Harare, Zimbabwe(News of the South) -The banking sector has witnessed a massive increase in the opening of low cost accounts as the central bank’s National Financial Inclusion Strategy continues to gain momentum.
The NFIS seeks to capture low income groups through availing suitable financial packages and the RBZ has been spearheading it to facilitate structured implementation of financial inclusion initiative.
Currently only 40% of the Zimbabwean population is banked.
According to Reserve Bank of Zimbabwe statistics in the period from 31 March 2016 to September 30 2016 the country’s low cost accounts increased from 229 264 to 412 383.
Speaking at an Insurance and Pensions Commission function in Harare RBZ Head of Oversight and Risk Management Douglas Muranda said the NFIS was slowly bearing fruits and the central bank would continue pushing for more improvements through monitoring and regulation.
Muranda said the central bank had managed to create over 30 000 access points under agent banking so as to avail services to people.
“To date we have more than 30 000 access points established under the agent banking model to offer financial services, and as a regulator we issued Agency Banking Prudential Standards in September which provides guidance to the operational modalities for agent banking”, he said.
In collaboration with the government the RBZ is also reforming and strengthening Credit Information in order to reduce the level of information asymmetry.
“This unlocks the potential for thousands of business to bank, invest and grow”.
“Significant progress has been recorded with banks submitting credit test data with effect from 29 August”, he said.
Under the NFIS the central bank has created working groups that are focusing on specific sectors.
To date 6 of the 8 working groups have already started meeting with some initiatives formed and by early 2017 all the groups will be fully functional.
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