World Bank to help Zimbawe

THE World Bank will in the coming months work with international financial institutions to determine Zimbabwe’s eligibility for support under the Heavily Indebted Poor Countries, the multilateral body has said.
According to the documents strategy note, supporting economic recovery for inclusive growth for Zimbabwe for the period 2013-15, the country owes various financial institutions $10,7 billion and the arrears continue to accumulate.
“. . . Zimbabwe would be able to access support from the WBG’s International Development Association exceptional support mechanism for arrears clearance along with domestic and other resources,” World Bank said in the report.
As of January 2013, Zimbabwe owed the World Bank $976,45 million, $127,4 million to the International Monetary Fund, $587 million to the African Development Bank million while the European Investment Bank was owed $244 million.
In the past five years, the World Bank has been supporting the country through trust funds.

Considering that the WB and other countries are still in good relations with Zimbabwe, do you think sanctions are there or there were there and are now being used as a campaigning tool?

Zimbabwe suffers due to Rand fall

It is all over the country now that the Rand’s value has drastically dropped leading to the sky rocketing of the value of the US Dollar. This has hugely impacted on the Zimbabwean economy, considering that Zimbabwe buys the bulk of its imports from south Africa (more than 60 percent). This is a situation that can get worried not only business people, but also the bulk of the citizens. This is because if imports prices are high, the prices of products in the local shops will also rise. However, economic analysts have passed their comments on the situation. Zimbabwe National Chamber of Commerce president Mr Oswell Binha feels the depreciating rand would make imports from South Africa somewhat less expensive and benefit the economy significantly through informal trade. He said by using the US dollar it actually means getting products cheaper in a rand domain unless there are some changes in the pricing system. But another leading economic analyst said the fall in the US dollar/rand exchange rate would not benefit importers unless local companies were able to buy and sell in the rand currency. This then means to trade with South Africa we use the rand, but still have prices in dollars. Since we use the rand to import, imports will become expensive. If we were exporting it means dollar exports would become more expensive.

Analysts expect the rand to see further weakness, and warn that the dollar rising above R9,2 , of which now it’s at R10.

In such a situation, don’t you think this is the time when Zimbabwe needs to revive its own economy?? Say out your views, let’s discuss

Whats happening with Bulawayo businesses

Many industries and companies in Bulawayo are shutting down and others are moving to Harare. Some  of the them include big companies like Dairy Board Zimbabwe, Gold Star, Merlin and many more. This has seen the Bulawayo business and economic side crumble much, especially the industrial aspect. This has also led to many workers to lose their jobs at their ages since most of them are nearing their retirement ages.

 Most of the Bulawayo uneducated young people are stuck with no jobs as there is no longer industry which used to employ people and give them jobs. The indegenisnation act was meant to boost the country`s economy as well as benefiting the region or area where a company has been indegenised. With Bulawayo its actually the opposite as the city is becoming even more industrially disadvantaged, and Harare is florishing and doing good businesswise.

Could this mean something somewhere is not alright or someone has a thing against Bulawayo?Lets discuss.

Bussiness Opportunity in Zimbabwe

The country might seem poor and miserable especially after the unfair and uncomfortable conditions that the country has encountered. Some investors might think its a waste of time to make business in Zimbabwe.

But  i say despite all this, people can still make money and business in Zimbabwe.

 If we consider that how many mines and mining areas this country has, agriculture and the whole lot of consumers. This combined with other factors shows that business is possible. In the mining and farming industry, foreign companies can import the equipment and machinery needed, and thus they make money in Zimbabwe

In the clothing and foodstuff department, neighboring countries can still import their goods or they can expand their businesses into the country, that is they build their shops in Zimbabwe. Shops like legit, jet, Mr Price, pick n pay and many more they can make more money by bringing their companies into Zimbabwe.

I can safely say there is really a chance for business in the country especially if reforms like indegenisation are implemented properly or ripped off totally, do you agree?

Will Buy Zimbabwe revive our industries??

Buy Zimbabwe is a reform meant to encourage Zimbabweans to buy and consume local products like olivine products, char horn biscuits and many other products we used to buy before the economy crumbled.

Its believed that many people began buying foreign products during that period when the local shelves wet empty and amiss.

This in turn made local shops to crumble and were forced to shut down, partly do to lack of customers and resources to keep them going.

Foreign companies found an opportunity to import their sub standard products and food stuffs into the country and Zimbabweans had to just consume them  because they did not have an option. Some went to the neighboring countries physical to buy products there.

Now that the economy is back on track and many local companies are opening and reopening, the policy makers saw it wise to impose this buy Zimbabwe reform so as to encourage production ad consumption of local products.

This has been successful because most local products like Olivine products are back on the shelves ad companies are reopening to produce quality local products.This also has opened a lot of job opportunities for Zimbabweans who were jobless. In other way the reform is benefiting the country.

This reform can boost the economy if implemented well and can teach Zimbabweans to be independent and do things on their ow, do you agree??

More Brazilian Exhibitors at ZITF

 

THE number of exhibitors from Brazil has increased this year compared to last year following a keen interest by companies from that country.In an interview, Brazilian Embassy Third Secretary Mr Felipe Ortega said about seven companies were participating in the fair this year.

“Last year one or two companies participated on their own without the Brazilian government.
“This year the government participated as a lot of companies showed interest in being part of the trade fair and we have a bigger presence as seven companies are exhibiting,” said Mr Ortega.

The companies are being said to have  were exhibited as they had seen several business opportunities at the trade fair, especially the agricultural sector as they will be interested in supplying machinery and they are also hoping to share agricultural information.

 "Zimbabwe agricultural sector is similar to that of Brazil, we have related weather patterns and soil structures. We are looking forward to forming partnerships and share information with other agricultural businesses in the country,” said Mr Ortega
.
He said the Brazilian ambassador will attend the official opening of the trade fair tomorrow.
“The companies and the trade fair will receive support from the Brazilian Ambassador to Zimbabwe Marcia Maro Da Silva who will grace the official opening of the trade fair on Friday,” said Mr Ortega

Since Zimbabwe is largely agrarian, do you think this is an opportunity that could help Zimbabwe as a whole and also boost the economy??  

China taking over Bulawayo

It is now like old news that most companies and industries are shutting down in Bulawayo for the reasons which are not very clear. It is a problem to the rest of the Bulawayans who are affected by this as many get retrenched, forced into early retirement and others lose their jobs just like that.This goes on to affect their families as they will be breadwinners so the families suffer.

In the recently shut down down Kalbro company (which dealt with, upholstry, carpeting, car ports, blinds, curtaining etc), a Chinese shop is opening. The shop will be selling clothing, kitchen wear and other products like that.
Also there is a rumor that the whole space around Lobengula street to Egodini has bee to sold to a China company that will open China City, i resemblance of the one in South Africa.

Do you think that this is a good move to have Chinese taking over our city, can that be called good business?