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Business Reporter
More than 150 people are expected to attend a one-day SME banking and micro-finance summit in Harare today to discuss ways the SMEs sector can mobilise funding for its growth. In a statement, the organisers of the summit, Deat Capital, said despite the pivotal role played by SMEs in the economy, most were failing to access funding from the formal financial sector due to a number of reasons that included strict documentation requirements or ability to provide collateral.
Those able to meet the demands were still excluded from formal financial services by cost barriers, in the form of high transaction fees or substantial minimum requirements for savings balances or loan amounts.
It said lowering the barriers to access and offering suitable financial products could allow households and small businesses to maximise the leverage of their savings or earnings for increased productivity, contributing to higher incomes, job-creation and, ultimately, growth.
Deat Capital managing director Mr Nicky Moyo said all was set for the summit where Kenyan entrepreneur Mr Kamal Budhabatti would be the keynote presenter.
Mr Budhabatti is founder of software company Craft Silicon which provides cutting edge software in core banking, microfinance, mobile switch solutions and electronic payments.
SMEs and Co-operative Development Minister Sithembiso Nyoni is expected to officially open the summit.
Other people lined to speak at the summit included Reserve Bank of Zimbabwe Governor Dr Gideon Gono, president of the Bankers Association of Zimbabwe Mr George Guvamatanga and Professor Gerhard Coetzee, director of Centre for Inclusive Banking at the University of Pretoria.
Online Reporter