At a Glance
- $15 million agrobond targets Zimbabwean farmers, supporting crop production and modern equipment access.
- European financiers back NMB Bank’s structured funding to strengthen rural livelihoods and SMEs.
- NMB aims to boost food security, economic recovery, and sustainable growth in Zimbabwe.
Harare-based NMB Bank, part of NMBZ Holdings Limited, has raised a $15 million agrobond to support Zimbabwe’s agriculture sector, the lender said in its latest trading update.
The privately placed debt instrument, backed by a European fund, is aimed at channeling long-term financing to farmers and agribusinesses across the country.
Strategic funding for agriculture
The agrobond forms part of NMB’s broader strategy to secure $100 million in offshore credit lines this year to support productive sectors. Earlier in 2025, the bank began drawing down on a $50 million facility from Afreximbank, with over $25 million already deployed to mining and construction.
The new agrobond will specifically target agricultural projects, enabling small- and medium-sized enterprises (SMEs) to access working capital, modern equipment, and investment in crop production.
European development financiers have played a pivotal role in providing these lines, with NMB securing backing from Proparco (France), FMO (Netherlands), Swedfund (Sweden), and the European Investment Bank. The structured approach allows NMB to mitigate risk while supporting Zimbabwe’s strategic sectors during a period of macroeconomic volatility.
Driving economic recovery and food security
Agriculture accounts for roughly 15–20 percent of Zimbabwe’s GDP and employs over half of the rural population. By targeting financing to farmers and agribusinesses, NMB’s agrobond is expected to boost food production, strengthen rural livelihoods, and reduce the country’s reliance on imported agricultural products.
“This agrobond reflects our commitment to supporting Zimbabwe’s productive sectors,” NMBZ said. “It enables us to provide stable, long-term funding to agriculture, a critical pillar of the economy, while continuing to expand our footprint across SMEs, exports, and essential services.”
Bank performance underpins growth strategy
The issuance comes as NMBZ, the third most valuable lender in Zimbabwe, ranking 8th on the Zimbabwe Stock Exchange, reports strong growth. Total assets rose 27 percent to ZiG9.2 billion ($351.18 million) in the third quarter of 2025, with loans and advances up 46 percent to ZiG4.2 billion ($160.32 million). Deposits climbed 57 percent to ZiG3.9 billion ($148.87 million). The bank’s operating income for the nine months ended September 30, 2025, reached ZiG1.3 billion ($49.62 million), supported by a 63 percent rise in net interest income.
NMBZ has also diversified into property and fintech. Its subsidiary, NMB Properties Limited, oversaw cluster developments in Harare, while fintech arm Xplug Solutions Limited delivered software solutions to four major banks in Tanzania, Uganda, and Rwanda.
With the agrobond and other offshore lines, NMB is set to continue its role as a key enabler of Zimbabwe’s economic recovery. By financing productive sectors, especially agriculture, the bank positions itself as a catalyst for job creation, food security, and sustainable growth in a challenging economic environment.
