TRYNESS TEMBO, Lusaka
THE Securities and Exchange Commission (SEC) says there is a growing need for academia, policy-makers and regulators to develop alternative finance solutions.
In this vein, SEC in partnership with the University of Zambiaâ€™s Graduate of business and ZISC Holdings Limited are inviting students across the country to participate in an essay competition on the subject of alternative finance.
In a statement availed to the Daily Mail recently, SEC will assess whether Zambia is ready for alternative financing innovations.
â€œAlternative finance is a global shift in how finance is provisioned such as financial channels and instruments that emerge outside of the traditional financial system.
â€œWe believe that there is a growing need and a call from academic, policy-makers, regulators and industry alike to underpin these shifts with fundamental knowledge,â€ the statement reads.
The SEC says in developed markets, alternative finance is providing a solution to meeting the funding gaps especially for small and medium-scale entrepreneurs who have difficulties accessing funding from traditional lenders such as banks and stock exchanges.
SEC says to be eligible to participate in the competition, one needs to be a student at a tertiary institution in Zambia.
â€œThe submitted essays will be reviewed by a panel of markers and the authors of the top five essays will be interviews and the prizes will be awarded to the top three,â€ reads the statement.
Through the completion the institutions intends to learn about why funders invest, lend, what alternative finance products can Zambia adopt and would these developments pose a threat or an opportunity for incumbent financial institution among others.