Business / Economy
Need for effective aid policies, to restore business and investor confidence: Govt
10 Nov 2011 at 20:43hrs | Views
The Zimbabwe government has challenged external financial institutions to remove stringent conditions on the country's economic support facilities to ensure macro- economic recovery.
According to resolutions at a consultative forum on economic and social aid effectiveness held in the capital, government representatives expressed concern over stringent conditions on loan facilities from external funding institutions to Zimbabwe.
It was also noted that in-spite of the commitment by some of the multilateral institutions such as the World Bank and the International Monetary Fund to assist in crafting macro-economic policies, failure by such institutions to provide financial support is raising questions on the credibility of such organisations in facilitating economic recovery.
Chairman of the Parliamentary Portfolio Committee on Budget, Finance and Investment Promotion, Paddy Zhanda said there is need for multi-lateral financial institutions to focus on effective aid policies that seek to restore business and investor confidence.
"While we welcome such aid packages, the key question is mainly on conditions attached to them," said Zhanda.
Although developmental institutions such as the African Development Bank, PTA Bank, Development Bank of Southern Africa, Afreximbank, among others, are being praised for their commitment to assist in the revival of the economy, participants at the forum resolved that government should focus on homegrown economic policies apart from depending on donor funded socio- economic programmes.
According to resolutions at a consultative forum on economic and social aid effectiveness held in the capital, government representatives expressed concern over stringent conditions on loan facilities from external funding institutions to Zimbabwe.
It was also noted that in-spite of the commitment by some of the multilateral institutions such as the World Bank and the International Monetary Fund to assist in crafting macro-economic policies, failure by such institutions to provide financial support is raising questions on the credibility of such organisations in facilitating economic recovery.
"While we welcome such aid packages, the key question is mainly on conditions attached to them," said Zhanda.
Although developmental institutions such as the African Development Bank, PTA Bank, Development Bank of Southern Africa, Afreximbank, among others, are being praised for their commitment to assist in the revival of the economy, participants at the forum resolved that government should focus on homegrown economic policies apart from depending on donor funded socio- economic programmes.
Source - ZBC
