Business / Economy
Zimbabwe need $8 billion needed to revive industry
12 May 2014 at 07:44hrs | Views
Confederation of Zimbabwe Industries (CZI) president Charles Msipa says industry need at least $8 billion as working capital and for retooling to avoid further collapse currently happening in the sector.
Industry is currently operating at 39,6% capacity down from 45% in 2012. Msipa said the country needs to mobilise substantial amounts with $5 billion earmarked for replacement of obsolete equipment.
He said some countries have managed to retool through shareholder funds among other international credit facilities as well as local ones.
Msipa also emphasised need for FDI to ease the impact of the liquidity crisis that is pushing the cost of funding.
Meanwhile government has projected a 6,1% growth rate this year but it is becoming increasingly clear the target is mostly likely to be missed as the economy continue to slip in the doldrums.
Source - Sunday Mail
