Afreximbank to inject US$1bn into Zimbabwe economy

The African Export-Import Bank (Afreximbank) has announced a substantial financial commitment of US$1 billion to support Zimbabwe's economic growth, with funds allocated to various sectors in both the public and private spheres. This commitment was confirmed following a meeting between President Emmerson Mnangagwa and Afreximbank President Professor Benedict Oramah on the sidelines of the United Nations Climate Change Conference (COP29).

President Mnangagwa, in a statement to Zimbabwean journalists, described his discussions with Prof. Oramah as productive, particularly regarding the ongoing and future projects that Afreximbank is leading within Zimbabwe. He assured the bank president of the Government's support, including the provision of land in Binga for Afreximbank-backed initiatives.

Prof. Oramah detailed that the newly pledged funds would be directed towards key economic sectors such as trade facilitation, railway infrastructure, industrial parks, and the development of Zimbabwe's cotton and textile industries. "We explained to [President Mnangagwa] support in the pipeline, a [US] billion dollars' worth of facilities being processed for some private sectors and Government agencies," Prof. Oramah said, adding that a test and inspection centre for the Southern Africa region will also be developed in Zimbabwe.

In addition to the fresh US$1 billion commitment, Afreximbank has invested over US$2 billion into Zimbabwe in recent years. These funds have been spread across various sectors and provided through local banks, private companies, and Government agencies.

Afreximbank is currently advancing a series of ambitious initiatives to enhance Zimbabwe's economy and support regional trade. This includes an integrated industrial platform in partnership with the Arise Integrated Industrial Platform, aimed at bolstering the nation's textile industry and establishing a certification centre. These projects will complement Zimbabwe's role in the African Continental Free Trade Area Agreement, enhancing its trade infrastructure and capabilities.

Moreover, Afreximbank's landmark Africa Trade Centre, currently under construction in Harare's Avenues area, is set to transform the local skyline upon completion. Prof. Oramah indicated that the structure is on track to open by mid-2025, as part of Afreximbank's mission to establish regional trade hubs across Africa.

This financial injection by Afreximbank underscores Zimbabwe's role in regional development and the Pan-African bank's commitment to supporting the nation's economic resilience and integration into continental trade.