Manufacturers Happy with Bank Rates

BoZThe Zambia Association of Manufactures (ZAM) is expecting to grow the sector after banks reduced their interest rates.

ZAM president Chance Kabaghe said the reduction in bank interest rates will create changes in the financial sector that will boost the manufacturing industry.

Kabaghe said the move will now help the manufacturing sector to borrow from local banks and grow their businesses.

“We are sure there will be a very positive manufacturing industry. As you know, our major hindrance has been the cost of doing business and one of the key contributing factors has been the high interest rates.

“We have been talking of reducing the interest rates for a long time and unfortunately the banks were not responding. We had meetings with the Ministry of Finance and Central Bank but we are now comforted that the interest rates have been reduced. This means that we can now borrow locally,” Kabaghe said.