99-year leases now bankable

Farmers in Zimbabwe can now use the 99-year leases to borrow money from the banks after Government and bankers ironed out sticking points that made banks reluctant to accept the leases as security. The move, barring El Nino-induced drought, is expected to boost agricultural production and ensure maximum land utilisation.

In an interview yesterday, Finance and Economic Development Minister Patrick Chinamasa said Government and bankers had cleared outstanding issues and came up with a draft tradeable document.

”Boosting productivity is not a once-off thing. ”he said, since the agriculture sector was important as 70 to 90 percent of the population depended on the industry. He said Government was also in the process of remapping farms with financial support from the European Union and the United Nations Development Programme and the resources provided by Treasury. Government is also working to improve irrigation, value addition and macro-environment for the purpose to achieve a rapid and inclusive growth of the country.