Maravi

We’re lead finance arranger in mining sector – StanChart

COMMENT - Now if STANCHART is the lead financier for foreign mining projects in Zambia, why don't they finance Zambian owned mining initiatives? If you already have foreign owned banks, why is there a need for foreign owned mining companies?

We’re lead finance arranger in mining sector – StanChart
By Kabanda Chulu
Thu 27 May 2010, 04:00 CAT

STANDARD Chartered Zambia Plc has said the bank is in a strong position and has arranged over US $1 billion in the last four years to finance key mining projects in the country.

Explaining the role the bank is playing in the revival of the mining sector, Standard Chartered Zambia head origination and client coverage Robin Bairstow stated that the bank considers the industry as important looking at the potential it had shown.

“We are the lead arranger of financing in the sector and the bank has arranged over US $1 billion in the last four years and some of the key mining projects that Standard Chartered has arranged financing include Konkola Deep Mining Project (KDMP), Lumwana and Kansanshi mining projects and we also provide banking services to the mining support industries including credit facilities to finance capital expenditure projects and working capital for their operations,” Bairstow stated.

“Standard Chartered is well-positioned to play a vital role by participating in some of the infrastructure development initiatives in the offing including provision of corporate advisory services to would-be sponsors of some of the projects in raising capital. In addition, as businesses expand, demand for banking services will increase and additional manpower would be recruited by the bank and we shall continue with our corporate social responsibility initiatives to assist the community in the areas of health, education, youth empowerment and the environment.”

He stated that Standard Chartered also provides risk management solutions such as commodity and foreign exchange hedging and cash management solutions and treasury services, which include local and cross-border payments.

“The bank provides loans for projects and capital expenditure; this is mainly to fund existing and new projects for future growth such as asset backed financing to finance acquisition of equipment to increase production capacity and trade finance for working capital finance including import and export financing,” Bairstow stated.

“We also provide electronic banking which enables clients initiate local and cross border supplier and salary payments, automating bank reconciliations, initiating letters of credit transactions and treasury services.”

He stated that the bank was considering playing significant roles in infrastructure development initiatives that had been lined up.

“We are considering playing a bigger role in the upgrading of rail system and roads including housing development and hydropower generation projects and the economic zones under construction,” stated Bairstow.

Labels: FDI, ROBIN BAIRSTOW, STANCHART

posted by MrK @ 2:42 PM