Story by Stanley James, Business Editor
ZIMBABWE’S economic formalisation agenda has received support from small and medium enterprises (SMEs) as a catalyst for increased production and economic growth.
During a manufacturing and micro, small and medium enterprises seminar organised by the Scientific and Industrial Research and Development Centre (SIRDC) in Harare this Thursday, it emerged that integrating emerging companies into mainstream economic sectors will further accelerate development through improved tax collection, increased exports, enhanced product quality, job creation and other key indicators.
“Formalisation is needed to ensure that our operations are sustainable and taken seriously in export markets. Therefore, I believe the agenda should be implemented in a manner that considers business management training capacity and the overall inclusion of the sector in mainstream banking services,” entrepreneur, Mrs Marlene Nyapadi said.
Fellow entrepreneur Mrs Fortune Mafuru noted that the formalisation strategy is crucial for inclusion in global trade frameworks, particularly the export sector. She highlighted that proper registration empowers SMEs to expand operations and enhance their competitiveness on the local market.
“Access to amenities should also be a key feature of the formalisation drive, particularly the provision of proper infrastructure facilities. Quality control is another vital element. That said, as long as the strategy is implemented effectively, I do not foresee any long-term challenges,” Mr Brighton Nemadziva added.
SIRDC Chief Executive Officer, Dr Leonard Madzingaidzo, emphasised the need for an innovation-driven and research-based approach to formalisation.
“SMEs are becoming the backbone of economies, making significant contributions to GDP, job creation, innovation, industrial diversification, and socio-economic development. To unlock their full potential, we need robust support structures and an enabling environment. Research and innovation will play a pivotal role in anchoring production for this vital sector.”
Data presented at the seminar revealed that SMEs continue to drive growth in sub-sectors such as furniture, textiles, leather, food processing, and arts and crafts, affirming their crucial role in Zimbabwe’s economic transformation.
