By Derrick Sinjela
On Wednesday, 27th March, 2024, Patents and Companies Registration Agency (PACRA) Registrar and Chief Executive Officer (CEO) Mr. Benson Mpalo officiated at a Movable Property (Security Interest) Registry workshop at Lusaka’s Urban Hotel on Leopards Hill Road.
The Director – Non-Bank Institutions – Bank of Zambia, Director General – Musika Initiative Development Zambia Limited, Representative – International Finance Corporation, Banks, Financial Institutions
and Zambia National Farmers Union (ZNFU heard Mr. Mpalo
acknowledge a start to the implementation of the PACRA – Musika Initiative Development Zambia Limited Memorandum of Understanding (MoU) seeking collaboration with respect to the implementation of the Movable Property (Security interest) Registry System awareness Project.
Musika’s Managing Director, Mr. Reuben Banda, emphasized the importance of tailor-made financial solutions for farmers lacking adequate record-keeping and capital.
In a speech read by Musika’s Operations Director, Mr. Joshua Munkombwe, Mr. Banda hailed initiative as a significant stride towards fostering financial inclusion in Zambia’s agricultural landscape.
And Bank of Zambia (BOZ), Representative Patrick Zulu urged financial institutions to leverage the registry to enhance credit accessibility to build the potential of movable assets, such as livestock, in expanding lending portfolios.
The MOU will facilitate the development and promotion of embedded financial services with greater use of movable property products to ease access to affordable agricultural finance products to the lower end of the market.
“This marks the beginning of the implementation of the sensitization and awareness program which will be conducted countrywide. PACRA acknowledges that there is a strong business opportunity in developing the agriculture financial inclusion industry through promoting and exploring the key industry-based concerns faced by the agricultural financial services sector. The Agency recognise that the development of the agriculture financial service industry plays a fundamental role in increasing smallholder agricultural production and provides a strong knowledge transfer and proper quality products. The use of agriculture financial products and transparent business opportunity for rural farmers helps to mitigate the ever-increasing cost of financial products on the market as well as the negative impacts of business growth opportunities. PACRA will cooperate with Musika from time to time and for knowledge management and reporting purposes, whenever Musika requires information related to PACRA’s activities in the market. PACRA will undertake education campaigns and dialogue forum workshops, live Radio and Television programmes in conjunction with testimonial financial institutions on the Movable Property (Security Interest) Registry System and endorsement of awareness materials,” said Mpalo.
Mpalo says the PACRA – Musika MoU gives a new lease of life to the underutilized, MPRS through the awareness activities which will be conducted countrywide in workshop and on Radio and TV. I am optimistic that this staekholders workshop will instil confidence in the financial sector, thus accelerating the adoption and usage of the Collateral Registry by financial service providers and the general public,” noted Mpalo as he recollected that the Movable Collateral Registry was established in 2016 following the enactment of the Movable Property (Security Interest) Act No. 3 of 2016 to register movable property, such as vehicles, agricultural machinery and agriculture products.
The MPRS seeks to promote movable property-based lending and, thus, ultimately increase access to credit by small-scale businesses and farmers.
Musika’s Managing Director, Mr. Reuben Banda, emphasized the importance of tailor-made financial solutions for farmers lacking adequate record-keeping and capital.
In a speech read by Musika’s Operations Director, Mr. Joshua Munkombwe, Mr. Banda hailed initiative as a significant stride towards fostering financial inclusion in Zambia’s agricultural landscape.
And Bank of Zambia (BOZ), Representative Patrick Zulu urged financial institutions to leverage the registry to enhance credit accessibility to build the potential of movable assets, such as livestock, in expanding lending portfolios.
Bank of Zambia (BoZ) Representative Mr. Patrick Zulu (third from right), Musika’s Operations Director, Mr. Joshua Munkombwe (centre) and Patents and Companies Registration Agency (PACRA) Registrar and Chief Executive Officer (CEO) Mr. Benson Mpalo officiated at a Movable Property (Security Interest) Registry workshop (right) at the Urban Hotel on Leopards Hill Road in Lusaka on Wednesday 27th March 2024. Picture by Derrick Sinjela
