Old Mutual in bid to resolve border impasse

Beitbridge Border Post is among the busiest in Africa.
Mr Swart said the final closure of the project, equity-funded by Old Mutual and debt-funded by Standard Bank, had been withheld by the Government, which was “discontented with the late start”.
Initial speculation blamed differences in the coalition Government for delays.
Mr Swart said the project was delayed due to its multidisciplinary nature and the need to adjust the designs from that specified in the concession agreement to meet additional special requirements, including those of the different organs of the Government.
“The funds for the project have been available for more than three months and the project could proceed at short notice. However, this can only be done if there is the political will of the Government of Zimbabwe and the Minister of Finance (Tendai Biti) to proceed as planned,” Mr Swart said.
“Due to the immense efforts made to date and the significant funds already invested in the project, Old Mutual has approached the Minister of Finance with the hope of finding resolution to the current impasse.”
The upgrade would see traffic diverted into three streams, one each for light vehicles, pedestrians and buses and trucks, old buildings razed and a new one erected, 5km of road laid and 250 free-standing houses built for staff.
Standard Bank spokesman Mr Eric Larsen said the bank had had no formal confirmation that the deal was off. It believed it was still awaiting final approval from the Government.
The local media recently reported that Minister Biti had indicated that the deal, which he said had been concluded in August with what he called a company from South Africa, had fallen through.
“On 18 August we entered into an agreement with some company to transform the border post, but nothing has happened and we only realised in September they had failed to deliver,” Mr Biti was quoted as saying.
The Chronicle quoted him as saying another firm had been contracted and would start work next year. He did not name the company.
Mr Biti apparently made the comments while on an official visit to the border post with Co-Home Affairs Minister Kembo Mohadi. Mr Biti blamed long delays at the border post – for up to eight hours – on staff shortages. The post had 141 technical staff, but needed 247. It needed up to 80 immigration staff, but had 55. – Businessday.