The scheme is meant to enhance access for micro-small and medium scale enterprises’ to affordable financing by mitigating risks that worry traditional financial institutions.
Speaking during the launch last night, Minister of Finance Margaret Mwanakatwe said high interest rates have been hampering the growth of small businesses.
She said government will continue engaging banks to make the environment conducive for medium and small-scale businesses which are key economic players.
Mrs. Mwanakatwe said the scheme will boost and harness the growth of the country’s entrepreneurship adding that government is committed to the sustainability of the scheme.
And Zambia Credit Guarantee Scheme Limited Board Chairperson Chisha Mwanakatwe said entrepreneurs are behind the many economic growth stories world over despite the harsh conditions they face as they seek access to finance.
He said only a paltry 15 per cent borrowing goes to entrepreneurs adding that the scheme will be accountable and adaptable.
And International Trade Centre Executive Director Arancha Gonzalez said the launch of the scheme is likely to be an economic game-changer.