FREQUENTLY ASKED QUESTIONS
... and answers

Who owns DBZ?

DBZ is a new initiative that brings the Government of the Republic of Zambia (GRZ) and Private Sector Business into ownership of the Bank with GRZ retaining a minority shareholding to ensure that the Bank operates with the cost effectiveness and efficiency of a private sector driven organization.

What does DBZ do? What products and services are available?

DBZ is a financial institution offering a variety of financial facilities;

• Short Term - Trade Finance, Working capital Finance, Bonds & Guarantees.    

• Long Term - Leasing Finance and Project Finance.

DBZ also administers special funds such as Apex Financing funded by the European Development Fund to support the Private Sector Development Programme.

What entails a short-term and long-term loan at DBZ?

1. Short-term       -        Not exceeding one year.

2. Medium-term    -        Two to three years

3. Long-term        -        Three years and over.

Do you have application forms?

No, only loan application guidelines are available.

What is the minimum loan amount?

US$20,000 for all facilities except Project Finance whose minimum is US$ 50,000.

What the interest rate on loans?

Our interest rates are not fixed but are generally based on Treasury Bill rates for local currency loans plus 5 to 10 per cent margin. On foreign currency loans, libor plus a margin of up to 5 per cent depending on the risk profile of the project.

Do you give loans to individuals?

No. Our facilities are meant for registered companies. See application guidelines.

Do you give loans to new businesses?

Yes, we do. We would consider new projects once they meet our evaluation criteria and are convincingly viable. Generally we prefer to look at proposals from businesses that have a good track record.

What security do you ask for?

·   Tangible assets as collateral, such as property with good value. An alternative would be a Bank Guarantee.

·   Personal guarantees from the company's directors.

Can the Bank assist someone who has no security?

No.

What are your charges?

• Application - Free

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• Appraisal - 1% of loan sought

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• Facility Fee - 1% of loan sought

Who are the contact people for loan facilities? ?

You contact on our officials in the Credit Department (Caiaphas Habasonda - Director of Credit & Portfolio Management,  Hephzibah Beyani - Manager Credit, Mavis Chaile - Assistant Manager Credit; Carol Mwila - Credit Analyst

Do I need to open bank account with DBZ?

No. We do not take currency deposits, as we are not a commercial bank.

Who qualifies to obtain DBZ funding?

Any registered business operating in the country.

What are DBZ’s priority areas of finance?

Agriculture & Agro Processing, Tourism, Manufacturing, Mining & Quarrying, Forestry & Wood Processing and Transport.

As a borrower, can I come to DBZ to ask for funds for refinancing of existing projects funded by other banks?

Yes.

As a borrower, why should I come to DBZ as my first stop?

DBZ becomes your first choice provider of finance because we have attractive interest rates that are much lower than those offered by commercial banks. The Bank could pass as the only one offering long-term finance in Zambia.

Where is DBZ situated?

On the corner of Chachacha and Katondo Roads in the Lusaka City Centre.