Western Chamber of Commerce and Industry (WCCI) has called on its members and the general public in the province to invest in the government securities.
WCCI Secretary, Samuel Litebele says there is a need for people in the province to participate in the buying and selling of government securities to, among others, avert the challenges of accessing affordable capital.
Mr Litebele said this in an interview with ZANIS in Mongu after an investing in government securities sensitization meeting that was organised by WCCI and the Bank of Zambia (BoZ).
“We want to encourage our members to participate in the buying and selling of securities because as we know one of the challenges we are facing as a province is access to affordable capital.
“This investment is good as the facilitators have guided that it is risk free or has minimal risks especially when you compare with real estates, moving assets like vehicles or houses that are a bit difficult to manage,” Mr Litebele said.
He said that government securities are good securities as they can be used as collateral if one wants to get a loan from somewhere by using part of the securities if not everything.
Mr Litebele said that if someone was able to invest in government securities, such people would be assured of getting returns as agreed with the central bank through short- term debt instruments as treasury bills or long-term debt instruments as government bonds.
Meanwhile, BoZ Assistant Manager-Government Securities, Chikatu Chiputa and BoZ Operations Assistant-Government Securities Dealings, Moffat Banda assured that government securities have benefits and are constitutionally protected.
The duo added that the securities were protected from external threats as the central bank was dealing with its own kwacha and not a foreign currency.
The reason loans are costly is because of government’s increased desire to borrow under Musokotwane. GRZ mops up all monies in the banks and sometimes even borrows its own unutilized money. Treasury bonds are now under subscribed because the higher cost of living has eroded people’s earnings. People aren’t saving, how do you expect them to invest?
INVESTMENT NEEDS CONFIDENCE
THERE IS NO CONFIDENCE AT THIS TIME
Lungu an his PF poisoned Zambian’s appetite for investments with their awful steering of the country’s economy into the ditch .
Its not only Lungu, but the economists who failed to plan the economy, Engineers who could not think beyond hydro power plants, Lawyers who could not interpret the Constitution properly, Doctors who had no answer to covid or influenza, Private Sector for not creating enough jobs….only HH sees this but he needs support to fix the country
Interest rates are too low to invest. By the time you get your money back with the little interest it has no value as inflation has taken over.