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Lovemore Kadzura Rusape Correspondent
MANICALAND Chamber of Small and Medium Enterprises vice-chairman, Mr Peter Mabvuu, has hailed Government for coming up with the Zimbabwe Poverty Alleviation programme, saying that it will go a long way in boosting businesses of upcoming entrepreneurs.

Speaking at a workshop of Zimbabwe Poverty Alleviation Project in Rusape yesterday, Mr Mabvuu, said the interest rates being offered by the loan facilities from the Ministry of Small and Medium Enterprises were reasonable compared to those charged by banks.

“The programme is good because it is fighting poverty and at the same time availing cheap funding to small and medium enterprises.

“People in the province have the knowledge of how to run successful businesses, but we are lacking funding. The interests being charged by banks are not sustainable at all to small businesses. This fund is actually designed to make small businesses prosper.

Speaking during the same workshop, deputy director in the Ministry of Small and Medium Enterprises Mr Kupikani Masunungure, said some people were blessed with brilliant business ideas, but lack funding.

The Zimbabwe Poverty Alleviation project was launched this year with $7,6million availed from the Organisation of Petroleum Exporting Countries targeting poverty stricken provinces of Matabeleland North, Manicaland and Masvingo.

“We have people living in areas where there are plenty of natural resources such as minerals, water and fertile soils among others, but they are living in abject poverty. The onus is now on Government to capacitate these people with entrepreneurial skills so that they benefit from those resources.

“Through our Ministry, Government has released $7,6million loan facility to be accessed by small businesspersons in Matabeleland North, Manicaland and Masvingo after it was discovered that there are serious issues of hunger in these provinces. The project will run from 2017 to 2010.

“The fund supports sustainable locally led projects meant to ease poverty and provide livelihood for various communities in selected project areas.

“Financial support will be availed to projects such as Savings and Credit Cooperatives in income generating projects, livestock development, optimisation of local endowments and setting up entrepreneurial training institutions.

“The maximum loan available for Savings and Credit Cooperatives is $10 000, livestock development $50 000 and optimisation of local endowments is also $50 000. The loan can be accessed by individuals, groups, associations, cooperatives, small to medium businesses among others. The loan repayment period is 12 months with interest rate of 10 percent and a grace period of five months,” said Mr Masunungure.