Zimbabwe gets $950m from China

Harare - Zimbabwe has won $950m in credit lines from China, the largest loan secured by the unity government since it was formed in February, Prime Minister Morgan Tsvangirai said on Monday.

"While I was away, government through Finance Minister Tendai Biti also secured lines of credit from China totalling $950m," said Tsvangirai, who returned to Harare at the weekend from a three-week tour to Europe and the United States.

Tsvangirai said the tour was a "overwhelming success" in re-engaging Zimbabwe with foreign donors and that the first formal engagement in seven years with the European Union had led to a commitment of $150m.

"The EU committed itself to availing us with transitional and humanitarian support to the tune of more than 150 million dollars," he said.

"They also pledged more support which will be guided by the way in which we meet our own political commitments as outline in the Global Peace Agreement," he added.

During his visit Tsvangirai met with heads of state in London, Washington, Berlin, Stockholm, Brussels and Paris to appeal for assistance to rebuild the country's shattered economy, but there was nothing on the scale of the Chinese loan.

He said the leaders expressed reservations about the delays in the full implementation of the unity government.

"They asked, why, after almost five months, had fundamental obligations undertaken by the respective political parties not been implemented," said Tsvangirai.

The new government is seeking $8.3bn to revive the once thriving economy, battered by years of political turmoil.

Tsvangirai's tour - which saw the first official talks with the European Union in seven years - did not see wide aid pledges and he was told repeatedly that Zimbabwe needed to improve its rights record and deepen reforms in the southern African country.

French Foreign Minister Bernard Kouchner had told Tsvangirai that "the international community remains concerned about the rule of law in Zimbabwe" and about the areas of security, media freedom and respect for private property.

"An independent judiciary should go hand in hand with the state's respect for the rule of law," Kouchner said.

But Tsvangirai on Saturday put a positive spin both on his European tour and the situation in the country, where the unity government emerged after years of deepening economic crisis under President Robert Mugabe.

"This transition is irreversible," he said. "We are taking measures to reform the political and economic situation in the country.

"We are implementing constitutional reform...we are reforming the security sector... we are reforming the reserve bank, we are reforming the investment laws.

"In general, the trip has been very successful," he said, adding that its objective was to "redefine Zimbabwe policy in terms of re-engagement ... to seek transitional support."

- AFP