Tag Archives: Bankers Association of Malawi (BAM)

Business

Standard aids MK10m towards banker’s lakeshore conference

MaraviPost

BLANTYRE-(MaraviPost)-Standard Bank Plc, listed on the Malawi Stock Exchange has contributed K10 million to the Bankers Association of Malawi (BAM) in support of their Annual Lakeshore Conference starting Thursday in Mangochi.

The conference, a premier event for the banking industry, brings together professionals to share knowledge, discuss industry trends, and network.

Presenting the sponsorship, Head of Commercial Banking Pempho Chalamanda said Standard Bank’s donation demonstrates its commitment to the development of the financial sector and its support for initiatives that promote economic growth in Malawi.

“Our donation and participation in the conference reflect our dedication to the industry’s development and our commitment to making a positive impact in the communities we serve,” she said.

During the conference, Standard Bank will host a slot for its “Growth Conversations” series forum, a platform for industry leaders to engage in meaningful discussions on Malawi’s economic growth prospects, challenges, and opportunities.

The topic for the “Growth Conversations” slot at the BAM conference is how banks can effectively integrate sustainability in their core business strategies while balancing profitability.

“We are proud to support BAM’s Annual Lakeshore Conference and host the Growth Conversation Forum, which aligns with our purpose of driving Malawi’s growth,” said Chalamanda.

BAM Executive Director Lyness Nkungula thanked Standard Bank for the contribution, saying it has given this year’s conference a timely boost.

“We are grateful to Standard Bank for their support, and participation which will contribute to successful outcomes from the conference. We are fostering financial inclusion which augurs well with this year’s theme,” she said.

BAM is optimistic that this year’s conference will provide a platform for bankers to navigate through issues set to revolutionize the banking sector.

“BAM is set for this year’s conference which present great opportunities for growth and strides in the sector. We believe that the discussions at the meet will help reckon massive investments that result in social economic development of the country,” she said.

This year’s BAM Annual Lakeshore Conference is under the Theme; “Bridging the Gap: Inclusive Banking and Sustainable Development for All”.

Business

NBM plc supports BAM, IIAM conferences with MK8.5 million

MaraviPost

BLANTYRE-(MaraviPost)-National Bank of Malawi (NBM) Plc has given Bankers Association of Malawi (BAM) K5.5 million and K3 million to the Institute of Internal Auditors Malawi (IIA Malawi) to support their annual lake conferences.

Speaking after handing over the cheque to BAM officials in Blantyre on Wednesday, NBM plc Account Relationship Manager Haggai Mungoni said supporting BAM conference, reaffirms the Bank’s dedication to creating a banking environment that serves everyone, including underserved populations.

“National Bank of Malawi (NBM) plc is deeply committed to driving financial inclusion and supporting sustainable development in our nation. Our support for this conference aligns with our broader strategic objectives, ensuring we contribute meaningfully to Malawi’s economic growth.”

“This year’s conference theme, ‘Bridging the Gap: Inclusive Banking and Sustainable Development for All’, is particularly relevant in the current economic landscape. As we face ongoing challenges in ensuring that all Malawians have access to financial services, this theme highlights the importance of finding innovative solutions and fostering collaborations that promote financial inclusion and sustainable development,” said Mungoni.

BAM Chief Executive Officer Lyness Nkungula thanked NBM Plc for this act of goodwill and support.

“At BAM, we have always recognized the importance of the annual Bankers Conference as a pivotal platform. It is not merely a gathering, but a vital opportunity to exchange ideas, share best practices, and discuss strategies for fostering collaborations and driving advancements within the financial sector,” said Nkungula.

Meanwhile, NBM Plc Internal Audit Manager, Sarah Gondwe made the cheque handover to IIAM, and in her speech said the Bank’s commitment reflects its dedication to supporting the internal audit profession, which plays a vital role in safeguarding integrity within organizations across Malawi.

“At NBM plc, we recognize the importance of fostering a well-informed and skilled professional community. By supporting IIA Malawi and its initiatives, we aim to empower internal auditors with the tools and knowledge they need to drive change, ensure compliance, and promote ethical practices within their organizations,” said Gondwe.

IIAM President Alick Mwale thanked NBM Plc for the timely donation which he says will help organize their silver jubilee celebrations and the annual conference.

“Will have two events, the governance forum where we have invited heads of institutions in the public and private sectors to discuss issues on the way organizations are supposed to be operating per best standards. And then we will have the annual conference. This support by NBM plc will therefore go a long way in ensuring the smooth organization of these events,” said Mwale.  

The 9th Annual Bankers Conference is set for August 22 to 24, while IIA Malawi Annual Conference, will take place from September 5-8 under the theme ‘Be the Change: Internal Audit in the Era of Disruption’ in Mangochi.

Business

NBS Bank supports BAM conference with MK5 million

Maravi Post Reporter

BLANTYRE-(MaraviPost)-NBS Bank has given the Bankers Association of Malawi (BAM) K5 million for their annual lake conference in Mangochi.

Speaking during the symbolic cheque handover to BAM officials in Blantyre on Tuesday, NBS Bank Head of Marketing and Customer Experience, Tamanda Longwe said as a ‘Caring Bank’, they believe in inclusivity by offering banking services and products to cater to the needs of all Malawians, therefore it was important to support the conference.

“We were compelled to sponsor the annual Bankers Conference because it brings together the industry leaders in one space to discuss how we can positively impact the nation at large through the financial services we offer,” said Longwe.

BAM Chief Operations Officer, Chifundo Mmaniwa commended NBS Bank for the timely support.

“The K5 million support by NBS Bank is greatly appreciated as it will help the association to organize a successful event. We also assure NBS Bank that the funds will be put to good use as expected. The Bank, apart from being our member, has shown commitment to see us organizing a successful conference,” he said.

This year’s theme is ‘Banks for All and Development for All’.

Some of the main speakers at the conference include the Reserve Bank of Malawi (RBM) Governor, Wilson Banda, High Court (Commercial Division) Judge Justice Wezi Malonda, Jonathan Pinifolo from Comesa Zambia, and other speakers.

Business

NBM gives BAM K5 million for annual conference

Maravi Post Reporter

BLANTYRE-(MaraviPost)-National Bank of Malawi (NBM) Plc has given the Bankers Association of Malawi (BAM) K5 million to support this year’s annual conference.

Speaking during the official cheque handover ceremony in Blantyre on Wednesday, NBM Marketing and Corporate Affairs Manager, Akossa Hiwa said by sponsoring the event, the Bank aims to provide support and encouragement to esteemed members of the BAM who tirelessly work towards creating a robust financial ecosystem.

“This is not the first time that National Bank and BAM have worked together on the annual conferences, financial literacy projects, and a lot of other projects that BAM collaborates on.”

“As the Bank of the Nation, we believe that BAM is critical in ensuring that the banking sector is stable and that banks that fall under its umbrella are cascading,” said Hiwa.

Hiwa added that the Bank feels this year’s theme, ‘Banks for all and development for all’ will push the financial inclusion agenda as the Bank is looking to reach out to the underserved and unbanked communities and onboard them so that they can have access to financial services.

“You will recall that we launched our product ‘More Wallet’ in 2022 which enables those that are not yet banked to access financial services and transact like they are banked with the National Bank of Malawi. On top of these we also have a wide network of service centers and a wide agent banking network which is really entrenched in the rural and urban areas called fast Save, with this we intend to reach out to those that cannot make it to the banking halls,” said Hiwa.

Bankers Association of Malawi Chief Executive Officer (CEO), Lyness Nkungula hailed NBM plc for the support saying this shows that the bank, as a member, sees the value it gets from the annual conferences.

“The conference is all-inclusive taking it from the theme, we will not only have the banks but a wide aspect of people that will be there, and being a developmental theme, you would actually see that we have put in an aspect of entrepreneurship which is also a core business in most of the banks,” Nkungula said. 

BAM plans to hold this year’s annual conference from August 17 to 18.

Business, Malawi

Malawi Finance Minister Gwengwe tax decision leaves banks in shock

Maravi Post Reporter

……..Uproar over discriminative tax on bank profit

LILONGWE-(MaraviPost)-There’s disquiet and palpable consternation in the local banking sector after Finance Minister Sosten Gwengwe on Tuesday announced a selective income tax on banks that make profits of MWK10 billion or more.

As we went to press, members of the Bankers Association of Malawi (BAM), Financial Market Dealers Association (FIMDA) and the Minority Shareholders Association were consulting their legal and other principles to seek clarity and possible redress over Gwengwe’s decision announced in Parliament ahead of passing the 2023/24 budget on Friday.

Parliament is currently deliberating the 2023/24 budget in Lilongwe.

“What is the legality of this in the context of the Malawi Taxation Act? While we appreciate the need to raise funds for recovery and relief after Cyclone Freddy, the Finance Minister’s decision appears selective and illegal. Why is he only targeting banks leaving out other sectors like telecoms, construction, and agriculture that make similar levels of profit, if not more?” wondered one senior banker who did not want to be named.

Another member of the BAM said profitable institutions like banks and others are accountable to their shareholders and are charged with the responsibility of protecting shareholder interests.

“Such selective taxes will hurt the goose that lays the golden egg, and ultimately derail the economy which is already in doldrums. The government needs banks to be strong and resilient for it to navigate the financial markets easily when accessing credit to balance its budgets. It must not be too greedy, just because banks and other institutions are working hard to keep the economy balanced, and working,” she said.

In his winding up statement, the finance minister ordered amendments to tax and non-tax revenue policies aiming to raise funds in the wake of Cyclone Freddy.

“The government is introducing an additional income tax of 10% for bank profits above MWK10 billion. Thus if a bank makes profits of up to MWK10 billion, the standard corporate income tax rate of 30 percent will be applicable. However, all profits above MWK10 billion will be treated as excess profits and taxed at 40 percent. This is a temporary tax measure aimed at raising resources to assist in rebuilding the Cyclone Freddy affected areas,” said Gwengwe.

Concerned financial institutions wondered why government was being retrogressive in its taxation policy as previous regimes had scrapped off the 40 percent tax bracket on individual income tax on the basis that it was contrary to the principle of tax equality.

Coincidentally, while Gwengwe wants to impose additional taxes on banks for Cyclone Freddy recovery, local banks were the first to respond to the disaster by donating a combined total of MWK 500 million for relief operations. The banks said they were ready to pump in more after thorough assessments of Cyclone damage by government.

Business, Malawi

“Malawi’s commercial banks turned into robbery houses”-CAMA’s Kapito

Maravi Post Reporter

BLANTYRE-(MaraviPost)-The country’s fearless consumers rights body, Consumers Association of Malawi (CAMA) has joined the bandwagon of accusing commercial banks for milking citizens hard earned money through unjustifiable taxes put on services offered to customers.

CAMA’s outburst comes barely a few days after Banks Association of Malawi (BAM) announced that effective November 1, 2021, Value Added Tax (VAT) of 16.5% will be introduced to customers.

The development that angered general public and Malawi Revenue Authority (MRA) arguing that the 16.5% VAT introduction was not justifiable and unacceptable.

Eventually, CAMA over the weekend issued the statement accusing banks of day light robbery on Malawians.

The consumers body Executive director John Kapito observes that commercial banks have turned into robbery houses that needed to be tamed.


“The Banks have introduced VAT on most of their services this will have a huge negative cost on Consumers deposits as they will be required to pay various high transaction charges and other bank charges.

We are aware that most of the Banks recently increased their transaction charges and bank service charges and we assumed the VAT transaction charges were part of those increased bank charges therefore, the reintroduction of new
transaction charges in the name of VAT is unacceptable and unjustifiable”, reads in part CAMA statement issued on Saturday, October 30, 2021.

It added, ” Consumers have complained consistently over time regarding the high bank charges and a number transaction costs and this has had an effect on financial inclusion as most of the Consumers started to close their bank accounts and currently the number of Malawian Consumers with bank accounts are still low because of these unnecessary bank charges.

These high bank charges and transaction costs have affected the Financial Literacy Program which was centered on educating Consumers on benefits of saving money with the banks”.

Kapito bites, “Consumers were continuously informed on how unsafe it was to keep money within their homes and that saving money with the Bank has long term benefits, it is now surprising that the very same thief that Consumers were taught to run away from and warned against is now operating within the Banks and where Consumers deposits and savings will be stolen through high bank charges and transaction costs in the name of VAT.

“This is a threat to financial inclusion program and our appeal to Consumers is to immediately consider withdrawing their money from the Banks and keep the money safe in their homes, with the current situation it is dangerous for anybody to assume that there will be safety of your money at the Bank with the new thief that has now become part of
the Bank. Consumers will only wake up one day and only to find that their money in the bank has been wiped-out”.

President Lazarus Chakwera’s Tonse government is yet to respond on matter as the law was introduced in Malawi Parliament under his watch.


Agriculture

‘Financing critical in revamping productive agriculture ’-FOL

Maravi Post Reporter
LILONGWE-(MaraviPost)-The Farmers Organisation Limited (FOL) has said sufficiently financing the
agriculture sector is essential for the realisation of farmers’ dreams of reaping maximum benefits from their toil.
FOL Retail Sales and Marketing Manager, Hannock Madeira, said they are doing everything possible to ensure farmers’ needs are met, especially in the wake of climate change.
Madeira made the remarks on the sidelines of a two-day Agribusiness Conference organised in Lilongwe by the Bankers Association of Malawi (Bam).
“Farmers need to have funds to procure good quality inputs for production. That is where the element of financing the agriculture sector becomes crucial. Most farmers cannot afford good quality products because of lack of funds,” Madeira said.
He also said, with climate change affecting the agriculture sector just like it has affected other areas, it is important that farmers access inputs that resist adverse weather patterns.
Madeira said FOL is committed to ensuring such inputs are available to farmers.
“As FOL, we keep on coming up with products that respond to changing climatic conditions. These include seed and chemicals. We understand that we have a huge role in contributing to food security in Malawi as a supplier of agriculture inputs,” he said.
The two-day Agribusiness Conference attracted stakeholders from the banking industry and the agriculture sector, among others.
Business, SADC

Saulos Chilima dares commercial banks on affordable and quality services provision

Lloyd M’bwana

Malawi Reserve Bank
Reserve Bank of Malawi says economy recovering, forecast robust growth

MANGOCHI-(MaraviPost) – Malawi’s Vice President Saulos Chilima, on Friday challenge commercial banks to critically reflect on their services to customers to enhance the country’s economic growth.

Vice President Chilima dared the banks to extend their loan portfolio by making their conditions attractive and affordable to ordinary Malawians.

Chilima was speaking at this year’s second Bankers Association of Malawi (BAM) annual conference in the

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