• CEEC is encouraged to turn the recovery rate around to the revised target of at least 80 percent by the end of 2022.
• There has been so much support and positive directives to turn this recovery rate around.
• The Commission has been operating at 46% human resource level.
Citizens Economic Empowerment Commission (CEEC) says its loan recovery rate currently stands at 27 percent.
Speaking in an interview with Money FM News, Commission Public Relations and Communications Manager Michelo Mukata says the low loan recovery rate is partly as a result of low staffing levels which currently stand at 46 percent.
Mr. Mukata however said the Commission is encouraged to turn the recovery rate around from what it is now to the revised target of at least 80 percent by the end of 2022, due to the positive response it has received from Ministry of Small and Medium Enterprise Development and the new Board of Directors.
“There has been so much support and positive directives to turn this recovery rate around from what it is currently to the revised target of at least 80% by the end of the year, and some of the measures that the Commission has put in place to undertake this challenging but very exciting exercise is the recruitment of new staff.”
“The Commission has been operating at 46% human resource level, and in part, low staffing levels have contributed to the recovery rate being what it is at the moment,” Mr. Mukata said.
He stated that CEEC has also beefed up its monitoring exercises to ensure that enterprises, individuals and companies that have been funded are assessed on how their businesses are progressing.
“Aside from that, monitoring exercises have been increased to ensure that we monitor the clients that we fund, and just assess how their businesses are going, to look at the possibility of remodeling their businesses to make them profitable, sustainable and in turn, have them pay back the loans that they have acquired,” Mr. Michelo said.
Mr. Mukata expressed optimism that the Commission will achieve the target it has set of 80 percent loan recovery rate by 31st December, 2022.
“The Commission is very relentless in creating a sustainable empowerment fund, and with this drive of beefing up monitoring through increased human resource as well as imparting information on the need for recipients of the business loans to pay back these facilities, the Commission is very positive that it will attain the target that it has set for itself of 80% recovery by 31 December, 2022.