Home | Business | 1ST PAYMENTS EXPECTED NEXT MONTH

1ST PAYMENTS EXPECTED NEXT MONTH

09/09/2021 08:27:00 BY ASHMOND NZIMA

Font size:

MBABANE – Businesses should start benefitting from the Reconstruction Fund next month.

This past Monday, His Majesty King Mswati III officially launched the Reconstruction Fund with contributions amounting to approximately E1 billion. The Fund is an intervention aimed at supporting all those who were affected during the civil unrest in June this year. Minister of Commerce, Industry and Trade (CIT) Manqoba Khumalo, speaking on national radio yesterday, confirmed the said processes that include screening of qualifying businesses and said it would soon get underway. Applications for assistance are to be made through the National Disaster Management Agency (NDMA) while EswatiniBank is said to be the administrator of the Fund.

EswatiniBank is the only 100-per cent owned local bank and it also administers the E45 million Revolving Fund that was established to cushion small businesses from the effects of COVID-19. All applications should be in by tomorrow. The link for applications for businesses is https://ee.humanitarianresponse.info/x/K9GbqOdx. The minister said there would a screening process once all the requests had trickled in. There would be professionals to do the assessments even at businesses that have already been reconstructed so that the owners can be compensated for the expenses of rebuilding as well. The claims to the bank would be based on the information registered with the CIT ministry and NDMA.

processes

“We target to finish all the processes by the end of September so that by the beginning of October (next month), we can start making payments,” said the minister. For a start, priority, according to the minister, would be buildings, property and equipment. In essence, informal traders would have to wait longer before they could be compensated. He said the traders would know at a later stage on how they would go about making claims for the losses. Some informal traders had their wares looted during the protests. “Government can’t guarantee that the businesses would get full compensation at this stage, as it would depend on the number of requests,” said the minister. Minister Khumalo said it was their wish for the fund to be sustained so that it could work as an emergency tool like in other countries.

contribution

Meanwhile, The fund received a E500 million start-up injection from government. At its launch this week, it received a contribution from Taiwan worth E330 million as well as from a number of local businesses including EswatiniBank, Public Service Pension Fund, Eswatini Royal Insurance Corporation (ESRIC), Eswatini Posts and Telecommunications Corporation (EPTC), Montigny, Dalcrue and Standard Bank. Other contributions were from Happy Valley, Status Capital, Swaziland Building Society (SBS), Stanlib, Sugar Industry, Balondolozi Asset Managers, Tibiyo Taka Ngwane, Letshego Financial Services, MTN Eswatini, Eswatini Electricity Company, Eswatini Development Finance Corporation (FINCORP), Sincephetelo Motor Vehicle Accident Fund (SMVAF), Inhlonhla Asset Managers and Eswatini Water Services Corporation (EWSC).

damages

Businessman Lincoln Motsa from Linac Investments, who operates retail stores operating under the OK Foods banner, was one of those who suffered extensive damages after more than half a dozen businesses were destroyed. He said the fund was most welcome by the business community. “It will revive businesses and help us provide much needed employment to our fellow citizens. The recent riots left a lot of emaSwati without jobs. We now have belief and hope,” he said.