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The Zambia Industrial Commercial Bank Limited (ZICB) has assumed control of deposits, matching assets and selected operations from Investrust Bank following the latter’s financial collapse.
The transition, backed by K1 billion in government funding, comes after the Bank of Zambia placed Investrust Bank under its management on April 2, 2024.
In a statement issued in Lusaka on Friday containing deliberations from the 22nd cabinet sitting, Chief Government Spokesperson, Cornelius Mweetwa, confirmed that ZICB had taken over 16 of Investrust’s 19 branches and absorbed approximately 60 former employees.
Read More : Bank of Zambia appoints ZICB to manage depositors funds at failed Investrust Bank
He said that ZICB had signed new rental agreements for the locations where it is operating Investrust Bank’s branches.
“The cabinet reviewed the status of Investrust Bank Plc, which went into liquidation after the Bank of Zambia took over on April 2, 2024, due to its financial troubles,” Mweetwa stated.
He explained that the Bank of Zambia’s Board resolved to liquidate Investrust Bank and transfer some of its assets and liabilities to ZICB while selling off the remaining assets.
“On July 15, 2024, ZICB officially took over deposit liabilities and matching assets, supported by a K1 billion funding package from the Government,” he stated.
Mweetwa assured the public that banking operations would proceed uninterrupted and that more employees could be hired as ZICB expands.
“This action was necessary to safeguard the financial system and maintain public confidence,” he added.
The government stated that the takeover was a strategic move to stabilise the banking sector while ensuring continuity of services for customers.
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