Deputy Finance Minister explains why Zimbabwe is justified to get a loan for US$15 million

At the moment, following our Vision 2030, we have said we want our economy to be private sector led and one issue that we are grappled with, with regards to the financing model for agriculture is to ensure that we cloud in private sector investment.  It is true that we may not have a sustainable system where the Government will continue to pay for grain and all that.  We have said going forward; we would want the private sector to be part of the whole supply chain process.  We continue to improve on the funding models and we continue to look at it.  I am sure as stakeholders; we will continue to also take into account your submissions.

The Hon. Member also said that there is need for the Ministry of Finance together with the Ministry of Lands to come and report on the performance of the loan agreement from time to time.  I think this is fairly in order.  You are playing the oversight role and it is fairly in order for Ministry of Finance to come to the august House to report on the performance, not only of this loan but other loans as well.

Hon. Madzimure linked the presence of the Hon. Minister who is responsible for monitoring and evaluation to say to what extend do you monitor the administration of these loans.  I do not know Hon. Speaker if you are going to give the Hon. Minister a chance to also explain himself as asked by Hon. Madzimure.  The loan is too small.  For now the loan of US$15 million for us is not too small – it is a very significant amount which I think is going to make a difference to our farmers and people who are living in the rural communities.  I think it is important for the Hon. Members to look at the targeting which has been done.  We were informed by the ZIMVAC report.  This report gives us the poverty map to say these are the areas that are vulnerable and there is need for us to come up with targeted programmes and this is what we are doing as Treasury and as Government.  I think this loan is going to make a difference.

As I have said, there is need for us to know that there is co-financing.  The US$15 million is part of the US$35.7 million which was ratified by Parliament last year.  We can only move forward if the missing component which is the US$15 million being offered by OFID has been ratified by Parliament. 

Hon. Speaker Sir, I now move that this agreement be approved.

Motion put and agreed to.

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