Mangudya Reveals Biti Borrowed Without Parliament's Approval

Reserve Bank of Zimbabwe (RBZ) governor John Mangudya revealed Tendai Biti failed to seek Parliament’s approval during his tenure as Minister of Finance.

Mangudya said Biti did not seek Parliament’s approval when Treasury borrowed some money to fund activities related to the former Prime Minister Morgan Tsvangirai. This was after Biti asked Mangudya why he had failed to seek Parliament’s approval when Government borrowed over $2 billion to fund several projects aimed at reviving the economy. Said Mangudya:

What we did was within the Reserve Bank Act, what we did had Ministerial consent, had a legal opinion from the Attorney General and had national interest of the country. Let us not forget history. When you were Minister of Finance, I have got the files, the loans that you also contracted according to the RBZ Act, such loans they never went to Parliament and today to tell me that… I will tell you one loan that we did myself (as then CBZ Bank chief executive officer), yourself and the former Prime Minister of the country.

More: Chronicle