THE new Reserve Bank of Zimbabwe (RBZ) governor John Mangudya has repaid part of a debt that his two predecessors failed to repay over the past 16 years.
BUSINESS REPORTER
Meikles was owed $90,8 million at present value, including interest by RBZ since 1998.
Mangudya, who is expected to present his first monetary policy statement soon, appeared to have succeeded in resolving the huge conglomerate’s initial payment of $49 million and awaits receipt of the balance.
The debt was incurred during Leornard Tsumba’s time as the Governor of the Reserve Bank.
In his first statement when he was appointed governor, Mangudya said the Reserve Bank would need to arrange for funding to capitalise itself and also becoming lender of last resort and clear its debt stock.
Meanwhile, Meikles is appealing to the Ministry of Finance to vary some terms of the Treasury Bills in the discussions underway.
Meikles Group executive chairman John Moxon has expressed optimism that negotiations will be concluded with local financial institutions.
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“These institutions are likely to have a longer investment timeframe capacity than banks. This interaction is progressing and subject to some revision of the terms of the Treasury Bills success looks possible,” he said.
He said the company had been approached by a foreign corporate which had expressed the opinion that foreign institutions may have an appetite for the TB’s.
“This approach is also to be progressed. It is too soon to assess the merits of this possibility,” he said.
Moxon said discussions with authorities were continuing on an amicable basis with a view to ensure that the Treasury Bills are on terms that will be acceptable in the market.
“Developments suggest satisfactory progress on this initiative, which is expected to be concluded shortly.”
