ECONOMIST NOEL NKHOMA WRITES…
Yebo, let me also lend a voice on the issues surrounding the ZNBS “scandal” as alleged by our learned Amb EM. I note that he has since deleted his write-up.
Firstly, ZNBS is a creation of Parliament under the Society’s Act. After the ammendment of the Banking and Financial Services Act (l think around 2009), the Regulatory supervision of the ZNBS shifted to the Bank of Zambia.
Secondly, the coming in of the Public Finance Management Act (PFMA) required that any disposal or acquisition of an asset must be approved by the Hon Minister of Finance and National Planning. This function is often delegated to the Secretary to the Treasury, and in this case, the ST did grant approval.
The Sale of the Society’s House to NAPSA was done during the PF administration based on a sound Financial decision, which we refer to as “equity release” which was intended to boost the regulatory capital of ZNBS. You will recall that for many years, the Society House was a non-performing asset until the deal to seek a loan from NAPSA to rehabilitate it.
Fact – check, my brother Miles is wrong to suggest that ZNBS has been illiquiud for one simple reason; it has consistently posted profits for the past 10 years and declared dividends during the same period.
The decision to acquire the new building is a plus to ZNBS for the simple reason that it positively impacts its Tier II Capital, which in turn strengthens its balance sheet.
Lastly, let us not create an imaginary scandal where none of the ingredients for such exist.
Zikomo!
One honest person.
It’s more of a matter of not liking and not trusting the government under whose watch these transactions are being consummated and nothing else. In other words, it’s a matter of politics.
And exactly the words of the Lautier man who they tried to malign when he pointed the truth in the Zambeef saga. The truth hurts and they are making every attempt to slander.
Noel noel no wonder u made dbz to collapse coz you an usefull idiot ,beside is betternow your bank is gone you have remained with betternow Airtel money coz you dullness and toomuch bottiliking.If pf sold why didn’t you reverse it since it was done in bad faith.You promised Zambians that bally will fix it
Who says the sale was done in bad faith? It was a good financial decision by PF government to boost the regulatory capital of ZNBS. That’s why the UPND could not reverse this decision! Some bloggers here lack basic knowledge in Finance and they are better off quite than embrassing themselves.
Ba Nkhoma, these arguments you always advance will land you in trouble after 2026 would it grant change of leadership