czi president.jpgThe manufacturing sector is setting up a financial taskforce to source funds from regional and international banks to bail out several firms reeling under capital constraints.

The arrangement is being made on the back of delays towards the disbursement of industrial rescue packages from the Ministry of Finance as well as that of Industry and Commerce.

Confederation of Zimbabwe Industries (CZI) President, Mr Joseph Kanyekanye said representatives of manufacturing companies have resolved to come up with a special taskforce with a responsibility to source funds in the form of long term loans to purchase new machinery so as to increase output.

 

“The financial inflows are not forthcoming from the government sources and as such, we are now doing it alone,” said Mr Kanyekanye.

 

An industrialist, Mr Jonah Mahwire said the Ministry of Finance as well as the Ministry of Industry and Commerce are to blame for failure to facilitate urgent allocation of funds in line with the recently concluded deals with the PTA Bank, AfreximBank as well as a US$70 million facility with Botswana.

 

“Industry is waiting for the facilities and we are really not happy with the current situation,” Mahwire

 

The manufacturing sector is battling for survival due to limited cash inflows to recapitalise operations, amid calls from economic experts for the government to intervene with cheap loan facilities in order to revive production.