New Zimbabwe.com

IDBZ to scale up capital base to US$1 billion through partial privatisation

By Alois Vinga


THE Infrastructure Development Bank of Zimbabwe (IDBZ) has embarked on medium term recapitalisation programme targeting US$1 billion through partial privatisation in a development that will see the bank being capacitated to undertake demanding projects.

A notice published in a recent Government Gazette says that the IDBZ is targeting a US$500 million in the short to medium term and US$1 billion in the long term.

The bank is also working towards bringing on board strategic investors who are aligned to its developmental mandate and who will facilitate access to long term capital suitable for infrastructure development.

Government has since approved the bank’s partial privatisation to meet the recapitalisation goa.

It is the majority shareholder in IDBZ and it last injected $18 million as equity capital about two years ago.

As part of the bank’s medium term strategy: 2016-2018; it is looking at reaching the capitalisation target of $250 million.

The bank oversees the improvement of the living standards of Zimbabweans through the development of infrastructure, which includes but not limited to energy, transport, water and sanitation, information communication technology and housing.