Rédaction Africa Links 24 with Malawi Voice
Published on 2024-03-12 10:53:03
The Malawi government, represented by the Minister of Finance and Economic Affairs, Simplex Chithyola Banda, recently commended FDH Bank for establishing a banking center on Likoma Island. This move marked a significant milestone as FDH Bank became the first bank to open a full-service center on the island, which has long faced challenges in terms of financial accessibility.
During the colorful opening ceremony on Likoma Island, the Finance Minister expressed optimism about the positive impact the bank would have on local economic development. He highlighted the potential support for small businesses by enabling entrepreneurs to establish and expand their enterprises with the new banking services available.
In her remarks, FDH Board Chairperson, Charity Mseka, emphasized the importance of financial inclusion as a key pillar of the global development agenda. She mentioned that worldwide, 2.5 billion adults still lack access to basic financial services, and closing this gap is crucial to ending extreme poverty and promoting shared prosperity. Mseka further referenced the World Bank Group’s target for Universal Financial Access (UFA) to ensure that adults everywhere have access to essential financial services.
The Managing Director of FDH Bank, Noel Mkulichi, explained that the decision to open a Service Centre on Likoma Island was part of the bank’s new strategy to provide easy access to financial solutions and facilitate community growth. He highlighted the challenges faced by residents on the island in terms of financial accessibility, including the risks and inconveniences associated with traveling to the mainland to access banking services.
Mkulichi noted that the absence of banking facilities on the island led to the closure of offices and businesses for days at a time, resulting in loss of productive time. Additionally, tourists would sometimes cut short their stay on Likoma Island when they ran out of money, representing a missed opportunity for the country. The opening of the Likoma Service Centre marked a significant step towards addressing these challenges and providing financial services to the community.
As part of their corporate social responsibility, FDH Bank donated K3 million to Likoma District Hospital for the procurement of linen for the women’s ward and K2 million to Likoma Secondary School for the purchase of mattresses for students. This gesture underscored the bank’s commitment to supporting the local community and contributing to social development on the island.
Overall, the establishment of the FDH Likoma Service Centre represented a positive step towards improving financial accessibility and promoting economic development on Likoma Island. By providing essential banking services and supporting local initiatives, FDH Bank aims to make a meaningful impact on the residents of the island and contribute to their overall well-being.
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