Online Reporter
Michael Tome
Business Reporter
NMB Bank is on the verge of securing US$70 million in offshore lines of credit to scale up lending to Zimbabwe’s productive sectors, with a strong focus on export-driven industries such as mining, agriculture and manufacturing.
The bank said the new funding, sourced from a mix of European and regional financiers, is expected to significantly strengthen its capacity to support long-term capital projects and drive growth in its core lending income.
Zimbabwe’s total offshore loan intake for the private sector jumped 43 percent to US$3,53 billion in 2025, up from US$2,46 billion in 2024.
According to NMB, approximately US$35 million of the total funding is expected to be secured from European funders and the facility is likely to have a tenure of up to 10 years, potentially one of the longest-dated credit lines in the domestic market.
An extended maturity profile is designed to align with the financing needs of capital-intensive agricultural projects, particularly plantations, which require long-term funding structures.
The other US$35 million is expected to come from a regional funder and will be largely directed towards the mining sector, where demand for foreign currency-denominated capital remains firm.
With three funding partners currently under negotiation, NMB expressed confidence that the new facilities will position it to play a more significant role in financing Zimbabwe’s productive sectors, particularly at a time when access to affordable, long-term capital remains a key constraint to industrial growth.
The facilities, he added, will further enhance the bank’s ability to expand lending to export-oriented clients, particularly in horticulture and manufacturing, and support of value chain financing across key industries. He said the new funding is expected to drive growth in interest income as the loan book expands.
“Our focus remains on deepening sector specialisation, expanding export-linked clients and building core deposits to sustain disciplined, risk-adjusted growth,” he said.
Economic analyst Mr Tinevimbo Shava said securing lines of credit will go a long way in spurring the performance of the local productive sectors, especially agriculture and mining. The two are critical sectors of the local economy.
He said lines of credit offer stability and growth potential for individuals and businesses, supporting sustained funding needs over years.
“Securing long-term lines of credit is a strategic financial move that provides stability, flexibility and growth potential for both individuals and businesses,” said Mr Shava.
“Unlike short-term credit, which is often used for immediate cash gaps, long-term credit lines are designed to support sustained funding needs over several years.”
This development comes as international development finance institutions and global investors are beginning to warm up to Zimbabwe’s horticulture sector, as one of the country’s most promising areas for sustainable growth and export diversification.
Zimbabwe has a unique climate that allows year-round production across multiple agro-ecological zones.
The Horticultural Development Council says it is working towards a US$2,5 billion sector by 2030, driven by sustainable investment, value addition and strategic partnerships.
Zimbabwe now has the largest blueberry industry in Africa.
Production increased from roughly 5 787 tonnes to 8 000 tonnes in the 2023/2024 season.
Horticultural projects involving blueberries or macadamia nuts, for example, require three to seven years before reaching full commercial yield.
NMB’s proposed 10-year tenure directly addresses the challenge that often causes agricultural projects to fail when funded by short-term 12-month local loans.
United Kingdom deputy ambassador responsible for trade and investment Dr Joanne Abbot recently indicated that her country is focusing on assisting Zimbabwe, anchored in three pillars — development assistance, trade facilitation and investment partnerships.
“The horticulture sector is a real priority for us in the UK and in 2025, the UK launched a new trade strategy which puts international partnerships, including horticulture, at the core of economic growth, as we would want to help deliver on this US$2,5 billion target,” said Dr Abbot.
“Hence, we want to be involved at lots of different levels, strategically and practically, and do that through the right partnerships and investments.”
NMB’s strategy shows a shift among local banks, as they continue tapping into offshore capital to fund long-term projects amid limited availability of domestic long-tenure funding.
