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Top German bank cuts ties with Zimbabwe’s Stanbic

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BY RAY NDLOVU AND ROXANNE HENDERSON

Germany’s Deutsche Bank has cut correspondent banking ties with Standard Bank Group Ltd’s Zimbabwean unit, dealing a body-blow to one of the few remaining international banking providers operational in the southern African nation.

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Stanbic Bank Zimbabwe Ltd as the local unit is known, is the latest lender to have its United States dollar correspondent banking services — which are key to facilitating foreign currency exchange and payments — terminated by an international bank.

“Deutsche Bank were no longer able to support the clearing of a few of our US dollar based services,” the lender said in an August 30 emailed response to questions.

No reasons were given for the termination. Deutsche Bank declined to comment.

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The Reserve Bank of Zimbabwe estimates that at least 102 correspondent banking relationships were lost over the last decade because of the country’s perceived high risk due to sanctions.

Stanbic Bank, which counts among its clients major exporters, non-governmental organizations and embassies, said it now operates a US dollar correspondent banking relationship through its parent company in South Africa.

Deutsche Bank for years has been pulling back from offering correspondent banking as the costs to ensure compliance with know-your-clients rules have increased.

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It has also been exposed to regulatory actions for acting as a correspondent bank for Danske’s Estonia unit while suspicious transactions from Russia were flowing through that lender. – Bloombergny’s Deutsche Bank has cut correspondent banking ties with Standard Bank Group Ltd’s Zimbabwean unit, dealing a body-blow to one of the few remaining international banking providers operational in the southern African nation.

Stanbic Bank Zimbabwe Ltd as the local unit is known, is the latest lender to have its United States dollar correspondent banking services — which are key to facilitating foreign currency exchange and payments — terminated by an international bank.

“Deutsche Bank were no longer able to support the clearing of a few of our US dollar based services,” the lender said in an August 30 emailed response to questions.

Advertisement

No reasons were given for the termination. Deutsche Bank declined to comment.

The Reserve Bank of Zimbabwe estimates that at least 102 correspondent banking relationships were lost over the last decade because of the country’s perceived high risk due to sanctions.

Stanbic Bank, which counts among its clients major exporters, non-governmental organizations and embassies, said it now operates a US dollar correspondent banking relationship through its parent company in South Africa.

Advertisement

Deutsche Bank for years has been pulling back from offering correspondent banking as the costs to ensure compliance with know-your-clients rules have increased.

It has also been exposed to regulatory actions for acting as a correspondent bank for Danske’s Estonia unit while suspicious transactions from Russia were flowing through that lender. – Bloomberg

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National

Zimbabwe approves US$92 million Victoria Falls infrastructure deal

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BY WANDILE TSHUMA

The government has greenlit a major public-private partnership (PPP) to develop critical bulk infrastructure within the Masuwe Special Economic Zone (MSEZ), a move aimed at transforming Victoria Falls into a premier international hub for finance and tourism.

The project, approved during the Tuesday cabinet meeting, establishes a commercial joint venture (CJV) between the state-owned Mosi Oa Tunya Development Company (MTDC) and the JR Goddard (JRG) Consortium.

According to the government briefing, the MSEZ is a “flagship national development project” established to “transform Victoria Falls into a diversified, high-value hub integrating tourism, financial services and sustainable real estate”.

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Under the terms of the agreement, the JRG Consortium—which includes JR Goddard Pvt Ltd, Sesani Pvt Ltd, Stewart Scott Zimbabwe Pvt Ltd, and GGF Africa Pvt Ltd—will provide funding of US25.6 million.

This arrangement results in a shareholding structure of 39% for MTDC and 61% for the JR Goddard Consortium.

The infrastructure roadmap for the 1 200-hectare site is extensive. Planned works include the surfacing of 8 km of internal roads, the upgrading of 9 km of existing gravel roads, and the construction of a 13 km water pipeline designed to serve both the economic zone and neighbouring communities.

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Additional developments will feature a package water treatment plant, a sewerage reticulation system, a power sub-station, and effluent re-use storage ponds.

Cabinet said the project was subjected to a “rigorous evaluation” in compliance with the Zimbabwe Investment and Development Agency (ZIDA) Act.

Officials believe the partnership will “catalyse high-value investment” and provide a “sustainable fiscal contribution to gross domestic product (GDP)” while creating downstream jobs.

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The government said the project is expected to “catapult the transformation of Victoria Falls into a modern and vibrant economic development city, fulfilling the attainment of Vision 2030”.

The joint venture includes a 25-year structured profit recoup period and will be overseen by a board chaired by the MTDC to ensure alignment with the country’s National Development Strategy 2.

Located within the Kavango-Zambezi Transfrontier Conservation Area (KAZA-TfCA), the Masuwedevelopment is seen as a strategic pivot for Zimbabwe to diversify its tourism-dependent economy into a more robust financial services and real estate centre.

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Nkayi

Burial preparations underway for Nkayi well tragedy victims

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BY NOKUTHABA DLAMINI 

The Nkayi community is preparing to lay to rest the Grade 2 pupil and his neighbor who tragically died in a gas-filled well in Ward 19 last week.

According to Ward 19 Councillor Thubelihle Mabuza Ncube, the young Grade 2 boy is scheduled to be laid to rest today, while the other deceased individual will be buried tomorrow. The community is currently awaiting the arrival of the bodies from the Nkayi regional mortuary. The remains were recently delivered back to the regional mortuary following the completion of postmortem examinations in Bulawayo.

The double fatality occurred when the young student was reportedly lured into a neighbor’s well by an elder to retrieve a bucket in exchange for sweets. The child was quickly overcome by suspected carbon monoxide and a total lack of oxygen. A neighbor who entered the shaft in a desperate rescue attempt also perished after being overwhelmed by the toxic air.

Due to the hazardous conditions within the well, rescuers were unable to enter the shaft and had to use a makeshift wire tool to retrieve the bodies from the surface. Councillor Ncube previously expressed deep distress over the incident, noting that Nkayi is hurting deeply.

While the community mourns, legal proceedings are also in motion. The councillor has indicated that the accused in the matter has been charged by the police. This update follows a series of tragic events in the Nkayi district, including a recent fatal elephant attack in Ward 13.

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Binga

Poet’s pen turns to philanthropy: Obert Dube’s mission to clothe and educate Zimbabwe’s youth

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BY NOKUTHABA DLAMINI

For Obert Dube, a renowned African poet, the stage is no longer just a place for performance; it has become a platform for a massive humanitarian effort aimed at Zimbabwe’s most vulnerable children. Since November, Dube has traversed the rugged terrains of Matabeleland North and South, visiting over 100 schools to provide essential supplies to students who, much like his younger self, are struggling to stay in the classroom.

Obert Dube

Dube, who describes himself as an “African poet… born and bred in Zimbabwe,” has dedicated his career to what he calls a “mission of mercy.” His work focuses on children who are often forced to drop out due to a lack of school fees or basic stationery. “I’m an African poet… a philanthropist engaged in a special mission,” Dube said in a recent interview. “I help vulnerable children… who sometimes fail due to school fees. Some approach me for help with registering for examinations.”

The poet’s motivation is deeply rooted in his own childhood trauma. Raised by a widowed mother who passed away before his final exams, Dube became a “child parent” at a young age. He recalls the humiliation of attending school in borrowed uniforms and the struggle of trying to learn without the most basic tools. “I remember some raised by elderly grandparents… their parents are passed on,” Dube explained, noting that many guardians cannot afford books. “They will spend the rest of the time at school without writing, and that is what is contributing to low pass rates.”

To fund this initiative, Dube allocates 30 percent of his earnings from every performance to purchase stationery and pay school fees. His reach has expanded to districts including Nkayi, Binga, Lupane, and Hwange. While he started alone, his social media presence has attracted global support, including a Zimbabwean-born UK citizen who recently donated football kits for the schools. “This is a different thing collectively that builds helping our own communities,” Dube said.

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