The European Investment Bank, one of the major investment financial institutions in Europe is set to resume business with Zimbabwean companies as Western nations intensify re-engagement efforts. Officials from the bank, the lending arm of the EU, visited Zimbabwe early this year to scout for opportunities and yesterday the EU ambassador to Zimbabwe, Mr Aldo Dell’Ariccia, confirmed the return of the institution.

“Incidentally even the EIB which has been absent from Zimbabwe for a while due to arrears that Zimbabwe owes the bank which are above thresholds that does not permit it to provide credit anymore nevertheless the EIB has decided to carry out exploratory missions that have been extremely successful and so they envisage now to launch new development initiatives with the private sector.

“It is not yet possible to provide credit to the Government of Zimbabwe because of the level of the arrears but in order to contribute to the process of consolidating economic development, they are ready to come and consider the facility of supporting the private sector in Zimbabwe,” he said.

Ambassador Dell’Ariccia said support would be provided based on the quality of request submitted by the respective companies. Although Government owes the EIB over US$300 million in arrears the illegal sanctions effectively made it impossible to service the debt. He also said the EU was discussing long term co-operation with the Government.

“The relationship between EU and Zimbabwe are longstanding and in particular since 2009  . . . the EU is increasingly improving its partnership with Zimbabwe and since 2009, US$1,3 billion has been provided in development assistance and of course we are preparing already for the future and the EU will continue contributing to a number of long term development initiatives in the field of infrastructure of sustainable agriculture and access to better quality services for all the population of Zimbabwe.

“We are at present discussing with the GNU what would be the strategic framework for the co-operation of the EU with Zimbabwe in the framework of the EU Development Fund which is the specific fund the EU supports development programmes in the countries of Africa, Caribbean and the Pacific.” The latest move by the EU follows a number of initiatives by the Western countries to mend ties with Zimbabwe following over a decade of illegal sanctions they imposed on the country to effect illegal regime change and reverse the historic  land reform programme.

The EU suspended sanctions against 81 individuals and eight entities recently while the US also removed Agribank and the Infrastructure Development Bank of Zimbabwe and 10 now deceased politicians from their sanctions list. A three-member delegation from the European Parliament’s Development Committee was also in the country recently on a five-day visit as part of the European bloc’s re-engagement overtures.

Former US ambassador Andrew Young was also despatched by the US State Department to deliver a message of conciliation to President Mugabe nearly a month ago while civil rights campaigner Reverend Jesse Jackson also pledged to fight for their removal when he visited two weeks ago. Meanwhile the EU will celebrate its 63rd anniversary today.