at 49. 7 percent in urban areas in contrastto 27. 8 percent in rural areas. additionally, awareness of micro - credit was at 40. 4 percent in urban areas, while it was at 27. 6 percent in rural areas. given this challenge, i would like to encourage financial service providers to consider, among other measures, employing the agency model for the provision of financial services to people in rural districts that lack physical presence of commercial banks or financial service providers. the bank of zambia and the ministry of finance and national planning have embarked on enhancing rural financial inclusion by promoting the use of public institutions, such as, health centres for the provision of financial services. in this regard, the general access point inspection report provides detailed insights into the location and adequacy of the health centres for setting up office space. this report is readily available for reference on the boz website ( www. boz. zm ). ladies and gentlemen, please be reminded that as part of the national strategy for financial education, the financial literacy awards are held annually in october. the objective of these awards is to recognise the efforts made by individuals and institutions to reach out to the public through financial literacy awareness initiatives. in this regard, i urge you to submit your portfolio of financial literacy activities and initiatives to the financial literacy working group for consideration for this year's awards. as i conclude, please allow me to extend my sincere gratitude to the working group under the national strategy on financial education phase ii for organising the financial literacy week. i particularly commend the ministry of finance and national planning financial education team, our other fellow financial sector regulators ( the pensions and insurance authority and the securities and exchange commission ), the bankers association of zambia, and our collaborating partners dsik ( the german sparkassenstiftung ) zambia, financial sector deepening zambia, and all other stakeholders who have consistently supported the financial literacy week commemorations each year. the bank of zambia remains steadfast in its commitment to supporting this national event, and we encourage all financial institutions and stakeholders to actively participate and continue conducting financial literacy activities nationwide throughout the year. thank you for listening. god bless! 3 / 3 bis - central bankers'speeches

is vital to tailor borrowing to business cycles and avoid overleveraging. comparing terms across lenders and negotiating for better interest rates and repayment options can result in more favourable credit terms. further, building and maintaining a good credit score is fundamental for accessing formal financing. msmes should ensure timely repayment of loans and bills, which reflects positively on their credit history. it is also important to use the bank funds for the purposes for which it was borrowed. sometimes, however, it is noticed that working capital funds are diverted for other purposes. a few have been found to be not investing their equity fully or diverting funds borrowed from banks to purposes outside of their businesses. many a times, unplanned and improperly funded capacity or market expansions have become a major source of stress, impacting the credit history and thereby the credibility with their banks. all of these are eminently avoidable, doing business ethically and prudently helps overcome such short - sighted actions. capacity building thirdly, msmes must invest in capacity building to strengthen their operational and financial management skills. financial literacy programs help entrepreneurs understand credit appraisal processes, banking norms and government support measures, making them more confident borrowers. skill development workshops on topics like compliance, bookkeeping, and market trends equip them to better manage their businesses and finances. msmes can leverage the ecosystem for capacity building and financing. engaging with industry bodies and trade associations provides msmes with mentorship, funding opportunities, and market linkages. collaborating with incubators and accelerators can 3 / 5 bis - central bankers'speeches offer access to training, networking, and funding. additionally, fintech solutions that use alternative credit scoring based on sales patterns or supplier feedback can help msmes secure funding more effectively. fourthly, msmes should prioritise the use of treds which provides a platform to access working capital by discounting invoices raised to larger buyers. pursuing buyers to also onboard onto treds ensures smoother transaction processing and timely payments. by integrating treds into their operations, msmes can unlock liquidity, improve cash flows and build stronger trust with lenders. i understand that there are a few bankers also present amongst us today. while the rbi engages with the banking community separately, particularly under the standing advisory committee on msmes, i would like to take this opportunity to reinforce the importance of improving financing for msmes. bridging the credit gap is not merely about supporting the