THE Bank of Zambia has expressed concern over rising non-performing loans among public workers. BoZ Deputy Governor Dr Francis Chipimo says some public workers are obtaining credit beyond permissible limits through misrepresentation, failure to disclose existing debts, and borrowing from multiple lenders. In a public notice issued, Friday, the Bank directed all regulated lending institutions to strictly adhere to debt-service-ratio limits and adopt responsible lending practices. “The Bank of Zambia has observed, with concern, the elevated ratio of non-performing loans associated with public workers. This highlights the growing risks associated with payroll-based lending, particularly arising from practices that deliberately or calculatedly circumvent prescribed debt-service-ratio (DSR) and affordability requirements of lending institutions. Recent financial stability assessments have revealed increasing incidences of...