Methods of Payment:
Credit is the most common method of payment used for Zambian imports. In general, Zambian companies find it difficult to finance their own imports and seek credit arrangements, but businesses considering offering to export on credit should carefully check the bona fides and finances of Zambian companies before doing so. Delinquent payments, especially from government ministries or government parastatal companies to suppliers are a common problem in Zambia. Requiring cash-in-advance payments is advisable, especially when dealing with small companies.
Visa and MasterCard are widely accepted in most hotels, major restaurants, travel agencies, and stores. Most banks have automated teller machines (ATM) that accept Visa and MasterCard, and to a considerably lesser extent American Express. For more information about the methods of payment or trade finance options, please read the Trade Finance Guide.
Banking System:
Zambia’s commercial banking sector is comprised of 19 international and local banks. All banks operating in Zambia must incorporate locally. As a result, there are no local retail branches of foreign (including U.S.) banks or financial institutions. Citibank Zambia Limited, a wholly owned subsidiary of Citicorp NY, provides corporate banking services in Zambia.
The banking sector is supervised by the Bank of Zambia (BoZ), which reports to the Ministry of Finance. The sector is governed by the Banking and Financial Services Act of 1994.
For more information on the banking system please read the section Capital Markets and Portfolio Investment of the Investment Climate Statement.
Foreign Exchange Controls:
Bank accounts may be held in local or foreign currency, and funds are easily transferred out of the country or held offshore. Amounts over $5,000, carried in or out in cash or travelers’ checks, must be declared. Commercial banks and bureau de change operators restrict issuance of over-the-counter cash to $5,000 per transaction.
U.S. Banks and Local Correspondent Banks:
Zambia has one U.S.-owned bank, with locations in Lusaka and Ndola:
Citibank Zambia Limited | Lusaka
Citibank House
Stand 4646, Corner Chikwa/Nasser Road
Addis Ababa Roundabout
Lusaka, Zambia
Tel: +260 211 444 492 | +260 211 444 493
Fax: +260 211 258 911
Citibank | Ndola
Atlas Copco Building, Industrial Area
Zambia Way
Ndola, Zambia
Tel: +260 212 651434 | +260 212 651436
Fax: +260 212 651 43