Cholera to affect SMEs rebound
By MAILESI BANDA THE closure of businesses due to the cholera outbreak will affect small and medium entrepreneurs, Zambia Chamber of Small and Medium Business Associations, (ZCSMBA), chief executive officer, Moto Ng’ambi has noted.
Mr. Ng’ambi said while the move to clean up Lusaka and close certain businesses was aimed at preventing a further outbreak of cholera, most small businesses would be affected and find it difficult to bounce back after the disease is combated.
Speaking in an interview with the Daily Nation, he appealed to the government to set up an empowerment fund that would help SMEs build their businesses after the brief closure.
“The closure of some businesses will make it difficult for most SMEs to bounce back into business hence the need for the government to create a fund and help support the sector with funding once the cholera crises is curbed, “he said.
He explained that most businesses would completely close their business operations because most SMEs would use up their capital for consumption since most of these businesses are hand to mouth. This means the owners survive on the money they make as profit daily.
He appealed to the government not just to help the sector find strength but also help it effectively contribute to economic growth through funds that would revive their business objectives. He further said the most badly hit businesses would be those SMEs that do not save, adding that this was why the members were advised to save.
“The SME sector should take the savings seriously because in business one never knows when they will need the funds to bounce back into business,” he said.
He was however quick to say the decision by the Government to remove street vendors and close some businesses was for the good of the nation adding that health comes first hence the need for people to support the gesture.