Steady uptake of financial services by the informal sector is proof that products and services offered by banks are resonating with government’s policies on financial inclusion among Malawians, Standard Bank Plc Malawi has said.
Speaking on Thursday during the first draw of Zichuluke Promotion, Head of Consumer and High Net Worth Clients, Charity Mughogho noted that since the bank introduced Khonde Savings Account for village banks early this year they have received good response from across the country.
Khonde Savings account is a financial solution that aims at supporting financial ambitions and needs of registered village banks in the country through secure and convenient transactions when saving and lending money.
“We introduced this product because we want to facilitate convenient and affordable banking solutions for savings groups so they also have equal access to progressive formal financial services which offer more benefits to Malawians.
“Since then over 50 village banks have opened the account and are already transacting. The good response shows that village banks are willing to join the formal banking sector and they would also like to know how they can benefit more from such a facility,” she said.
On the promotion, Mughogho pointed out that the bank wants to accord a chance to village banks to fully enjoy their biannual sharing of proceeds such as groceries.
During the draw, Timvane Village Bank which opened its account on 25 May this year at Capital City branch carted home the first weekly prize of K100,000.
Other weekly prizes of K50,000 each went to five village bank groups namely; Mulatho Club (Bwaila), Friends Village Bank (Blantyre), Kabira Club (Bwaila), Chikupira-Naisi Men’s Group (Zomba) and Umbrella Savings group (Gateway Mall)
Zichuluke promotion was launched on 31 May and will run up to 8 July after which a grand prize of K1 Million will be given to the lucky winning group followed a second prize to three groups who will take home K200,000 each.
As way of averting the spread and effects of Covid-19, the draw was conducted virtually and this format may continue for the subsequent raffles.