Zimbabwe formally applies to join Asian Infrastructure Investment Bank

By Xinhua

ZIMBABWE has formally applied to join the Asian Infrastructure Investment Bank (AIIB), the country’s Ministry of Finance, Economic Development and Investment Promotion said in a statement on Friday.

Following the country’s formal application last month, a Zimbabwean delegation led by Finance, Economic Development and Investment Promotion Minister Mthuli Ncube held a strategic engagement with senior AIIB officials in Beijing Friday to discuss Zimbabwe’s development priorities and prospects of deepening cooperation.

During the discussions, the AIIB outlined its priority areas, including sustainable infrastructure development, green and climate-resilient infrastructure, regional connectivity and integration, and the mobilization of capital for private-sector development financing, the ministry said.

According to the ministry, Ncube noted the alignment between the AIIB’s mandate and Zimbabwe’s infrastructure development needs, saying that the bank’s priority areas strongly resonate with the country’s development agenda, particularly in the areas of climate change resilience and hydro-infrastructure development.

“He emphasized that Zimbabwe is seeking long-term financing and technical partnership to expand sustainable energy and water systems, which are central to the country’s economic transformation,” the ministry said.

Locked out of international capital markets for close to three decades due to high external debt arrears, Zimbabwe is actively pursuing negotiations with international creditors to resolve the debt and restore financial credibility so that it regains access to global capital markets, including seeking membership in the BRICS New Development Bank.

In April, the management of the International Monetary Fund approved a 10-month Staff-Monitored Program for Zimbabwe aimed at consolidating macroeconomic stability and supporting the country’s re-engagement efforts with the international community.