Govt loans empower 7 000 women
OVER 7 000 women have directly been empowered after accessing loans from $300 million, which is the first tranche of the $1 billion the Government allocated to the Zimbabwe Women Microfinance Bank (ZWMB) this year.
In March this year, the Government advanced $300 million to the women’s microfinance bank for on-lending to women entrepreneurs with different projects as part of efforts to pursue the economic empowerment drive.
This is in line with the aspirations President Mnangagwa has enunciated under Vision 2030 of transforming Zimbabwe into an upper middle-income economy society and that no-one and no place should be left behind in the envisioned transformative journey.
In an interview, ZWMB chief executive officer Dr Mandas Marikanda said over 100 000 clients benefitted from the bank since its inception in 2018 with a total of 80 003 being women beneficiaries who have accessed loans from the bank for various projects.
In relation to the $300 million the bank has received, she said: “More than 7 000 women were empowered directly by receiving loans creating 8 000 jobs and 10 000 sustained.
ZWMB has funded projects through asset financing loans, detergent-making starter packs loans, foliar fertilizer loans, poultry projects loans, working capital loans as well as order financing.
“Some women have had their businesses grow and others diversified their product offerings from petty trading to production-related income-generating activities with testimonials reaching the bank every day.
“Women who have never had a bank account or had access to formal financial services mainly loans are now financially included through the bank.
“Women have been empowered through training and capacity building in various projects in partnership with stakeholders,” said Dr Marikanda.
The bank’s loans have an interest rate ranging between 10 percent and 20 percent per month in line with the Reserve Bank directive on interest rate while its repayment period is a maximum of 12 months.
Dr Marikanda said women are generally known to perform better in repaying the loans.
“The general economic challenges and effects of the Covid-19 pandemic have not spared our clients, thereby affecting their repayment capacity.
“However, women continue to work hard to service their loans and improve their welfare,” she said.
-ebusinessweekly
