Government has pledged to continue providing an environment that supports the growth of the private sector for both local and foreign investment.
Deputy Minister of Finance and National Planning Keith Mukata said government will continue to put in place policy measures that will foster growth and strengthen corporate governance in the financial sector in Zambia.
Mr. Mukata said this in Lusaka today when he officiated at the opening of the Indo Bank Zambia branch at Cross Roads mall.
He assured that government will continue pursuing sound, broad based and people centered economic policies that will sustain the prevailing conducive environment.
He also commended Indo bank for opening a new branch saying this demonstrates its commitment to partnering with government in order to foster development and support the growth of the economy.
“Your branch at this Shopping mall adds to the increasing competition among the banks and financial institutions operating in this area which benefits the communities from a wider selection of products, more competitive options of financing and enhanced quality service,” he said.
Mr. Mukata has however implored the bank to extend its banking services to rural areas in line with the government’s pro poor strategy for economic growth in the country.
And Indo Bank Zambia Managing Director Shankardas Gupta revealed that the financial institution has embarked on an aggressive branch expansion initiative which is aimed at positioning itself competitively.
Mr. Gupta said the total business mix of the bank was in excess of KR2.1 million (K2.1 billion) with customer deposits rising to a level of over KR1.2 million (K1.2 billion).
“IZB is a strong bank that commands very strong fundamentals with high net worth, high capital adequacy ratio, very comfortable liquidity position and good quality portofolio…earning us the right to be described as trusted, professional, and consistent,” he said.
Mr. Gupta disclosed that the bank currently has a branch network of 22 across the country which it expects to increase to 25 branches by the end of the year.
He said the bank sought to open a new branch in Lusaka in response to the banking needs of the people in Ibex Hill, Woodlands, Kabulonga and surrounding areas such as Kalikiliki.
Meanwhile, Indo Bank Zambia Board Chairperson Orlean Moyo commended government for its support towards the institution.
Ms. Moyo said the Ministry of Finance’s developmental policies have enabled the bank to grow consistently and successfully.
She pledged continued support towards government particularly the Bank of Zambia which she said has maintained a stable banking industry and conducted an effective monetary policy geared at accelerating the attainment of macroeconomic objectives.
She stated that the new branch will target small and medium enterprise and assured that these customers will be provided with quality and affordable banking services.
Indo Zambia Bank was founded in 1984, emerging out of a mutual desire by the Zambian and Indian governments to set up a modern bank in Zambia to garner the savings of the community.
The bank is a joint venture between the government of Zambia and the government of India, represented by three Indian public sector banks, which are the Central Bank of India, Bank of India and Bank of Baroda each contributing 20 per cent share capital with the remaining 40 per cent contributed by the government of Zambia.