Standard Chartered Bank Zambia’s Sponsorship Focus vs Shareholder Expectations

Standard Chartered Bank Zambia has in recent months taken an aggressive posture on high-profile sponsorships across national platforms, including major contributions to trade forums, entrepreneurship conferences and community development initiatives.

While such investments are valuable in promoting inclusive development and economic participation, there is a growing concern regarding the imbalance between community-focused spending and shareholder returns.

Despite reporting a solid profit position in FY2024, the bank has not announced any further dividend payouts since April 2024, leaving shareholders uncertain and underserved.

In contrast, the bank continues to make large public sponsorships raising important questions around strategic financial priorities and capital allocation.

As shareholders are key stakeholders in the bank’s long-term sustainability, it is essential that their interests are not sidelined.

Corporate social responsibility should complement not replace shareholder value delivery.

I would like to urge Standard Chartered Bank Zambia to:

1. Reaffirm its commitment to consistent and fair dividend policies.

2. Improve transparency around capital deployment and liquidity strategy.

3. Strike a responsible balance between community investments and shareholder rewards.

The strength of any financial institution lies in its ability to uplift communities while honouring the trust of its investors. It is time for the bank to realign its operational focus accordingly.