News / National
ZANU PF Youth leader condemns Youth bank
09 Jan 2019 at 08:07hrs | Views
ZANU PF Secretary for Youth Affairs Lewis Matutu has condemned Empower Bank saying the way that it is being run is not good for youths.
"Empower Bank is an empowerment tool for young people but the people running the bank are of a different opinion, stringent conditions on borrowing and centralization of the bank is not good for the youths." Matutu said.
However social commentator Fortune Mlalazi said if the bank was following the correct system for lending then it must be allowed to do its work.
"I have heard what Matutu is saying, but in reality let us not forget that this is not the first time we are having a facility that gives young people loans." Said Mlalazi. " We once had the Cabs facility under the Ukondla/Kurera initiative of Old Mutul. Young people borrowed loans but never paid for them. Some drank all the money, some paid lobola etc. So it is important that to avoid the mistakes of the 1st Republic the bank must safeguard itself through collateral."
Empower Bank was an initiative of exiled Minister Patrick Zhuwawo in 2017.
"The Empower Bank is intervening with tailor-made financial services that engage and provide for the most remote of persons and business within our economy." Zhuwawo told the media at the launch of the Bank.
"Its clients will be the unbanked and underbanked innovative, enterprising and resilient youth and indigenous Zimbabwean entrepreneurs.The bank shall ensure the financial inclusion of youth and indigenous Zimbabweans.
"Initially the government is the shareholder, having contributed $2,5 million. But the government should have not more than 10% shares."
"Empower Bank is an empowerment tool for young people but the people running the bank are of a different opinion, stringent conditions on borrowing and centralization of the bank is not good for the youths." Matutu said.
However social commentator Fortune Mlalazi said if the bank was following the correct system for lending then it must be allowed to do its work.
"I have heard what Matutu is saying, but in reality let us not forget that this is not the first time we are having a facility that gives young people loans." Said Mlalazi. " We once had the Cabs facility under the Ukondla/Kurera initiative of Old Mutul. Young people borrowed loans but never paid for them. Some drank all the money, some paid lobola etc. So it is important that to avoid the mistakes of the 1st Republic the bank must safeguard itself through collateral."
"The Empower Bank is intervening with tailor-made financial services that engage and provide for the most remote of persons and business within our economy." Zhuwawo told the media at the launch of the Bank.
"Its clients will be the unbanked and underbanked innovative, enterprising and resilient youth and indigenous Zimbabwean entrepreneurs.The bank shall ensure the financial inclusion of youth and indigenous Zimbabweans.
"Initially the government is the shareholder, having contributed $2,5 million. But the government should have not more than 10% shares."
Source - Byo24News
