Story by Tamuka Charakupa
GOVERNMENT says it is committed to creating a conducive business environment that stimulates the growth of micro, small and medium enterprises (MSMEs) in the country.
Chinhoyi was the focal point for this year’s commemorations of the International Day of Micro, Small and Medium Enterprises (MSMEs) where entrepreneurs had an opportunity to showcase their products and services.
The day was commemorated on the back of several government interventions, which are stimulating the growth of the sector through availing of working capital and space.
“As MSMEs we are the backbone of the Zimbabwean economy. We are excited that we now have our own currency which we gladly accepted and we sincerely hope that it remains stable because it is the medium which we should circulate,” said an entrepreneur.
Another noted, “We have been afforded an opportunity to showcase and exhibit our products free of charge. It is thought these interactions that we grow and network, learning from each other and also linking with financial institutions where we secure funding for our projects.”
Zimbabwe Chamber of SMEs Secretary General Mr Venancio Kurauone weighed in, “The Zimbabwe Chamber of SMEs represents a membership of over 4.5 million MSMEs, a testament to the sector’s significance in our economy. We recognize the immense potential of MSMEs to drive economic growth, create employment opportunities, and contribute to poverty reduction. However, we also acknowledge the numerous challenges faced by these enterprises, including limited access to finance, markets, and skills development among others.
“Going forward, a fundamental shift in mindset is imperative for the success of MSMEs and the realization of our national development goals. There is a need for a paradigm shift from a culture of dependency on handouts and donations towards a culture of entrepreneurship, innovation, and self-reliance. This shift, which should be embraced by MSMEs, partners, and government alike, is crucial for building resilient businesses and fostering sustainable development.”
“Our role is to propagate generational entrepreneurs through capacitating them with knowledge. We have plans to roll out MSMEs masterclasses where we intend to train our entrepreneurs on financial literacy, budgeting and growing market linkages,” noted Institute of Entrepreneurs Zimbabwe Director of Programmes, Dr Kudzanai Vere.
The Minister of Women’s Affairs, Community, Small and Medium Enterprises Development, Senator Monica Mutsvangwa reiterated government’s commitment towards creating an enabling environment that stimulates the growth of the MSMEs sector.
“Despite their immense potential to significantly contribute to economic development, MSMEs continue to face several obstacles that hinder their productivity and competitive edge. These obstacles encompass restricted and costly financing options, limited market opportunities, deficiencies in management and technical expertise, inadequate workspaces, high cost of utilities and an array of complex regulatory demands, among others. The current landscape of multiple crises, from pandemics to climate change, supply chain disruptions and global conflicts further exacerbate these challenges.
“The recurrence of crisis situations is real as evidenced by the effects of drought which we are currently experiencing as a nation due to climate change. I would therefore like to encourage entrepreneurs to not only prioritize climate change adaptation and build resilience into their operations but also to exploit opportunities which MSMEs can tap into. These include use of renewable energy such as solar and wind, energy efficiency technologies, climate-smart products, climate adaptation solutions and global readiness to support sustainable finance for climate smart investments,” she said.
The United Nations Resident & Humanitarian Coordinator, His Excellency Edward Kallon also pledged its support in capacitating the sector, “To harness the full potential of MSMEs and align their contributions with the Sustainable Development Goals (SDGs), strategic interventions are required with the following policy recommendations: Enhance Access to Finance, Promote Technology Adoption, Facilitate Market Access, Regulatory Streamlining.
“I would like to renew the United Nations Development System’s commitment in Zimbabwe to fortifying our support to the Government of Zimbabwe. Through collaborative efforts, we will uplift MSMEs to play their roll in accelerating progress towards the SDGs and ensure that no one and no place is left behind. The resilience of MSMEs in Zimbabwe and around the world underscores their essential role in achieving sustainable development and eradicating poverty.”
Meanwhile, MSMEs account to close 70 percent of the country’s gross domestic product.
