Zimbabwe joins the BRICS New Development Bank

Zimbabwe’s Minister of Finance and Economic Development Mthuli Ncube announced the country’s admission into the New Development Bank.

Membership will give Zimbabwe access to long-term financing for infrastructure and industrial projects — the very «patient capital» the country has sorely lacked over the past two decades due to sanctions and limited access to traditional international financial institutions. According to Ncube, this will also expand credit facilities to support the productive sectors of the economy.

Joining the bank fits into the strategy of achieving Vision 2030 — a program to transform Zimbabwe into an upper-middle-income country. The Industrial Development Fund has already financed 15 strategic projects, including pharmaceutical manufacturing, the National Venture Fund provides equity financing to startups with government participation capped at 15% and a mandatory exit within five years, and Bulawayo is preparing to launch a stock exchange for small and medium enterprises.