HARARE - A Zimbabwean government official on Wednesday said President Robert Mugabe and Prime Minister Morgan Tsvangirai's unity government had exceeded its target of securing US$1 billion in credit lines from Africa.The coalition government, seen as offering Zimbabwe the best
opportunity in a decade to restore stability and end a devastating
economic crisis, was formed in February following the signing of a
power-sharing agreement last September.
Speaking at the launch of Harare's 100-day plan to repair the southern
African country's shattered economy Economic Planning Minister Elton
Mangoma said a lot of ground had been covered in securing private
sector funding.
"We’ve made major strides in obtaining lines of credit for the private
sector . . . so our $1 billion target has already been surpassed,"
Mangoma said.
Once a prosperous nation, the southern African country is desperately
seeking $2 billion in emergency funding and $8 billion in the long term
to help stabilise an economy ravaged by a decade of hyper-inflation,
unemployment above 90 percent and political violence.
Mangoma said the more than $1billion Zimbabwe had so far secured was
provided by African financial institutions such as the African
Development Bank, the Cairo-based African Export-Import Bank, while
neighbouring South Africa and Botswana chipped in with $150 million.
Mangoma, however, said only South Africa and China with a combined
US$35 million had responded positively to efforts to raise $1 billion
in direct aid from donors which the government desperately needs to
fund its operations.
Key Western donor countries have withheld direct financial support to
Harare, demanding that the unity government carry out far reaching
political and media reforms and end a fresh wave of farm invasions
before they consider releasing any money
Despite the government’s urgent need to raise funds, Mangoma said they would not sell underperforming parastatals.
"Our focus is not going to be on wholesale privatisation of
parastatals. They will be reformed to increase efficiency. Prices are
low at the moment, so bringing public assets for sale now will not
bring much benefit," Mangoma said.
Speaking at same occasion Justice Minister Patrick Chinamasa repeated
the new government’s commitment to implement political reforms and to
end Zimbabwe’s international isolation by engaging Western governments
that imposed sanctions on Mugabe’s Zanu (PF) government, all within the
100-day period.
"We want to see the review of media policy and laws to create a plural
media sector, to kick-start the constitutional reform process and the
re-engagement of the international community," Chinamasa said.
ZimOnline.
Post published in: News