Business Reporter
BARCLAYS Bank of Zimbabwe managing director Mr George Guvamatanga has been elected Bankers’ Association of Zimbabwe president. Mr Guvamatanga was chosen at the association’s annual general meeting last month, taking over from Mr John

Mushayavanhu, who had served two terms.
Agribank chief executive officer Mr Sam Malaba was chosen as the vice-president while Mr Sij Biyam remained chief executive officer.

“Mr Mushayavanhu, who has ably served BAZ for two terms, will continue to participate actively in the affairs of BAZ as past president,” said the association.
Mr Guvamatanga was vice-president before assuming his new post. He was appointed vice-president in 2010 after Ms Zandile Shaba, former BancABC managing director, resigned to pursue private business interests.

Mr Guvamatanga takes over the reins at a time when banks are recovering from a period characterised by low transaction volumes, low deposit base, limited interbank trading and limited lender of the last resort function.
Analysts said there is need to bring back confidence into the sector and encourage a saving and banking culture.

BAZ is currently lobbying Government to capacitate the central bank to enable it to play its role as the lender of last resort.
BAZ was working with member banks to re-invigorate the national payments system and promote the use of plastic money by increasing the population and distribution of point of sale machines throughout the country. Mr Guvamatanga is also expected to spearhead negotiations with Government on indigenisation.

The Ministry of Youth Development, Indigenisation  and Empowerment is yet to come up with indigenisation thresholds for the financial sector. There has been some resistance from foreign-owned banks with Finance Minister Tendai Biti and Reserve Bank Governor Dr Gideon Gono saying the sector should be spared from indigenisation.

However, Minister Saviour Kasukuwere insists that all sectors of the economy should be indigenised notwithstanding concerns that banking was “fragile”.

Zimbabwe’s empowerment laws require all foreign-owned companies to sell 51 percent of their shareholding to locals.
Barclays, Standard Chartered, Stanbic and MBCA are the only foreign banks operating in the country.