Only 28 Bulawayo companies apply for Distressed Industries and Marginalised Areas Fund: Manungo

Only 28 Bulawayo companies apply for Distressed Industries and Marginalised Areas Fund: Manungo
Published: 03 February 2012 (12054 Views)
State media reports that ONLY 28 companies in Bulawayo have applied for the Distressed Industries and Marginalised Areas Fund (Dimaf), which is being disbursed through CABS, a Government official said yesterday.

Last week the Government shortlisted 58 Bulawayo companies earmarked to benefit from the $40 million fund.

In an interview yesterday the Permanent Secretary in the Ministry of Finance, Mr Willard Manungo, said the fund was being disbursed and the 28 companies would share $15 million, of which $2 million has already been given out.

"We have started disbursing the funds through CABS and only 28 companies have applied for the fund so far. The 28 companies will share $15 million and we have so far disbursed $2 million," said Mr Manungo.

"The bank is going through the logistics of sharing the remaining $13 million. Although the Government had shortlisted 58 companies, only 28 applied to the bank while the rest have not done so as we speak."

He said the fund took a long time to be disbursed because of the annual shutting down of companies between December and January.

"Companies must take into account that the process took a bit long because we were disturbed by the annual shutdown by most companies, which re-opened on 18 January this year.

"However, we are progressing well and the bank would disburse the fund accordingly," said Mr Manungo.

He urged other companies to continue submitting applications to CABS, saying the Government had released the $40 million.

"I would like to encourage more companies to submit their applications to the bank because the fund has the capacity to accommodate more companies," said Mr Manungo.

Finance Minister Tendai Biti launched the $40 million under Dimaf in October last year following recommendation by the task force on the Let Bulawayo Survive campaign.

However, for the past three months the fund has been mired in controversy amid squabbling in the Inclusive Government with some saying it was not meant for Bulawayo companies alone.

A number of city industries opened two weeks ago after a holiday break amid reports that some failed to do so because of financial challenges.
Most businesses are pinning their hopes on the fund to revamp their operations after closing shop due to operational challenges.

The Government has projected that industries in the country will achieve 80 percent capacity utilisation by the end of this year from last year's 57,59 percent.

Bulawayo has experienced increased job losses in the past years that have been attributed to the closure and relocation of companies to other cities, especially Harare.

- Chronicle

 0

You May Like These Videos

Comments

There are no comments.

Latest stories

Rebecca Malope retires

by Mandla Ndlovu | 20 August 2019 | 29 Views

The Crocodile in Crisis

by The Times | 20 August 2019 | 36 Views

'Zimbabwe to issue cash notes soon'

by Bloomberg | 20 August 2019 | 106 Views

Zimbabwe youths rally behind Chief Ndiweni

by Mandla Ndlovu | 20 August 2019 | 68 Views

Zimbabwean woman forced to give birth standing up in South Africa

by Staff reporter | 20 August 2019 | 93 Views

Open letter to Jacob Mudenda: What was your role during Gukurahundi?

by Nicholas Ncube | 20 August 2019 | 64 Views

Moral authority is a pre-requisite for Good Governance

by Big Monday with Tinashe Eric Muzamhindo writes: | 20 August 2019 | 46 Views

Zimdiaspora in final push

by Thabo Makuyana | 20 August 2019 | 53 Views

WATCH: Soldiers in Gweru march on behalf of Chamisa's MDC

by Staff reporter | 20 August 2019 | 96 Views

August 16 exposes the MDC's insincerity

by Nobleman Runyanga | 20 August 2019 | 57 Views

Mnangagwa 'love rival' dies

by Staff Reporter | 20 August 2019 | 75 Views

State effects a de facto ban on civilian politics

by Luke Tamborinyoka | 20 August 2019 | 55 Views

Chitembwe signs Harare City deal

by Staff reporter | 20 August 2019 | 54 Views

Zanu-PF congratulates Mnangagwa

by Staff reporter | 20 August 2019 | 55 Views

Govt hires 19 doctors

by Staff reporter | 20 August 2019 | 56 Views

Duo in trouble for assaulting ex-mayor

by Staff reporter | 20 August 2019 | 47 Views

Kambarami and Chigora found not guilty

by Staff reporter | 20 August 2019 | 52 Views

BREAKING: Bomb scare in Bulawayo

by Staff reporter | 20 August 2019 | 50 Views

Match fixing scandal rocks Zifa Southern Region

by Staff reporter | 20 August 2019 | 44 Views

Chunga not qualified to coach TelOne side

by Staff reporter | 20 August 2019 | 54 Views

Zanu-PF hails Sadc

by Staff reporter | 20 August 2019 | 50 Views

Teen gangster pleads guilty

by Staff reporter | 20 August 2019 | 45 Views

No pay, no invigilation: Zimsec told

by Staff reporter | 20 August 2019 | 43 Views

Chamisa raises ante against Mnangagwa

by Staff reporter | 20 August 2019 | 45 Views

Police ban MDC Gweru demonstrations

by Mandla Ndlovu | 20 August 2019 | 36 Views

Zanu-PF vows resistance against MDC 'regime change' plot

by newzimbabwe | 20 August 2019 | 33 Views

MDC's campaign for Chief Ndiweni release worrisome

by Editorial - Newsday | 20 August 2019 | 41 Views

Rural teachers chicken out

by Staff reporter | 20 August 2019 | 26 Views

Protests a form of feedback

by Zanda Shumba | 20 August 2019 | 25 Views

Zanu-PF member attacked in intra-party violence

by Staff reporter | 20 August 2019 | 27 Views

Police ban anti-government protests in Gweru

by ZimLive | 20 August 2019 | 27 Views

Zanu-PF's economic policy record 'poor': US think tank

by Staff reporter | 20 August 2019 | 25 Views

Austerity measures: Is Zimbabwe drinking poisoned chalice?

by Cliff Chiduku | 20 August 2019 | 50 Views

Claim freedom granted by Constitution in peace

by Fr Oskar Wermter SJ | 20 August 2019 | 40 Views

Zanu-PF Manicaland accuses MDC of cheap politicking

by Staff reporter | 20 August 2019 | 26 Views

Mnangagwa 'victim' dies

by Staff reporter | 20 August 2019 | 24 Views