FDH holdings Limited bought the shares that were owned by South African investors after the local authorities disqualified them from running a commercial bank.
Speaking in an interview with MIJ FM, FDH bank’s chairperson Thomson Mpinganjira said the shareholding issue was finalized last year and it will not affect the bank’s operations.
Mpinganjira however said the development will mean the bank is now owned by locals which will have a positive impact to the development of the country.
Mean while Mpinganjira disclosed the share holders’ injection of 4.8 million USD -about 10 billion kwacha to FDH bank in form of capital.
Shareholders invested such amount in compliance to the reserve bank’s Basel 2 standards- principles outlined to make commercial banks more secure by having in deposit, extra funds to cushion its activities in time of crisis.
“The investment follows this animal called Basel 2 which has seen all commercial banks wanting in terms of capital requirements and we are delighted to have been complied.
“Almost all commercial banks have been working to comply with this requirement and as FDH Bank, we weren’t late.” said Mpinganjira.
Mpinganjira, a successful business man, however described this requirement as not a burden to banks, saying the funds are meant for risk management.