• Zimbabwe
  • Resources
  • Access to Finance
  • Access to Capital
  • Access to Capital

Access to capital for Zimbabwean women entrepreneurs

Although women and youth make up the majority of the population in Zimbabwe, they are largely excluded from financial services.  The Zimbabwe Country Gender Assessment Report 2017  produced by FAO reports that about 86% of women in Zimbabwe depend on land for livelihood and food production for their families. 

The report further states that women continue to receive little financial support, even in sectors where they dominate, such as in the informal economy, micro and small-scale enterprises and agricultural production. Strides have been made for an inclusive financial sector through the introduction of Financial Inclusion Strategy by the Reserve Bank of Zimbabwe. Find information below on where and how to find affordable finance:

 

angle-left Women Development Fund

Women Development Fund

The Women’s Development Fund was established in 2005 to address the lack of collateral among women and the high interest rates being charged by banks. The first disbursement of $1 million was made in 2010. The Fund is being administered by the Ministry of Women Affairs, Community, Small and Medium Enterprise Development through the People’s Own Savings Bank (POSB).To date 1917 women’s groups have benefited and USD $3,459,156.00 has been disbursed resulting in more than 9585 employment opportunities. 

Disbursement modalities are as follows:

  • The involvement of key stakeholders in the process of identification of beneficiaries, disbursement of funds and monitoring and evaluation of the projects;
  • Joint teams comprising Ministry officials, Ministry of Mines officials and POSB Staff conduct pre-disbursement visits to confirm beneficiaries, ascertain the existence and viability of the projects;
  • Training of beneficiaries prior to disbursement of project loans;
  • Provision of 75% of the loan amount for the purchase of equipment with 25% given as cash for working capital;
  • The Ministry will utilize multiple media platforms to call for project proposals and
  • A total of 20 vehicles and 50 motorbikes (to be distributed to districts) were purchased so far for monitoring and evaluation.

Disbursement Guidelines were also developed with the following provisions:

  • Beneficiaries: Women form groups (with a minimum of 3 women) with a Constitution to qualify for funding.
  • Issuance of a call circular: The Permanent Secretary issues a call circular through the Ministry’s Provincial Offices inviting women groups to submit project proposals to be funded by the WDF.
  • Identification of projects: Ministry staff at Ward, District and Province Level work with relevant Government Departments to identify projects and assist women groups to identify projects and write the project proposals.
  • Submission of Proposals: Provincial Development Officers submit qualifying project proposals to Head Office for consideration by the Loans Committee and Advisory Board.

 

share-alt