ZANACO's growth hits 10percent growth rate

Zambia national commercial bank (ZANACO)’s revenue has a hit a 10percent growth with the bank recording profits in 2011 of about 626billion kwacha from the previous 568billion kwacha in 2010.

The bank which has over 600 000 customers with 59branches across the country and 150 automated tailor machines has had its profit before tax grow by 7percent from 173billion in 2010 to 185billion kwacha in 2011.

And the profit after tax has grown to 7percent with bank recording profit of about 121 billion kwacha in 2011 as compared to 113billion kwacha in 2010.

Meanwhile ZANACO chief executive officer marlin schouten says the decision by government to probe the sale of the bank to RABO bank of Netherlands has had no effect on the bank share prices, withdrawals and deposits.
Mr. schouten says the bank in 2011 surpassed the capital requirement for either local or foreign bank as defined by the bank of Zambia of about 20million kwacha to 100million kwacha by recording a growth of about 114billion kwacha.
Meanwhile Mr. schouten who was speaking at a press briefing in Lusaka today has welcomed the move by the bank of Zambia to introduce the policy rate which has been set at 9percent.
And Mr schouten says the shareholders still have the confidence in the bank and are not likely to pull out now their investment adding that they are awaiting government’s decision over the matter.
Mr. schouten says RABO bank acquired the bank legally and over turning the decision by the previous government would be unfortunate more especially that ZANACO is doing fine currently.

and zanaco board chairperson bruce dick says it will be shocking and surprising if the Zambian government over-turns the sale of the bank legally by the previous government.

Mr dick says RABO bank did everything within the law when buying ZANACO and since then the performance has improved greatly with its revenue growing about 10percent in 2011.
Mr. dick says RABO bank will wait the decision by the current government adding that this will determine the focus and future of the bank.
And on the bank of Zambia’s introduction of its policy rate which has put at 9percent, Mr. dick says there is need to have transparency in the manner the policy will be implemented.
He says Zambia which has good and growing banking sector does not a regulation which will be lacking transparency and not conforming to international regulations because this will take back the massive investment.