The Confederation of Zimbabwe Industries (CZI) has raised concern over the failure by government to disburse the US$40 million earmarked for distressed firms in Bulawayo among other companies around the country.As the year comes to an end, the business community has expressed concern over the failure by government and other stakeholders to avail funding earmarked for distressed firms in Bulawayo.
The US$40 million was allocated during the Mid-Term Fiscal Review statement under the Distressed Industries and Marginalised Areas Fund.
The fund has however failed to yield positive results and manufacturing industries in Bulawayo have continued to close operations owing to unavailability of liquidity.
In an interview on the sidelines of a news briefing in the capital, CZI president, Mr. Joseph Kanyekanye said it is over three months after the fund has been put in place although firms have failed to access funding thereby defeating the whole process of reviving productivity.
It is believed that over 70 firms have closed shop in various parts of the country, with Bulawayo being the most affected city.
Information gathered shows that distressed firms require almost US$1 billion.
The Distressed Industries and Marginalised Areas Fund was created to assist towards industrial revival.