President Sata makes changes at Ministry of Commerce Trade and Industry.
President Michael Sata has moved Hon Minister Robert Sichinga from the Ministry of Commerce Trade and Industry to the Ministry of Agriculture with immediate effect. Minister of Agriculture Hon Chenda will be the new Minister of Commerce. On his transition out of the Ministry of Commerce, Hon Sichinga made the following changes:
Announced new measures for improving loan repayment for CEEC funds. Announced changes to the board of Zambia Development Agency which will be headed by Songowayo Zgyambo. Appointment of a new CEO for the Citizen Economic Empowerment Commission. New board members include Mercy Siame and Professor Herticy Ng'ambi the vice chancellor of Mulungushi University. Announcement of a new board of Directors for the Citizens Economic Empowerment Commission. Announcement that the Competition and Consumer Protect Commission which will be headed by Kelvin Bwalya.. Announcement that the Zambia Bureau of Standards will be headed by Angoni Ngoma. The Zambia Association of Manufacturers (ZAM) and the Economic Association of Zambia (EAZ) have welcomed the transfer of Minister of Agriculture and Livestock Emmanuel Chenda to the Ministry of Commerce, Trade and Industry in the same capacity. The Zambia National Farmers Union (ZNFU) has welcomed the appointment of Robert Sichinga as Minister of Agriculture and Livestock. ZNFU president, Jarvis Zimba said Mr Sichinga has come at a critical time when the agricultural sector is facing numerous challenges that need serious attention. Source ZambiaUSAChamber editor
Zambian lenders are potential acquisition targets for foreign banks seeking to expand in Africa’s largest copper producing nation, central bank Governor Michael Gondwe said.
“Some of them are from our neighboring countries,” Gondwe said in an interview yesterday in Lusaka, the capital. “There is still interest for people from outside to invest in the banking industry of this country.”
Zambia has 18 registered lenders, including the local units of South Africa’s Standard Bank Group Ltd. (SBK), and London-based Standard Chartered Plc (STAN), according to the central bank’s website. In 2011, the southern African nation reversed the sale of Finance Bank Zambia Ltd. to Johannesburg-based FirstRand Ltd. (FSR)
Gondwe declined to identify the banks which are potential takeover targets. Shares in Zambia National Commercial Bank Plc (ZANACO), or Zanaco, have gained 22 percent on the Lusaka Stock Exchange this month. The bank gained 4.6 percent to close at 0.23 kwacha a share, the highest since it listed in 2008. Rabobank International, based in Amsterdam, holds a 46 percent stake in the lender, while the government owns 25 percent.
Potential buyers have expressed interest in local banks this year, Gondwe said. Any buyers of a local bank would have to comply with capitalization rules, he said. Foreign-owned banks have until the end of this year to raise their capital to 520 million kwacha ($98 million), while local banks must hold 104 million kwacha.
Local lenders that can’t satisfy those rules may look for partners or buyers, Mataka Nkhoma, general manager at African Alliance Securities Zambia, said by phone from Lusaka. “This minimum capitalization has really changed the terrain,” he said. “It’s a bit of a shake-up.”
Smaller banks such as Investrust Ltd. and Cavmont Capital Bank Ltd. may be likely targets, Nkhoma said. First Alliance Bank Zambia Ltd.’s owners have also said they are “comfortable” with exiting or finding partners, he said.
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LUSAKA (Reuters) - Zambia's Konkola Copper Mines (KCM), owned by London-listed Vedanta Resources Plc, plans to invest $200 million in an abandoned open pit mine, which last produced copper in the 1970s, its chief executive said on Thursday. KCM Chief executive Jayekumar Janakaraj said on Thursday that pre-feasibility studies had been completed and the company was just awaiting environmental approvals for the project.
The production capacity of the mine had not yet been established but indications were that there was a huge deposit of copper, he said."The biggest investment decision will be made in the next three months after (environmental) approval. Mimbula investment will be close to $200 million," Janakaraj said in an interview.
Since 2011, KCM had been carrying out activities at Mimbula including pit de-watering and de-silting as mining had not taken place there for a long time, he said."We will start that pit in either the quarter starting November-December or next year. Actual mining of ore should start maybe in early April of next year," he said.The Mimbula open pit mine was expected to create 500-600 jobs in 2014, he said.
KCM started trial mining at a separate project under its Nchanga underground operation where it had invested in modern mining methods to access copper ore from an upper ore body to extend mine life by more than 25 years from 2013, Janakaraj said."We expect to get 6,000-7,000 tonnes of copper in the year 2013/2014 running from April to March," he said.
Since its acquisition of KCM, Vedanta has invested $2.6 billion in various projects, including the flagship Konkola Deep Mining Project (KDMP) where it has accessed a rich ore body. KCM was also exploring for coal in southern Zambia and recently obtained a licence to conduct copper exploration in north-western Zambia, he said. KCM planned to import up to 30,000 tonnes of copper concentrate from the Democratic Republic of Congo in the next few years to enable its 311,000 tonnes per annum smelter to run at full capacity, Janakaraj said. Yahoo news
The Bank of Zambia has revealed that preliminary figures show that the Zambian economy grew by 7.3 percent last year, up from 6.8 percent recorded in 2011. Central Bank Governor Michael Gondwe said the Zambian economy has continued to post strong GDP growth rates driven mostly by strong performances in the construction, agriculture, manufacturing and the transport sector. Dr. Gondwe said construction sector was the best performer in 2012 growing by 15.3 percent from 8.9 percent recorded in 2011. He however said mining and quarrying, the country’s economic mainstay is estimated to have declined by 13.2 percent mainly due to a fall in metal mining. Dr. Gondwe was speaking in Lusaka last evening during the Bank of Zambia quarterly media briefing. And on the economic outlook for the first half of 2013, Dr. Gondwe said Zambia’s economic prospects remains favorable with a projected GDP growth of 7 percent.“We expect good performances in the agricultural, manufacturing and conservation sectors. In this regard, GDP is expected to be in line with the projected annual GDP growth rate of 7 percent,” Dr. Gondwe said.“However, there are challenges to this outlook which include the fiscal cliff in the US yet to be fully resolved, spending cuts by some of the developed economies and a weak consumer and business confidence in most developed economies. Further a fall in the price of copper may reduce export earnings.” Dr. Gondwe observed that although the average commercial bank interest rates have reduced, they still remain high beyond the reach of most SME’s. He urged the commercial banks to lower their interest rates further in line with the Bank of Zambia Policy Rate. Lusakatims.com
CHINA has pledged more investments into Zambia, especially in telecommunications, infrastructure and mining sectors. And Standard Chartered Bank managing director Mizinga Melu said Africa-China Trade has risen tenfold in less than a decade. Chinese Ambassador to Zambia Zhou Yuxiao said China was keen to continue participating in the economic development of Zambia, especially in the areas of infrastructure development, telecommunications and mining.“China will continue increasing investment in Zambia because of the investment climate prevailing in the country,” Mr Zhou said. Speaking at the Chinese New Year dinner in Lusaka hosted by Standard Chartered Bank for Chinese clients on Tuesday evening, Mr Zhou said the trade between China and Zambia has continued to grow through the Africaâ€“China Trade Corridor. He said the Africa China Trade Corridor has reached US$200 billion but that the figure should increase considering that trade with a single country, South Korea was over $250 billion.
ZAMBIA has the best investment environment in Africa in addition to the tourism potential that is readily available for American investors, US Ambassador to Zambia Mark Storella has said. Mr Storella said his government would lobby American entrepreneurs to invest in Zambia as it was an ideal investment destination.The US envoy was speaking to journalists in Livingstone on Tuesday during his tour of March Zambia offices. "Zambia has got cultural riches which no other country has. We shall encourage the US business community to invest in the tourism sector," he said. He said the country had various tourism sites such as the Victoria Falls which was a unique feature of an attraction.There was also a lot to do in Livingstone in terms of tourism. Mr Storella said the 73 tribes of Zambia were also an important part of cultural tourism that could be enhanced. His country expected a lot of improvements in the tourism sector and that most of the assistance that his country would offer to Zambia in preparation for the August 2013 United Nations World Tourism Organization (UNWTO) General Assembly would be through training. Mr Storella said his country recently helped the Ministry of Tourism and Arts travel to United States to learn how to manage big events. He called on the Government to upgrade more infrastructure in Livingstone. Times of Zambia
For Immediate Release June 12th, 2012
A delegation from Zambia led by the country's Minister of Commerce Trade and Industry Honorable Robert Sichinga MP, traveled to Los Angeles on a trip designed to market Zambia and it's opportunities, and create new partnerships. The delegation is in the United States to attend a series of meetings around the Africa Growth Opportunity Act (AGOA)......
Washington — Dustin McBride and Vaughn Spethmann, two extraordinary American entrepreneurs, have been working since 2007 to bring much needed jobs, transportation and opportunity to Zambia.
Washington — Zambia is an increasingly important trade and investment partner for the United States and countries around the world thanks to its vast resources, political stability and fast-growing economy.
By Gift Chanda
Mon 11 June 2012, 13:22 CAT
ZAMBIA is seeking more US investment ahead of this year's African Growth and Opportunity Act Forum.
The United States will from June 14 to June 15 host the 2012 AGOA Forum which brings together several government officials, private sector and other stakeholders from the US and Africa to discuss trade and investment opportunities.