Online Reporter
Online Reporter
THE establishment of the Zimbabwe Entrepreneurship Exchange (ZEEX) in the city, has been described as a major milestone that could improve access to capital for small and medium enterprises (SMEs) while boosting economic activity.
Ward 26 Councillor and chairperson of the City of Bulawayo’s Finance and Development Committee, Mpumelelo Moyo, said the exchange demonstrates Government’s commitment to implementing economic reforms aimed at broadening investment opportunities and supporting entrepreneurship.
Writing in his personal capacity, Clr Moyo said the launch of ZEEX in Bulawayo reflects the Second Republic’s vision of promoting inclusive economic growth.
He revealed that a banner announcing the Zimbabwe Entrepreneurship Exchange had been erected at the Bulawayo Exchange Building, located at the corner of Leopold Takawira Avenue and Joshua Mqabuko Nkomo Street, ahead of the exchange’s official launch scheduled for Friday at a local hotel.
“The Zimbabwe Entrepreneurship Exchange seeks to capitalise small to medium-sized businesses. In the past these businesses have traditionally failed to attract funding or resorted to high-interest financing from microfinance institutions, which often eroded their profits,” said Clr Moyo.
He said the new exchange would provide SMEs with an alternative avenue to raise capital at lower cost, complementing existing capital markets such as the Zimbabwe Stock Exchange (ZSE) and the Victoria Falls Stock Exchange (VFEX).
According to Clr Moyo, ZEEX will facilitate fundraising through Initial Public Offerings (IPOs), enabling entrepreneurs with viable business ideas to access investment from the capital market.
“This innovation encourages creativity and entrepreneurship because businesses with good ideas can now be assisted to package their business cases and raise capital through IPOs,” he said.
Clr Moyo also said the exchange would trade in both United States dollars and Zimbabwe Gold (ZiG), widening financing options for businesses.
He further highlighted a supplier finance facility that he said would allow businesses supplying goods and services to the Bulawayo City Council to receive payments more quickly by discounting approved invoices.
“The City of Bulawayo is expected to benefit from suppliers with improved working capital, enabling them to deliver goods and services more efficiently. Ultimately, residents stand to benefit through improved service delivery,” he said.
Clr Moyo said the establishment of ZEEX in Bulawayo aligns with Government’s objective of ensuring that economic opportunities are spread across the country and that small businesses have greater access to capital needed for growth.
