The Private Sector Development Association (PSDA) has called on the Bank of Zambia (BoZ) to restrict regulations on the banking sector to reduce speculations on the money market.
Association Chairperson Yusuf Dodia has hinted that loose regulation in the Banking sector has lead to high inflation and interest rates on the money market, adding that this has also contributed to the depreciation of the local currency.
Mr. Dodia explained that strict regulations are the only solution of protecting the local currency from further deprecation.
“The Bank of Zambia has to come up with very strict regulations on the banking sector if our local kwacha has to be protected from further depreciation,” he said.
Mr. Dodia has also urged Banks in the country to offer better products to attract more customers in the private sector.
He explained that Banks can play a role towards private sector development if only they provide better products and services for their clients.
Meanwhile Mr. Dodia has charged that the continued deprecation of the kwacha has negative effects on the cost of doing business in the country.
He said the recent depreciation of the local currency is also likely to affect the economic growth of the country as many businesses are closing down.
He explained that due to the drop of the kwacha importing has become expensive for business people as they are now paying twice for goods ordered in other currencies.
The PSDA Chairperson has however, challenged business people in the country to diversify their way of doing business if they are to survive in this time of the global economic recession.
He further added that there is need for people in the private sector to continue contributing to economic development of the country by sourcing for alternative markets for the products and services.
ZANIS/MM/AM/ENDS
Just say credit crunch is in Zedi too. It is a global disease.
Yes Banks have a very important role to play!! Even here there is a lot of caution (like the word) that should be excercised!! This global financial crisis can also be seen as a chance for the Bank Sector to re-think. They should also diversify (hate the word) there services.
Mr Dodia, dont just say Banks should offer better products, specify those products for the public to have a better understanding of what you are talking about.
Cutey/wifey maybe the Banks should take over the western Union dilemma so that there is no shortage of Kwacha when you send money home. They should also start paying the recipients in Forex. I remember you had a very annoying experience a few weeks ago when you sent some cash to Zed. Your Sis I think was told to come another day since they had run out of cash. Just imagine!!
It was actually last week. My sister only managed to get hard cash from Ndola instead of Luanshya after 3 days of ‘waiting and checking’ , utter nonsense. Actually if they legalise the issuing of the same Dollar sent and not equivalent, it would bring in some revenue. But one has to understand the logistics. I dont understand what the problem is with this transaction, but when we send that money its usually for urgent needs , but alas ,one has to lament with the resources at hand beyond reach for no fault of their own. Actually Western Union and the Banks should look into this matter as I believe Iam not the only complainant.
There were times when Banks used to be competent, reliable and bonafide institutions. These days you can’t even trust the cashiers, much less the billfold itself.
True nine Chale, I was once given these USD which are being phased out by a Bank ( I had no idea that all those USD before year 2000 can only be used for purchasing and not exchange). Anyway that is history now. Even ATM’S are charging a spot fee for balance enquiry , especially if you are using another Banks ATM!!!
By the way I dont do Internet banking…. not meant for me…