18 companies benefit from K89m DBZ loans

Wed, 07 Feb 2018 11:04:21 +0000

By MAILESI BANDA

 THE Development Bank of Zambia (DBZ) disbursed loans worth over K89 million to 18 companies, including large corporations and small and medium enterprises in 2017.

Stakeholder relations officer, Kaputo Liyani says of the money disbursed, US$5,596,282 was in dollars while the K33,599,612 was in the local currency.

Mr. Liyani said the amounts were disbursed to large corporations and SMEs that had presented viable business proposals, which would contribute to poverty reduction, creation of stable employment, and the provision of different economic opportunities in Zambia. He noted that the total number of firms benefiting from the funds is 18.

“The funds disbursed are supposed to contribute to poverty reduction, creation of stable employment, and the provision of different economic opportunities in Zambia.”

“We have therefore managed to fund 18 firms with the distribution per sector being as follows: 39 percent for agro-processing, 25 percent for manufacturing, 19 percent for tourism, eight per cent for agriculture, and seven per cent for other sectors,” he said.

He said the bank recently signed a financing agreement with the Saudi Fund for Development amounting to US $5 million.

Mr. Liyani explained that the agreement would be a five-year revolving line of financing to be accessed by firms with viable business proposals that intends to import goods or services from the Kingdom of Saudi Arabia.

He said among the goods and services to be imported include raw industrial materials, engineering spare parts, and agricultural machinery and inputs.

“We have recently signed a US$5 agreement with Saudi Arabia and the disbursement and the repayment periods would be determined on a case by case basis, with the general disbursement period being 12 months, and the repayment term for any transaction debt not exceeding three years depending on the nature of the goods,” he said.