- Published on 11 April 2017
Forex-starved Zimbabwe has been given a lifeline after the African Export-Import Bank (Afreximbank) availed two nostro stabilisation facilities amounting to $220 million.
The facilities come at a time the economy has been facing a foreign payment gridlock due to the depletion of the nostro facilities. Reserve Bank of Zimbabwe (RBZ) governor John Mangudya told NewsDay last week that the proceeds derived from the two facilities of $70m and $150m each would be used to settle outstanding foreign exchange payments. Afreximbank has been Zimbabwe’s all-weather friend, providing a bailout in her time of need. In 2015, Afreximbank availed a $200m Trade Debt-Backed Securities, which operates and functions as a window of last resort at RBZ for local banks. The facility was extended to 2019. It is credited for maintaining financial sector stability and inclusive growth. Total trades under this facility amounted to $641m over a two-year period from the effective date of the facility in February 2015. Newsday