Informal traders demand PDL-based bailouts
INFORMAL traders have pleaded with the government for cost of living-indexed bailouts under its facility to cushion vulnerable groups affected by the COVID-19 lockdown.
Government is yet to disburse the funds that will be sent through the State-owned NetOne mobile telecommunications company’s OneMoney wallet about two months after announcing the $600 million facility targeting one million vulnerable households.
Initial reports were that informal traders would get about $200 each, a figure not enough to buy a 10kg packet of mealie-meal.
A representative group of informal traders yesterday cried out for cost of living-indexed bailouts in light of rampaging inflation, pushing prices beyond the reach of many long-suffering Zimbabweans.
According to the Zimbabwe National Statistical Agency (ZimStat), the country’s poverty datum line (PDL) for an average family of five now stands at $7 425.
“We are still in the dark when informal traders will start receiving the funds. It is our submission that the bailouts must, at best, be pegged at the prevailing cost of a food hamper for a family of 5,” Michael Ndiweni, the Bulawayo Vendors and Traders Association (BVTA) co-ordinator said yesterday.
“Announcing a figure without looking at the cost of basics will not be enough. What is needed is something that is commensurate with the costing of basics or with the PDL.”
Ndiweni also revealed that the traders had begun receiving sim cards for the cash transfer programme with 77% of the targetted beneficiaries set to benefit.
“We have been sending our members in batches to Mhlahlandlela (government complex in Bulawayo) to collect the sim cards that are supposed to receive the money and they will access the funds through those sim cards,” Ndiweni said.
“So we have sent our first and second batches. As BVTA we sent 1 721 names and 1 325 are the ones that were approved.”
“As Bulawayo we are told about 18 000 names were sent and about 12 000 names plus were approved to receive these sim cards ... We had rejected the NetOne as the sole mobile money transfer agent because we raised the issue of shortchanging those that are using other mobile network operators,” Ndiweni said.
He called on government to clarify the criteria used to select the beneficiaries while leaving out other vendors hard hit by the COVID-19 lockdown.
“BVTA is concerned that some informal traders did not make it into the final approved list of beneficiaries,” the BVTA said in a statement on Tuesday.
“The organisation calls upon the government to run a second call for submission of names in order to cushion those who did not make it to the current approved list of beneficiaries because these are also bona fide vendors and informal traders, who are equally affected by the COVID-19 lockdown”
Small to Medium Enterprises minister Sithembiso Nyoni could not be reached for comment.
In a recent interview with Southern Eye, Nyoni said informal traders and vendors should “relax” after growing impatient over the late disbursement of the relief funds.