By Francis Maingaila
Lusaka, Zambia – (November 7, 2025) -- Justice for Zambia has warned that some online lending platforms in Zambia are operating illegally, exploiting citizens, causing financial losses, emotional trauma, broken families, and even cases of suicide.
Speaking at a press briefing in Lusaka, justice for Zambian citizens against predatory lenders (JZAP) spokesperson Damian Siulapwa revealed that investigations by the organization, supported by an official response from the Bank of Zambia (BoZ), confirmed the illegal operations of these platforms.
“The Bank of Zambia has confirmed that none of these online platforms are licensed or authorized to offer lending services in Zambia," he said.
These illegal money lenare operating outside the law and have no legal standing to demand loan repayments from citizens. Unless a company can prove it is registered and licensed under the law, it is operating illegally,” Siulapwa added.
He said illegal lenders have been harassing, intimidating, and emotionally manipulating borrowers. This has resulted in depression, broken homes, and even suicides.
Siulapwa explained that, according to the Bank of Zambia’s guidance, citizens are not legally obligated to repay loans obtained from unlicensed online lenders.
He urged the public to ignore threats or abusive messages and to report harassment to the relevant authorities.
“No lender — legal or illegal — has the right to violate your privacy, contact your employer, publicly shame you, or save your phone contacts without consent. No one should call you before 08:00, after 18:00, or during weekends,” he said.
Justice for Zambia has called on the Zambia Information and Communications Technology Authority (ZICTA) to establish a dedicated hotline.
He advused to report harassment and abusive collection practices by these illegal companies.
The organization said much of the abuse stems from Zambia’s outdated Money Lenders Act. This law fails to protect citizens from financial exploitation and privacy violations.
“The current legal framework has created a vacuum that allows lenders to charge excessive interest rates, invade privacy, and intimidate borrowers. This situation is shocking and unacceptable and must be corrected urgently,” Siulapwa stressed.
Justice for Zambia’s findings indicate that most illegal lenders come from West and East Africa, mainly Kenya and Uganda.
"The online lenders operate through Airtel and MTN mobile money platforms, bypassing Zambian financial and digital regulations.
“These companies are transacting through Airtel and MTN systems, using them as channels for illegal financial activities. This places the telecom companies at the center of this unregulated ecosystem,” Siulapwa said.
He added that the unlawful sharing of citizens’ private financial data allows foreign firms to profile Zambians and extend exploitative loans.
Justice for Zambia is considering class-action legal proceedings to recover citizens’ losses.
Siulapwa outlined several actions the organization has taken following the Bank of Zambia’s clarification.
Justice for Zambia has written to the Anti-Corruption Commission (ACC), urging them to shut down call centers operated by illegal online lenders and investigate any individuals involved.
The organization has also requested the Zambia Revenue Authority (ZRA) to investigate and recover unpaid tax revenue from telecom companies that facilitated these unregulated transactions.
Justice for Zambia has petitioned credit reference agencies to delete the names of citizens blacklisted by illegal lenders within 14 days. Failure to comply could result in legal action.
Additionally, Siulapwa said the organization submitted a list of illegal lenders to ZICTA, urging a full investigation and a public report within 30 days. The online lenders also demanded penalties against Airtel and MTN for violating national digital and financial laws.
Siulapwa urged citizens to cultivate financial discipline and literacy to avoid falling prey to unregulated lenders.
“We encourage citizens to maintain responsible repayment habits with licensed lenders. This protects personal dignity and supports national stability,” he said.
He commended the Bank of Zambia for clarifying the legality of online lenders. However, he urged ZICTA to strengthen oversight, incorporate all moneylenders under the Bank of Zambia Act, and protect citizens as required by law.
“This campaign will continue until every illegal online lending company is removed from Zambia and those responsible are held accountable,” Siulapwa concluded.
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