Last year the government resolved to set aside the Dimaf facility in order to revive collapsed industries. Bulawayo, which has been affected by de-industrialisation, was supposed to be the prime beneficiary as part of efforts to restore the city to its status of being the country’s industrial hub.
However, more than a year after Treasury disbursed $10 million through CABS, a local building society bank, no significant change has been recorded.
More companies are struggling, while several others have shut down due to viability problems. Industry minister Ncube said of the total $10 million released, less than $2 million had been accessed by Bulawayo industries.
“It’s a sad scenario. I believe the problem could have been caused by weaknesses in the administration of the fund,” he said.
Ncube, who is also the chairperson for the ministerial taskforce on Dimaf, reiterated that there was a need to address the issue so that the vision was not lost.
Minister Biti said greed had resulted in the abuse of the facility. “There are people with this Bambazonke (grab all) character. They are the ones responsible for the abuse of that facility,” he said.
Minister Biti added that people who accessed the money lived in Harare but owned businesses in Bulawayo. “Instead of the money going towards the revival of Bulawayo industries, it went to Harare,” he said.
Post published in: Business