise development, SME promotion, provision of private sector housing, improved natural resource management and an expanded role for the private sector in the provision of family planning methods.  Support for grain market reform helped move grain marketing toward a competitive and efficient system by reducing marketing controls and allowing more broad-based private sector participation in grain marketing systems. 


The Public Sector Housing Program (PSHP) was designed to support the Economic Structural Adjustment Program (ESAP) and assist the Zimbabwean government in enacting policy changes in the housing sector.  The program increased low-cost housing affordability by threefold, and provided complementary infrastructure for over 45,000 low-cost stands in 22 participating towns.  The Communal Areas Management Program for Indigenous Resources (CAMPFIRE) was a successful community-based natural resource management activity and contributed to the control and efficient use of wildlife products and effective operation of wildlife corridors with the added impact of increased income for participating communities. 


The Private Enterprise Development Program focused on increasing private sector-led growth that resulted in increased job creation, foreign currency earnings, and broadened indigenous participation in the economy through Export Processing Zones, business linkages, Anti-Trust Legislation, franchising, business advisory services, employee ownership, improved access to finance and support for business development associations.

1998 – Present Day: Political Reform and HIV/AIDS Mitigation

USAID strategy has shifted to meet increasing changes in Zimbabwe’s political, economic and social arenas.  USAID’s current program focus was determined by the organization’s comparative advantage in areas where it can make the greatest impact.  Funding is thus focused on HIV/AIDS prevention, increasing dialogue between civil society and government institutions, and enabling the most disadvantaged groups gain greater access to micro-finance and related business support services.  With an annual budget that has increased to about US$10 million, the HIV/AIDS program has led the fight against HIV/AIDS through a variety of interventions including, the successful establishment of its Voluntary HIV Counseling and Testing (VCT) Centers and facilitating improved provision of education, prevention and care services.  USAID’s orphan program has provided a source of hope for the more than 800,000 orphans and vulnerable children affected by HIV/AIDS in Zimbabwe.

The Participation Program has been instrumental in the on-going reform of Zimbabwe’s Parliament and raising awareness and creating room for citizens to be involved in the decision-making processes on issues that affect them.  The program is supportive of the internationally recognized fight to restore democracy in Zimbabwe as well as the promotion of transparency and accountability within the leadership process. 

The Expanded Economic Opportunities Program is a vital component in the development and provision of coping strategies for those groups, including people affected by HIV/AIDS, that have suffered negatively as a result of the economic meltdown, and the prevailing upheaval in the country by increasing their access to micro-finance services, skills training, and facilitating commercial linkages for their economic activities.

Financial History of USAID Assistance to Zimbabwe

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