Maravi

ZDA plans to raise $100m for SMEs

ZDA plans to raise $100m for SMEs
By Fridah Zinyama
Tuesday June 17, 2008 [04:00]

ZAMBIA Development Agency-Exports Fund of Zambia managing director Glyne Michelo has said the agency hopes to raise K319 billion (US$ 100 million) in order to help the development of the Small and Medium Enterprises (SMEs) sector in the country. According to Michelo, once raised, the funds would help the SMEs sector which had been for a long time failing to access financial assistance.

“These funds will help the struggling SMEs to improve their packaging so that their products will be acceptable on the international market,” he said.

Michelo explained that ZDA had a role in promoting both new investments into Zambia and the diversification of productive economic sectors and exports of goods and services.

“Not only should we be working to maintain our overall competitiveness onexports but also endeavour to stimulate growth in other sectors that have potential to earn the country new streams of foreign exchange,” he said.

Michelo noted that the main impediment to the growth of the non-traditional sector and to more rapid socio-economic development as a whole, in the past, had been lack of access to affordable financing for small and medium enterprises engaged in the business of exporting and or supplying large export companies.

“With improved significant access to affordable finance, which the Exports Fund of Zambia will be aiming to do through ultimately raising US$ 100 million for the sector, we expect fostering growth of our non-traditional export contributions to both foreign exchange and GDP growth,” said Michelo.

Labels: FUNDING, PACKAGING, SMEs, ZDA

posted by MrK @ 4:01 AM