Zim Nestle's accounts unfrozen

Harare - Nestle says its Zimbabwe banking is back to normal just days after newspapers reported that the government froze their accounts and ordered an audit after the company stopped buying milk from a farm owned by President Robert Mugabe's wife.

Nestle spokesperson Ravi Pillay in neighbouring South Africa said the company's Zimbabwe accounts were "operating as usual" on Monday.

Nestle's finance director Farai Munestsi said over the weekend that access to funds was blocked. Munestsi said on Monday he could not comment.

Reserve Bank governor Gideon Gono was quoted about the audit in the Zimbabwe Independent newspaper Saturday. Nestle announced October 1 it would no longer buy milk from a farm owned by Grace Mugabe following worldwide boycott threats.

- Sapa