EmpowerBank’s YBSP programme a game changer

BEING the only youth-oriented local bank, EmpowerBank is a registered deposit-taking micro bank in terms of the Microfinance Act [Chapter 24:29] and is regulated by the Reserve Bank of Zimbabwe. The organisation was formed with the purpose of providing social and financial solutions to the financially excluded population with greater focus on the youth.

The micro-bank offers loans to all kinds of youth-led businesses and agricultural projects, asset finance, guarantees and savings accounts cutting across urban, peri-urban and rural Zimbabwe. The bank strives to empower marginalised communities to come out and live in dignity and for small businesses to upscale through wealth creation to generate employment opportunities.

Over the past three years in operation, the bank has uplifted several local youth between 18-35 years of age.

The bank has to date disbursed loans to more than 3 000 beneficiaries and has also given financial literacy training to more than 65 000 young people. EmpowerBank continues with its mission to ensure financial inclusion for all young people in Zimbabwe.

Most recently they unveiled a gamechanging product called youth business starter pack (YBSP) programme which they will use as an instrument to further empower young people. Below is what you need to know about this new product.

What is YBSP?

A business financing loan product for turnkey business prototypes for youth in various economic sectors. YBSP includes packages for poultry, tobacco, horticulture, mining equipment etc.

Tenor

Business starter pack loans shall be granted for periods of up to 18 months depending on the requirement of the project or business.

Interest rate:

The interest rate at launch is 44% per annum

The loan product will be priced at 5% lower than the mainstream commercial banks’ average interest rate.

Collateral

For small loans: Collateral free. Loan amounts shall be reviewed from time to time.

For CAPEX/equipment loans: The bank to ring fence the equipment as security with applicants signing personal guarantees.

For working capital loans: Pledge of assets including household goods plus guarantees.

Security cover shall be at least one multiplied by the value of the loan.

EmpowerBank continues to call upon all youth to engage its bank, it is their hope that the work they are doing will help improve the lives of young people in Zimbabwe.

To apply for the YBSP, visit any of their branches and agents nationwide. For more information visit their website on www.empowerbank.co.zw, send an email to info@empowerbank.co.zw or call them on +263 8677 008035