HARARE - Government has issued 365-day Treasury Bills to the National Social Security   Authority and Old Mutual (OM) to raise $40 million.

Tendai Biti, Finance minister, said the move was consistent with the prescribed asset requirements for pension funds and insurance companies. The bond will be at a negotiated coupon rate of seven percent.

Biti, who was presenting the State of the Economy address for the first two months of the year, said $20 million had already been raised.

The government had also directed diamond companies Mbada, Anjin, Marange and Diamond Mining Corporation to pay up the outstanding 2012 revenues to the fiscus.

Biti said government had also resolved to turn to the ordinary taxpayer by reviewing upwards the excise duty on diesel and petrol for March to December 2013 by five cents each.

This translates to an increase of 20 percent and 25 percent in excise duties on diesel and petrol.

Zimbabwe needs $85 million for the referendum and $132m for the elections. This is against the $25 million provided for in the budget. — Fin24