Harare – The Zimbabwean government has paid off its protracted debt to Zimplats through the issuance of treasury bills.
In a statement released on Thursday, Zimplats announced that it had been paid its dues by the Zimbabwean government.
“Zimplats wishes to announce that the Government of Zimbabwe has now issued to the operating subsidiary three treasury bills with a total nominal value of $34m in settlement of the principal amount owed by the RBZ,” said chief finance officer Stewart Mangoma in a statement.
“As stakeholders may be aware, Zimplats’ main operating subsidiary, Zimbabwe Platinum Mines (Private) Limited, was owed a principal amount of $34m by the Reserve Bank of Zimbabwe (the RBZ).”
The Zimbabwe government is settling the debt following its assumption of some of the apex bank’s debts through the Reserve Bank of Zimbabwe (Debt Assumption) Act, 2015.
“The Government of Zimbabwe promulgated the Reserve Bank of Zimbabwe (Debt Assumption) Act, 2015 (the Act) in August 2015. That Act provided for the assumption by the State of certain debts incurred by the RBZ, subject to those debts having been validated and reconciled by the Government of Zimbabwe’s Ministry of Finance and Economic Development.
“The amount of $34m owed by the RBZ to the operating subsidiary was listed in the Act as one of the debts which was to be assumed by the State, subject to the validation and reconciliation of the debt by the Ministry of Finance and Economic Development,” explained Mangoma.
The issued treasury bills, all carry an annual interest rate of 5% and will mature in 2019, 2020 and 2021.
Leave a Reply