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CABS praised for supporting businesses

CABS MD Mehluli Mpofu
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The Government says CABS, the banking arm of the Old Mutual Group in Zimbabwe, has over the years played a pivotal role in supporting businesses, creating jobs, and fostering innovations in the economy, aiding the Government’s thrust to create a sustainable, thriving economy that attracts quality investment.

Finance, Economic Development and Investment Promotion Minister Professor Mthuli Ncube, speaking at the 75th Anniversary for CABS last Friday, said the bank had worked with different categories of customers, including the lower end of the market.

“The anniversary comes at an opportune time when the Government is seized with putting in place bridging rocks to create a sustainable, thriving economy that attracts quality investment.

“CABS has played a significant role in mobilising resources to support the financing of businesses and ventures across the key sectors of the economy. This is an addition to the role CABS has played in influencing property developments across all major centres of the country.”

Minister Mthuli said the Government, through a National Development Strategy 1 (NDS1) mission, was committed to developing and growing all sectors of the economy.

“In this regard, it is our desire to see a lot of collaborative efforts by our financial institutions in modernising and mobilising resources to achieve our goals,” he said.

The minister noted that some of the projects CABS supported included the US$50 extended to the Zimbabwe Energy Transmission and Distribution Company (ZETDC) for enhanced power distribution, and the quantum value chain in the mining sector that the bank has been participating in.

He added that the Government remained committed to creating a favourable business environment, noting that the positive impact of the Government’s One Stop Investment Shop initiative had successfully created an investor-friendly environment, which has led to tangible benefits for the banking sector.

CABS has a strong reputation as a mortgage lender and has helped thousands of families realise their dreams of homeownership.

Noteworthy projects undertaken by CABS include the development of 2 797 low-income houses in Budiriro, Harare, as well as the development and servicing of 1 030 residential stands in Nkulumane and Pumula South, in Bulawayo.

Since being established as a building society in 1949, CABS has experienced a remarkable transformation from mainly focusing on mortgage loans to driving economic growth in Zimbabwe, serving corporations of varied forms and sizes.

CABS managing director, Mr Mehluli Mpofu, said the bank’s offering extends to all facets of the economy.

“In agriculture, we have funded the production of tobacco, macadamia nuts, bananas, strawberries, blueberries, and avocados.

“As some of our customers in Chiredzi pointed out, as part of our value chain model, we have capacitated farmers, starting with virgin land, clearing the land to deliver cane.

“We have also supported grain production, dairy, mining, tourism, retail and distribution. In short, in the lending space, as long as we can understand how you will pay us back, we will gladly assist,” he said.

Mr Mpofu said CABS’s capacity to finance these sectors is greatly enhanced by the support it receives from offshore credit line providers.

The bank has active lines of credit from Afreximbank, Trade and Development Bank, European Investment Bank and the African Development Bank. “We appreciate the trust these institutions continue to place on us.

“Our digital platforms coupled with our wide branch and agent network position us well to meet banking needs. Online transactions are the new frontier and we are happy to talk to you about our e-commerce.”

Looking back, according to Mr Mpofu, the first ZimSwitch transaction was done on a CABS Point of Sale terminal in 1996.

He noted that the 75-year milestone would not have been possible without committed staff, which has invested in continuous personal and professional development, allowing the bank to keep up with the evolving needs of its customers.

Mr Samuel Matsekete, the Old Mutual Zimbabwe chief executive, said the 75 years of CABS being a trusted partner for generations of customers was a story of resilience, innovation and an unwavering commitment to Zimbabwe and its people.

“From humble beginnings on July 6, 1949 as a building society focusing on mortgage loans and deposit accounts, CABS has grown and evolved. Today, it is a leading financial institution in Zimbabwe,” he said.

He added that CABS reinforces the strength of Old Mutual as an integrated financial service group, offering comprehensive financial solutions to our customers all under one roof.

Mr Matsekete said the group remained committed to continuing to innovate and deliver solutions for its customers as well as play its part and contribute to the development of the Zimbabwean economy.

Source: Herald