FINANCE minister Patrick Chinamasa yesterday revealed that China wanted Zimbabwe to prepare proper and well researched projects before the Asian economic giant could consider loosening its purse strings.
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Chinamasa said this in his presentation to Zanu PF’s Matabeleland provincial co-ordinating committees consultative meeting with ministers held at Elangeni Training Centre in Bulawayo.
Chinamasa was part of a delegation led by President Robert Mugabe that embarked on a five-day State visit to China that returned empty-handed after the Far East country demanded bankable projects backed by feasibility studies.
Mugabe and Chinese President Xin Jinping signed nine memoranda of understanding that will see the two countries strengthening co-operation in various sectors ranging from infrastructure development to the provision of concessionary loans for the tourism and hospitality sectors.
Chinamasa said as a result of the demand by their hosts, the ministerial delegation signed agreements with Chinese companies to conduct joint feasibility studies before begging for any funding.
The trip generated commotion in Parliament last week when opposition MPs questioned Chinamasa whether Mugabe had inked any deal to salvage the tottering economy.
Finer details of the Chinese trip have been shrouded in secrecy, but Chinamasa yesterday revealed that nothing much came out of it as the Zimbabwean delegation failed to present bankable projects.
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“The president was able to engage seriously with his Chinese counterpart; seriously with (the) Chinese premier; seriously with the Chinese chairman of the National People’s Congress and in all those levels of engagement, they assured us that they will give us support,” he said.
“They will give us support in particular to infrastructure projects. What they needed of us was that we return home and draw up well researched bankable projects and that is the stage where we are now.
“Our problem basically was that as we discussed, some of our projects were presented for funding. We had not done feasibility studies and that is the problem we are grappling with now.
“So when we were there, we signed a number of agreements which will allow us with Chinese companies to do joint feasibility studies for certain projects . . . the bottom line is that we must submit viable bankable projects and they told us that there is no limit, but limitations on whether they are viable and bankable or not,” Chinamasa added.
He said the $10 billion debt overhang was making his job difficult as multilateral financial institutions were quick to question him on Zimbabwe’s poor debt payment record.
There was speculation that Mugabe would strike a $4 billion loan with China to fund Zanu PF’s ZimAsset economic blueprint to revive the ailing economy.
