Latest News Editor's Choice

News / National

Mutapa Fund facilitates US$431m loan for NRZ

by Staff reporter
17 Jun 2024 at 04:00hrs | Views
The Mutapa Investment Fund (MIF) is facilitating a US$431 million loan from Afreximbank to support the National Railways of Zimbabwe (NRZ) in its infrastructural rehabilitation efforts. This development was confirmed by MIF CEO John Mangudya during the Afreximbank Annual Meetings in the Bahamas.

The loan is intended for the rehabilitation of railway infrastructure and the purchase of new rolling stock. Mangudya emphasized that the facility will be self-liquidating through take-or-pay off-take arrangements between NRZ and its customers, ensuring no recourse to the fiscus. The facility has a 12-year tenor.

Mangudya expressed confidence in NRZ's management, led by Respina Zinyanduko, praising her drive and passion for transforming NRZ's fortunes. He called for support from both the NRZ board and stakeholders to fully execute this national transport initiative.

The revitalization of NRZ is expected to significantly enhance Zimbabwe's logistics landscape, improving efficiency across various economic sectors and reducing pressure on the roads. The upgraded rail network will boost connectivity between key production zones, domestic markets, and international trade hubs, fostering economic opportunities and trade growth.

Zimbabwe's strategic rail network, crucial for domestic, regional, and international trade, has been facing significant challenges due to outdated infrastructure. The rehabilitation efforts aim to address these issues and improve the overall functionality and efficiency of the rail system.

Source - newsday
More on: #Mutapa, #NRZ, #Loan