Banks not supporting medical entrepreneurs

TODAY, many people complain about the cost of private healthcare which is said to be beyond the reach of many.

Charges are said to be extortionate with specialist consultation fees sitting between US$60 to US$120 while admission costs can run into thousands of dollars.

The country hopes to achieve universal health coverage with the introduction of national health insurance which our government is planning to implement in a few years to come.

Medical practitioners have been badly treated by financial institutions in the country.

Many doctors, nurses, pharmacists have struggled to grow their businesses on their own.

Some did not manage to grow, hence they closed shop.

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Financial incapacitation remains a problem for many entrepreneurs.

Financial institutions have not been friendly to this fraternity and there is silent acrimony between banks and many medical practitioners in the country.

We came to conclude that banks want to reap from where they never sowed.

I do not understand why the local financial system has stringent borrowing conditions that deter would-be businesspeople from approaching them.

It is a real disaster with banks and expecting people to deposit money in banks that do not reciprocate is like inviting the devil to preach in heaven.

Some years ago, I was very eager to be a successful entrepreneur and realising that entrepreneurship requires dedication, resources and energy, I was left with no option but to approach financial institutions for assistance.

I dashed to town to see my bank manager hoping to get easy assistance, having been an active account holder for four years.

Achieving my dream of starting my own surgery was supposed to be flawless as I was now in possession of all the professional qualifications and had requirements to start one.

My hope was dashed when I received a long list of requirements from the bank for wanting to borrow just US$10 000 to establish a small surgery, which I was sure would benefit the community and the country at large.

Collateral was needed in the form of title deeds, financial statements, cash projections, a project proposal and some of the requirements needed the assistance of a qualified accountant who demanded US$1 000 from a young and poor doctor just four years after leaving medical school.

Tears formed a stream down my splotchy cheeks in disgust and I surrendered before looking at other options. 

The banks could not assist me to develop my career at a time when the country was in dire need of healthcare services.

Today, 16 years after the trauma I went through with financial institutions, nothing much has changed.

Financial access remains a pipe dream and the poor continue to suffer, despite some of them wanting to start profitable projects.

Banks are known for charging transaction fees and there is a possibility of going into negative balance even if you never transacted via your account.

The bank charges are repugnant.

How many people can testify that they have benefited from banks despite many years of doing business with them?

The old adage the rich gets richer while the poor gets poorer applies here.

Those who have many title deeds can access huge sums of money while those without will continue to languish in poverty.

Zimbabwe is a rich country with a more than 93% literacy rate.

Every year, our universities churn out thousands of graduates who remain idle despite them having Masters degrees, PhDs.

We preach about Education 5.0, but without financial support, it is just theory on paper.

How can we commercialise without financial support?

Why not waive some requirements for professionals so that they capacitate themselves quickly and create employment for college leavers.

An entrepreneur who wants to venture into education by constructing schools is one good example of someone who can be successful in just a few years to come.

A lawyer who seeks financial help to establish a law firm also has high chances of success in a few years to come.

A doctor, who seeks finances to construct a clinic, is another candidate for prosperity in a few years to come.

An agricultural graduate seeking money to venture into horticulture and livestock farming has high chances of success in few years to come.

The unavailability of cheap loans is hindering the provision of affordable health service.

Banks are of little help to the growth of the health sector, a flabbergasting situation only witnessed in Zimbabwe.

• Johannes Marisa is a medical practitioner who is the current president of the Medical and Dental Private Practitioners Association of Zimbabwe.