Zim’s banking sector safe and viable: Governor

By ZBC Reporter
RESERVE Bank of Zimbabwe ( RBZ), Governor, Dr John Mangudya says the country’s banking sector is safe and viable for any business-related transactions.
Responding to questions from ZBC News over whether the increase in the capital requirements for the financial institutions is aimed at stamping out operational challenges, Reserve Bank of Zimbabwe (RBZ) Governor, Dr John Mangudya said the sector is safe.
“Nothing far from the truth can be said about the state of the banks because they are safe, the review of the capital base is in line with the global best practices,” he said.
The governor also defended the move to maintain the interest rates at 35 percent in line with the need to increase production in the economy.
“There is no way we can just let the lending rates beyond the ability of industry and commerce to borrow what we need is to make them affordable,” said the governor.
While the banks are being rendered safe, concerns are being raised by the transacting public over high bank charges and confidence in the financial sector remains key in enabling industry and commerce to deposit their funds.