Zimbabwe Could Sink Deeper Into Debt After Botswana Bailout Packages

Zimbabwe’s President Emmerson Mnangagwa

The government of Botswana has extended a US$ 500 million dollar package to Zimbabwe that is backed by Chiadzwa diamonds.

A further one billion pula bailout package has been earmarked for the private sector.

The deals were revealed by Foreign Affairs and International Trade ministry secretary Joe Manzou during the inaugural session of the Zimbabwe-Botswana Bi-National Commission in Harare on Monday. Said Manzou:

Zimbabwe is also appreciative of the US$500 million diamond-backed facilities offered by Botswana. I also urge this meeting of officials to work in earnest to ensure that all outstanding issues relating to this facility are finalised.

… I wish to extend my gratitude to the support extended to Zimbabwe, by Botswana, as our country embarks on a development trajectory under the new dispensation … Zimbabwe welcomes with much appreciation that Botswana proposed a P1 billion credit line facility in support of the Zimbabwe private sector.