First Capital Bank Limited in partnership with the European Investment Bank (EIB) and the European Union have today secured a developmental line of credit of US$10 Million.
This credit line is part of the Partnership Agreement between the European Union and its Member States, of the one part, and Members of the Organisation of African, Caribbean and Pacific States, to make Credit available that is extended by the EIB to a group of financial institutions located in Zambia.
This funding opportunity aims to accelerate economic growth in the agriculture sector in Zambia through the provisioning of finance for projects promoted by Small and Medium Enterprises in Zambia through First Capital Bank. The key objective of this strategic alliance is to address the existing financing gaps within the agricultural segment and raise the production profile directly benefiting food security of the country.
Speaking on the official signing ceremony of this new line of credit, FMBcapital Holdings’ Group Chief Executive Officer, Mr. Jaco Viljoen said: “We are excited to be launching this credit line in Zambia. It is the third country where we leverage the relationship between First Capital Bank and the EIB to contribute to the development of SMEs in the agricultural segment. This initiative is in line with the Bank’s value of Citizenship, where we are mindful of the community we serve and how we can play a role to improve it”.
First Capital Bank Limited believes in mutually beneficial partnerships to support its customers and speaking on the credit facility, the acting Managing Director Shashank Mehta said; “Our goal is to attain incremental growth across our business where the impact has far-reaching positive effects within the broader economy and communities that we serve”.
The EIB provides finance and expertise for sound and sustainable investment projects in Zambia and is committed to ensuring that Zambian agricultural entrepreneurs can invest through new cooperation with local financial partners.
Karolina Stasiak, Ambassador Designate of the European Union to Zambia and COMESA, said “Today we mark another milestone in our long-term partnership with Zambia, through which the EU supports green partnerships and investment for sustainable recovery, growth and decent job creation in the country. This investment aligns with our Global Gateway commitment and EU’s support to fostering sustainable development.”
Through the Zambia Agriculture Value Chain Facility, a joint initiative launched by the EIB and the European Commission, we improve access to suitable finance in the country, mainly to small and medium-sized enterprises (SMEs) active along the agriculture and aquaculture value chains. These projects illustrate the close cooperation and longstanding relationship fostered with the government of Zambia, local stakeholders, and the European Union.