The Bankers Association of Malawi (BAM) has welcomed government move to introduce zero coupon bonds to contractors and suppliers who are owed by the government. Minister of Finance Goodall Gondwe announced in parliament last week that the government will issue zero coupon bonds to contractors and suppliers who are owed huge sums by the government particularly businesses, to discount their bonds with the commercial banks in order to immediately access money and improve the liquidity of their businesses.
Bankers Association of Malawi (BAM) has said commercial banks will deal with money laundering in the country by using the Money Laundering Act which was enacted a few years ago.
BAM said it will continue asking for customers’ personal details which include physical and postal addresses, utility bills, customer registration certificate, that’s for business entities, as proof of evidence.
“Customers will be requested to draw a map to their physical location, telephone/cellphone numbers,” said BAM in a statement that.
Innovations for Poverty Action (IPA) and Bankers Association of Malawi (BAM) last week organised a two-day conference in Lilongwe to appreciate efforts government is making in the financial inclusion agenda and find ways of better banking.
IPA country director Dr Thomas Chataghalala Munthali, speaking at the official opening of the conference, said their global financial inclusion initiative works to identify innovative products and programmes that enhance poor household access to and usage of improved financial products, services and tools.
He said the initiative is focused on three key areas of research in financial inclusion, namely savings, payments and financial capability.