Performance of SMEs in 2009 a success story, says Matoka

Performance of SMEs in 2009 a success story, says Matoka
By Chiwoyu Sinyangwe
Mon 04 Jan. 2010, 04:00 CAT

THE performance of small and medium-sized enterprises last year was a success story despite the country being hurt by effects of the global economic crisis, Zambia Development Agency (ZDA) director for Micro and Small Enterprises Windu Matoka has said. ZDA last year worked with a number of key institutions and stakeholders to improve the performance of small businesses.

Matoka named some of the programmes undertaken as the Business Development Services (BDS) Voucher Programme, Business Linkages Programme, a partnership programme of ZDA, International Labour Organisation ILO and United Nations Conference on Trade and Development (UNCTAD).

He said ZDA last year increased facilitation of micro, small and medium enterprises (MSMEs) access to working finance.

“In 2009 ZDA assisted 10 MSMEs in the development of business plans ranging from K100 million to K2.9 billion,” Matoka said.

“Micro, Small and Medium Enterprises from five districts have had their loan applications approved and funded by the CEEC to a total tune of K6.15 billion. Three other applications are still being processed. This is aside from the 250 MSMEs who have prepared their own business plans after being taught by ZDA.”

He also said the formation of the Credit Guarantee Scheme and National Business Incubator Programme would anchor the growth of small entrepreneurs this year.

“It is estimated that when it is fully operational, the Credit Guarantee Scheme will be benefiting well over 200 MSMEs per annum,” said Matoka.

“In 2009 government through ZDA and in partnership with the Finnish government commissioned a study for the establishment of this Business Incubator Programme. This programme is earmarked to commence in early 2010 (this year). It is envisaged that when this programme is operational about 250 MSMEs will benefit from this programme per annum.”