Graduate School of Business

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A framework for addressing security vulnerabilities experienced by registered mobile money clients in Lusaka, Zambia.
(The University of Zambia, 2024) Sakala, Tanje David
The rapid expansion of mobile money services has transformed financial transactions across developing economies, providing convenient access to banking for unbanked populations. However, this growth has also introduced significant security vulnerabilities, raising concerns over data privacy, fraud, and system vulnerabilities. This study investigates prevalent security vulnerabilities associated with mobile money transactions, analysing common threats, and potential mitigation strategies. Using a survey research methodology, the research conducted a review of security incidents of mobile money users, complemented by a quantitative analysis of user behaviour response to security vulnerabilities. A sample of 380 registered mobile money users from Lusaka, Zambia, who were conveniently chosen using the Slovins formula, participated in the study. (Raphael. G, 2016) Mobile Money Transaction Variables Relationship Framework served as the foundation for the study. The Statistical Package for Social Scientists (SPSS) was used to analyse the data. Pearson correlation tests with a p-value of < 0.05 was deemed statistically significant. The results showed that there is a significant compromise in the security of mobile money transactions due to the following vulnerabilities: Smishing, Stolen/Lost Mobile Phone, and Agent Driven Fraud, with t values of .011, .005, and .000, respectively. A significant positive relationship between mobile money security vulnerabilities and transactions was indicated by an aggregate coefficient correlation of .430. As a contributing element to safe mobile money practices, the study also found considerable gaps in user awareness, underscoring the need for service providers to improve user education and strengthen security measures. This dissertation aims to contribute to mobile money security by proposing a framework that integrates solutions to improve user safety in mobile money transactions. The research concludes that addressing these security issues is essential for ensuring trust and long-term sustainability in the mobile money ecosystems, contributing to policy recommendations for regulators and practical guidance for service providers.
A modelling of Zambia’s manufacturing finance.
(The University of Zambia, 2025) Ng’ambi, Wiza
This study aims to investigate Zambia’s manufacturing finance, drawing lessons from Newly Industrialised Countries (NICs), with a view to generate policy prescriptions that may navigate Zambia’s manufacturing finance to its optimal level. The study has four objectives: to determine the NICs on which Zambia’s manufacturing finance may be benchmarked, to benchmark Zambia against these NICs, to model Zambia based on NIC models and to optimise Zambia’s demand and supply of manufacturing finance. It pursues a mixed method study composed of benchmarking, modelling and optimisation: applying relative value analysis, data envelopment analysis, structural equation modelling and multi-objective particle swarm optimisation with crowding distance on a firm- and country-level merged dataset from seven countries namely, India, Indonesia, Malaysia, Philippines, South Africa, South Korea, and Zambia. The study shows that manufacturing finance is a necessary condition for manufacturing development, which itself is an engine for economic growth. It demonstrates that manufacturing finance has strong linkages with other dimensions of the economy including the financial, legal, and political systems. At the aggregate, the study shows that while NICs such as South Korea evolved their developmental state into industrial states through instituting effective developmental structures and playing active developmental roles, Zambia did not advance to such an industrial state, as evidenced by the deficient manufacturing finance and correspondingly stagnated manufacturing development. The study statistically shows that Zambian manufacturing firms’ access to finance is on the tail end of the study countries, even when only efficient firms are considered. It shows that high cost of capital, unfavourable legal climate, taxation constraints, firm size distribution, firm financial inefficiency, low firm formalization, low technology intensity, import dependence and predominance of domestic sales in Zambia negatively affect manufacturing firm access to finance. It further highlights deficiencies in the composition of manufacturing firm ownership in Zambia and the utilisation of foreign aid. The study demonstrates that similarities and differences exist between NIC and Zambian firms, and across NICs; showing variations in variable effects across contexts owing to varying political and economic conditions. While acknowledging that NICs carry the more efficient and effective manufacturing finance models, the study argues that effective policy learning requires further analyses into the functional level variations in the learning and exemplar countries. This study shows that beyond generic recommendations about how developing countries can emulate NIC manufacturing finance policy, analysis needs to offer wholistic and quantified policy options to be effective. This approach allows consideration of related policy interests and helps assess the costs and benefits of competing policy options. The study demonstrates that, holding exogenous factors such as manufacturing output constant, Zambia’s prevailing manufacturing finance is below its potential. This implies that a reconfiguration on the input side may yield better outcomes, with positive ramifications on manufacturing development. Key Words: Manufacturing, Finance, Modelling, Zambia, Newly Industrialised Countries
A protocol for secure distributed spatial searching using homomorphic encryption.
(The University of Zambia, 2019) Katambo, Jimmy
Privacy of a person doing a spatial search as well as security of data being provided by a data provider can be of great concern in collecting statistical data. This has led to those who engage in searching for data to ask questions on whether they are anonymous to the one who is providing the data and also whether the one who is providing the data is anonymous to those who are doing the searching. However, such questions have provided an opportunity to the computer science community (researchers) to seek for solutions that can be used to deal with this problem of lack of anonymity of data and confidentiality. This study therefore aimed to propose a protocol by putting into application Homomorphic Encryption and a Distributed Ring Algorithm, to ensure anonymity of data of both parties involved in a spatial search, that is, a data provider and a searcher. To achieve this aim, three objectives were set. The first objective was to identify a Homomorphic Encryption technique that can support a spatial search. This was achieved by reviewing literature on Homomorphic Encryption techniques. Paillier Homomorphic Encryption technique was identified as the best approach that can support a spatial search. The second objective was to develop a protocol for distributed spatial searching based on the best Homomorphic Encryption technique which was identified. After analysing how Pallier Encryption works, a protocol was then designed based on distributed system principles. The third objective was to develop a proof of concept using the proposed protocol. A prototype implemented as distributed application was written in Java using the proposed protocol. The study implemented an application from the protocol developed which proved useful for collecting statistical data with guaranteed confidentiality. It also proved that, by putting into application Homomorphic Encryption, the person who was doing the search became anonymous to the providers of the data and the data provided by the providers became anonymous to the person who was doing the searching.
A study exploring human resource best practices in higher learning institutions: a case study of the university of Zambia.
(The University of Zambia, 2021) Chama, Tolomeo
This study aimed at investigating the extent to which the Human Resource Management best practice model by EmpXtrack is applied by the University of Zambia in order to understand the human resource management challenges at the institution. It was a case study of the University of Zambia. Primary data was obtained from 163 employees and 7 management employees using self-administered questionnaires and interviews, respectively. The quantitative data was analyzed using the relative important index (RII), while the qualitative data was analyzed using thematic analysis. The findings show that on average the collective response from the respondents is ‘neutral’ (0.519). A few practices like knowledge sharing, fair evaluation of employees, had the response ‘agree’ with an index of 0.627. The majority of the seven (7) remaining management practices had the response ‘neutral’ (0.474) and only one (1) of the mechanisms; delighting employees with the unexpected recorded the response ‘disagree’ with an index of 0.347. This implies that the human resource department at UNZA was only successful with 3 human resource management practices out of the best 10 suggested by EmpXtrack. This entails that the inadequacy in implementing these management practices could be the cause of the human resource management challenges UNZA is facing.
A study of the effect of COVID-19 on the performance of Zambia’s hospitality industry.
(The University of Zambia, 2024) M’hango, Olivia
This study examined the effects of the COVID-19 pandemic on the performance of Zambia's hospitality industry, focusing on the years 2015 to 2022. Initially, the research aimed to understand the industry’s trajectory through its pre-pandemic growth and diversification, followed by its response to the pandemic’s challenges. Utilizing a mixed-method approach, the investigation combined quantitative data from Zambia’s Tourism Statistical Digests with qualitative insights from interviews conducted with officials in the Ministry of Tourism and Arts. This approach enabled a comprehensive analysis of trends in tourist arrivals, occupancy rates, revenues, and employment within the hospitality sector. The findings revealed that the period from 2015 to 2019 was marked by significant growth in the industry. For instance, international tourist arrivals rose from 931,782 in 2015 to 1,009,173 in 2017, accompanied by an increase in tourism revenue. However, the emergence of COVID-19 in 2020 led to a dramatic downturn, highlighted by a 56.2% decline in international tourist arrivals compared to the previous year. In response to the pandemic, the Zambian government issued several Statutory Instruments, such as the Tourism and Hospitality (Licensing) (Amendment) Regulations, 2020 and the Tourism and Hospitality (Registration of Hotel Managers) (Temporary Disapplication of Registration Fee) Regulations, 2020. These were aimed at providing financial relief and maintaining regulatory compliance within the industry. By 2022, the industry began showing recovery signs, including a 10.5% increase in tourist arrivals from 2020 to 2021. The resilience of Zambia's hospitality industry in the face of the pandemic was evident. The study concludes with strategic recommendations for future growth, highlighting the importance of Public-Private Partnership models to enhance infrastructure and service quality. It also emphasizes the need for Market Diversification and Niche Tourism Development, focusing on promoting less explored destinations like Lake Bangweulu and traditional ceremonies such as the Kuomboka ceremony, to broaden the industry's appeal and resilience.
A study of the effect of digitalization on customer satisfaction: a case of standard chartered bank Zambia.
(The University of Zambia, 2024) Chibwe, Changu
This study examines the effect of Digitalization on customer satisfaction. It is a case of Standard Chartered Bank Zambia. With the rapid advancement of technology reshaping the financial landscape, the adoption of digital banking services has become a critical area of interest. In recent years, the Zambian banking sector has undergone significant digitalization, providing services such as mobile banking, online transactions, and ATM accessibility. In this evolving context, it is crucial for banking institutions and policymakers to understand how digitalization affects customer satisfaction. To investigate this relationship, the study employs a theoretical framework that integrates established theories. The Unified Theory of Acceptance and Use of Technology (UTAUT) is utilized in our research. This theoretical foundation guides the exploration of how customers of Standard Chartered Bank Zambia perceive and interact with digital banking services and the subsequent impact on their overall satisfaction. A mixed-methods approach is employed in this research, incorporating questionnaires, interviews, and data analysis of customer responses from Standard Chartered Bank Zambia. The Tronchim formula was utilized to determine a sample size of 400 respondents for the study. Additionally, separate interviews were conducted with five bank staff members involved in the transition process and handling customer feedback. The findings reveal significant insights into the complex dynamics between digitalization and customer satisfaction. Factors such as convenience, accessibility, speed, customer alerts for transactions, and real-time feedback emerge as crucial mediators in determining customer satisfaction in a digitized banking environment. The results of this study have valuable implications for both Standard Chartered Bank Zambia and policymakers. These findings are crucial for remaining competitive and guaranteeing customer satisfaction in a constantly evolving and technology-driven industry, as digital banking continues to progress. The main recommendations for the banking sector in Zambia are to improve internet security, offer real-time responses to digital banking inquiries, combine mobile and online banking into one app, and include investment options on digital platforms. These steps will help banks meet customer needs, focus on security, and enhance customer satisfaction in the digital era.
A study of the effect of financial inclusion on economic development in Zambia.
(The University of Zambia, 2020) Mweetwa, Chilombo Shinga
Financial development enhances human development, and access to financial services makes a positive impact on people‘s lives, particularly the poor. The importance of an inclusive financial system, across the globe, is widely recognized in the policy circles and has become a policy priority in many countries including Zambia. This research project attempted to show how financial inclusion is correlated with standard measures of economic development in Zambia. The objective of the study was to review existing sources of detailed data on financial inclusion and economic development and establish the relationship between financial inclusion and economic development in Zambia and make recommendations. The study found out that there is a positive relationship between financial inclusion and economic development and an increase in financial inclusion leads to an increase in economic development. This was revealed by the various correlation tests and regression test carried out. The study also revealed that the selected independent variables on financial inclusion explain 97.10% of the variation in the dependent variable (Human Development Index). The study recommended the need for the Zambian Government to identify, develop and implement workable polices to enhance financial inclusion and in turn improve the lives of people.
A study of the effect of foreign exchange rates on the financial performance of power utility companies in Zambia : a case of Copperbelt energy corporation plc.
(The University of Zambia, 2024) Banda, Anderson
Just like other sectors, energy sector in Zambia has faced exchange rates volatility for a long time. Research has shown that Zambian kwacha has been unstable and that it has been depreciating. This study aimed at assessing the effect of foreign exchange rates on the financial performance of power utility companies in Zambia as a result of the devaluation of kwacha. It was an empirical study as the researcher sought to gain knowledge by using quantitative data. Secondary data used in this study was extracted from Copperbelt Energy Corporation Plc’s published audited financial statements for the period of 5 years from 2017 to 2021. Regression analysis using GraphPad software and Microsoft tools were used to analyze data and findings were presented in tables and graphs. The main results of the study showed that foreign exchange rates had an effect on the financial performance of CEC Plc. Whenever kwacha depreciated, financial performance of the company went down and vice versa. The results further, suggests that there was a medium positive relationship between foreign exchange rates and key financial performance indicators. Henceforward, it was recommended that CEC Plc should ensure that foreign exchange risk management techniques such as money market hedge, exposure netting and hedging with invoice currency are used to minimize foreign exchange risks. It was also recommended that further studies be done in this sector using other financial performance indicators which were not employed in this study to increase the knowledge base.
A study of the effect of reverse logistics practices on company Performance : case study of Simba breweries in RDC.
(The University of Zambia, 2024) Kisumpa, Lumba Alex
Recently the subject of RL has grown exponentially due to an increase in the global population and consumption activities. As it accounts for the products' Life Cycle, companies are now pressurized to be more responsible when dealing with the environment and the end-of-life products they produce. Though RL has been proven to be an effective and efficient way of dealing with the environment and optimizing the performance of companies in developed countries, companies in developing countries such as Africa are still unable to implement it in their businesses. In developing economies such as the Republic Democratic of Congo, a limited number of studies have been conducted on RL in general and on evaluating its economic effects on the performance of companies. This research identifies the gap and aims to evaluate the effects of RL practices on the performance of SIMBA Breweries. The objectives are to determine the impact of Remanufacturing, to measure the effects of Recycling, and to evaluate the effects of Reuse practices on the performance of the company. The study adopted a descriptive research design, and data was collected from 70 respondents knowledgeable in the RL. Stratified random sampling was used to select the sample size of respondents from different departments, and primary data was collected using a questionnaire through a drop-and-pick-later method. Secondary data was collected from published and unpublished sources. Data was analyzed using descriptive statistics of mean and standard deviations to elaborate the pattern and trend, and inferential statistics was performed to determine the components of the multiple regression that predicted the relationship between variables in Microsoft Excel. Only Reuse was implemented and had a strong and positive relation with the company performance with a correlation and regression coefficient of 0.91 and 3.38. Recycling and Remanufacturing were not correlated with the performance of the company as the correlation and regression were null. Reuse decreased the company's cost by 65% and increased profitability by 60%. It is therefore recommended that the management should look at RL practices as a strategic method that can be used to improve its performance. Recycling and Remanufacturing should also be implemented to improve the performance of the company. Employees need to be trained and equipped with sufficient and appropriate knowledge of the RL system.
A study of the effect of the treasury single account on commercial banks deposits and lending in Zambia.
(The University of Zambia, 2024) Mulenga, Felix
The implementation of the Treasury Single Account (TSA) in Zambia brought about drastic changes in the management of public funds. The Bank of Zambia assumed custodianship of public funds while Commercial Banks remain revenue collection agents throughout the country. This study investigated the effect of the TSA on Commercial Banks Deposit Mobilization and Lending in Zambia. Secondary and Time series data were collected from the Bank of Zambia (BOZ) annual reports covering the pre- and post-TSA implementation eras, over a ten-year period (2010-2019). The independent variable was represented by Government Deposits (representing the TSA), while aggregate Commercial Banks Deposits and Loans and Advances were the dependent variables. The data were analysed using descriptive, regression and correlation analysis, with the aid of IBM SPSS Statistics version 28. The findings of the study revealed that Government Deposits have a significant positive effect on Commercial Banks Deposit Mobilization. The P-value was found to be <0.001 which is less than 0.05 meaning that the P-value is statistically significant at 5% level. The study also revealed that Government Deposits have significant positive effect on Commercial Banks Loans and Advances. The P- value was found to be <0.001 which is less than 0.05 meaning the P-value is statistically significant at 5% level. The trend analysis of Government Deposits further revealed a slow growth in Government Deposits after TSA implementation. Between 2010 and 2014 which is the pre-TSA era, Government Deposits in Commercial Banks grew by 163%, whilst between 2015 and 2019, which is the post -TSA era; Government Deposits grew by 74%. The trend analysis of Loans and Advances revealed a slower growth in Loans and Advances during the post -TSA era (35%), compared to 136% growth during the pre -TSA era. The study therefore concluded that the TSA which aims to withdraw Government Deposits from Commercial Banks has a negative effect on Commercial Bank Deposits and their lending ability. The study recommended that banks should develop strategies to attract private sector deposits, to fill the void created by the implementation of the TSA. Banks should come up with innovative solutions to tap into the unbanked population. It is important that banks develop attractive savings products to encourage the culture of saving among citizens. The study further recommended that the Ministry of Finance should consider allowing Commercial Banks involved in revenue collection, a few days float before revenue is remitted to the main TSA account at Bank of Zambia (BOZ).
A study of the effects of mobile banking services on the financial performance of Zambian commercial banks: a case study of Atlas mara.
(The University of Zambia, 2024) Siasulingana, Misozi
The introduction of mobile banking has completely transformed the financial industry, providing customers with unparalleled ease of access and convenience. This paper explores the complex relationship between mobile banking and the financial performance of commercial banks. The study employs a descriptive research design and specifically targets senior and middle management professionals, as well as supervisors, at Atlas Mara Zambia. A rigorous sample of 287 bank employees were carefully chosen using stratified random sampling procedures. The study utilized secondary data from reputable sources such as the Bank of Zambia (BOZ) and Atlas Mara published Annual Financial Reports. In addition, primary data was collected using closed ended questionnaires. The study's analytical methodology was based on a comprehensive approach that uses both descriptive and inferential statistics. Regression analysis and Pearson’s correlations coefficient were skillfully used to analyze quantitative data. The results of this study shed light on compelling argument: the accessibility of mobile banking and loans has undeniably caused positive changes in the financial performance metrics of commercial banks. Based on the results, the study provides practical suggestions to strengthen the mutually beneficial connection between commercial banks and mobile banking services. An important idea is to encourage creative collaborations between the banking sector and telecommunication service providers in order to strengthen nationwide Internet and network coverage. Furthermore, the report proposes a fundamental change in the way commercial banks operate, going beyond simply increasing access to mobile banking and instead prioritizing the improvement of customer service quality through these channels. Moreover, commercial banks are strongly urged to initiate comprehensive consumer awareness efforts, clearly explaining the wide range of new goods and services designed specifically for the mobile banking system. Furthermore, it is recommended to make careful and wise investments in research and development to stimulate innovation in current mobile banking platforms, guaranteeing their ongoing significance and effectiveness in fulfilling changing consumer needs. Ultimately, this study emphasises the urgent need for stakeholders in the banking industry to use mobile banking as a driving force for significant change, while also managing the complex array of risks and opportunities that come with this new digital landscape.
A study of the factors affecting profitability of Zambian commercial banks: a case of ZANACO.
(The University of Zambia, 2024) Mumba, Prudence
All businesses regardless of the nature require profitability for them to progress. Therefore, this thesis aimed at assessing Zanaco’s profitability using ratio analysis, through three major objectives (i) To ascertain Zambia National Commercial Bank’s ability to generate return to its shareholders during the period 2016-2021. (ii) To determine Zambia National Commercial Bank’s ability to convert sales into profit during the period 2016-2021. (iii) To identify internal factors influencing Zambia National Commercial Bank’s ability to generate profit and returns to its shareholders during the period 2016-2021. The study used both primary and secondary information. Primary information was collected through structured questionnaires. Data analysis was done through SPSS V26 for primary data and excel for secondary data for the period 2016 - 2021, the response rate of primary data collection which was physically administered to Zanaco employees was 35 respondents indicating a 65%. Secondary data was collected through the analysis of Zanaco’s financial statements for the period 2016-2021. The findings review that the profitability ratios show that the bank has a stable ROA, and ROE, but low EPS and ROCE. The Low NPM below 30% for the years under review thus implying that Zanaco is minimally profitable, because of Zanaco’s high Expense operational ratios EOR. Zanaco bank is liquid as it is able to convert its assets to cash easily, but does not have enough cash flow. Additionally, the bank is affected, by inflation and macro-economic factors, however due to the bank size, capital, asset quality, credit rating and effective cost management strategies the bank is able to withstand turbulent economic impacts.
A study of the factors affecting the collection of withholding tax on rental income from the informal sector: a case of Zambia Revenue Authority.
(The University of Zambia, 2021) Lwanga, Celine Chanda
Taxation is the pillar of public sector finance and is therefore critical to the short-term performance and long-term growth of the economy. However, the challenges of collecting taxes in less advanced economies such as Zambia is well documented in the empirical literature, particularly in relation to taxing forms of income directly. These challenges are compounded by the large informal sectors in such countries. The World Bank estimates that 90% of adults in Zambia earn their income from the informal economy for example. This study involved empirical investigation of the factors that affect the collection of withholding tax (WHT) on rental income from the informal sector in Zambia. It involved a case study of the Zambia Revenue Authority (ZRA). It was motivated by evidence that WHT on rental income remitted to the ZRA had been falling despite countrywide exponential growth in rental properties over the past decade. The study examined the relationship between informal sector compliance with rental income tax and the tax rate, aspects of tax administration, and individual characteristics such as age, gender, Income of individual tax payer and level of education. Specifically, the relationship between the perceptions of the tax rate on rental income, administration, individual characteristics of respondents(regressors) and likelihood of potential taxpayers making full disclosures relating to their liabilities (response variable) was examined using logistic linear regression. Data was collected by self-administered questionnaire interviews from a nonprobability sample of 139 respondents. Logistic regression results showed that perceptions of the tax rate being high lowered the probability of compliance with the tax as did aggressive reminders of obligations to taxpayers by authorities. On the other hand, results suggested that taxpayer engagement by authorities, taxpayer education, as well as the development of a comprehensive database of eligible taxpayers as part of tax administration would enhance likelihood of compliance. positive coefficients implying that they increased the likelihood of compliance. However, all results were not statistically significant. From results of the study, policy recommendations are that authorities should consider revising the tax rate or creating banded rates to boost collections amongst taxpayers with different levels of rental income. The Authority to consider collecting rental income from Landlords rather than tenants. Further, engagement with taxpayers and creation of comprehensive taxpayer database should be used by authorities to improve compliance with the tax in sections of Zambia’s informal sector.
A study of the factors influencing bank loan performance in Zambian commercial banks.
(The University of Zambia, 2025) Chibawe, Lamine
This study investigates the relationship between macroeconomic indicators and the NonPerforming Loan (NPL) Ratio in Zambia over a two-decade period (2003–2022/23). The research was motivated by the persistent challenge of high NPLs in Zambia’s banking sector, which undermines financial stability, restricts credit availability, and stifles economic growth. In analysing data from the Bank of Zambia’s Financial and Other Statistics Booklet and BOZ Annual Reports (2004–2023), the study assesses how key macroeconomic variables including inflation, GDP growth, interest rates, and exchange rate volatility- influence loan performance. Semistructured interviews with six banking experts further explore institutional and borrower-level factors contributing to NPLs. Descriptive statistics and regression analysis disclose that high inflation and exchange rate volatility significantly increase loan defaults, while lower lending rates enhance repayment capacity. Both economic contractions and rapid GDP growth periods correlate with elevated NPL ratios, which suggests that macroeconomic conditions alone cannot fully explain NPL dynamics. The study also identifies critical non-macroeconomic drivers, such as weak credit monitoring, corruption, and inadequate loan recovery mechanisms. The findings have important implications for policymakers and financial institutions. They highlight the need for a multi-pronged strategy combining macroeconomic stability, tighter regulatory oversight, and institutional reforms to curb NPLs. Recommendations include establishing dedicated loan recovery units, forming asset management corporations, and strengthening credit vetting through a national credit reference bureau. Ultimately, this study emphasizes that sustainable reductions in NPLs require sound economic policies and systemic improvements in governance, risk management, and legal enforcement to ensure long-term financial sector resilience in Zambia.
A study of the factors preventing SMEs participation in alternative stock market in Zambia.
(The University of Zambia, 2020) Lungu, George
The lack of SME financing has prompted the need to provide an alternative way to raise funds from the sale of shares through the Alternative Security Markets (ASM). Thus SMEs need to be allowed to register on the stock exchange market. This paper was inspired by the lack of research on this trend in Zambia as it tried to examine factors that could encourage SMEs to register on the ASM. To achieve this goal, the research adopted a quantitative method, while the research strategy used a survey. The study adopted a descriptive research design. The design was considered appropriate in determining factors that prevents SMEs businesses from raising finance on the ASM. The study used a Stratified sampling technique where random sampled quotas were chosen. The size of the sample was determined using Yamen’s formula that derived 65 companies. Questionnaires were used to obtain primary data in this study. Data were obtained from a sample size of sixty five (65) respondents drawn from the population of 4,058 SMEs. Four factors were considered that prevents SMEs from listing on ASM and these are 1) (information accessibility), factor 2) (regulatory requirements), factor 3) (corporate governance) and factor 4) (Transaction cost). Research findings indicated that information access, regulatory requirements, corporate governance, and transaction cost for SMEs are critical in deciding SMEs participation on the ASM. The study concluded that information accessibility, regulatory requirements, corporate governance, as well as transaction cost are important in determining SMEs listing on the ASM. The research findings confirm the previous studies carried out in Kenya, South Africa, Nigeria and London that availability of information, regulatory requirements, corporate governance, and cost of the transaction were key factors in the listing of SMEs. The study recommended that if Lusaka stock exchange is to establish an effective ASM for SMEs they should factor in information accessibility, regulatory requirements, corporate governance, and transaction cost. Keywords: SMEs, alternative, stock, market.
A study of the factors that affect agribusiness financing in Zambia: a case study of smallholder farmers in Chibombo district.
(The University of Zambia, 2024) Chanda, Richard
Limited access to agricultural financing is a constraint to the development of the Smallholder Farmers (SHFs) of the agriculture sector. The formal financial institutions face a challenge to provide agricultural credit that meets the unique demands of SHFs in the agricultural. Although SHFs face several challenges, lack of capital for investment contribute significantly to reduced production, increased food insecurity, and persistent poverty, especially in rural areas of the country. The research aimed to address three fundamental inquiries: the extent of financial inclusivity, the factors influencing access to finance, and the exploration of alternative financing models. Through a comprehensive study involving data collection, analysis, and interpretation, this research sheds light on the financial landscape for these farmers. A descriptive research design was employed which led to the adoption of a mixed-methods approach. The target population for investigation was drawn from 48,000 SHFs in Chibombo district. The sample size was 100 to whom semi structured questionnaires was administered for data collection based on a two-stage sampling procedure (purposive and saturation). The reliability of instrument was accessed using a half- split technique. The data was analyzed using both qualitative and quantitative methods. A multiple logistic regression was conducted to determine the relationship between dependent and independent variable variables. The findings reveal a stark reality of exclusion, with only 19% of SHFs surveyed reported having accessed credit and only 8% of rural SHFs were utilizing formal banking services. These statistics reveals a considerable hurdle in their efforts to secure financial resources for enhancing agricultural activities and livelihoods. The study delved into credit access challenges, both on the demand and supply sides, and identified variables such as gender, age, and income that impacted credit availability. Logistic regression analysis further explored the influence of these variables on credit access. In response to these challenges, the research proposed innovative financing models tailored to the unique needs of SHFs. These models include mobile money lending, peer-to-peer lending, guarantee schemes, collateral substitutes, and group lending. Each model offers an avenue to empower farmers economically and overcome barriers to financial access. The study recommended that the Government initiatives should focus on improving rural infrastructure, including road networks and transportation systems. Further, incentivize institutions or partnerships that actively participate in community-based financing initiatives by offering tax breaks or grants to them. Lastly, regulatory bodies should collaborate with financial institutions to develop a regulatory framework that supports and governs mobile money lending to ensure consumer protection and fair competition. In conclusion, this research contributes to the discourse on agriculture financing by providing insights into the financial realities of rural SHFs in Zambia. The proposed models present actionable pathways to uplift these farmers, foster sustainable development, and promote financial literacy. As Zambia seeks to enhance its economic landscape and empower its agricultural sector, the findings of this study offer valuable guidance for shaping policies and interventions that can drive lasting positive change.
A study of the macro economic factors affecting the value of the Zambian Kwacha.
(The University of Zambia, 2020) Mwansa, Derick C.
This study was aimed at determining the influence of macroeconomic factors on foreign currency exchange rate fluctuations and the value of the Zambian Kwacha. Macroeconomic factors include inflation rates, interest rates, Gross Domestic Product growth rate (GDP) and Balance of Payments which constituted independent variables whilst the dependent variable in the study was the value of the Kwacha against the United States Dollar ($). Secondary data representing annual average covering the period 1993 to 2018 was extracted from various Bank of Zambia and Central Statistical Office reports for the study. The study used regression model, E.Views software version 22 to analyse the data set. The study established that, based on the error correction model, R-squared was 0.6 meaning that 36% of variations in the performance of the kwacha against the US dollar is caused by the four independent variables in the developed model. The results also showed that interest rates and Gross Domestic Product growth rate were negatively related to the performance of the kwacha, while inflation and Balance of Payment rates were positively related to the value of the kwacha at 0.05% level of significance. However, the response of the kwacha with respect to all independent variables was not very responsive as all the variables were inelastic. In addition, the F.Test based on the ANOVA showed that there was no significance between the dependent variable and independent variables. The study, therefore, recommends that both contractionary monetary policy and expansionary fiscal policy can greatly improve the performance of the kwacha against the US dollar in times of economic recession.
A study of the macro economic factors affecting the value of the Zambian kwacha.
(The University of Zambia, 2020) Mwansa, Derick C.
This study was aimed at determining the influence of macroeconomic factors on foreign currency exchange rate fluctuations and the value of the Zambian Kwacha. Macroeconomic factors include inflation rates, interest rates, Gross Domestic Product growth rate (GDP) and Balance of Payments which constituted independent variables whilst the dependent variable in the study was the value of the Kwacha against the United States Dollar ($). Secondary data representing annual average covering the period 1993 to 2018 was extracted from various Bank of Zambia and Central Statistical Office reports for the study. The study used regression model, E.Views software version 22 to analyse the data set. The study established that, based on the error correction model, R-squared was 0.6 meaning that 36% of variations in the performance of the kwacha against the US dollar is caused by the four independent variables in the developed model. The results also showed that interest rates and Gross Domestic Product growth rate were negatively related to the performance of the kwacha, while inflation and Balance of Payment rates were positively related to the value of the kwacha at 0.05% level of significance. However, the response of the kwacha with respect to all independent variables was not very responsive as all the variables were inelastic. In addition, the F.Test based on the ANOVA showed that there was no significance between the dependent variable and independent variables. The study, therefore, recommends that both contractionary monetary policy and expansionary fiscal policy can greatly improve the performance of the kwacha against the US dollar in times of economic recession.
A study of the role of the manufacturing sector in Zambia’s economic growth – a quantitative approach.
(The University of Zambia, 2024) Mayawa, Rhoda
Zambia has embraced Vision 2030 making it a middle-income nation as a project delivery method. The country faces constraints that have made this provision a challenge. The Manufacturing sector plays a role in contributing to this challenge. The purpose of this study was to understand the contribution of each sector identified as key economic sectors in the Vision 2030 towards economic growth, with a bias towards understanding the contribution of the manufacturing sector to economic growth. The study used E-Views software and made use of quarterly time-series quantitative secondary data from 2014Q1 to 2021Q4 that was analysed using the ARDL model through regression analysis. The study found a long-run relationship that exists between the dependent and the independent variables using the ARDL bounds testing approach. The study has found that there is no statistically significant relationship between Economic growth and manufacturing sector output in the long run. However, the study shows that there is a short-run positive effect of manufacturing sector output on Economic Growth in the current period and with a lag of two periods. Therefore, manufacturing sector output is a short-run determinant of economic growth. This, however, is argued to be not ideal as Vision 2030 promotes long-term growth. This is because the manufacturing sector coupled with exports have the potential to accelerate sustainable economic growth in developing countries like Zambia. This Study has established the need for aligning gaps in the manufacturing sector. Therefore, it is proposed that there is a need for sustained relevant investment in the manufacturing sector for it to yield longterm positive effects. Economic growth is very essential for all economies and the role of the manufacturing sector can help achieve this goal.
A study of the strategic responses of commercial banks to changes in the external environment in Zambia.
(The University of Zambia, 2024) Ndonji, Kamiji
Banking sectors play a crucial part in the growth of a country's economy. As a result, the banking sector's stability is critical to an economy's growth. However, commercial banks are faced with external environmental changes that may render negative as well as positive impacts on commercial banks. Thus, banks need to respond to such changes with strategies. Crafting strategies to suit changes in the external environment is one goal of every organisation whose aim is to remain competitive in the market, generate profits and attain growth. To that end, this study aimed at investigating the response strategies of commercial banks to changes in the external environment in Zambia. Study’s specific objectives were to; establish response strategies employed by commercial banks in Zambia to the economic changes; determine the response strategies employed by commercial banks in Zambia to technology advancements; and establish the response strategies employed by commercial banks in Zambia to social- cultural changes. This study utilized a descriptive research approach. A total number of 38 questionnaires were distributed, from this number, 20 questionnaires were returned and correctly answered. This translates into 52.6% response rate. Data was quantitatively analysed using SPSS and Microsoft excel. The percentages, averages, and means were used to represent the result values. The results revealed that commercial banks did not respond to Social-cultures changes in consumer behaviour in Zambia. However commercial banks responded to economic and technological factors, which led to closure of some branches and bank merges. To that end, commercial banks adopted various response strategies to respond to the changes. Strategies adopted included stability and expansion while no commercial bank adopted retrenchment strategy. Study concludes that Commercial banks adopted stability to respond to economic and technological external environment changes. Study recommends that commercial banks should not only concentrate on stability strategies, but also use other strategies such as expansion and retrenchment strategies to survive the harsh external turbulence. Management of commercial banks should take advantage of advances in information and communication technology that enhances service delivery and meeting customer needs. Banks need to constantly scan the environment using various tools like SWOT, Research and Development and PESTEL in order to be aware of changes in the external environment and prepare for it.