The IMF official statements report that the debt was cleared in October 2016
This post on X (formerly Twitter) claiming that Zimbabwe cleared it legacy debt with the International Monetary Fund (IMF) in 2021 under President Emmerson Mnagangwa’s Second Republic is PARTLY FALSE
At Zimbabwe’s birth in 1980, the country inherited a $700 million debt from the Rhodesian government of Ian Smith. By 1990, to keep paying the debt, Zimbabwe had to take out bailout loans of $2 billion from the IMF and World Bank. In return, the economy was liberalised. Growth slowed, a trade deficit was created. Zimbabwe defaulted on its debt in 2000.
According to the IMF, Zimbabwe’s debt was cleared in 2016. This was during the late former President Robert Mugabe’s administration, not President’s Mnangagwa. President Mnanagwa came to power in November 2017.
Gerry Rice, Director of Communications at the International Monetary Fund (IMF) made the following statement on Zimbabwe:
“On October 20, 2016, Zimbabwe settled its overdue financial obligations to the Poverty Reduction and Growth Trust (PRGT) of the IMF. Zimbabwe had been in continuous arrears since 2001. To settle these obligations, which amounted to SDR 78.3 million (about US$107.9 million), Zimbabwe transferred part of its SDR holdings kept at the IMF to the PRGT account. Zimbabwe is now current on all its financial obligations to the IMF.”
The Besana Mail, Zim Truth Radar checked with the IMF to ascertain if Zimbabwe is one of the few countries in the world that owes nothing to the IMF and found that the country doesn’t owe the international lender, but still faces financial hurdles to receive loans from the IMF.
“I can confirm that — and I’ve said it before here, that Zimbabwe has cleared, indeed, its arrears to the IMF but arrears remain outstanding to other multilateral creditors, including the World Bank and that severely limits Zimbabwe’s access to international financial support — Zimbabwe has no arrears to the IMF. Our rules preclude lending given the arrears to other financial institutions, said Gerry Rice, IMF, Director of Communications in a statement by IMF on Zimbabwe.
The Besana Mail, Zim Truth Radar examined a post on X claiming that Zimbabwe cleared its legacy debt with the IMF in 2021 under President Emmerson Mnagangwa’s Second Republic and found it to be PARTLY FALSE.
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