News / National
Mthuli Ncube secured $500 million loan using platinum as collateral?
20 May 2019 at 21:57hrs | Views
Bloomberg has reported that the much hyped $500 million loan that is supposed to be injected in the market from Tuesday was acquired from the African Export-Import Bank by offering platinum production as collateral.
The loan is of four years duration the paper said.
The use of platinum as collateral drew negative criticism from Zimbabweans with journalist Mduduzi Mathuthu calling it a ‘walking scandal' while Human rights lawyer Fadzayi Mahere said, "By the time this ZANU PF Govt is done with us, there'll be no country to talk about. Everything will have been mortgaged to finance their spending and corruption. Tragic."
Zimbabwe owes more than $17 billion dollars to Finance Institutions and different countries which has made it fail to secure lines of credit before committing to clearing the debt.
One Luke said, "But this loan has been given to Zimbabwe so many times and the situation never changed. I wonder how it will help us this time considering that it's coming from the same bank again."
The loan is of four years duration the paper said.
The use of platinum as collateral drew negative criticism from Zimbabweans with journalist Mduduzi Mathuthu calling it a ‘walking scandal' while Human rights lawyer Fadzayi Mahere said, "By the time this ZANU PF Govt is done with us, there'll be no country to talk about. Everything will have been mortgaged to finance their spending and corruption. Tragic."
Zimbabwe owes more than $17 billion dollars to Finance Institutions and different countries which has made it fail to secure lines of credit before committing to clearing the debt.
One Luke said, "But this loan has been given to Zimbabwe so many times and the situation never changed. I wonder how it will help us this time considering that it's coming from the same bank again."
Source - Byo24News
