Zimbabwe Begs South African Private Investors to Inject Funds into its economy

March 29, 2019
| Report Focus News

The South African government recently declined to bail out cash strapped Zimbabwe, but that has not deterred Mthuli Ncube, Zimbabwean finance minister from seeking private money from South Africa.

Mthuli Ncube said he has approached private investors in South African in an attempt to court them into injecting funds into Zimbabwe’s struggling economy.

Zimbabweans finance minister was in South Africa this week, where he met with private investors in Johannesburg.

Speaking after a cabinet briefing in Harare on Wednesday, Ncube confirmed that he presented “the begging bowl” to SA investors during his two day visit.

Speaking about his errand to source fanatical help from Zimbabwe’s southern neighbour the minister said: “Zimbabwe is negotiating loan facilities to recapitalise companies. I have targeted companies with existing ties to Zimbabwean firms. “The idea is to give capacity to our companies to source  equipment from South African companies using resources from there. That is the nature of the loans we are negotiating.

“So I had gone to drum up support for that and we will be updated as we go along, in regards to that. We are targeting companies that have relationships with SA companies, in terms of procurement of imports and exports” he said.

The Zimbabwean government was in a position to guarantee any loans taken up under the facility, Ncube continued.
Some of the targeted investors included banks, insurance companies and private investors.

“It’s quite a spread of investors and we hope that they can join us in this drive. I was able to meet some of the investors in Johannesburg and  video conferenced with others  in Cape Town and Durban.”

Ncube said his latest visit to SA was a follow-up to the recently held SA-Zimbabwe Binational Commission, where the two governments agreed to boost mutually beneficial trade.

At the commission, held in Harare a fortnight ago, President Cyril Ramaphosa said that SA would not immediately release funds to Zimbabwe but noted that “discussions are ongoing”.