HARARE - Zimbabwe today signed a $213 million infrastructure deal with China for the upgrading of the Robert Mugabe International Airport, as well as construction of the new Parliament building and commencement of the high performance centre at the University of Zimbabwe.
The loan facility which will be administered through China Export Import Bank (China Eximbank) has a repayable period of 20 years including 7 years grace period at 2 percent per annum interest rate. The airport upgrading project entails expansion of the terminal building at RGM International Airport, rehabilitation of the runway, installation of a satellite station among other critical infrastructure for the smooth flow of air traffic.
Finance Minister and Economic Planning Minister Patrick Chinamasa signed on behalf of Zimbabwe with Ambassador Huang Ping also signing on behalf of China. The deal comes on the back of the mega deals pledged by Chinese President, XI Jinping where the two governments agreed on the completion of the new Parliament building to be based in Mt Hampden. The new Parliament will have the capacity to accommodate 650 members with room for expansion where government has already built roads, water infrastructure and electricity.
The framework for the agreement is broken down as follows: RMB105 billion for the RGM International Airport and RMB300 million going towards the new Parliament building. Another RMB100 million will be disbursed towards a high performance computer to be connected at the University of Zimbabwe to ensure the improved internet connectivity.
Phase one of this project has already equipped Zimbabwe with the third fastest computing centre in Africa and greatly elevated the government’s capacity to process data in a wide range of areas. “Let me hasten to say that Zimbabwe has in the past, received support targeting various projects in education, energy, transport and communication. We remain thankful for the support,” said Chinamasa, adding that the deal was “testimony to the lasting friendship that exists between our two peoples and governments.”
He assured China that Zimbabwe would clear in enerst all its obligations which it has failed to service in the past year, promising that tomorrow’s budget would also tackle issues of external debt.
“We have not been able to service our loans in the past year but we are now building capacity to honour our debts. Tomorrow’s budget will show that we are back in business and are able to settle our debts,” Chinamasa said.
Ambassador Ping said China was committed to assisting Zimbabwe with infrastructure development.
“As Zimbabwe’s all-weather friend, the Chinese government has been committed to assist our good friend and brother in its development path through thick and thin ever since Zimbabwe’s liberation,” said Ping.
He indicated that construction at the new Parliament of Zimbabwe site in Mt Hampden would start during the new dry season.
Ping was also upbeat that the concessional loan extended toward the RGM International Airport was a step further in aviation and infrastructure development cooperation. “The Chinese government will continue to support the Zimbabwean government and people in their economic revival and social development. The agreements we’ve signed today is a just a testimony of our efforts and our friendships that withstands the test of time,” he said.
