Botswana offers Zim  US$95m loan facility

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.

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. 

“We agreed to a loan credit facility we increased it from P500 million to P1 billion,” said Masisi as he responded to questions from the selected media.Of late, Mnangagwa who enjoys a lot of goodwill from his African “brothers” has looked to the Southern African Development Community (Sadc) region for a financial bailout as his country struggles to clear its debts.

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.

“The Office of the President wishes to inform members of the public that the government of the Republic of Botswana and the government of the Republic of Zimbabwe are currently holding discussions under the framework of bi-national commission which covers a wide range of issues which are mutually beneficial to the peoples of the two countries.

“As such, media reports that are currently circulating about the line of credit worth US$600 million that the government of Botswana has committed itself to extend to the Republic of Zimbabwe are unfounded. “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.
It was also double accreditation for journalists who wanted to cover the critical meeting between the two leaders after years of frosty relations between the two countries.
• Hope for a bigger tranche falters
• Security tightened for the visitors

Comments (17)

Then you will hear from the likes of Mbiti...(Biti) bwarfing and bile spewing over the efforts made by ED. They has been nothing like this even in the era of the Robbers and Muggers. Kudos to ED and his team, we shall see more coming and its happening. Botswana has never signed these kind of mega deals during the tenure of the Robbers and Muggers. Then you hear Mbiti saying the money is nothing/ a drop in an ocean yet he knows that its him and his MDC goons and minions who had called for sanctions. Then, why barking over a drop in an ocean and why can't you go to your American sponsors to get more money. Mbiti should stop bwarfing over what good things ED has done for Zimbabwe's development. Other oppositions elsewhere embrace each other for the sake of national development but its not the case in Zimbabwe. We have politics sabotage and hate politics in Zimbabwe and there is too much witchcraft. A rotten society full of hate and rage. Its high time Zimbabwean should embrace each other in these difficult times because this attitude will never develop the nation, Look at what is happening in SADC region, opposition leaders embrace each other after loosing the elections but alas, its a different tune in Zimbabwe. Kudos to ED for such developments. Lets appreciate the good please. We have opposition parties all over the world but they put their countries first before everything. Zim should learn from that. Otherwise, we have to blame the Robbers and Muggers for this because it him (Robert) who taught these little rascals about hate and sabotage politics. Anyway, Zim will grow whether you hate ED or not. Enjoy your weekend with your damn supporters who drinks "Broncho".

Clemence Tashaya - 1 March 2019

So sad it has come down to this - Zimbabwe celebrating borrowing money. For a country with such potential, corruption and mismanagement has taken off the sails.

Inyika - 1 March 2019

Will they pay it back watch this space

Watch this space - 1 March 2019

Its very unfortunate for my beloved Zimbabwe, celebrating borrowing surely with all the resources that the country has. Mismanaging our own resources. Zimbabwe is a better country than most of the African countries and this can only be achieved if we have leaders. If truly the MDC can call for sanctions and is listened to, if everything is being blamed on MDC, Then my question "who is leading the country ZANU PF or MDC? We only have a leadership crisis in Zimbabwe. African leadership is selfish, they thin of themselves only and not the people they claim to lead. How can someone always trip in hired private jets which are so expensive only to beg. A beggar travelling in expensive jets and you expect to be believed of your sincerity hahahaaaa

mapamba pashi - 1 March 2019

Clemence Tashaya - people like you are part of the problem in this country. If you think that $95 million is the solution, then you are very thick. How can a president of a bankcrupt nation who flies around the world in an executive airliner that cost US$70 000 per hour be taken that seriously? The $95 million will be all dished out within one week and banked in various private accounts overseas.

Is that so? - 1 March 2019

Clemence Tashaya, the only sanctions Zimbabwe has known since 1980 is zanu pf.

Kufandada - 1 March 2019

Kuyayangisa baba Emmerson ukubonanjani ?. Kucho ukuthi abanye asitholi mali singathi sivela ezimbabwe...sithola eluchwane kupela. Bayabuza amakhiwa ukuthi ezimbabwe kulani nxa ngidinga i US$10Mn.

Zvinera izvi - 1 March 2019

Botswana has offered to lend us one billion pula not 95 million usd.

citizen - 1 March 2019

But why is he this daft ? , he can raise US$95Mn a month or even a week without any borrowing. Ulokhe hlabela the same old song akula okutchintchayo

Osu Ateboye - 1 March 2019

Kalimelanga lidlale ibhola lapezulu ngoba balicindezele...lo Chamisa futhi akula okuzatchintcha except nxa engabhadala ikhiwa elathathelwa iplazi. Kumele lidlale ibhola lapansi...akumelanga kube lo president kumbe umuntu opezulu. Alisoze lipumelela okwesikhati esidhe nxa liyenza so. U mnangagwa kahlakanipanga. Isikhathi se Aid sesadlula ,hiyo elalipila ngayo...1981-98 - Nothing special - ngoba ibhunu lalile plazi. Amakhiwa kasela mali , its a fact.

Temere Boateng - 1 March 2019

Indaba le izwakala e maButswana....ukulumende wabo muhle , ucabanga amabutswane kuqala hayikhona le mpankwa yonke , I facility le ngeyokuncedisa I nkampani zakhe ukungena e Zimbabwe kanye lomuntu onjengo nkosikazi olungisa I juweli elidulayo, US$30K+ , uyakwanisa ukuthola laye imali nxa eyifuna eza sebenzela e maButswana. Ku qondile sibili.

Osu Oteboye - 1 March 2019

600 million ?? What currency - USD or Mabondi or Pula ? All quite different I think

ace mukadota - 1 March 2019

I lizwe elilabantu 2Mn ngapandle eliswela I US$100Mn libi. Akulalizwe. O econnet inkalakatha abakwanisi ukuncedisa ? , kutsho ukuthi kule problem enzima. U thixo walinika ithuba ladlalisa...worse than the 3rd servant owa gqibela imali , ngabe la hlanyela I us$1Bn , ya ikhona , imnyaka elitshumi lanhlanu eyadlulayo , selikwazi ukuthi I reserve bhenki ile us$5Bn yokusebenzisa isikhathi sendlala. Ama risk managers kumele angene alungise kumbe athathe ilizwe okwesikhathanyana.

Larry Kemoeng - 2 March 2019

Botswana did not say they want to loan Zimbabwe an money. I heard the president of Botswana refusing any loan facility to Zimbabwe when he was on press yesterday at his country. Zimbabwe must be the one loaning these tiny countries with money but due to poor governance we running to these small countries. Zimbabwe is the bread basket of Africa gentlemen but people like Clemence Tashaya is just ignorant about this. How can you celebrate getting a loan from a growth point like Botswana. Most of our fellow Zimbabweans need deliverance for sure.

Amalinze - 2 March 2019

Nanti idili , netone mobile , US$100Mn cash. NRZ - US$350Mn for 60%. ARDA - US$50Mn cash buy. Ngama offer amahle , kungcono kulokucela lisebenzisa i UN, amakhiwa sediniwe wona kala imali yakhona.

Larry Kemoeng - 2 March 2019

The reportage on this issue has in error put so much emphasis on the perceived role of the respective governments yet their actual role is just guarantors. That is why President Masis is denying giving the government of Zimbabwe a loan. The funds are between private lending financial institutions in Botswana and private businesses in Zimbabwe full-stop respective governments' roles are very minimal and limited had it not been for political and diplomatic expediency the deal is non-event private matter. What should be of concern is the amount of resources spent on such a private matter, Daily News stop hurtling towards the Herald news mode.

Sinyo - 4 March 2019

Clemence Tashaya that money is too little to chrter a plan by ED to Davos and Jenerari to India, so usapururudze please

Qawe laMaqawe - 5 March 2019

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