By Chiedza Muswe

Government has revealed that the productive sector support is to be financed by banks through the normal banking channels.

This was said in a Press Statement on the guidelines and modalities on accessing the ZW$18.02 billion Economic Recovery and Stimulus Package that was published a few days ago by Minister of Finance and Economic Development, Professor Mthuli Ncube.

Minister Ncube said, “Other than capital grants which are being disbursed through various line Ministries all productive sector support will be financed by banks through the normal banking channels with Government providing requisite guarantees to the finance institutions based on risk sharing model.

“The following productive Sector facilities comprising of Agriculture Sector Support, Working Capital Support, Mining Sector Support and Tourism Support Fund will be accessed through the normal banking channels,” he said.

Minister Mthuli invited beneficiaries to submit their requests to their respective banks.

“Applications/intended beneficiaries should therefore submit their requests to their banks with the requisite information. Through a risk sharing model, banks will conduct credit assessment and due diligence of the applicants,” he said.

This came following the disbursement of ZW$2.5 billion for the productive sectors and the winter wheat programme.

During lockdown, President Emmerson Mnangagwa eased lockdown restrictions on some of the production sectors like the agriculture, manufacturing and mining to avoid a total economic collapse.