Micro and small-scale enterprises in Zimbabwe : results of a country-wide survey

This report provides an overview of Zimbabwean MSE"s, covering their magnitude and importance, industrial structure, size distribution, labor force, location, customers, gender of managers, and patterns of change. The report then identifies major problems and constraints faced by MSE"s, including access to credit and training. Major findings include the following. MSE activity is largely based in the rural areas and is dominated by small manufacturers, notably knitting and crocheting. Most enterprises are based in the proprietor"s home and the average number of workers is less than two. While 67% of all MSE"s are run by women, those run by men tend to be substantially larger and are much more likely to contribute the lion"s share of household income. Employment in the sector is dynamic: the average Zimbabwean MSE has grown at a fairly rapid pace, but 81% of all MSE"s have either shrunk or remained stagnant; Swaziland exhibits comparable figures. MSE proprietors identified their most pressing problems as: market problems, finance problems, difficulties involving stock or raw materials, and problems with tools and machinery. The regulatory environment was not mentioned as a major constraint. Relatively few proprietors had access to credit or training. Only 1% had ever received a loan from a formal credit institution.