US-based firm commits Sh60 billion to five-star hotel in Zanzibar

Zanzibar. A US-based firm, Delaware Investment Ltd, is making waves in Zanzibar’s burgeoning hospitality sector with a Sh60 billion investment to develop a luxurious five-star hotel on the Isles’ scenic outskirts. 

The ambitious project aims to tap into Zanzibar’s rapidly expanding tourism industry and its increasingly investor-friendly climate.

The development underscores the growing international interest in Zanzibar as a premier travel destination and a hub for strategic investments. 

During a recent site visit, Delaware Investment Ltd’s CEO, Rishen Patel, expressed confidence in the local business environment, praising the Isles’ government for fostering a climate conducive to foreign investment.

“We have seen a friendly environment for investment. Through the Zanzibar Investment Promotion Authority (Zipa), we are confident this will not be our only project,” said Patel.

He further hinted at plans for diversification, pledging additional investments tailored to address other key sectors of the local economy.

The hotel, expected to be completed by mid-2025, will feature 74 rooms, including suites specifically designed for high-profile guests such as heads of state.

Patel disclosed that the project is set to create 300 direct jobs alongside numerous indirect employment opportunities, benefiting local suppliers and service providers. 

“If all goes as planned, we hope President [Hussein] Mwinyi will inaugurate the hotel, as we are encouraged by the government’s efforts to open doors for investment,” he stated. 

Construction is being overseen by JHS Enterprises Ltd.

Its director, Harbinder Singh Reehal, acknowledged challenges in sourcing building materials but expressed confidence in adhering to the 2025 timeline. 

“In Zanzibar, procuring construction materials can be a time-consuming process. Essential supplies such as cement often need to be imported from mainland Tanzania, causing delays,” Reehal explained.

“Despite this, 70 percent of the work is complete, and we are on track to finish the project as planned,” he added.