HomeEntertainmentAAG to grill RBZ, foreign banks over empowerment

AAG to grill RBZ, foreign banks over empowerment

The AAG meeting, under the theme Banking for Broad-based Economic Empowerment and Prosperity, seeks to get clarification from the central bank governor Gideon Gono on the indigenisation of foreign banks.

Banks are caught in the indigenisation debate. Gono is on record saying he supports indigenisation, but foreign banks in the country should not be taken over because the sector is already dominated by indigenous banks. The governor has called on those interested in opening banks to come forward to get new licences.

Gono position is similar to that of the Bankers Association of Zimbabwe (BAZ) which maintains the sector is already in the hands of indigenous players as most of the 26 banks are locally owned.

BAZ president George Guvamatanga is expected to defend this position, while Gono is expected to stand by his views.

However, Gono’s and BAZ’s views are in sharp contrast to those of Minister of indigenisation Saviour Kasukuwere’s call for all foreign banks’ ownership to be localised. 

AAG president Keith Guzha will outline how banks should economically empower its members.

“For AAG it’s not about indigenization per se, it’s about economic empowerment. We want to be furnished with the Indigenisation Act practicalities and implications,” he said.

“For instance, how do our members who want to start their projects get assistance from the banks? Banks should not hide behind collateral and security issues. They should come up with measures that can economically empower us,” Guzha said. — Staff Writer.

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