Botswana offers Zim US$95m loan facility
HARARE - Zimbabwe’s hopes of securing a $600 million loan facility from Botswana hit a snag as its neighbour could only offer US$95 million during a bi-national commission yesterday.
President Emmerson Mnangagwa shares a lighter moment with his Botswana counterpart Mr Mokgweetsi Masisi at his Munhumutapa Offices in Harare
President Emmerson Mnangagwa speaks to his Botswana counterpart Mokgweetsi Masisi at Munhumutapa Offices in Harare.-(Picture by Tawanda Mudimu)
After a week of diplomatic engagements, President Emmerson Mnangagwa and his Botswana counterpart Mokgweetsi Masisi yesterday signed six memorandums of understanding (MoUs) to enhance relations between their two countries.
Masisi told journalists that his country had extended a P1 billion (US$95 million) loan facility to its troubled neighbour.
Thus the loan facility from Botswana is a huge boost for the troubled Zimbabwe which has been denied a similar rescue package from the region’s economic powerhouse South Africa.
Relations between Zimbabwe and Botswana are thawing following years of tensions when the countries were led by former Robert Mugabe and Ian Khama, respectively.
Last year Mnangagwa visited Botswana and expressed his desire to see enhanced cooperation between the two countries.
Unlike his predecessor, the Zanu PF leader is not burning bridges but his efforts to jumpstart the economy have until yesterday failed to bear any meaningful fruits.
On Tuesday, government officials had claimed that they had secured a $600 million loan from their neighbour – globally famous for its vast diamonds deposits.
However, the permanent secretary to the President and Cabinet of Botswana Carter Morupisi issued a statement on Wednesday saying they were yet to give Zimbabwe anything or even to commit to the loan.
“We wish to advise members of the public that in accordance with international practice, a communiqué which summarises the outcome of the meeting will be issued following the Bi-National Commission,” reads part of the statement.
The visitors were indulged with VVIP treatment yesterday.
Police and soldiers sealed off roads leading to the venue of the meeting between Mnangagwa and his Botswana counterpart as the two countries inked six MoUs to enhance cooperation.
Although several heads of State and governments have visited the country in yesteryears, security was never as high as that offered for Masisi who temporarily brought business at an uptown hotel to a standstill.
Since assuming office through a soft coup in 2017, Mnangagwa has made drastic changes to his security and yesterday police and soldiers armed to the teeth were milling around the hotel while motorists had to use longer routes to access their workplaces.