LIVINGSTONE MARUFU
THE Ministry of Finance and Economic Development has granted prescribed asset status (PAS) on projects worth $445 million covering various sectors of the economy.
The sectors covered are housing, energy, food security and other infrastructure development projects.
Insurance and Pensions Commission head pensions Josphat Kakwere told Business Times that applications for PAS are only approved after they have satisfied the regulatory requirements and only the Minister of Finance and Economic Development has the mandate to confer prescribed asset status.
“The Prescribed Asset applications that were approved by the Minister in 2018 include: the Zinara Road Rehabilitation bond for $300 million approved on May 10 2018, CBZ Agricultural Marketing Authority Bills to finance procurement of grain during the 2018/2019 agricultural season to the tune of $75 million approved on August 29 2018. Agribank and FBC joint Agro Bills for financing the 2018/19 agricultural season worth $40 million, which was approved on May 30 2018,” said Kakwere.
Other projects with PAS include Utopia Power Company solar power project to finance the construction of a 15MW Solar Power Plant which was approved on June 15, 2018 to the tune of $20 million while Honde Hydro Power Consolidated bond to finance the construction of three mini hydro power station along Tsanga River worth $10 million was also approved.
He also said Harava Solar Park for the financing of the 20MW Solar Photovoltaic Power Plant in Bwoni Village in Seke was also sanctioned on January 11 2018 and Uhuru Energy for the construction of a 50MW Solar Photovoltaic Power Plant in Bulawayo was also ratified.
Kakwere said the commission continues to engage the non-compliant regulated entities to ensure that they comply will the law and invest in prescribed assets.
He however noted, that notwithstanding all these contributions to national productivity, the insurance and pensions industry was facing challenges that if not addressed, may hamper inspiration to sector confidence for national productivity
