Zim asks for mine investment
2009-07-03 22:03
Beijing - A Zimbabwean government official on Friday appealed to Chinese firms to invest in Zimbabwean mines, asking companies to ignore the country's recent troubles and strike now while the iron is hot.
Zimbabwe has asked the world for help for its devastated economy, and says it needs $10bn to rebuild dilapidated infrastructure and ease a 90% unemployment rate.
Taonga Mushayavanhu, Zimbabwe's deputy ambassador in Beijing, urged Chinese companies attending a mining conference to invest in his country, which has deposits of platinum, gold and diamonds, among other minerals.
"Now we have stability and security," he said.
Coalition
"The government of Zimbabwe recognises the importance of the mining industry in its economic recovery programme and realises that the economic turnaround cannot be possible without foreign investment.
Morgan Tsvangirai's Movement for Democratic Change in February formed a fragile coalition administration with President Robert Mugabe's ZANU-PF to end a long-running political crisis and a decade of economic ruin.
Mugabe denies rights abuse charges levied against him, and insists the West has withheld aid mainly in protest over his controversial seizure of white-owned commercial farms for resettlement among blacks.
Mugabe has tried to boost economic ties with Asian countries such as China and Malaysia.
Secured credit
Beijing and Chinese companies have pledged tens of billions of dollars to Africa in loans and investments, mostly to secure raw materials for the world's fastest-growing major economy.
China's trade with the continent has jumped by an average 30% a year this decade, reaching nearly $107bn in 2008.
Tsvangirai said last week that Zimbabwe had secured $950m in credit from China to help rebuild its economy, the biggest offer from a single country since a unity government was formed.
Zimbabwean Finance Minister Tendai Biti said on Friday however that no agreement had been reached with China on the credit line.