Zimbabwe’s Reserve Bank plans to set up a revolving tourism fund to assist in the upgrading of the country’s tourism facilities.

Addressing international and local journalists, Zimbabwe Tourism Authority Chief Executive, Karikoga Kaseke, confirmed the central bank’s plans. “The Governor, John Mangudya, has agreed in principle that a revolving fund will be put up.”

He said the fund would offer operators access loans at low interest, adding that commercial bank rates were unsustainable for the sector. Kaseke said women in tourism would be favoured, adding that most of the country’s lodges were owned and run by women.

Kaseke said it was important to give first preference to the upgrading of existing facilities, as Zimbabwe’s annual occupancy rate was about 56%-60%.

He said the 40% of unutilised occupancy made it clear that there was a need to give priority to existing facilities over new ones as there was no shortage of accommodation in the country.

“This fund will be available at low interest rates. I cannot say how much at this stage but much less than half of what commercial banks are charging at the moment,” said Kaseke.

According to the ZTA, the Reserve Bank will provide more details as to how much is being set aside for the fund in due course.

Kaseke said the tourism sector was receiving government support after the realisation that tourism was central to the whole economy of Zimbabwe, adding that, at the moment, the sector was the best performing.

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