RBZ Debt Assumption Bill sails through

HARARE - Reserve Bank of Zimbabwe (RBZ) Debt Assumption Bill on Tuesday sailed through the National Assembly, with 115 legislators voting for the piece of legislation while 37 opposed the motion.

The legislation, which will see government assuming over $1,35 billion debt, will now go to Senate for further scrutiny.

While MDC legislators tried to block the passage of the bill, Zanu PF policymakers outnumbered the MDC lawmakers.

“I raise a point of order, because most people voting for the passage of this bill benefitted from the money we are forcing government to assume,” said Kuwadzana East MDC legislator Nelson Chamisa.

The Bill is most likely to be ratified by the Senate and will be submitted to President Robert Mugabe for assent.

Analysts have warned that government does not have capacity to assume the staggering central bank debt, as the country is already overburdened with foreign debt.

Zimbabwe currently has a debt overhang of nearly $10 billion. Civil society groups have called for a debt audit, before government assumes the debt, whose effects could see tax hikes.

The Zimbabwe Coalition on Debt Development (Zimcodd) has warned government currently lacks the means to service the debt.

The Bill seeks to provide settlement of certain liabilities incurred by the bank. In terms of the Bill, the State will assume the debts which were incurred by the RBZ before December 31 2008.

According to the Bill, the Debt Management Office, a department in the ministry of Finance which was set up in 2010, would validate and reconcile the bank’s debts.

Transport minister, Obert Mpofu, also announced last week that government was set to takeover Air Zimbabwe’s $300 million debt.

Comments (13)

These guys are so cruel, how can they raise their hands ukuthi kuthathwe imali yabayanga njengentandane labogogo abathengisa amatamatisi ukuthi babhadale izikwelede zabo. That is cruelity at its worst

Mzansi - 12 May 2015

Mdc-t now its time to walk out of the parliament for good, lets see

bakwena - 12 May 2015

paying for Gono's sins thru the taxpayer.

Big Meech Larry Hoover - 13 May 2015

Surely how the Country on its knees already assume a 1.2 billion debt from RBZ. Why not make an audit and find the people who are responsable and make them pay. Hazviite izvi. MDC walk out of Paliament for ever. Vakashandisa money voga asi vave kuda kuti the whole country ibhadhare. One day thses people will pay heavily.

felix - 13 May 2015

This is not a pro-poor gvt, when it steals from the poor to pay the debts of the elite. Why is it that all audits done by this gvt are not published. This time they are not even bothering themselves with doing an audit on who owes RBZ what atleast the people deserve to know who they are paying the debt for and reasons why they failed to pay their own debt. How can government assume a debt when its broke and Chinamasa wants to cut civil servants salaries in order to create fiscal space. The seems to be incoherent voices from this clueless Zanu pf gvt.

h1 - 13 May 2015

PEACEFUL PROTEST AGAINST TWINE PHIRI'S MAL-ADMINISTRATION OF CAPS UNITED If you are intrested join drop your contacts and we will add you in a whatsapp group so that we organise the when,where and how the denmonstrations will be held. REASONS BEING; The Howmine Boycot and players attending the buffaloes match in an open truck!!! AS THE MOST IMPORTANT STAKEHOLDERS LETS DO SOMETHING FOR THE CLUB ZVANYANYA TP MUST GO

CAPS UNITED SUPPORTERS UNION - 13 May 2015

This is the worst and most coward the Zanu Pf MPs have done to the masses , why should we pay for what we didn;t get

Mudhara - 13 May 2015

They are mortgaging the country knowing very well that soon they will be out of the picture...makes sense though in the world of criminals.

Garikayi - 13 May 2015

One day these criminals masquerading as MPs will pay for their sins .Those who benefited from the RBZ must own up and pay not to make the taxpayer suffer because of a few individuals . The public is not stupid , monitoring the whole saga.

SOBER SENSE - 13 May 2015

ZIMBOS, WAKE UP. THESE MONKEYS AT ZANU WANT US TO PAY FOR THE LOOT WHEN ARE WE GOING TO WAKE UP AND STOP THEM

GARIKAI MUSONA - 14 May 2015

ANOTHER THING GOD WILL NOT HELP US WE CREATED THIS MESS BY ALLOWING THESE MONKEYS TO DO WHAT THEY WANT THIS IS OUR MESS LETS CLEAR IT

GARIKAI MUSONA - 14 May 2015

ko iyo debt assumption yacho imbori chii ane ruzivo pliz help me

Ebioneil Mlilo - 27 October 2016

what is the debt assumption can anyone with sufficient knowledge help?

Ebioneil Mlilo - 27 October 2016

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