Friday , March 29 2024
Home / AFRICA / No S.African bailout for Zimbabwe after Ramaphosa visit

No S.African bailout for Zimbabwe after Ramaphosa visit

FILE PHOTO: Cyril Ramaphosa

HarareZimbabwe | AFP | South African President Cyril Ramaphosa concluded a much-anticipated visit to Zimbabwe on Tuesday, dashing any lingering hopes that his country would bail out its economically-troubled neighbour.

Ramaphosa commended the new administration of Emmerson Mnangagwa for its bid to revive the economy and promised to explore a number of options of financial help.

But otherwise he made no concrete offer of help, voicing a “commitment to work with Zimbabwe in addressing the socio-economic challenges.”

“South Africa stands ready to render support to Zimbabwe within our means in your quest for economic renewal,” he said, during the talks held at a Harare hotel.

Last year Zimbabwe requested $1.2 billion (1.06 billion euros) in emergency credit from South Africa, the most advanced economy south of the Sahara, but Pretoria indicated it did not have the funds.

In a joint statement issued after the 24-hour visit, the two governments said they were exploring ways to help Zimbabwe financially.

One of them would be a loan facility from South African private banks to the Zimbabwe private businesses.

The loans will be guaranteed “by the South African government with an appropriate counter-guarantee from the Zimbabwe government,” said the statement.

An almost similar deal was struck last month with the diamond-rich Botswana, involving a $100-million credit from private banks in both countries but available to Botswana private companies doing business in Zimbabwe.

“We not giving them a single loan,” President Mokgweetsi Masisi said in Gaborone after a visit to Harare, dismissing media reports that the credit was being made available by the state.

Mnangagwa took over after long time ruler Robert Mugabe was forced to reign in 2017, but is struggling to solve Zimbabwe’s economic crisis.

In January this year, crowds took to the streets to protest after Mnangagwa more than doubled fuel prices.

The military and police quelled the demonstrations, leaving at least 17 people dead and hundreds wounded.

South Africa has borne the brunt of economic and political troubles in its northern neighbour. Millions of Zimbabweans have fled to South Africa following decades of economic turmoil.

“What affects one, affects the other. Economic prosperity in one country has a stimulus effect on the other. Likewise economic regression has a pull down effect on the other,” said Mnangagwa.

Ramaphosa has led calls by African leaders for the lifting of years-long sanctions imposed by Western powers over rights abuse under Mugabe’s regime.

“We have been calling for those sanctions to be removed immediately because they impede the growth of the Zimbabwean economy and they also are having an adverse effect on the ordinary people of Zimbabwe,” Ramaphosa reiterated on Tuesday.

One comment

  1. TESTIMONY ON HOW I GOT MY LOAN FROM A GENUINE LOAN COMPANY (C.C.L.C)

    Hello friends!!! My name is Karen Louise. i want to testify of the good Loan Lender who showed light to me after been scammed by 2 different Internet international lender, they all promise to give me a loan after making me pay alot of fees which yield nothing and amounted to no positive result. i lost my hard earn money and it was a total of 7,280.00USD. One day as i was browsing through the internet looking frustrated when i came across a testimony woman who was also scammed and eventually got linked to a legit loan company called Claudia Crayton Loan Company and email (mrskathymarcusloan@gmail.com ) where she finally got her loan, so i decided to contact the same loan company and then told them my story on how i have been scammed by 2 different lenders who did nothing but to course me more pain. I explain to the company by mail and all they told me was to cry no more because i will get my loan in their company and also i have made the right choice of contacting them. i filled the loan application form and proceeded with all that was requested of me and to my shock I was given a loan amount of $50,000.00US Dollars by this great Company (mrs kathy marcus) managed by Mrs Claudia Crayton a God fearing woman and here i am today happy because this company has given me a loan so i made a vow to my self that i will keep testifying on the internet on how i got my loan. Do you need a loan urgently? kindly and quickly contact This great company now for your loan via email: mrskathymarcusloan@gmail.com she is kind hearten.

    i remain Karen Louise…………

Leave a Reply

Your email address will not be published. Required fields are marked *