NMB mulls $20m exporters’ facility

By Michael Tome

NMB Holdings is in the process of arranging a US$20 million exporters’ facility for local companies, chief executive Benefit Washaya has said.

The facility is expected in the next two months and will be directed towards export oriented firms in various sectors of the economy including manufacturing, mining, tourism and agriculture.

Briefing analysts in the capital recently NMBZ chief executive officer Benefit Washaya said the facility was designed to prop up the country’s exports.

“As NMB we are going to play our part in exports growth and we are in the process of finalising a US$20 million line of credit exclusively for exporters.

“I think we are all aware that the country’s export levels are doing badly at the moment but there is room for us to do better. The credit line is one of the outstanding issues and the cost of funds is 7-8 percent which is manageable given the country risk,” said Mr Washaya.

Zimbabwe shipped an estimated US$4 billion worth of goods last year.

Bulk of the country’s exports comprise of platinum group of metals (PGMs), gold, flue-cured tobacco, ferrochrome, nickel, chrome, and diamonds. The country’s major exports to South Africa include PGMs, gold and nickel. Arise, African Century of the UK, AfricInvest and Old Mutual control 60 percent stake of the bank.

Arise is an investment vehicle through which FMO and Rabobank of the Netherlands and Norfund of Norway, had pooled their investments in financial services in African countries while AfricInvest is a fund largely owned by European development finance institutions with $1,2 billion assets under management in 25 African countries. The Herald