Zim’s Metbank expands into Namibia

Jonkerstreet, Ausspannplatz, is currently being renovated at a cost of about US$2,7 million. The Namibian government, according to the report, will provide startup capital of US$8 million while Metbank will provide between US$1,8 million and US$2,4 million.
The Namibian government is the majority shareholder, with a 60 percent stake in the bank and Metropolitan Bank and other minor shareholders own the balance. The bank has a provisional licence, granted by the Bank of Namibia.
Speaking at the bank’s foundation laying ceremony held last week, the Minister of Trade and Industry, Dr Hage Geingob, castigated those circulating rumours that the new Small to Medium Scale Bank of Namibia was his, saying that these should end.
“This is not Hage’s Bank,” the minister repeated several times.
Dr Geingob described the event as “history in the making”.
“There are no more rumours, no more dreams — the bank is here.”
He said he felt sorry for foreign investors in Namibia, due to the tough government bureaucracy which was hampering the smooth entry of investors into the country.
“The slow pace of bureaucracy is hampering the progress of development. It takes up to two or three years and we cannot help those who want to be helped,” he said.
Suspicions and rumour were becoming “a problem” in the country, he said.
“The Zimbabweans were scrutinised just because they are from Zimbabwe. Would the same have been done if they were from America? Do your homework and stop this!”
The Namibian government has been failing since 2009 to present the central bank with a banking model that meets the banking regulations while addressing the needs of SME financing in the country. As a result, the Bank of Namibia has been extending the provisional licence, while making recommendations and suggestions on aspects that need to be addressed. 
According to Dr Geingob, the final inspection required for the issuing of a permanent licence will only be done once the revamping of the building is complete. The shareholding structure and quality of nominated directors is one element on which the SME Bank keeps failing.
Dr Geingob noted that the board would meet soon to sign a shareholders’ agreement which would address the shareholding structure. The permanent secretary in the Ministry of Agriculture, Water and Forestry, Andrew Ndishishi, was appointed chairman of the board. — Business Reporter/Namibian Sun.
According to Dr Geingob the bank will in future also have branches in other regions of the country.
“All areas must be represented, otherwise it defeats the purpose of an SME Bank,” he said. – Business Reporter/Namibian Sun