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Pride Mahlangu, Business Reporter

ZIMBABWE should emulate the Indian model in supporting small to medium enterprises (SMEs) as the sector possesses a huge potential in growing the economy, a visiting Indian business official has said.

Speaking at the Zimbabwe Entrepreneurship Ecosystem Conference held in Bulawayo last week, Indian National Small Industries Corporation (NSIC) general manager, Mr Rajesh Kumar, said his country was implementing several schemes meant to bolster the operations of SMEs.

“All the schemes that have been developed by India towards development of micro-small and medium enterprises (MSMEs) could be relevant to Zimbabwe as well,” he said.

“If introduced here these can help local prospective entrepreneurs to get successful.”

NSIC is an Indian government-run entity that works closely with small and medium enterprises, assisting them to grow their businesses and tap a wider market. 

Mr Kumar said their organisation renders all necessary aid to SMEs through various technical centre facilities and support schemes. Some of these schemes provide raw material assistance, incubation centres and single-point registration for newcomers, among others, which have yielded positive results.  

Mr Kumar said through rapid growth incubation centres, Indian entrepreneurs have managed to register remarkable success in just three months. He also stressed the need for SMEs to embrace the protection of Intellectual Property rights as this was an important factor.

Although a number of SMEs in Zimbabwe are struggling to break even due to the prevailing economic challenges, experts believe the prospects are positive for the sector, if all the necessary support is rendered. 

Recently, Government has said it would soon be establishing an SMEs stock exchange to help unlock the sector’s potential through improving mobilisation of capital to fund their operations. 

Through the Ministry of Higher and Tertiary Education, Science and Technology Development, Government has also championed the establishment of innovation hubs in the country’s universities, which should also assist in developing new businesses.