Staff Reporter

TIME Bank of Zimbabwe (Time Bank) has put forward a proposal to offer a syndicated loan of US$35 billion to the Government of Zimbabwe. The proposed loan is intended to finance compensation for 10 key groups, including previous farm owners, as well as contribute to the resolution of sovereign debt, according to a statement from the bank.

In a statement, CEO of Time Bank, Dr Oliver Mupambwa said that the initiative is part of Time Bank’s broader business repositioning strategy, which it believes will not only address outstanding financial obligations but also enhance the country’s overall business environment.

“This is a strategic move aimed at improving Zimbabwe’s economic landscape by addressing historical financial commitments while simultaneously positioning the bank as a key player in the country’s economic recovery.

We believe that by settling these debts and compensating the affected groups, we can foster greater confidence among investors and create a more stable business environment in Zimbabwe,’’ he added

Dr Mupambwa went on to say that the proposed compensation package is set to benefit various groups, with particular emphasis on former farm owners who were dispossessed of their land during Zimbabwe’s land reform program.

“The syndicate loan is expected to cover the total compensation amount needed for these groups, alongside sovereign debt obligations that have been a point of contention in Zimbabwe’s economic discourse,” he said

Economic analysts have hailed the proposal as a positive step towards resolving long-standing financial issues that have hampered Zimbabwe’s economic growth.

John Mutizwa, an economist with the Zimbabwe Economic Institute stated, “If executed, this move could pave the way for a significant turnaround in Zimbabwe’s economic fortunes. The settlement of these debts would likely improve the country’s creditworthiness and open doors for new investments.”

Government is yet to officially respond to Time Bank’s proposal, but sources within the Ministry of Finance indicate that discussions are ongoing. The initiative, if accepted, would be one of the largest financial arrangements in the country’s recent history and could mark a pivotal moment in Zimbabwe’s economic recovery efforts.

Meanwhile, Time Bank, which has recently undergone a strategic reorientation, aims to leverage this proposal to cement its role as a leading financial institution in Zimbabwe. The bank’s efforts align with its vision of contributing to the country’s economic development through innovative financial solutions.