Thursday, 28 January 2016

Entrepreneurs promised hefty loans

THE government in collaboration with Japan and CRDB Bank has established Small and Medium Enterprise (SME), Credit Guarantee Schemes worth 2bn/- to help entrepreneurs, including women access loans to improve their economic activities.
The Minister for Industries, Trade and Investment, Charles Mwijage told the House that the move was one of the measures to empower entrepreneurs in the country.
Mr Mwijage was responding to Dr Christine Ishengoma (Special Seats CCM) who had wanted to know initiatives taken by the government to empower women entrepreneurs by loaning and assuring
them of reliable market.
Dr Ishengoma noted that a number of women especially in Morogoro Region dealing with fruits processing were lacking enough capital and reliable market thus making their activities less paying.
Mr Mwijage told MP’s here that the government through his Ministry had on several times been facilitating women entrepreneurs to participate in various trade exhibitions in Dar es Salaam commonly known as Sabasaba and other Regional trade shows.
“We are implementing various strategies like training entrepreneurs on standards and quality and ensuring that they obtain Tanzania Bureau Standard (TBS), Mark, traceability and barcodes through GS 1,” he noted.
The Minister said that SME Credit Guarantee Schemes has already started operation in seven Regions--Arusha, Mbeya, Dodoma, Kilimanjaro, Manyara, Morogoro and Singida.
“We are planning to reach other Regions as much as the scheme grows,” he said, adding that the aim is ensuring that big number of women entrepreneurs is reached in the country.
He pointed out that the government was also taking various initiatives to improve National Entrepreneurship Development Fund (NEDF), to make it serve more entrepreneurs.
As of now, he said that the Fund has already increased amount that an entrepreneur can acquire as loan from 500,000/- to 2.5m/- and from 2.5m/- to 5m/- depending on the entrepreneurs’ financial muscles.
“The government is in final touches as it works on a plan that would enable various entrepreneurship groups and cooperative unions dealing with fruits processing acquire loans from Tanzania Agricultural Development Bank,” he said.
He added; “Small Industries Development Organization (SIDO), is also conducting training to entrepreneurs on how to improve their activities and meet both national and international standards.”
The Minister advised entrepreneurs to ensure that they form groups and focus on quality and standards so that their products can compete in the market.
On the other hand, Minister Mwijage said that the government will in 2016/2017, financial year allocate budget for compensating Makambo residents in Njombe Region to give site for construction of international market in the area.
He noted that currently, valuation process was going on to establish exact amount of money needed to pay off the residents.


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