July 2 (Bloomberg) -- Zimbabwe secured a $60 million loan from the Africa Export Import Bank to boost tobacco production, the Herald reported, citing Finance Minister Tendai Biti.

The southern African nation needs about $120 million to increase annual tobacco output to 75 million kilograms (165 million pounds) from 42 million kilograms now, the Harare-based newspaper said.

Often-violent farm invasions by loyalists of President Robert Mugabe have seen tobacco production plummet from a high of 236 million kilograms in 2000, according to the Web site of Universal Corp., the world’s largest tobacco-leaf merchant.

To contact the reporter on this story: Brian Latham in Durban at blatham@bloomberg.net

Last Updated: July 2, 2009 04:58 EDT