Botswana offers Zimbabwe $600 million of loans

Photo source: Reuters

Botswana has offered to lend Zimbabwe $600 million to support its diamond industry and local private firms, a state-owned newspaper reported on Tuesday, amid a severe dollar crunch in the southern African nation.

James Manzou, Zimbabwe’s secretary for foreign affairs, said President Emmerson Mnangagwa and Botswana’s President Mokgweetsi Masisi are expected to sign the loan agreements in Harare on Thursday.

The loan will consist of $500 million dollars for Zimbabwe’s diamond industry and a further $100 million to help private companies, whose operations have been hamstrung by the dollar shortage, the state-owned Herald newspaper said.