Online Reporter
Obert Ngwenya
As Zimbabwe marches resolutely towards becoming an empowered and prosperous upper middle-income economy by the year 2030, a profound economic transformation is taking place beneath the surface.
It is a transformation driven not merely by multinational conglomerates or massive industrial complexes, but by the relentless micro, small and medium enterprises (MSME) sector.
The national ethos driving our development is beautifully captured in the mantra that a nation is built by its own people — “Nyika inovakwa nevene vayo/Ilizwe lakhiwa ngabanikazi balo”, brick upon brick, stone upon stone.
In this monumental task of nation-building, MSMEs are undeniably the foundational bricks, the vital mortar and the silent, resilient engines powering Zimbabwe’s Vision 2030.
To truly understand the magnitude of the MSME sector’s impact, one must look at the empirical data across global, regional and local landscapes.
The World Bank reports that MSMEs account for approximately 90 percent of all businesses and provide more than 50 percent of employment worldwide.
In emerging economies, formal MSMEs contribute up to 40 percent of national income (gross domestic product — GDP — a figure that expands significantly when the informal sector is factored in.
Regionally, Sub-Saharan Africa relies even more heavily on this demographic.
According to the African Development Bank, MSMEs form the backbone of the African economy, representing over 90 percent of all businesses and accounting for roughly 80 percent of employment across the continent.
They are the ultimate buffer against economic shocks and the primary drivers of inclusive, grassroots growth.
Locally, the statistics are just as compelling.
In Zimbabwe, the MSME sector has evolved into the dominant economic player.
Data indicates that the sector contributes well over 60 percent to the country’s GDP and absorbs more than 70 percent of the active labour force. But beyond the raw numbers of GDP and employment, MSMEs are championing another critical pillar of our economic strategy: import substitution.
In recent years, local MSMEs have boldly entered manufacturing, agro-processing and technology, producing goods that were traditionally imported.
By localising supply chains, these enterprises are drastically reducing our import bill, saving the country millions in vital foreign currency and ensuring that shelves are stocked with high-quality, proudly Zimbabwean products.
Furthermore, the community upliftment brought about by MSMEs is unparalleled.
Since MSMEs are rooted in the communities they serve, the revenue they generate circulates locally. They build community resilience, fund the education of millions of children and provide dignified livelihoods that lift families out of poverty.
As the Small and Medium Enterprises Development Corporation (the SMEDCO), our statutory mandate is clear: to champion the promotion, development and growth of MSMEs and cooperatives across Zimbabwe.
We recognise that while the sector’s potential is boundless, its players often face structural hurdles.
Consequently, SMEDCO, under the guidance of the Minister of Women Affairs, Community, Small and Medium Enterprises Development, is fully committed to unlocking immense value for MSME development through targeted, high-impact interventions, primarily centred around capacity building and funding.
Financial inclusion remains one of our paramount priorities.
Through bespoke loan facilities and revolving funds, SMEDCO provides the much-needed capital that allows small businesses to scale, procure machinery and increase production capacity.
Our capacity-building programmes ensure that entrepreneurs do not just receive funding but are equipped with modern business management skills, corporate governance training and technical know-how to ensure their ventures are sustainable, scalable and globally competitive.
We also understand that to effectively support this sector, our strategies must be informed by accurate, real-time data.
You cannot manage what you cannot measure, and you certainly cannot legislate effectively for a sector you do not fully understand.
It is for this reason that SMEDCO places immense value on the provision of actionable data to shape a conducive policy environment.
A crowning achievement in this regard is the annual National MSME Survey, a premier analytical product produced in strategic collaboration with a local media house.
This survey is a game-changer.
It provides policymakers, investors and stakeholders with empirical insights into the trends, challenges and opportunities within the MSME sector.
The data harvested from this survey shapes Government policy, informs resource allocation, promotes product innovation and ensures that the regulatory environment evolves to nurture rather than stifle MSME growth.
At the heart of SMEDCO’s operational philosophy is a commitment to radical inclusivity.
For Vision 2030 to be realised, our economic growth must leave no one and no place behind.
Historically, marginal groups have been sidelined from mainstream economic participation, but SMEDCO is aggressively rewriting this narrative.
We are deliberately channelling resources to women-led enterprises, acknowledging that empowering a woman structurally uplifts an entire community.
We are funding youth innovations, harnessing the demographic dividend of a young, energetic and tech-savvy population.
Equally, we are decentralising our focus to rural communities, ensuring that rural industrialisation becomes a lived reality rather than a theoretical concept.
By empowering these demographics, we are expanding the national economic base and ensuring equitable wealth distribution.
The journey towards an upper middle-income economy is an exciting trajectory.
It requires resilience, unity of purpose and an unwavering commitment to the national cause.
The MSME sector has proven its mettle, standing firm through economic headwinds and emerging stronger, more innovative and more determined.
SMEDCO is proud to walk hand in hand with these everyday heroes — the market vendors, the rural agro-processors, the young tech developers and the women running cross-border logistics. They are the heartbeat of the Zimbabwe economy.
As we reflect on the strides we have made and the road ahead, we wish to take this moment to express our deepest and most profound appreciation to President Mnangagwa; the Minister of Women Affairs, Community, Small and Medium Enterprises Development, the Deputy Minister, the Permanent Secretary, senior ministry officials, the board and key stakeholders for the supportive policy framework and privilege granted to us to make a tangible difference in this critical sector.
SMEDCO remains steadfast in its commitment to national prosperity.
We will continue to advocate for financing, modern work-space provision, capacity building and business support advisory for our MSMEs.
We will continue to gather the data that lights the path forward.
Together with the indispensable contribution of our MSMEs, we will realise the promise of Vision 2030.
We will continue building our beloved Zimbabwe — brick upon brick, stone upon stone.
Obert Ngwenya is the chief executive officer of the Small and Medium Enterprises Development Corporation (SMEDCO).
