Zimbabwe Seeks $150 Million AfDB Loan

Zimbabwe is in talks with the African Development Bank for a $150 million loan as part of efforts to clear billions of dollars of debt arrears, Finance Minister Mthuli Ncube said. The discussions add to efforts flagged by Ncube in April that the authorities are having with nations including the UK, Japan, and Germany. The loan is part of a broader strategy to re-engage with international creditors. Zimbabwe has been in default on its debt since 1999, accumulating arrears of over $6 billion. The AfDB loan would help the country clear some of these arrears and unlock new financing. The government has been pursuing a debt clearance strategy under the auspices of the African Development Bank. The core vulnerability is the country's long-standing debt default, which limits access to international capital markets and hampers economic recovery.