Online Reporter
Judith Phiri [email protected]
DESPITE contributing an estimated 60 percent to Zimbabwe’s gross domestic product (GDP), micro, small and medium enterprises (MSMEs) accessed an average of only 7,2 percent of total banking sector loans during the year, a disparity the Reserve Bank of Zimbabwe (RBZ) says underscores the sector’s persistent financing constraints.
MSMEs are the backbone of Zimbabwe’s economy, with approximately 3,4 million entities generating an estimated US$$8,6 billion towards the country’s Gross Domestic Product and employing roughly 4,8 million people full-time.
Speaking at the World SME Day: Commemoration Seminar in Bulawayo last Tuesday, RBZ Microfinance Division Registrar, Mr Simbarashe Mashonganyika said despite a general increase in both number and value of loans accessed by MSMEs, they only accessed an average of 7,20 percent of total banking sector loans over the past 12 months ended March 31, 2026.
“Our financial inclusion indicators show that the average loans to MSMEs as percent of total bank loans was 6,97 percent in March 2025, 8,18 percent in June 2025, 7,60 percent in September 2025, 6,70 percent in December 2025 and 6,38 percent in March 2026,” he said.
“There has been a general increase in both number and value of loans accessed by MSMEs over the past 12 months ended 31 March 2026.
“However, we are concerned with the disparity that a sector, which contributes 60 percent of GDP, only accessed on average 7,20 percent of total banking sector loans during the year,” said Mr Mashonganyika.
He said the number of loans to MSMEs increased from 6 702 in March 2025 to 9 637 by March 2026, while the value of loans to MSMEs also went up from ZiG 3,53 billion in March 2025 to ZiG 4,11 billion by March 2026.
Mr Mashonganyika said the RBZ has adopted a collaborative approach to the implementation of the National Financial Inclusion Strategies, which enables every target segment to contribute in shaping policies that affect them.
While the central bank has also implemented complementary financial infrastructure reforms designed to reduce lending risk, improve credit accessibility and address structural credit constraints facing MSMEs.
“The financial infrastructure in place includes the Credit Guarantee Scheme for de-risking MSME lending, Credit Registry for improved sharing of credit information, Collateral Registry, which enables movable asset financing and Warehouse Receipt System, which supports agricultural MSMEs,” he said.
Mr Mashonganyika said the impact of National Financial Inclusion Strategy II (2022 to 2026) infrastructure reforms indicates that for the Credit Guarantee Scheme, the Export Credit Guarantee Corporation of Zimbabwe (ECGC) reported 117 MSME guarantees with a value of US$7,28 million (31 March 2026).
He said the Credit Registry has 250 total subscribers; as such, the number of cumulative monthly enquiries on the Credit Registry System was 7,65 million (31 March 2026).
“By 31 March 2026, the Collateral Registry System registered a cumulative 9 056 security interest registration notices in movable property comprising 3 352 (37 percent) active registrations with a corresponding loan amount of ZiG
87,54 billion (US$3,46 billion),” he said.
Mr Mashonganyika said for the Warehouse Receipt System, during the 2025 farming season, warehouse receipts were issued for commodities with a total of 6 805 metric tonnes with a market value of US$2.62 million.
On the impact of the collateral registry, he said the total collateral pledged by MSMEs by March 31, 2026 includes 151 trucks, 115 buses, 71 all-move assets, 60 agriculture equipment, 55 private vehicles, and 53 household goods.
Mr Mashonganyika said financial inclusion was key to improving SMEs’ competitive advantage through overcoming funding constraints, encouraging SMEs to adopt technological advancements and enhancing risk management.
“It also helps in building credit history as SMEs have access to formal financial services; they create their transactional and behavioural history, which eliminates the challenge of information asymmetry,” he said.
“The created history may become a path to lower borrowing interest rates. On building productive capacity, financial inclusion creates opportunities for SMEs to acquire new technology and expand into new regions.
“While there is store of value as the use of mobile money not only enables SMEs to store value, but also gives assurance that their money is safe and secure, which gives time to plan.”
RBZ Chief of Digital Financial Services and Licensing, National Payments Systems, Mrs Julia Njobo, also called on SMEs to leverage digital payments to bridge financial access gaps and support their growth.
“Through licensing, risk-based supervision, consumer protection and interoperability requirements, the RBZ promotes a secure, fair and innovative financial ecosystem that protects SMEs while fostering competition and growth in digital financial services,” she said.
