Zanaco Plc, the leading bank in Zambia, has handed over a dividend cheque of over K131.6 million to the Industrial Development Corporation (IDC), which holds a 24.8% stake in the bank. The cheque was presented to Finance Minister Dr. Situmbeko Musokotwane, IDC’s sole shareholder, with IDC Chief Financial Officer Mr. Raphael Chipoma in attendance.
This presentation follows Zanaco’s outstanding performance in the 2023 financial year, during which it was the top-performing bank for the third consecutive year, with a 34% revenue increase to K5.28 billion and a 49% rise in net Profit After Tax to K1.74 billion—the highest in the Zambian financial industry according to prudential results. Zanaco shareholders subsequently declared the highest dividend in the bank’s 55-year history at its 54th Annual General Meeting a few weeks ago.
Handing over the cheque, Zanaco CEO Mrs. Mukwandi Chibesakunda was confident in the bank’s continued strong performance and positive impact on Zambia’s economy. “Our commitment to Zambia includes declaring dividends, paying taxes responsibly, and creating jobs and business opportunities. We believe this is key to helping Zambia become a middle-income country by 2030,” she said.
Receiving the cheque, Dr. Musokotwane urged Zanaco to maintain its strong performance and challenged other IDC portfolio companies to improve their performance to declare dividends. He praised Zanaco for its resilience amidst challenges like drought, the COVID-19 pandemic, and adverse weather conditions.
Mr. Chipoma noted IDC’s satisfaction and pride in Zanaco’s record results over the years. “Our mandate includes industrialization and job creation and we use resources from dividend income to fulfill this mandate. We hope Zanaco continues to grow so we can keep receiving the tools we need to achieve our goals,” he said.
