The Agricultural Bank of Zimbabwe, trading as Agribank, evolved from the Land and Agricultural Bank (LAB) of 1924 of the then Government of Southern Rhodesia and through the Agricultural Finance Corporation (AFC) which was established in 1971 by various Acts of Parliament
Agribank currently operates under a legal framework whereby the Government of Zimbabwe owns 100% of the Bank. The Ministries of Finance and Agriculture maintain 50% shareholding apiece in the institution. The Bank is a loan granting and deposit taking development financial institution, subject to the supervision of the Reserve Bank of Zimbabwe. The bank is registered and operates in terms of the Banking Act of Zimbabwe (Chapter 24:20).
In line with its mandate the Bank’s main business is as follows:
The Bank delivers its products and services through ICT channels such as:
In addition to being a fully fledged commercial bank, as an institution owned by the Government of Zimbabwe, over the years Agribank has been Government’s important and primary vehicle for channeling financial resources to agriculture
Agribank shareholders (Government of Zimbabwe) have accepted the need to transform its ownership structure in order to allow for a strategic partner, who once identified, will inject new capital. The Government approved the engagement of a strategic partner for equity offtake by investor/investors
The Bank’s regulatory capital as at 31 December 2017 was US$54.9 million and is above the minimum regulatory capital of US$25 million. The Capital adequacy ratio at 39% in 2017 was an improvement on the 36% recorded in 2016. The minimum required by the RBZ is 12%. The Government as the shareholder has committed US$10 million towards Agribank in the 2018 Fiscal budget.
The Bank has been a beneficiary of several lines of credit from international financers which include