SME training should reach districts, wards

THE loan interest rate of 4 per cent and the equity contribution of 30 per cent are the cheapest for small to medium enterprise (SME) owners as per the statement from the National Development Bank (NDB).
Apart from that, the borrower is required to be trained in various areas of the processes involved in applying for loans as well as basic options on how best SMEs should be managed.
A good number of our people cannot read and write English, but are very good informal businessmen and women.
Most of them have substantial amounts of money saved in their accounts with commercial banks.
This is great because it would help them with regard to owner’s equity portion.
Illiteracy is a predicament, however, with proper training, our SME operators can be great.
The Government’s support for SMEs is a good initiative.
Those interested in accessing the loans should be prepared prior to applying to NDB.
This is to ensure that everything runs smoothly without complications.
The necessary paperwork with the Investment Promotion Authority for business registration and the Internal Revenue Commission for tax identification numbers certificates should be done before applying for the loan.
Most of these documents are required by NDB in order to process and approve loans.
The bulk of the population who are willing to participate in the SME space are in the rural areas.
That is why the 89 districts in the country should be engaged to train people in their electorates.
The necessary training about operating a SME should be passed on to local level governments and wards.

Jack Anis Kukiwa