Source: IDBZ raises $110m for students accommodation – DailyNews Live
BUSINESS WRITER 23 May 2017
HARARE – The Infrastructure Development Bank of Zimbabwe (IDBZ) has raised
nearly $110 million earmarked for constructing residence for university
students and employees.
The bank yesterday said $75 million will go towards construction of
superstructures for student halls of residence at five State-owned
universities while over $32 million will go towards the construction of
houses in Kariba, Hwange and Sumben.
This comes as the infrastructure development institution recently
indicated that it was going to structure deals valued at over $3 billion
this year earmarked for various sectors of the economy.
IDBZ finance director Cassius Gambinga said the organisation, which was
appointed the lead financial advisor on the $2,7 billion
Beitbridge-Harare-Chirundu road upgrading and dualisation project, is
looking for strategic investors who understand the long-term nature of
infrastructure business.
“Foreign development finance institutions (DFIs) will also be targeted for
equity or debt,” he said at the bank’s analysts briefing in the capital.
IDBZ is also expected to play a key role in the $271 million modernisation
exercise of the Beitbridge Border Post as well as the $7,2 million
construction of Chipinda Bridge on Runde River and Link Road.
Gambinga pointed out that the infrastructure development institution was
also at advanced stages of energy projects such as Solgas (2,5 megawatts
MW) and Osborne Dam – mini hydro (2,5MW) at a total cost of $14 million.
“We have already identified a preferred investor for Tokwe-Mukorsi mini
hydro and civil works for Power house are currently underway,” he said.
Gambinga, however, noted that project implementation agreements for the
$35 million scheme were still to be finalised.
Meanwhile, IDBZ has registered a 10 percent increase on its revenues to
$7,43 million in 2016 driven by increased money market activity and
growth in long-term infrastructure business.
Gambinga said the bank’s total expenses declined by 25 percent to $7,61 in
the full year to December 2016.
“Expenses were higher in 2015 as a result of $2,3 million retrenchment
costs. However, the bank is now reaping the benefits of the
rationalisation,” he added.
In the period under review, the bank’s total assets grew to $160 million
due to treasury bills received as capital injection from the government
valued at $23 million and the takeover of $1,8 million non-performing
loans by Zamco.
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