CABS works on assisting SMEs on forex generation

FINANCIAL services provider CABS says it is working on assisting Small to Medium Enterprises (SMEs) to come up with products which meet international standards to enable them to explore the export market so as to generate the much needed foreign currency.

In an interview with Sunday News Business on the sidelines of an SMEs Indaba organised by Diamond Berry Enterprises last Friday, CABS Matabeleland area manager Mr Crispen Nemunyadzo said there was a need for small firms to produce highly competitive products to enable themselves to tap into lucrative foreign markets so as to generate foreign currency.

“There is currently a foreign currency shortage in the country and this has affected many SMEs so as CABS we are trying to bridge that gap through encouraging and educating SMEs to enter into arrangements that can assist them get foreign currency and not to only limit their operation to Zimbabwe but extend to other countries,” he said.

Mr Nemunyadzo said the bank had to put in place an

SMEs desk as part of showing its commitment and support to small entrepreneurs.

“We have gone an extra mile as a bank in accommodating SMEs through setting up a desk specifically for SMEs, this comes after the realisation that many SMEs were not coming forward for loans because they resented having to queue now with the new desk. They can be assisted with no delays.

“As an institution we want to support SMEs through giving them products such as equity release loan, agricultural loans and invoice discounting facilities tailor-made to suit their operation because we have realised that you cannot have sustainable development if you don’t have a vibrant SME sector,” he said.

Mr Nemunyadzo said the financial institute has over the past few years been overwhelmed by loan applications from SMEs seeking capital to start their businesses or recapitalise their operations.

“CABS is very overwhelmed by the increase in numbers of SMEs coming to us for loans. This has been the pushing factor which has made the bank introduce services that target them,” he said.

CABS offer SMEs loans ranging from $5 000 to $ 50 000. The loan is offered together with an employee benefits package from Old Mutual to ensure that small to medium businesses attract and retain experienced and dedicated staff. Repayment term is 36 months.