BULAWAYO - The cash-strapped Grain Marketing Board (GMB) is seeking to raise US$2.5 million through the floatation of grain bills. (Pictured: Grain Marketing Board depot)
The GMB has been failing to pay farmers promptly for their grain deliveries, compromising their ability to plan for the next season. It is hoped that the money raised through the bills would go a long way in improving the financial position. The grain bills, which open and close for subscription on November 12 have a tenure of 90 days and would be underwritten by CBZ Bank Limited.
GMB intends to raise funds through a grain bills issue to finance the purchase of grain, GMB said a statement. The bills have a prescribed asset status, liquid asset status and a tax exemption status as part of their special features. GMB is targeting pension and provident funds, insurance companies, life mutual companies, commercial banks as well as other interested institutions and individuals to raise the funds. The GMB is targeting to acquire at least 50 000 metric tonnes of grain to strengthen the countrys Strategic Grain Reserves.