5 Sep 2009

IMF boost for Zimbabwe

6:28 am on 5 September 2009

The International Monetary Fund is giving Zimbabwe $US400 million to boost its foreign currency reserves.

However, the BBC reports a further $US100 million will be kept in a special account and the government will not have access to it until Zimbabwe clears $US1 billion in debts.

Zimbabwe is in dire need of cash to rebuild its battered economy. It owes money to the IMF and other international agencies.

The funding is part of an agreement reached at a G20 summit in London in April, which pledged to strengthen the IMF's reserves by $US250 billion.