$1,5bn rescue package unveiled

Source: $1,5bn rescue package unveiled | Newsday (News)

The African Export-Import Bank (Afreximbank) has offered a $1,5 billion package which guarantee investments into Zimbabwe, in a timely boost for the new administration led by President Emmerson Mnangagwa.


Afreximbank president and chairman Benedict Oramah met Mnangagwa in a closed-door meeting at Munhumutapa Offices yesterday, where the Cairo-headquartered bank reaffirmed its continued support to Zimbabwe.

“We also discussed a number of areas that involve additional investment from us, something that will be in the region of $1 billion to $1,5 billion that includes certain kinds of guarantees to encourage investors to come to Zimbabwe at this time,” Oramah told journalists after meeting Mnangagwa.

“We discussed various areas we have been intervening and continue to provide and so informed His Excellency, the President, that the $600 million we engaged in a few weeks ago had been finalised. This includes a $150 million facility for banks to ensure that we have a good supply of essential items such as fuel and fertilisers.”

He said the bank would support the stabilisation of the Zimbabwean economy through alleviating the foreign currency crisis.

Afreximbank were the guarantors of the $200 million export incentive facility introduced last to grow the country’s exports.

The facility comes in the form of bond notes. Monetary authorities say the facility has led to a 40% growth in exports.

The bank has also provided the $600m nostro stabilisation facility to help the country clear the foreign payments backlog.