Mthuli talks with investors on USD bond

Finance and Economic Development Minister Professor Mthuli Ncube held a meeting last week with international investors who are willing to participate in the government’s  US$100 million bond.

“We discussed the investment opportunity presented by the Zimbabwe US  dollar bond that will be issued. We discussed the yield guarantee structure, size of insurance, training of issuance and target market ” Professor Mthuli Ncube said.

Remarks were made by Prof Mthuli Ncube where he was attending the 2022 Spring meeting of the World BankCrip and the International Monetary Fund and related ancillary events taking place

He also added that the bond would be issued to reduce the cost of borrowing and deepen the capital markets.

Meanwhile, Zimbabwe received the equivalent of US $966 million in Special  Drawing Rights (SDR) from the International Monetary Fund.

The SDRs are meant to address the long-term global need to reserve, build confidence and foster resilience and stability and enable countries to cope with the impact of the Covid-19 crisis.

“In Zimbabwe’s context, the funds will be used prudently with accountability and transparency to support projects in the social sectors namely health, education and the vulnerable groups, productive sector value chains, infrastructure investment and foreign cut currency reserves and contingency fund,” Prof Mthuli Ncube said

Professor Mthuli Ncube also mentioned that the funds issued to Zimbabwe by SDR will be utilized for the next three years.