THE Zimbabwe National Road Administration (Zinara) has made significant progress in repaying its debt to the Development Bank of Southern Africa (DBSA), reducing the outstanding balance to US$45 million.
The original loan, which amounted to US$206 million, has been repaid in instalments since it was secured in 2010. As recently as 2020, Zinara owed US$180 million to DBSA. The loan was subject to the London Interbank Offered Rate and DBSA’s margin. By 2021, the rate calculation shifted to the Secured Overnight Financing Rate (SOFR), with SOFR and the margin combined totalling 10 to 11 percent.