ZIMDEF income up by $1,8m

Source: ZIMDEF income up by $1,8m | The Herald

The Zimbabwe Manpower Development Fund (ZIMDEF) has said its income for the year ended December 2014 increased by $1. 8 million to $48,1 million, buoyed by improved collection and debt management policies. Established through an Act, the Fund’s broad mandate is to finance the development of critical manpower in Zimbabwe through the collection and disbursement of skills development levies.

In a statement, Zimdef said in the period under review total revenue amounted to $47,666 850 compared to $46 130 701 in 2013.

“The improved performance was largely due to a combination of an aggressive collection strategy, improved debt management policies and sterling co-operation from employers contributing the 1 percent training levy under such harsh economic conditions,” said the Fund.

Skilled manpower training and development remained the Fund’s core business with more than $3.95 million disbursed for industrial attachment allowances and $8.08 million for apprenticeship wages and other expenses. Polytechnics received grants for training equipment and consumables worth $4,78 million in 2014.

The National Main Power Advisory Council, Industrial Training and Trade Testing Department and Higher Education Examination Council received a combined grant of $2,61 million.

ZIMDEF said despite challenges facing the economy, it managed to meet most stakeholder needs.

Training levy collections for the year 2014 totalled $45,92 million, and this was 6 percent above the performance for 2013 which stood at $43,21 million.

ZIMDEF noted: “The Fund disbursed $14.54 million for grants, rebates and building projects that are critical in the development of skilled human capital.”

Projects worth mentioning are Lupane State University, Harare School of Hospitality and tourism and Manicaland University.

During the year, the Fund’s administration costs accounted for $14,88 million with more than $5 million being a provision for a bad debt owed to Metbank. Going forward ZIMDEF said it hoped for an economic upturn that would improve the fund’s operations.

“This will in turn boost the levels of levy contributions by eligible employers for the improved human capital development.” — New Ziana.