Indigenisation board starved of funding

from Treasury.

“The National Indigenisation and Empowerment Fund has failed to grow due to non-disbursement of reasonable funds by Treasury.
“What we are getting has managed do sustain the operations of the board with little left to fund empowerment initiatives for indigenous people,” he said.
Mr Chapfika said the board was pressing for the enactment of a Statutory Instrument that would allow it to collect levies from beneficiaries of the empowerment programme.

“In that way we can mobilise more funds to help other aspiring individuals and acquire more resources,” he said.
He said the NEEB was also raising working capital by borrowing through empowerment bonds, strategic aid, as well as getting lines of credit from banks.
Mr Chapfika said some financial institutions were reluctant to offer long-term lines of credit and loans to indigenous business.

“They demand collateral which most locals do not have hence limiting their chances of acquiring loans to finance their operations,” he said.
Meanwhile, an Indigenisation Indaba is expected to be held in November this year.

Mr Chapfika said the Indaba would mainly focus on laying out a proper framework on empowerment.

To date various empowerment initiatives have been put in place to benefit indigenous people.
These include community and employee ownership schemes that have been launched in some parts of the country. — New Ziana.