Zim unit owes AB InBev more than $40m amid foreign currency crisis

Zim unit owes AB InBev more than $40m amid foreign currency crisis

Harare – Anheuser-Busch (AB) InBev is owed more than $40m in dividend payments from its Zimbabwean associate Delta Corporation, as the foreign currency crisis in that country worsens.

Source: Zim unit owes AB InBev more than $40m amid foreign currency crisis | Fin24  July 31, 2017

Speaking on the sidelines of the company’s annual general meeting on Friday, CEO Pearson Gowero told Fin24 that the company is sitting on about $40m owed to the major shareholder AB Inbev.

“The amount could be as high as $50m if we include technical fees among others,” said Gowero.

Delta is not the only Zimbabwean company struggling with repatriating dividends to foreign shareholders, with cigarette manufacturer BAT Zimbabwe also reportedly owing its major shareholders millions of US dollars.

Foreign currency shortages have also seen the group owing its foreign shareholders around $11m in unpaid dividends.

MultiChoice caught up in crisis

MultiChoice Zimbabwe has also been caught up in the crisis, threatening service provision to DStv viewers in the country.

The pay per view subscribers have been struggling to pay their subscriptions as forex shortages continue to hit the country.

Most banks in the country have also suspended DStv payments.

Banks that are still accepting such payments have since increased their commission, resulting in an outcry from consumers.

Listed telecoms firm Econet has also reportedly scaled down the issuance of new debit cards for its mobile money service EcoCash, in line with the central bank’s directive to monitor foreign expenditure. EcoCash also suspended payment of MultiChoice’s DStv subscription at the beginning of the year.

Local financial institutions have been battling to meet foreign payment obligations on the back of low nostro balances, as foreign currency shortages in the country persist. As a result businesses, especially manufacturers and mines, have been struggling to make foreign payments.

COMMENTS

WORDPRESS: 3
  • comment-avatar
    Chatham House 5 years ago

    There is no crisis. Mugabe, Chinamasa, Perence Shiri, Obert Mpofu, James Bond Magudya, Gideon Gonzo and Sconzie are the best economists in the world. First they murdered 20 000 people to improve the economy. They simply did not need those people. Later they set about amputating perceived opposition peoples’ arms – in a highly innovative Oeration Short Sleeve and Operation Long Sleeve planned Terror process. The they turned their attention to commercial agriculture in 2000. They simply murdered more civilians because they associated with commercial agriculture. Then they destroyed the infrastructure by allowing their looter mujibas to take that which they wanted. Now they want any monies that the Diaspora send to their Zanu abused families in Zimbabwe. This is what we may term Utopia in Scoones’ speak or of course Carrington and Kissinger. They remain the proud architects of Zimbabwe Today. Just read Scoonsie’s blog and he is as proud a prince.

  • comment-avatar

    Zimbabwe dollar number two is on its way into the ZW money system.
    Old Mutual price in ZW is 55% above its equivalent in Johannesburg and or London therefore the mabondi notes should be trading somewhere between 1 to 1 (per USD)and at least a 50% discount.
    Hold onto your US dollars comrades at all costs

  • comment-avatar
    Nyoni 5 years ago

    The regime has deliberately removed all opposing views to its economic policies so that any looting on its behalf can be blamed on the Western worlds ‘sanctions’. The study of economics shows this regime simply does not follow the basic rule of balancing the books.It seems by targeting employment thus making the people unemployed ,they have effectively made the people slaves to accept any payment given them. By selling the country short,this regime has proven they have no intention in seeing Zimbabwe achieve great heights thus the tendency to feed the gullible lies upon lies.