GET CHEAPER FUNDING FROM CAPITAL MARKET, ZAMBIANS URGED

By BUUMBA CHIMBULUGOVERNMENT has prodded citizens to utilise the stock markets for cheaper capital funding, as it develops a bill which will allow the use of electronic signature during online transactions.The Ministry of Finance is therefore working with the Lusaka Securities Exchange to introduce Retail Bonds on the capital markets.This will enable citizens to buy a retail bond with as low as K500 once an initiative called Retail Bond which is currently being developed is introduced.Retail Bonds are bonds specifically issued for retail investors.Stock markets are a cheaper way to raise capital as they do not attract any interest, says Ministry of Finance Permanent Secretary for Economic Management and Finance, Mukuli Chikuba.Mr Chikuba explained that capital markets offered a number of benefits such as raising cheaper funds and encouraged savings.The Permanent Secretary however expressed concern that the capital markets had been underutilised and therefore called for more sensitisation.He said this when making a presentation at […]