Investrust Bank Plc has reassured its customers and the public, that its operations remain robust and intact.
There are fears that a number of banks in Zambia are under stress following tight monetary policies implemented by the Bank of Zambia and the decision by the Central Bank has raise the minimum capital requirement.
The fears have been compounded by the decision to take over possession of Intermarket Banking Corporation by the Bank of Zambia after it became involvement.
Many customers are now making panic withdrawals and closing their accounts as fears of contagion have spread across the banking sector.
Giving a business update on recent developments in the banking sector and how that relates to the Bank, Investrust Bank Plc said the action taken by the Bank of Zambia is exceptional and specific to Intermarket Banking Corporation Limited.
“The Bank of Zambia took possession of Intermarket Banking Corporation Limited pursuant to section 82 of the Banking & Financial Services Act (BFSA), Chapter 387 of the Laws of Zambia and a statement to that effect was issued by the Central Bank. In addition, the Bankers Association of Zambia has given its position in relation to this matter on behalf of the banking industry.”
“In view of the aforementioned, we would like to take this opportunity to reassure our esteemed customers and the public, that our operations remain robust and intact,” a statement from Investrust Bank Plc read.
It said its twenty-seven branches and three agencies across the country will continue to provide products and services without interruption.
“Further, note that Investrust Bank Plc is the only wholly Zambian owned bank listed on the Lusaka Securities Exchange (LuSE) with a shareholding totalling 600 as at 30th September 2016. Our shareholders include pension funds, private and public corporations and individuals. ZCCM IH is currently the lead shareholder with 48% shares,” it added.
The bank also announced that its shareholders’ dedication to the institution is evidenced by the K40 million raised this year through a Rights Issue.
“The Bank is currently at an advanced stage to raise a further K100 million of equity anticipated to close before year-end. Management and Staff remain committed to serving customers, in the immediate and long term.”