‘Not Okay’: OK Zimbabwe tells govt operating environment is too volatile

OK Zimbabwe Limited, one of the country’s leading retail chains, is facing intermittent product supply challenges, affecting its operations.

The company was responding to pictures widely shared on social media showing empty shelves in one of their supermarkets in Chiredzi.

The Zimbabwe Stock Exchange listed company acknowledged the difficulties, citing a volatile operating environment that has impacted the entire formal retail sector.

Despite the challenges, the company assured stakeholders that its stores remain open for trading, and it continues to serve customers and contribute to Zimbabwe’s economic growth.

“We assure all stakeholders, including customers, shareholders, employees, and partners, that our stores are open for trading.

“Although the Company faced intermittent product supply challenges during the festive period, we continue to serve our loyal customers and contribute to the economic growth and development of Zimbabwe,” the company stated.

“We are grateful to our supplier partners, bankers and other stakeholders for their support at a time when the Company, as well as most of the formal retail sector, has been adversely impacted by a volatile operating environment.

“We are actively engaged with our suppliers, and key stakeholders, including industry associations and regulators, to restore supplies to normal levels whilst working on solutions that stabilize the trading environment.”

Meanwhile, OK Zimbabwe’s struggles reflect the broader challenges facing Zimbabwe’s retail sector, which has been impacted by economic volatility worsened by the unending currency crisis.

Last year, OK Zimbabwe’s CEO, Max Karombo, openly expressed to the government that the retail sector was being adversely affected by the surge in informal traders who were not subject to taxation.

His sentiments, however, attracted vehement criticism from Treasury Permanent Secretary George Guvamatanga, who suggested that Karombo and his team should be relieved of their duties as OK Zimbabwe’s leadership.

Despite the backlash, OK Zimbabwe remained resolute, even threatening to cease operations late last year. Several retail companies have since been forced to shut down, including Food World and Choppies Zimbabwe, among others.