Zimbabwe is planning to list a bond on the local exchange market. This move is expected to aid in the raising of funds for work to be done on the Zimbabwe, South Africa highway.
South Africa is Zimbabwe’s largest trading partner. As a result, expansion and development of the main highway that links the two nations to each other will undoubtedly promote trade and improve the economy.
Although the listing date has not yet been confirmed, the Infrastructure Development Bank of Zimbabwe’s (IDBZ) chief executive officer, Justin Bgoni expressed his support for this decision. He stated that issuing of a government bond is key to building a strong capital market for the nation. He added that he was happy that the government is considering using the IDBZ market to raise capital for the development of the country.
The bond, which will be listed by the Infrastructure Development Bank of Zimbabwe is said to amount to $250 million. This will be the first note issuance on the Zimbabwe Stock Exchange (ZSE) since 2001. However, In March the lender stated that it could take up to 3 months to issue this bond as it requires investors support.
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