Take over closed companies in Bulawayo says Governor Mathema

THE call for the revival of Bulawayo industries continues with Bulawayo Governor Cain Mathema and the  Zimbabwe Federation of Trade Unions (ZFTU) pressing for the taking over of all the closed companies under the indigenisation programme.

This comes amid frustration by Bulawayo business people over delays in the release of the $40 million under the Distressed Industries and Marginalised Areas Fund (Dimaf), which has been shrouded in controversy seven months after its launch.

In an interview on Tuesday, Governor Mathema bemoaned the continued plight of hundreds of workers who have been rendered jobless and said the indigenisation programme was the only solution to Bulawayo's de-industrialisation.

"The owners of the closed companies have their own agenda of destroying the city's economy. These companies should be taken over by the Government and be given to black people. We cannot continue having these companies closed when our people are capable of running them," said Governor Mathema.

He said the owners of the more than 87 companies that closed shop in the past years were deliberately sabotaging the economy and implored Government to avail funds for black people to run them.

"Their owners are part of the regime change agenda. The Government should take them over and we will compensate them later. The money is there and we can look for it from other countries. We have a lot of qualified youths from colleges and universities who can effectively run these companies," said Governor Mathema.

"Through this money workers would be able to buy shares in these distressed companies. This would also assist workers when they retire. We urge the Government to take this issue seriously to promote the welfare of workers."

Governor Mathema also urged indigenous business people from Bulawayo to take the initiative and seek Government assistance in making the indigenisation programme a success.

"The business community in Bulawayo must not always wait for the Government for solutions to problems they are facing. They must come up with proposals, identify the companies that they want to run and approach my office for assistance.

"I am glad the workers in the city have been very clear in expressing their desire to take over some of the distressed companies. I have given the names of the companies to the Minister of Youth Development, Indigenisation and Economic Empowerment, Saviour Kasukuwere," said Governor Mathema.

"The workers are ready and all they want is Government assistance to facilitate. We should also be thinking of establishing new companies for the city to develop effectively. There is a lot of land for new factories and what is needed are loans from banks."

Governor Mathema said financial institutions should work with the Government in empowering indigenous people.

He castigated some commercial banks for refusing to finance local companies.

ZFTU southern region spokesperson Cde Pardon Mangena said workers had the capacity to run the closed companies if sufficient funding was availed to them.

"This is the only way in which Government can empower workers and revive companies in Bulawayo. As workers we feel the Government should engage the National Social Security Authority (NSSA) to give loans to workers to take over these companies. NSSA is a reservoir of workers' funds and that money has to be used fruitfully," said Cde Mangena.

Contacted for comment, the director of enterprise development in the Ministry of Industry and Commerce, Mr Stanslaus Mangoma, said his minister, Professor Welshman Ncube was yet to meet his counterpart, the Minister of Finance, Tendai Biti, to finalise the release of Dimaf.

Minister Biti launched Dimaf in Bulawayo last year where the Government, in partnership with Old Mutual through Cabs, committed itself to provide $40 million for revival of industries. However, to date Minister Biti has only deposited half of the $20 million it pledged to avail before the fund could be accessed.