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China 'agrees huge Zimbabwe loan' | China 'agrees huge Zimbabwe loan' |
(11 minutes later) | |
China has agreed to give Zimbabwe a loan of $950m (£573m) to help it revive its battered economy, Prime Minister Morgan Tsvangirai has said. | China has agreed to give Zimbabwe a loan of $950m (£573m) to help it revive its battered economy, Prime Minister Morgan Tsvangirai has said. |
Mr Tsvangirai had been criticised by supporters of President Robert Mugabe for failing to get more support during his recent trip to the West. | Mr Tsvangirai had been criticised by supporters of President Robert Mugabe for failing to get more support during his recent trip to the West. |
Mr Tsvangirai and Mr Mugabe formed a power-sharing government in February. | Mr Tsvangirai and Mr Mugabe formed a power-sharing government in February. |
The government says it needs some $8bn to rebuild the country following years of collapse. | The government says it needs some $8bn to rebuild the country following years of collapse. |
"The government through the minister of finance, secured credit lines of almost $950m from China," Mr Tsvangirai said in a news conference. | "The government through the minister of finance, secured credit lines of almost $950m from China," Mr Tsvangirai said in a news conference. |
'Enormous support' | 'Enormous support' |
The prime minister visited the US and Europe earlier this month in an attempt to raise funding for the struggling nation. | The prime minister visited the US and Europe earlier this month in an attempt to raise funding for the struggling nation. |
The US promised $73m in aid while the UK pledged to boost its funding by about $8m. | The US promised $73m in aid while the UK pledged to boost its funding by about $8m. |
Mr Tsvangirai said he had received pledges totalling $500m. | Mr Tsvangirai said he had received pledges totalling $500m. |
"The amount of assistance that was raised on my visit to Europe and the United States does not reflect the enormous support we will be able to utilise if we are to fulfil all our political obligations," he said. | "The amount of assistance that was raised on my visit to Europe and the United States does not reflect the enormous support we will be able to utilise if we are to fulfil all our political obligations," he said. |
Mr Tsvangirai has been forced on several occasions to defend his decision to enter a power-sharing government with Mr Mugabe - as the two men spent years as bitter political rivals. | Mr Tsvangirai has been forced on several occasions to defend his decision to enter a power-sharing government with Mr Mugabe - as the two men spent years as bitter political rivals. |
The prime minister said he had joined the unity government to save the country from disaster - it was battling a cholera outbreak, while water, health and education services had collapsed. | The prime minister said he had joined the unity government to save the country from disaster - it was battling a cholera outbreak, while water, health and education services had collapsed. |
China was one of the few countries to retain economic support for Zimbabwe in recent years. | China was one of the few countries to retain economic support for Zimbabwe in recent years. |
Senior members of Mr Tsvangirai's Movement for Democratic Change (MDC) on Monday boycotted a cabinet meeting chaired by Mr Mugabe, saying he had treated their party with contempt and disrespect. | |
And the president himself said last week the unity government had so far not lived up to its promises. | And the president himself said last week the unity government had so far not lived up to its promises. |
"Money cannot be found to pay those who are working. Not even the ministers, not the president," Zimbabwe's Herald newspaper quoted him as saying. | "Money cannot be found to pay those who are working. Not even the ministers, not the president," Zimbabwe's Herald newspaper quoted him as saying. |
Mr Mugabe said he had been promised $100 in salary this year - but had so far received nothing. | Mr Mugabe said he had been promised $100 in salary this year - but had so far received nothing. |