The southern African country’s new unity government, formed by rivals
President Robert Mugabe and Prime Minister Morgan Tsvangirai, has said
it requires $8.3 billion to rebuild an economy shattered by years of
hyper-inflation and contraction.
Although much of the funding is expected to come from sceptical Western
donors, who have demanded more reforms from the new administration,
Zimbabwean officials are also looking at raising about $1 billion from
the African continent.
"The future will involve the bank committing to provide lines of credit
to the tune of $250 million that will be used to support … the gold
and tobacco sectors as well as provide liquidity for banks and grain
imports," Biti told reporters after meeting Afrexim officials in Harare.
"The bank has also agreed to work with us to facilitate a diaspora
bond, which will be open to Zimbabweans living abroad and other
investors. We can’t give you the (issue) figure. It’s a matter we are
still discussing with the bank, but the bond should be floated by July
1," Biti said.
Zimbabwe has already secured $400 million credit to revive its
manufacturing sector from regional bloc the Common Market for Eastern
and Southern Africa (COMESA) as well as neighbours South Africa and
Botswana.
The International Monetary Fund (IMF) said on Wednesday its board had
decided to partially lift the suspension of technical assistance to
Zimbabwe and would provide help in targeted areas, starting from May 4.
The IMF said in a statement it would help Zimbabwe with tax policy and
administration, payments systems, banking supervision and central
banking governance.
Former U.N. Secretary-General Kofi Annan and South African Nobel
laureate Archbishop Desmond Tutu — members of a group of prominent
figures known as The Elders — said on Thursday the group had written
to donor countries and the European Commission urging them to respond
more swiftly on aid to help stabilise Zimbabwe.
"The inclusive government needs more support to ensure that it can
initiate the urgent stabilisation and early recovery programmes that
the people so desperately need," Tutu, chairman of The Elders, said in
a statement.
"Now is not the time for donors to take a ‘wait and see’ approach. This
is the best chance Zimbabweans have had for peace and prosperity in
decades."
Reuters
Post published in: News