Maravi

(DAILY MAIL) High interest rates irk Fundanga

High interest rates irk Fundanga
By NANCY MWAPE

THE Bank of Zambia Governor, Caleb Fundanga is disappointed by commercial banks failure to reduce interest rates that have remained high despite improvements made in the fiscal management of the economy. “My appeal to all banks operating in Zambia is for them to show more commitment to the growth and development of our country,” he said.

Officiating at Standard Chartered Bank Zambia Plc launch of a new Excel Centre at Ody’s building complex on Great East Road opposite Arcades shopping mall in Lusaka, Dr Fundanga said the high cost of borrowing stifled the growth of productive sector.

Dr Fundanga said banks could show commitment by opening more branches, providing more loans to increase the productivity of the economy and encourage more Zambians to open bank accounts.

He said provision of banking sectors would greatly contribute towards Zambia’s 2030 vision of becoming a middle class income earner, which would bring real economic development and lead to poverty reduction.

Meanwhile, Dr Fundanga has commended Standard Chartered bank for opening the new excel branch and training centre at a time when the economy was faced with challenges emanating from the impact of the global financial and economic crisis.

He said although the Zambian financial system was not fully integrated with the world’s financial markets, the impact of the crisis was already clear.

“As a commodity exporting country, Zambia has experienced a decline in her export receipts due to the decline in commodity prices reflecting a weak demand for these commodities,” he said.

And speaking at the same occasion, Standard Chartered Zambia, board chairperson, Michael Mundashi said the opening of the branch was a testimony of the bank’s commitment to Zambia.

Mr Mundashi said excel banking is a service that focuses on giving customers convenient banking in a more conducive environment and was targeted at the up-market customers.

Labels: BOZ, CALEB FUNDANGA, INTEREST RATES

posted by MrK @ 4:32 PM