Zanu PF chairman Simon Khaya Moyo says the $40 million set aside by government under the Distressed and Marginalised Areas Fund (Dimaf) is “too little” to revive ailing Bulawayo companies.
Addressing party supporters in Makokoba suburb on Sunday, Moyo said the amount could be gobbled up by one company.
“The $40 million rescue package for Bulawayo companies is just too little because as it is, big companies like Dunlop need at least $40 million to help aid their recovery,” he said.
“There are also companies like the Cold Storage Company (CSC), Textile Mills, National Blankets, and the National Railways of Zimbabwe (NRZ), how are they going to be revived with such little money?
“This $40 million, is it being held by Zanu PF? No! But why is it failing? People need to realise that Zanu PF is not the problem here.”
Moyo said Zanu PF was pro-development and wanted people to regain their jobs.
The late disbursement of the money had taken a political angle with politicians from different parties blaming each other for derailing the project.
Industry and Commerce minister Welshman Ncube (MDC) recently accused Finance minister Tendai Biti of holding on to the fund to discredit the former.
- Chamisa under fire over US$120K donation
- Mavhunga puts DeMbare into Chibuku quarterfinals
- Pension funds bet on Cabora Bassa oilfields
- Councils defy govt fire tender directive
Keep Reading
But Biti insists Treasury does not have the money because of the underperformance of this year’s budget.
To date, government has only released $10 million out of the $20 million it is expected to contribute to the fund with Old Mutual having already availed its $20 million contribution.
Several Bulawayo companies have closed down over the years owing to the country’s economic collapse over the past decade.
The city was once regarded as the country’s industrial hub but most major companies have relocated to Harare citing uncertainty over water supplies.
Others closed down citing viability problems.
