world bank logo 04.11.10.jpgThe World Bank has admitted that its failure to provide financial assistance to Zimbabwe has stalled efforts by government to turnaround the economy.

The World Bank which has been criticised by local experts who accuse it of being hypocrites by prescribing economic turnaround policies for Zimbabwe without offering financial rescue packages, has made a sudden shift by revealing that it is willing to engage Zimbabwe on modalities to clear outstanding debts to pave way for the restoration of financial aid.

In an interview with ZBC News, World Bank country director for Zimbabwe Ms Kundhavi Kadiresan said while the bank has noted significant progress on the economy, the failure by the Bretton Woods institution to provide financial assistance is also hindering the achievement of a full swing economic recovery.

“We are noting progress but there is concern relating to funding which we need to solve,” said Ms Kadiresan.

The World Bank country director however hinted that the restoration of fresh funding will depend on the outcome of current talks over a favourable debt repaying strategy between government and the Bretton Woods institution.

“A debt repayment strategy should be put in place to ensure that whatever is done will benefit related parties,” she added.

Despite failure by the World Bank to release funding for economic recovery during the past decade, government is forging ahead with home-grown economic policies with agriculture and mining contributing significant volumes of earnings from exports.