Zimbabwe National Chamber of Commerce to debate economy

THE Zimbabwe National Chamber of Commerce begins its three-day annual congress tomorrow at Elephant Hills Hotel in Victoria Falls to explore ways to boost an economic growth which has slowed down. The congress' theme, "The Roadmap to Zimbabwe's

Desired Future", defines the opportunities that deliver value.

Among the speakers will be Industry and Commerce Minister Welshman Ncube, Youth Development, Indigenisation and Empowerment Minister Saviour Kasukuwere and Comesa secretary-general Dr Sindiso Ngwenya.

"The congress is a watershed event for the nation, as it seeks to come up with strategies and interventions to propel the economy to the next level," the ZNCC said in a statement on its website last week.

The chamber said over the years, since dollarisation, the economy has been recovering. But economic growth slowed in 2011 in the face of policy inconsistencies and political uncertainty.

ZNCC believes the subdued economic growth reflects the challenges facing the economy, including liquidity constraints, cost of funding, absence of long-term funding and high cost of utilities.

The chamber contends the economy has reached a plateau in terms of industrial capacity utilisation. It was now stuck in low-level equilibrium, characterised by low capacity utilisation, low wage rates and high rate of unemployment.

The chamber described the situation as "unsustainable".

To unleash new momentum, fresh capital was required for both public and private sector capital formation. The minister of finance had projected the economy would grow by 5 percent.

This indicates a fragile recovery, owing largely to inherent political and economic uncertainties, a high debt overhang and deteriorating infrastructure.
Zimbabwe has registered an average of 7,1 percent annual economic growth since dollarisation in 2010, but growth slowed to about 5 percent last year and is forecast at 5,4 percent this year.

This ZNCC congress will provide an opportunity for business and the Government to share, discuss and come up with resolutions designed to help the economy grow.
One key highlight would be the ZNCC Annual Awards Dinner, where individuals and corporates that have excelled during the last trading period will be recognised.

The build-up to the national awards has already begun, with branches holding their awards ceremonies and a number of individuals scooping prizes. This is an opportunity for corporates to measure their performance against other players.