Zimbabwe: IMF opens a window
WASHINGTON: The International Monetary Fund (IMF) has opened a window of possible funding opportunities for the bankrupt Zimbabwean government, says an analyst.
Noting improved cooperation on economic policies, the IMF announced on 6 May that it would resume technical support to Zimbabwe, but would not release any financial aid until Harare honoured its arrears. Zimbabwe owes the IMF about US$133 million.
The IMF's re-engagement could help allay scepticism over the viability of the newly installed unity government and bolster confidence in prospective investors, according to Emira Woods, director of the Institute for Policy Studies, a US-based think-tank.
"Normally, financial creditors take their cue from the IMF. This development therefore opens the doors for both public and private financiers to engage with the government of Zimbabwe," she commented.
