business infrastructure 12.10.10.jpgGovernment is being called upon to come up with a productivity strategy aimed at increasing industrial output to at least 60% by June next year to consolidate macro- economic gains.

 

The call for government to introduce a productivity strategy comes in the wake of stakeholder concern about the slow pace at which industry is operating inspite of efforts to mobilise funds from multilateral funding institutions to recapitalise operations.

The business community is therefore involved in consultations to ensure that industrial output for strategic sectors can increase to above 50% levels by mid next year.

Shipping and Freight Forwarders Association Chief Executive Officer, Mr. Joseph Musariri says it is in the interests of government to ensure that potential investors inject funds to purchase working capital for firms.

“We are just concerned with the slow pace of productivity and it is now high time that something should be done to solve the problems,” Mr Musariri said.

While official data from Confederation of Zimbabwe Industries (CZI) reveals that productive capacity has increased to around 43%, the depressed capacity utilisation for manufacturing companies is a cause for concern amid calls by an economist, Mr Chistopher Mugaga, for a workable mechanism to restore business confidence.

“We are still not happy with the current position and we feel something can be done,” said Mr Mugaga.

While government has projected the economy to grow by at least 9,3% next year on the back of an expected improvement in productivity volumes of agriculture and mining, economic observers say that full recovery of the economy will depend on government’s commitment to source adequate funds.