Afreximbank working on $1bn Zimbabwe deals

Published: 26 September 2017

AFRICAN Export-Import Bank (Afreximbank) president, Benedict Oramah says they are working on $1 billion worth of deals with both public and private sector entities in Zimbabwe.

Speaking at a dinner reception marking the transfer of a land title deed from the government to Afreximbank on Saturday for the construction of the bank's regional offices, Oramah said one such deal would see Zimbabwe receiving $600 million for nostro accounts stabilisation.

"I am pleased to note that the way ahead is looking good," he said.

"The bank is presently processing deals worth about $1 billion for both public and private sector entities in Zimbabwe.

"And this (Saturday) evening, we will be signing a memorandum of understanding with the Reserve Bank of Zimbabwe in relation

to a $600 million facility, we hope will support imports until the tobacco season sets in early next year.

"We believe the facility will help stabilise imports, sustain the recovery."

Zimbabwe is experiencing debilitating foreign currency shortages that have seen the country failing to pay for imports.

Afreximbank, which already has a $200 million facility backing the bond notes, is set construct its regional offices in Harare, known as the African Trade Centre.

The title dead transfer comes as Afreximbank has set out to develop and implement a concept for the transformation of its existing and future buildings into business complexes, with integrated one-stop trade service shops.

"I am pleased to note that Zimbabwe will be the first beneficiary of this concept," Oramah said.

"The project, when completed, will transform Zimbabwe into an intra Africa trade hub; a centre of knowledge and information about markets; a centre where major deals can be struck.

"The project will also accelerate the transformation of the neighbourhood into a business district."

The centre will also house a mini business park for African trade, a large auditorium conference centre, trade information centre and corporate rental office space for trade promoting bodies.

Finance minister Patrick Chinamasa commended Afreximbank for its financial backing when most multilateral and bilateral creditors had suspended their support for Zimbabwe.

"African Export-Import Bank came into existence at the right time, at the turn of the century, soon after the suspension of balance of payments support to Zimbabwe for new and ongoing projects by most multilateral and bilateral creditors," he narrated.

"Afreximbank has steadfastly stood by Zimbabwe throughout, with a determination to ensure that essential trade needs of the country are met.

"We are indeed grateful for this unique relationship with this great African institution."
- newsday

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