ECGC and CIFOZ Sign Memorandum of Understanding

By Leeroy Mupariri

HARARE- In a significant development aimed at fostering cooperation and collaboration, the Export Credit Guarantee Corporation (ECGC) and the Construction Industry Federation of Zimbabwe (CIFOZ) signed a Memorandum of Understanding (MoU) today. This landmark agreement is expected to strengthen the capacity of both organizations, promoting economic growth and development in Zimbabwe.

The MoU signing ceremony was attended by officials from both ECGC and CIFOZ and the media, highlighting the importance of this partnership. As per the agreement, the two organizations will work together to facilitate information sharing, research, and training, ultimately contributing to the country’s economic development.

In her speech, the ECGC Managing Director, Sekai Chirume, highlighted that the partnership is founded on a shared vision to create a stronger and more resilient construction industry by ensuring that industry players have access to construction bonds and guarantees that safeguard their projects. “The partnership between ECGC and CIFOZ is poised to benefit various stakeholders, including exporters, financial institutions, and the broader construction industry,” she said.

The partnership will enable the two organizations to leverage their complementary strengths, creating a more robust and efficient framework for export credit risk management and infrastructure development. Some key areas of cooperation include information sharing, research and training, and infrastructure development. ECGC and CIFOZ will share information on best practices, industry trends, and market developments to promote informed decision-making.

The two organizations will also collaborate on research projects and training initiatives, enhancing the capacity of their members and stakeholders. Additionally, CIFOZ’s expertise in the construction industry will complement ECGC’s export credit guarantee services, promoting infrastructure development and economic growth.

Martin Chingaira, CIFOZ CEO, noted that the MoU signing is a significant step towards promoting economic growth and development in Zimbabwe. “By working together, ECGC and CIFOZ can help create a more favorable business environment, enabling companies to access finance, manage risk, and compete more effectively in the global market,” he said.

As noted by CIFOZ management member, Grace Baudi, in a similar MoU signing ceremony with the Procurement Regulatory Authority of Zimbabwe (PRAZ), “Efficient infrastructure delivery will be key in realization of National priorities and overall socioeconomic development”. This partnership is expected to contribute to the country’s Vision 2030, promoting socioeconomic development and economic growth.

Both parties agreed that the collaboration between ECGC and CIFOZ is expected to benefit various stakeholders. Exporters will benefit from ECGC’s export credit guarantee services, which will help them manage risk and access finance, promoting their competitiveness in the global market. Financial institutions will also benefit from the partnership, as it will enable them to better assess credit risk, reducing the risk of defaults and promoting more efficient allocation of capital.

The construction industry will also benefit from CIFOZ’s expertise, which will promote infrastructure development, contributing to economic growth and job creation. By signing this MoU, ECGC and CIFOZ have demonstrated their commitment to promoting economic growth and development in Zimbabwe.

As the two organizations work together to implement the agreement, it is expected that their collaboration will yield tangible benefits for stakeholders and contribute to the country’s socioeconomic development. Ultimately, this partnership has the potential to drive economic growth, create jobs, and improve the lives of Zimbabweans.

In his closing remarks, Panashe Chatora highlighted that the signing of the MoU between ECGC and CIFOZ is a significant development that promises to have a positive impact. This landmark agreement marks the beginning of a fruitful partnership that will contribute to Zimbabwe’s economic growth and development.