DIVERSIFIED financial services group, Old Mutual Zimbabwe, is in the final stages of setting up a micro- financial bank to cater for Zimbabwe’s growing informal sector and the entity will be operational before the end of year, NewsDay has established.
BY MTHANDAZO NYONI
Group chief executive officer, Jonas Mushosho, told NewsDay after the official opening of the group’s Zvishavane Mini-Green Zone on Wednesday that the business unit would go a long way in helping people in the informal sector.
“People in the informal sector are looking for ways of accessing funding. For that, we are in the final stages of setting up a micro-financial institution,” he said.
“We have already recruited the staff and we believe we will be operational before the end of year. This Friday [today], we are going to be making a big announcement on a development plan that we have for the informal sector,” he said.
Zimbabwe’s economy is now highly informalised. Statistics show that at least 94,5% of Zimbabweans are informally employed.
The country’s formal economy crumbled following a controversial land reform programme that expropriated former white-owned farms for redistribution to landless blacks, most of whom were peasants crammed on infertile land in rural areas.
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Speaking at the official opening, Mushosho said the Green Zone concept was launched in 2013 with the opening of the Green Zone in Harare. He said the second one was opened in Bulawayo in April. Both concepts —the Harare, Bulawayo and Zvishavane one — cost the group more than $2,3 million.
Mushosho said the Green Zone concept symbolised Old Mutual’s drive towards improved customer service, by providing the group’s products and services under one roof.
He said the Green Zone would bring together comprehensive financial advice, investment and banking expertise of Old Mutual under one roof.
The services cover savings, investment, banking, insurance and property, which will be offered by the group’s various units such as RM Insurance.
He said the Green Zone concept had gained local and international recognition, proving that Zimbabwe has what it takes to compete with the best in terms of delivering great experience to customers.
Mushosho said 2016 was turning out to be an exciting year for the group’s customers as they had met all their expectations in spite of the prevailing economic difficulties.
“While many have retracted into their shells in response to the current challenging economic environment, it is full steam ahead for Old Mutual Zimbabwe.”
