BUILDING SOCIETY DECLAIRES K8M DEVIDEND

GOVERNMENT has received K8 million dividend from the Zambia National Building Society (ZNBS), with a commitment to ensure that businesses in the country thrive.

Finance Minister, Situmbeko Musokotwane, commended ZNBS for declaring a dividend for six consecutive years while urging other businesses, particularly state owned enterprises to emulate the society.

Government, he said, would put in place measures to ensure ZNBS continued to operate and yield positive results.

"We wish to encourage the board and management of ZNBS to continue on this trajectory that Zambians continue to have access to home financing at an even more affordable rate," Dr Musokotwane said.

He also reiterated Government's commitment to support businesses in the country.

Dr Musokotwane explained that Government would support both local and foreign business by improving the economic environment.

"We will work to stabilise the environment for businesses to survive, make profits and create jobs," he said.

Earlier, ZNBS Board Chair, David Nama, said the society had over the years been making mortgages more affordable.

Dr Nama said ZNBS had gradually extended the tenor from seven years, 10 years, 15 years, 20 years and now at 25 years.

"This has seen an increase in citizens coming through to access mortgage financing at affordable monthly repayments," he said.

He said ZNBS had been implemented a new Core Banking System to improve customer experience and convenience through alternative service delivery channels such as mobile and internet banking.

And ZNBS Managing Director, Mildred Mutesa, said the total assets of the Society increased to K1.74 billion as at March 31, 2021 from K974 million in 2019.

Ms Mutesa said this was supported by strong growth in deposit portfolio that increased from K374 million to K663 million a growth of 77 per cent.

She said on the back of this string deposit performance the mortgage portfolio had risen to K265 million from K193 million while unsecured portfolio closed at K523 million.

She said the net income after impairment charges improved by 80 per cent owning to improved credit management of loan assets.

Ms Mutesa said the Society had K40.2 million in digital infrastructure to support the digital agenda for over five years.