Business / Economy
US$ 5 million from Arab World to Zimbabwe
16 Feb 2011 at 12:17hrs | Views
In a ceremony held today Monday, the 14th of February 2011, at the Headquarters of the Arab Bank for Economic Development in Africa (BADEA) in Khartoum, a loan agreement was signed between the Republic of Zimbabwe and BADEA. By virtue of this agreement BADEA extends to Zimbabwe a Line of Credit of US $ 5 million for the benefit of CBZ Bank Limited.
The loan agreement was signed by H.E. Abdelaziz KHELEF Director General of BADEA, and by H.E. Ambassador Hilda Suka-Mafudze, Ambassador of the Republic of Zimbabwe to Sudan.
The loan will provide additional capital resources to support financing small and medium enterprises in all sectors in the different geographical areas of Zimbabwe, mainly the sectors of industry, agriculture, agro-industry, micro-credit and the services. The project will lead also to increase production and achieve employment opportunities in line with government's plan strategy to combat poverty, which BADEA attaches a priority in its development interventions.
The loan will be repaid in 15 years including a grace period of 4 years and at an annual interest rate of 2.5%.
It's worth-mentioning that BADEA's total commitments for Zimbabwe stood at US $ 130.315 million dollars utilized for funding 12 projects, 2 lines of credit, 7 technical assistance operations and 2 trade finance operations.
The loan agreement was signed by H.E. Abdelaziz KHELEF Director General of BADEA, and by H.E. Ambassador Hilda Suka-Mafudze, Ambassador of the Republic of Zimbabwe to Sudan.
The loan will provide additional capital resources to support financing small and medium enterprises in all sectors in the different geographical areas of Zimbabwe, mainly the sectors of industry, agriculture, agro-industry, micro-credit and the services. The project will lead also to increase production and achieve employment opportunities in line with government's plan strategy to combat poverty, which BADEA attaches a priority in its development interventions.
The loan will be repaid in 15 years including a grace period of 4 years and at an annual interest rate of 2.5%.
It's worth-mentioning that BADEA's total commitments for Zimbabwe stood at US $ 130.315 million dollars utilized for funding 12 projects, 2 lines of credit, 7 technical assistance operations and 2 trade finance operations.
Source - Byo24News
