Staff Writer
Government has applauded the positive contribution of the Micro, Small and Medium Enterprises (MSMEs) to the economy and promised to continue supporting the sector.
Speaking at a Post Cabinet Press Briefing yesterday, the Minister of Information, Publicity and Broadcasting Services, Senator Monica Mutsvangwa said that the MSMEs were contributing significantly to the country’s economic growth and stability through production of goods and services as well as employment creation.
“Cabinet wishes to inform the nation that through enhanced support and the policies of the Second Republic, MSMEs are contributing significantly to the process of moving the economy up the value chain, food and nutrition security, economic growth and stability through production of goods and services, employment creation and the sustenance of livelihoods,” said Minister Mutsvangwa.
Minister Mutsvangwa added that since 2021, over three million MSMEs owned by approximately 4.2 million entrepreneurs have been operational.
“Since 2021, approximately 3.4 million MSMEs have been in operation, and their distribution comprises 3 242 570 micro enterprises, 114 591 small enterprises and 1 545 medium enterprises. The enterprises are owned by 4.2 million entrepreneurs. The 15 main economic activities which the MSMEs are conducting comprise wholesale and retail trade; motorcycle, motor vehicle repairing; agriculture, forestry and fishing; and manufacturing.
“In terms of contribution to the Gross Domestic Product (GDP), the Finscope Survey of 2022 revealed that MSMEs contributed US$8.6 billion to the country’s GDP. In employment terms, over 4.8 million persons comprising women (52.1%) and males (47.9%) were engaged on a full-time basis in the MSMEs sector,” added Minister Mutsvangwa.
The Minister further informed that over the past five years, MSMEs became the major suppliers of cordial drinks, peanut butter, maize and traditional grains meal, honey, dried fruits and tomato pastes, among many other products. She added that chemical industries run by MSMEs were producing large quantities of high-quality detergents, petroleum jellies, methylated spirit, degreasers, paint, sanitizers and plastic containers for packaging.
Meanwhile, Minister Mutsvangwa disclosed that MSMEs were making a significant contribution towards the National Development Strategy 1 (NDS1) target of growing exports to US$14 billion per annum by 2030. She added that MSMEs were acting as pathfinders in regional and international markets through participation in exhibitions and fairs such as the recent Dubai Expo 2020 and the upcoming Tokyo Expo 2025.
