IDBZ, a Government-controlled institution, also intends to sell close to
The bank is in arrears to the tune of about
"One of the key strategies in the group's recapitalisation involves addressing the legacy foreign debt," IDBZ chairman Mr
"Government is considering a proposal which, if implemented, would have the effect of cleaning the balance sheet of the bank through a transfer of foreign debt to a standalone Special Purpose Vehicle.
"The net result would be a well capitalised institution capable of mobilising funding through lines of credit in regional and international capital markets on the strength of its balance sheet,"
A Bill of Parliament will be needed to implement the restructuring, chief executive Mr Charles Chikaura said.
IDBZ has been facing challenges in mobilising lines of credit as it remains under the sanctions list of the
The group aims to be a
A well capitalised bank with a broad institutional shareholder base will enhance the bank's capacity to raise debt capital to fund relatively large and bankable projects.
Proceeds from the Infrastructure Development Bonds will help cover the cost for
"The bank secured a mandate to mobilise
"The tender process . . . will be finalised in 2014 following which the bank expects to immediately engage in fund-raising through local infrastructure bonds issues."
On Kariba, IDBZ was mandated to raise
The bank also secured a mandate from TelOne, a telecommunications company to raise
It is also involved in resuscitation of
Net interest income dropped 22 percent to
Fees and commission income increased by 123 percent to
A loan impairment charge for the year at
The decline was attributed to strengthened credit risk management processes. Operating expenses increased by 3 percent to
Total assets declined from
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