Vice President Constantino Chiwenga says the Zanu PF government will prioritise rehabilitation and opening up of companies in Bulawayo and other parts of the country as part of its re-industrialisation agenda.
Addressing delegates at the International Business Conference Tuesday held on the side-lines of the Zimbabwe International Trade Fair in Bulawayo, VP Chiwenga said most local industries are using antiquated machinery leading to low production.
The theme of this year's conference is, "Sustainable Industrial Development: Inclusive, Competitive, Collaborative".
According to a Confederation of Zimbabwe Industries (CZI) survey, capacity utilisation in the manufacturing sector dropped by 2,3 percent from 47,4 percent to 45,1 percent in 2017.
"Government is prioritising the resuscitation of closed, ailing and opening of new industries in Bulawayo and across the country," said Chiwenga.
"As you may be aware, most companies are now shells with old and antiquated equipment resulting in inefficient production".
Chiwenga said government has secured lines of credit with various financial institutions as a means of capacitating the manufacturing sector.
"The government has taken a number of steps to assist the local manufacturing industry by facilitating a number of lines of credit such as with the PTA Bank and Afreximbank.
"Thus the Reserve Bank of Zimbabwe has also engaged the Bankers Association of Zimbabwe to reduce interest rates on loans for productive purposes," he told delegates.
Chiwenga said the re-industrialisation agenda will ensure that local industries are competitive in both the regional and international markets.