Local authorities slammed over MSMEs collections Minister Nyoni
Minister Nyoni

Minister Nyoni

Abigail Mawonde Herald Reporter
Harare City Council is collecting $36 000 daily from micro-small and medium enterprises but is failing to provide basic infrastructure for the traders, a Cabinet Minister has said.This was said by Small and Medium Enterprises and Co-operative Development Minister Sithembiso Nyoni during a joint tour with the Ministry of Local Government, Public Works and National Housing of BEST Co-operative in Mbare recently.

“Here in Harare, I heard they are collecting at least $36 000 daily. If they set aside 30 percent for example, this will be the most effortless and tidy way of building the infrastructure facilities.

“What is the money doing? On behalf of the MSMEs I would like us to change that. Money should be given in exchange for services or goods,” said Minister Nyoni.

“I would like to call upon local authorities to upscale the provision of space for infrastructure development such as factory shells, market malls and stalls, common service facilities, farm produce wholesale markets and flea markets amongst others.”

Minister Nyoni said in 2014, Minister Chombo directed councils to reserve stands specifically for MSMEs in a move aimed at developing them.

She said it was disappointing that councils have failed to do so.

“This was a landmark development towards meeting workspace needs for the MSMEs in the country. The majority of local authorities have provided just an open space. For a start this is welcome but not enough.

“We need to quickly provide better workspace to formalise them and protect MSMEs from the vagaries of weather as well as giving them dignity,” she said.

Minister Nyoni said it was unfair to collect money from MSMEs yet fail to provide basic amenities for them.

Some MSMEs are operating in the open with no provision of basic infrastructure like toilets and water.

“The local authorities should set aside some of the revenues they are receipting from occupied space for MSMEs infrastructure development.

“You have to say to yourself, what have I provided? If you collect, use part of that money at least to provide a shade than to collect it year in year out and provide nothing. I think that is unfair to the informal sector.”

Minister Nyoni said her ministry wanted to formalise the operations of MSMEs by roping in the Ministry of Local Government, Public Works and National Housing.

She said this would enable the Zimbabwe Revenue Authority to effectively collect tax from MSMEs.

A survey by the ministry between March and April 2011 showed that 6 216 informal traders in Harare were operating on the streets and other undesignated areas.

 

You Might Also Like

Comments