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New investors for FNBS

Paul Nyakazeya



FIRST National Building Society (FNBS) has submitted papers to the Reserve Bank of Zimbabwe (RBZ) informing the bank of new investors willing to inject f

resh capital into the institution, sources told businessdigest.


However, the names of the prospective investors could not be immediately established at the time of going to press.


FNBS is now awaiting approvals from the central bank before the investors can inject fresh capital into the building society, which has until the end of this month to open shop or be forced to close.


RBZ governor Gideon Gono in January gave FNBS shareholders six months to look for new shareholders to inject fresh capital into the building society to curtail liquidation.


This resulted in the master of High Court postponing indefinitely the liquidation of the building society to give time to major shareholders to look for investors.


Officials at the building society this week said new investors were already on board and had presented the necessary documentation to the Reserve Bank.


“What is a left is a response from the Reserve Bank. It is premature to tell you who the investors are but we have the capacity to raise the required capital by the set deadline,” an official said.


The Reserve Bank requires all building societies to recapitalise to the tune of $750 billion by September this year.


First National Building Society was placed under liquidation on February 7, 2003 after the Reserve Bank declared that the building society was not in a sound financial position.

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