In Zambia, PROPARCO is supporting the activity of the country’s leading bank. This contribution is strengthening the local financing capacity and helping improve access to financial services, while consolidating the institution’s balance sheet.
Zanaco is Zambia’s main commercial bank with a total balance sheet in excess of USD 1bn. It is particularly active in the agricultural sector (23%). The bank was privatized in 2009. Rabo Development Bank owns over 45% of the bank (since 2007) and the Government of Zambia 25%.
Proparco’s credit line will support the development of Zanaco’s activity with SMEs and companies with incomes in USD or indexed on the dollar.
This operation will increase the local financing capacity in a country where long-term foreign-currency resources are not well-developed. It will support the development of the local economic base in key sectors for the country’s development. It will also help improve access to financial services via its extensive network of branches. In addition, the financing will strengthen Zanaco’s balance sheet structure and contribute to strengthening Zambia’s banking system.