Home » Industry » ACL Disburses U.S $82 Million Lease Finance

African Century Leasing has disbursed $82 million in lease finance to various local small and medium enterprises in the productive sectors of the economy since its inception in 2011.

The leasing company on Monday announced that it has successfully secured another credit line of $5 million from the Netherlands Development Bank, FMO, to support SMEs. It is the second tranche of funding that ACL has received from the organisation after having accessed $8 million in 2013.

African Century managing director Mr Stanley Matiza told journalists that the company has a keen interest in supporting the agricultural sector given the key role that this sector plays in the country’s economy.

He said the leasing industry requires more long-term funding to meet the needs of the local industry.

“The process of retooling local industry is being hampered by lack of availability of long-term funding and as such ACL will continue to engage the DFI community to support the growth of the Zimbabwean economy,” said Mr Matiza.

FMO representative Mr Jaap Reinking stressed that the transaction fits well within FMO’s and the Dutch government’s micro and small enterprise funds strategy of building comprehensive financial systems in developing countries.

He said FMO is committed to creating sustainable economic impact in emerging markets and by providing long-term funding to ACL it will contribute to the development of the SMEs sector of Zimbabwe.

“The country remains deprived of adequate access to finance which also is the case for an early growth leasing company. FMO remains committed to supporting the local industry,” said Mr Reinking.

The company has grown to be a lease finance company for vehicles and machinery with clients from both the private and public sectors.

Source : The Herald