Victoria Falls(New Ziana) – President Emerson Mnangagwa on Thursday said the government will continue improving the ease of doing business to lure more foreign investment and listings on the new Victoria Falls Stock Exchange (VFEX).
He said this at the joint launch of the VFEX and listing of Canadian mining firm Caledonia Mining Corporation.
A subsidiary of the Zimbabwe Stock Exchange (ZSE), the VFEX was established in 2020 to kick start the Offshore Financial Services Centre earmarked for the Special Economic Zone in Victoria Falls.
Its trading currency is the United States Dollar and dividends will be paid out in USD currency or any other convertible currency.
President Mnangagwa said the VFEX was expected to drive domestic and international investment, key enablers to the attainment of an upper middle income economy by 2030.
“It is my expectation that the Victoria Falls Stock Exchange will stand shoulder to shoulder with the world’s best in terms of providing a window of investment, not just into Zimbabwe but into the rest of our region and Africa,” he said.
“As we pursue the attainment of Vision 2030, my administration will continue to play its role of creating an enabling environment so that capital feels safe in Zimbabwe. I am here today to reassure you who are present today and all other potential investors of our commitment as a government to put in place necessary frameworks and mechanisms to further consolidate investor confidence and deepen our country’s financial markets.”
He said the VFEX also provided an opportunity for locals to participate in the economy.
“This also offers an opportunity for our pension funds to invest in foreign currency denominated securities. That way, enhancing their ability to diversify currency risk and continue to grow sustainable value for the pensioners whose assets they manage. In this regard, my government is committed to promoting the VFEX into an integral part of the global financial architecture,” he said.
Meanwhile, President Mnangagwa welcomed the listing of Caledonia Mining on the VFEX, the third listing on the exchange within a space of over a year.
He said Caledonia’s listing was a sign of the confidence that investors had in the policies of the Second Republic.
This was especially so considering that Caledonia was already listed on exchanges in bigger economies such as the United States, he said.
Caledonia is listed on the New York Stock Exchange.
President Mnangagwa said the listing of the mining firm will add impetus towards the attainment of a US$12 billion mining industry by 2023.
“As a nation we pride ourselves in the belief that our citizens should also benefit from the exploitation of our natural resources, thus having Caledonia publicly listed on the VFEX provides opportunities for our citizens to participate as investors either directly as individuals or indirectly through their fund managers and pension funds,” he said.
“This creates a win-win situation as the listing entity can raise the required capital for its operations while local citizens are concurrently being empowered through dividends.”
He urged other companies to consider listing on the VFEX.
New Ziana