eBusiness Weekly
Business Reporter
The Reserve Bank of Zimbabwe (RBZ) has said exporters can negotiate above 20 percent export incentives under the performance-based export support scheme.
The apex bank’s deputy director of exports exchange control division, Tayengwa Chitauro, who met Bulawayo business executives during a recent export seminar, said the export incentive scheme was flexible and businesses who think they deserve more could utilise the window.
The Reserve Bank introduced a basic five percent export incentive scheme on all exports in May 2016 to promote growth, productivity and development of the export sector to enhance foreign currency inflows.
Chitauro encouraged exporters seeking to increase exports to approach the central bank with evidence of their capacity of increasing exports.
“We require that companies furnish us with projected financial statements, projected production levels and their projected sales. They also have to indicate that they have orders, which are likely to be fulfilled by increase in the production,” he said.
“From there, we monitor the performance of the company to ensure that it fulfils its obligations.”
To date, Chitauro said they have not granted beyond 20 percent performance based export incentive as no company has requested an incentive exceeding that margin.
“We have not gone beyond 20 percent precisely because no one has asked for something above 20 percent as you have to justify your increase and you to adhere to your promise of increasing your exports,” he said.
According to Chitauro, a number of companies have benefited from the performance based export incentive and that most of these have performed according to what they indicated to RBZ.
He also highlighted that they were liaising with commercial banks to educate Small to Medium Exporters (SMEs) about the scheme.
“We instituted a programme where receive reports from banks on a monthly basis to brief us on the number of exporters they have brought on the programme, the number of new exporters they have encouraged to do exports amongst others,” said Chitauro.
He said the performance based export incentive give locally produced goods price competitiveness in foreign markets. Commenting on the Computerised Export Payments Exchange Control System (CEPECS), which was introduced in June last year, Chitauro said the system has enhanced the ease of doing business for exporters.
“Exporters are now happy and are no longer complaining about the costs of accessing export documentation. Zimtrade can attest to that,” he said.
CEPECS is a web-based and real time exchange control system that links the RBZ to commercial banks, the Zimbabwe Revenue Authority (Zimra), exporters and other Government agencies that facilitate and promote export of goods and services.
Chitauro said the web based platform has received a lot of enthusiasm from the exporters, with companies approaching the Central Bank requesting that they train their employees on the platform. This has seen the bank inviting companies for workshops where they train exporters on how to raise export documentation.
“Going forward, we are planning to do more of these workshops where go to various business centres and advertise to train exporters in raising export documentation,” he said.
