Despite efforts to resuscitate Bulawayo through the Distressed Industries and Marginalised Areas Funds (DIMAF), which where disbursed since 2011, not much significant changes have been seen since companies have continued to either close, retrench or move to other places away from the city.
The city’s current economic and industrial performance no longer portrays the picture of a second largest city, compared to the capital, as it used to when it was still known as the country’s industrial hub.
“The economy of the city has diminished over the last decade to unacceptable levels,” said the Economics Development Officer in Bulawayo City Council, Brian Hlongwane. “Claims have been made to the effect that Bulawayo is not alone in this predicament and those cities countrywide are undergoing that transition.“
“However, this argument ignores the fact that because of its heavy industrialisation, Bulawayo was bound to suffer more than other cities.”
The city has been one of the cities, in the country, that has been affected by a series of companies closing down, retrenching or relocating to other places especially the capital city, further worsening Bulawayo’s economic performance.
Solomons hardware, that used to operate along 4th avenue, has been seen closing this year and R Chitrin’s empty shops along 5th and 6th avenue with others now being rented by SMEs.
The result has been a rise in unemployment, which has been seen by many young people flooding to neighbouring countries like South Africa in search of better conditions, and graduates on the vending streets and home not working.
DIMAF has however not worked enough to resuscitate Bulawayo industries by far as only US$27 million had been availed by Old Mutual while US$20million has not yet been availed by the government.
Some of the 48 companies, with 26 from Bulawayo, have been able to use the money to purchase and import various business machines, purchase of core stock and raw materials, refinancing existing debt and for working capital requirement.
Fortwell Wholesale which received the fund in 2012 October, Ms Williams during an interview said, “The fund helped us to restock, we were looking for cheaper finance. Being in wholesales, our profit margins are very small and the money that was on the market was very expensive, so DIMAF helped us to import our stock.”
Williams also added, while commenting on city’s current state, “Bulawayo needs help, and yes people say its people and we have seen a drop in our turn over as compared to last year, which shows that Bulawayo really needs help.”
According to Hlongwane, poor representation of the region in the strategic hierarchy of influence, centralised decision making in the capital along with imported competing goods has also contributed to the city’s de-industrialisation.
The city and other Matabeleland regions would need selfless leaders with the political willingness to put the needs of the people first and work towards the region’s development, revitalisation and resuscitation and not personal riches at the expense of the city’s dilapidation.