Confusion surrounds RBZ payments

THERE was confusion yesterday over payments made to the African Development Bank (AfDB) yesterday by the Reserve bank of Zimbabwe with different news agencies reporting conflicting statements and the AfDB itself issuing two different statements.

A press release issued in Maputo on Monday read, “Zimbabwe has, in all, paid $700m to the Bank Group despite numerous economic challenges currently facing the country, both globally and locally."

All major news agencies including Reuters and DPA quoted the AfDB as having reported a payment of US$700 million, a payment later denied by the Reserve Bank of Zimbabwe via a statement issued on Tuesday.

“If the country had such resources (US$700 million), the Reserve Bank would have prioritized the importation of grain (maize and wheat); the importation of fuel, electricity, medical drugs, industrial chemicals, fertilizers, seeds, water treatment chemicals, agricultural equipment, and other infrastructural development essentials, and of course leaving some for debt service,” read part of the statement.

RBZ further warned: “Until facts are established on where this article came from, we would like to advise the Nation and our cooperating regional and international partners to treat this story with caution.”

The Zimbabwe Guardian is in possession of two statements from the AfDB, one issued in Maputo, Mozambique and the other posted on the AfDB website. The wording on the statements in almost similar, but with conflicting figures.

However, other reports suggest that there’s now way Zimbabwe would have paid that amount as it is over the amount owed to the bank.

Zimbabwe owes the AfDB US $250 million, according to the bank's president Donald Kaberuka, who said the bank was not concerned how Zimbabwe managed to raise money to pay part of its overdue credit..

"They do not have to tell us how they raised the money because they are a sovereign state," said Kaberuka in an interview on Tuesday.

The bank also said that Zimbabwe had made an undertaking that it would pay the remaining debt in six months―a period stipulated by AfDB.

"All countries pay their debts. When everybody gets a loan they know how they will repay it," said Samuel Mumbengegwi, Zimbabwe's minister of finance from Maputo on Tuesday.

Efforts to verify the actual figures and the authenticity of the statements from the AfDB were fruitless at the time of going to press.

Meanwhile, finance ministers from across Africa meet in Mozambique Wednesday for the annual meeting of the AfDB amid warnings the continent faces grave dangers from rocketing food and oil prices.

Dozens of finance ministers and central bankers are expected among the more than 1,500 delegates attending the two-day meeting in the Mozambican capital Maputo.