Bank of Zambia Pledges K5 Billion to Boost Small Business Finance

The Bank of Zambia has committed five billion kwacha to a new initiative designed to widen access to affordable finance for small and medium-sized enterprises.

Speaking at the official opening of the Africa Impact Summit in Chongwe District, Bank of Zambia Governor Dr Denny Kalyalya, in remarks delivered on his behalf by Deputy Governor Francis Chipimo, said the Small Business Growth Initiative had been developed to address the persistent financing difficulties facing Micro, Small and Medium Enterprises.

Dr Kalyalya said the initiative, established in partnership with the National Advisory Board for Impact Investing Zambia, would encourage financial service providers to extend affordable financing to MSMEs through credit guarantees, technical assistance, and a dedicated learning platform. He added that implementation had reached an advanced stage, with the launch expected by September or early October this year.

At the same event, Special Assistant to the President for Finance and Investment Jito Kayumba said Zambia was on course to double the size of its economy, supported by ambitious targets across agriculture, mining, and energy. He outlined the Government's goals to generate 10 gigawatts of electricity, produce 10 million metric tonnes of maize, three million tonnes of copper, three million tonnes of soya beans, and one million tonnes of wheat, and to earn one billion dollars in beef exports.

United Nations Development Programme Resident Coordinator James Wakiaga urged African countries to scale up investment in agriculture, food systems, climate resilience, and value-addition industries in order to strengthen food security and raise economic productivity.