Zambia’s commitment to industrialization and SME financing.

LUSAKA, Nov 12 (ABT) – Zambia in its national budget has demonstrated commitment to industrialization and made strides to assist SMEs with financing. The Minister of Finance in his speech highlighted three zones the governmemt wishes to focus energies on. These are the Kalumbila, Lusaka South and Kafue iron ore multi facility zones. Governmemt targets a $100million for Kalumbila area which is Zambia’s Centre of gravity in as far as copper production is concerned.

The Honorable Minister acknowledged that SMEs play a key role in the economy and that without them these multi facility zones wouldn’t function efficiently, the governmemt announced that it had sourced $70million through the Developmemt Bank of Zambia to assist with the financing gap for SMEs.

The government will also introduce credit guarantee facilities to assist the sector unlock financing potential, the mi jester said. “Commercial banks have not mastered the business model of SMEs hence the governmemt stepping in,” the minister said.

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