IMF explores Covid-19 funding for Zimbabwe

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ZTN Reporter

THE International Monetary Fund says it is exploring alternative funding facilities for Zimbabwe, to cushion the Southern African country in the wake of the COVID-19 pandemic.

This comes after the IMF board approved a debt service relief to 25 countries under its Catastrophe Containment and Relief Trust, as part of its COVID-19 response.

Zimbabwe is not part of the 25 countries benefiting from the Bretton Woods Institution’s intervention.   

Neighbouring Malawi and Mozambique are benefiting.

IMF Country Representative to Zimbabwe Patrick Amir Imam told ZTN that the country did not qualify for the this programme as it had cleared all its US $109 million arrears with the Institution.

“This facility provides grants to cover upcoming debt services to IMF. Now given Zim’s debt to the IMF is zero, there’s no debt service to pay and hence this facility would not be of any use. We are therefore exploring alternative funding facilities,” Imam said in a written response to inquiries.

Zimbabwe is seeking USD $220 million to fight Covid-19.