Business Reporter
THE Mutapa Investment Fund (MIF) has bemoaned rampant abuse of office and inefficiencies at some entities under its purview on the back of plans to realign such companies to profitability.
Addressing the 8th Public Sector Convention hosted by the Institute of Chartered Accountants of Zimbabwe in Gweru last week, Mutapa chief Investment officer Simba Chinyemba shared details on some of the illicit management practices.
“We have a few board chairpersons who think they are executive board chairs, even if they are non-executive. They have offices at the companies that they sit on the boards, they go there and ask for weekly reports and sometimes they follow up on clients.
“I do not understand why anyone thinks that is a good idea when you are a chairperson of a board, but that is what we have seen in our public entities and that is one of the biggest reasons why they are under performing,” he said.
Chinyemba also said MIF is currently working on plans to address the State Owned Enterprises indebtedness to unlock capital.
“The financial constraints have become an issue as it has been difficult to access credit. There has been a lot of debt, Zimbabwe currently has a debt of just under US$20 billion, of which a large part may be about US$4 billion in domestic debt and the rest is all international,” he said
MIF, formerly known as the Sovereign Wealth Fund of Zimbabwe is a Zimbabwean sovereign wealth fund formulated by the Sovereign Wealth Fund Act.
It was renamed after the re-election of Emmerson Dambudzo Mnangagwa as the president of Zimbabwe, doing so by using Statutory Instrument 156 of 2023.
