BOZ Provides K5-billion in SME Growth Initiative

The Bank of Zambia (BoZ) Board has approved a K5 billion loan facility under the Small Business Growth Initiative (SBGI) to enhance access to finance for Small and Medium Enterprises (SMEs) across the country.

Bank of Zambia Governor Denny Kalyalya made the announcement during a panel discussion at the Zambia Impact Investment Summit (ZIIS), which was held at Ciela Resort in Lusaka on Wednesday.

“The SBGI loan facility is designed to provide affordable financing to SMEs, and its interest rates will be determined by the Monetary Policy Rate (MPR). That is why the Bank is working tirelessly to bring the MPR down to more moderate levels,” Kalyalya explained.

SMEs are among the most affected sectors by the energy crisis caused by the drought.

Alwaleed Alatabani, World Bank Practice Manager, also spoke at the event, highlighting the bank’s aim to assist Zambia in leveraging impact investment and its advantages. 

“Impact investing provides opportunities; in recent years the World Bank has supported Zambia with some crucial reforms designed to attract more private sector activity in the country” continued Mr Alatabani

The two-day summit is being hosted under the theme of leveraging impact investment for Zambia's sustainable future.