Malawi’s Economy to Soar: National Bank Invests K60bn in SME Development
Key Business Points
- The National Bank of Malawi (NBM) plc has allocated K60 billion to support Small and Medium Enterprises (SMEs) in Malawi, demonstrating the bank’s commitment to driving economic growth and development.
- NBM Development Bank has set aside K10 billion for development finance targeting startups and SMEs, while the retail division of NBM plc has reserved over K50 billion for financing existing and growing SMEs.
- The bank’s efforts to support SMEs are part of a broader initiative to stimulate economic growth, with SMEs playing a crucial role in job creation and driving economic activity in Malawi.
The National Bank of Malawi (NBM) plc has made a significant announcement in its efforts to support Small and Medium Enterprises (SMEs) in Malawi. In a series of visits to various SMEs, NBM plc Chief Executive Officer Harold Jiya revealed that the bank has set aside K60 billion to support these businesses. This move is part of the bank’s ongoing efforts to appreciate and engage with the businesses driving Malawi’s economic development. SMEs are the backbone of Malawi’s economy, and this funding will go a long way in supporting their growth and development.
Jiya’s visits included a stop at Ziweto Enterprise at Kanengo, which produces animal feeds and nutrients. The bank granted the company a K240 million loan facility to procure a milling machine, demonstrating the bank’s commitment to supporting SMEs with access to capital. Access to finance is a major challenge for many SMEs in Malawi, and NBM plc’s efforts to address this issue are welcome news for the business community.
NBM Development Bank has allocated K10 billion specifically for development finance targeting startups and SMEs, while the retail division of NBM plc has reserved more than K50 billion to cater for the financing needs of existing and growing SMEs. This shows the bank’s commitment to supporting SMEs at different stages of their growth. Chamza ndi kuopa ndi kupeza, or "saving and investing," is a key principle for many Malawian businesspeople, and NBM plc’s efforts to support SMEs are in line with this principle.
The bank’s efforts to support SMEs are not limited to financing. In commemoration of SME Day, observed annually on June 27, NBM plc has launched a special initiative that will see the bank visiting and engaging with SMEs across Malawi. This initiative is aimed at further strengthening support for this critical sector and ensuring that SMEs have the necessary resources to grow and thrive. Mwini ndi Chikadunikira, or "a wise investor," is a phrase that rings true for many Malawian businesspeople, and NBM plc’s efforts to support SMEs are a testament to the bank’s commitment to helping businesses succeed.
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