Former Reserve Bank of Zimbabwe (RBZ) governor Gideon Gono dismissed claims by Zanu PF spokesperson Christopher Mutsvangwa that the country lost undisclosed gold reserves in a botched deal with some unnamed Arabs during the late former leader Robert Mugabe's era. Addressing journalists in Harare on Monday, Mutsvangwa claimed that the gold heist meant to bust the United States sanctions took place during the era of a now retired central bank governor, fueling speculation that this could have been during Gono's tenure. But Gono, who presided over the RBZ between December 2003 and November 2013, dismissed Mutsvangwa’s statement as "a wild-goose chase" meant to scare away investors and distract the authorities from addressing the currency issues.
“Recent pronouncements by Hon. Chris Mutsvangwa, falsely alleging that the Reserve Bank of Zimbabwe ( RBZ) lost an unspecified quantity of gold to an unnamed Arab country during the tenure of an “unnamed Governor” who served under the late Former President R.G.Mugabe (MHDSRIEP) put the nation in a state of unnecessary frenzy,” Gono said in a statement.
“If such lies are left unchecked with authentic facts, they could become that “little spark” that sets alight a whole forest at a time when the Bank ( RBZ) and the country at large, have more important issues to deal with than waste time attending to veld fires whose uncontrolled consequences could end up melting whatever confidence the Bank is trying to build around itself.”
According to Gono, RBZ entered into an above-board agreement with a foreign jewelry firm in a bid to secure a US$150 million loan to support the country’s economy, which had been failing as a result of Western sanctions.
“In May 2006 , the RBZ, after getting express approval from H.E. Cde. RG Mugabe, entered into an Agreement with a large Jewelry Company based in Saudi Arabia. 18. The contract sought to provide Zimbabwe with an immediate cash injection of US$150m.
“At the same time, we negotiated with a large South African Bank to deposit that money with them as cash security in exchange for a Guarantee Line of Credit 4 times that amount ie.US$600m which was to be used for importation of goods and services from South Africa particularly electricity, fuel, grain, fertilizers, mining inputs, machinery,” said Gono, adding:
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“It is key and important for people entrusted to speak on behalf of important organizations and political parties to always check their facts thoroughly for the sake of their own credibilities and that of others.”
More to follow...