National Bank of Malawi (NBM) has introduced loans that will let Malawians buy shares on the Malawi Stock Exchange.
Speaking during the launch of the Share Purchase Loan Scheme in Blantyre on Tuesday, NBM’s Head of Retail Division, Oswin Kasunda said the bank wishes to have many Malawians own shares in different companies.
“We want as many Malawians as possible to prepare for the future. This is not an elitist product. We want everyone to access the loans and buy shares,” he said.
The loan product is only for NBM account holders. The bank will provide a minimum of K250, 000 loan for customers to purchase the shares. The product, which can also be acquired by Small and Medium Enterprises (SMEs) could be repaid to a maximum of 36 months.
The loan package further provides that the shares should be purchased through the Stockbrokers Malawi Limited.
Stockbrokers Malawi Limited, Chief Executive Officer, Noel Kadzakumanja noted that the newly launched loan scheme will enable more Malawians to buy shares.
“Not all Malawians have cash to dispose of in buying shares. We are sure many people will access the loans and buy shares. This product will boost trading in the shares market,” Kadzakumanja said.
Kondwani Chinele
