CROSS-BORDER TRADERS DEMAND ENTERPRISE FUND
GOVERNMENT should come up with an enterprise development fund to provide loans to small businesses struggling to access funding from banks, Southern Africa Cross Border Traders Association President Jacob Makambwe has said.
Mr Makambwe said just like Government had provided funding for aquaculture development and empowerment for farmers through FISP, small- scale traders also needed financial support.
He said in an interview that women and youths needed empowerment more focused on enterprise development.
Mr Makambwe said there was need for some kind of harmonisation of empowerment funds that should have one area of management such as the Citizens Economic Empowerment Commission.
He said rather than having different ministries providing funding to citizens, the task could be given to one institution which would ensure all citizens were empowered.
Mr Makambwe said women and youths, including others could be supported with loans depending on their line of business.
Meanwhile, Mr Makambwe said the K10 billion stimulus facility that was provided by the Bank of Zambia did not have the desired impact on small businesses because it was not well spelt out.
He said only commercial banks ended up benefitting from the facility while small businesses were left out.
Mr Makambwe said the requirements to access the facility only stated that “SMEs” were to benefit but did not state the standards of SMEs being targeted.
“SMEs are in different standards and it was not clear who was supposed to benefit. It was not well thought out, the entry point was not clear,” he said.