Cabinet has approved the implementation of a new framework for Community Share Ownership Trusts (CSOTs) aimed at ensuring local communities directly benefit from natural resources and rural industrialisation projects.
Information Minister Jenfan Muswere announced the decision after a post-Cabinet briefing, describing the trusts as critical vehicles to drive rural industrialisation in all districts in line with President Emmerson Mnangagwa’s pledge of leaving no one and no place behind.
The revised model now to be known as Community Economic Empowerment Trusts (CEETs) will be designed to attract investment into agro-processing, industrial parks and village business units across the country.
“The trusts will form a vital cog that attracts investments including through partnerships into agro-processing, leveraging the local agricultural economy,” Muswere said.
The government also plans to align the Economic Empowerment and Indigenisation Act with the new framework alongside the pending Mines and Minerals Amendment Bill in a bid to accelerate progress towards its Vision 2030 development strategy.
Under the framework, companies already contributing dividends to local trusts will continue operating while new entrants in mining and related sectors will be required to comply with updated revenue-sharing rules.
Cabinet officials said the model is built on six pillars: the policy shift from CSOTs to CEETs, the One District, One CEET initiative, revenue sharing, rural industrialisation and local enterprise development, governance and administration and institutional capacity building.
The minister emphasised that marginalised groups including women, youth, war veterans, people with disabilities and small to medium-sized enterprises would be prioritised in the rollout.
The initiative, Muswere said is part of the country’s broader rural industrialisation push which aims to reduce urban-rural disparities while leveraging natural resources and agriculture to spur inclusive economic growth.
