Surge in costs delays setting up of branches

 THE massive surge in cost of construction materials and labour has delayed the establishment of additional branches of the People’s Micro Bank Ltd, chief executive Anthony Dela Cruz says.

He said PMBL was supportive of the Government’s intention to establish more branches throughout the country and management was working on construction to commence as soon as possible.

Cruz was responding to questions from The National after Trade Commerce and Industry Minister Richard Maru expressed his disappointment at National Development Bank (NDB) and its subsidiary (PMBL).

Maru said the National Government last year gave K15 million for establishment of new PMBL branches but that did not happen.

“We gave K15 million for five more branches … At the moment, about 80 per cent of our people don’t have access to bank accounts, As the Government, we want to make sure we provide people with a cheaper and friendlier option. I call upon NDB and his board, to please get on with building the additional branches,” Maru said.

Cruz responded: “There was a massive surge in the cost of construction materials and labour for setting up new branches. Thus, NDB opted to look for a more affordable option to suit the budget. The NDB team in fact came up with a concept design and found more affordable options and alternatives from suppliers.

“The PMBL management is very supportive of Minister Maru’s efforts to make available the provision of banking services in more areas of the country.