Zimbabwe's government is seeking lines of credit from South African banks to help ease a liquidity crunch that's holding back growth in the southern African nation, Finance Minister Patrick Chinamasa said.
Authorities are seeking loan facilities from private banks rather than financial aid to help overcome the crisis, Chinamasa said.
"We are looking for lines of credit by South African financial institutions to our commercial banks to enable lending for productive purposes," he said.
Chinamasa is accompanying President Robert Mugabe, 91, on his first state visit to SA in 21 years to help strengthen economic and political ties with its biggest trading partner.
Zimbabwe is facing a foreign-currency shortage, partly due to a lack of investment as the government's so-called indigenisation laws deter companies. The rules require foreign and white-owned companies to cede 51% stakes to black Zimbabweans or the government's empowerment agency.
SA companies won't be given concessions that allow them to avoid meeting the indigenisation laws, Chinamasa said.
"We are treating all investors on an equal footing," he said. "Whatever our law provides will apply for all investors, irrespective of where they are coming from."
SA is one of the biggest investors in Zimbabwe and companies including Impala Platinum Holdings and Nedbank Group own units there. Zimbabwe's imports from its bigger neighbour amounted to R24.8-billion in 2014, while exports stood at R2-billion.
Zim seeks SA bank loans to help ease liquidity crunch
Zimbabwe's government is seeking lines of credit from South African banks to help ease a liquidity crunch that's holding back growth in the southern African nation, Finance Minister Patrick Chinamasa said.
Authorities are seeking loan facilities from private banks rather than financial aid to help overcome the crisis, Chinamasa said.
"We are looking for lines of credit by South African financial institutions to our commercial banks to enable lending for productive purposes," he said.
Chinamasa is accompanying President Robert Mugabe, 91, on his first state visit to SA in 21 years to help strengthen economic and political ties with its biggest trading partner.
Zimbabwe is facing a foreign-currency shortage, partly due to a lack of investment as the government's so-called indigenisation laws deter companies. The rules require foreign and white-owned companies to cede 51% stakes to black Zimbabweans or the government's empowerment agency.
SA companies won't be given concessions that allow them to avoid meeting the indigenisation laws, Chinamasa said.
"We are treating all investors on an equal footing," he said. "Whatever our law provides will apply for all investors, irrespective of where they are coming from."
SA is one of the biggest investors in Zimbabwe and companies including Impala Platinum Holdings and Nedbank Group own units there. Zimbabwe's imports from its bigger neighbour amounted to R24.8-billion in 2014, while exports stood at R2-billion.
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