Africa > Southern Africa > Zimbabwe > Banking / Investment

Banking / Investment in Zimbabwe

  • Africa's last international banks make their stand

    BOTSWANA, 2017/10/31 On June 1, 2017, Barclays sold a 33.7% stake in its African business, Barclays Africa Group Limited (BAGL). The transaction reduced the UK lender’s stake in its African offshoot to 14.9% and permitted, in accounting terms, the deconsolidation of BAGL from its parent. Additional symbolically, it brought to an end Barclays’ operations on the continent next additional than 100 years. The rise of Africa’s home-grown financial players has led most international lenders to withdraw from the continent. However, Société Générale and Standard Chartered are not only staying put but marking territory for digital expansion. James King reports.
  • Why governments need to support the financial sector to meet the unserved needs of smallholder farmers

    BOTSWANA, 2017/09/09 This year, under the leadership of H.E. President Alassane Ouattara and the theme of “Accelerating Africa’s Path to Prosperity: Growing Inclusive Economies and Jobs through Agriculture”, the African Green Revolution Forum (AGRF) 2017 is shaping up as a premier platform to showcase ongoing evolution in Africa’s agricultural transformation schedule and to scale up the political, policy, and financial commitments needed to achieve the Malabo Declaration and the world development schedule around the Sustainable Development Goals (SDGs). Following the launch of the landmark annual Africa Agriculture Status Statement (ASSR) at the AGRF taking place in Cote d’Ivoire from 4-8 September 2017, the major conclusion centres around the power of entrepreneurs and the free market in driving Africa’s economic increase from food production. This is owing to the fact that a lot of businesses are waking up to opportunities of a rapidly growing food market in Africa that may be worth additional than $1 trillion each year by 2030 to substitute imports with high price food made in Africa.
  • Zimbabwe: Govt Improves Investment Climate

    ZIMBABWE, 2016/04/28 GOVERNMENT is aiming to have reduced the period it takes to register a company to 15 days from the current 30 days as part of efforts to improve the doing business environment under the second 100 day Rapid Results Framework, which is being spearheaded by the Office of the President and Cabinet in partnership with the World Bank. Under the framework, Government set targets which include; reducing the starting a business period from the current 30 days to 15 days by May 13, 2016 and to have a final draft of the Companies Bill by May 13, 2016 under the Starting a Business and Protecting Minority Investors cluster. The results will be reviewed at a workshop set to be held next month in Harare. The purpose of the review, which tallies with the speech made by President Mugabe is to update stakeholders on the developments and evolution made so far in improving the business environment for both domestic and foreign investment in Zimbabwe.
  • Zimbabwe: ‘Foreign banks wont close over indigenisation laws’

    ZIMBABWE, 2016/04/04
  • Zimbabwe: MFIs Bank On Development Projects

    ZIMBABWE, 2016/02/08 Micro-finance institutions' (MFIs) total loans amounted to US$173,3 million as of September 2015 with 53,73 % channelled towards development and productive sectors, an official has said. Zimbabwe Association of Micro-finance Institutions (Zamfi) executive director Godfrey Chitambo said a significant chunk of MFIs' loan books were focused on developmental projects, dismissing long-held notions that most MFIs' loans were fee-based and mainly for consumption. "The consolidated figure for the whole micro-finance sector was US$173,3 million as at 31 September. The Reserve Bank of Zimbabwe (RBZ) says we have put 53,73% of the total loans into developmental sector or US$93,12 million," Chitambo said.
  • DPC a forensic audit into the operations of AfrAsia and Royal banks

    ZIMBABWE, 2015/10/18 The Deposit Protection Corporation (DPC) last week commissioned a forensic audit into the operations of AfrAsia and Royal banks in a bid to prosecute shareholders or owners of banks guilty of abusing depositors' funds, businessdigest has learnt. Both AfrAsia and Royal closed down leaving thousands of depositors in the cold. AfrAsia Bank was closed in February this year while Royal shut shop in 2012. Those affected by the closure are currently receiving their money from the DPC. "DPC, with the mandate of creditors, has commissioned a forensic audit of AfrAsia Bank and Royal Bank," an informed source told businessdigest. "Creditors have as well mandated DPC to follow up on parties who abused depositors' funds."
  • Reserve Bank of Zimbabwe Governor Dr John Panonetsa Mangudya.

    ZIMBABWE, 2015/03/18 The Reserve Bank of Zimbabwe yesterday cancelled AfrAsia Bank Zimbabwe Limited (formerly Kingdom Bank)'s licence next it failed to meet minimum capital requirements, becoming the second bank to fold since the beginning of the year. Last month, Allied Bank had its licence terminated next bowing to undercapitalisation and attendant problems. The cancellation of the AfrAsia licence follows board resolutions by AfrAsia Zimbabwe Holdings Limited and AfrAsia Bank Zimbabwe Limited to voluntarily surrender the banking licence. AfrAsia, which was pursuing various initiatives to raise money, inclunding courting potential investors and engaging Imara Capital Finance to jointly market a Medium Term Secured Note that was expected to generate an incremental $15 million, had core capital levels of $6 million by December 31 last year against the prescribed minimum capital requirement of $25 million
  • Zimbabwe: Banks Adjust Interest Rates

    ZIMBABWE, 2015/02/13 LOCAL financial institutions have adjusted interest rates downwards to levels below 10 % per annum for their performing customers in the productive sectors, a move the central bank said would help the revive industries. In his monetary policy dubbed "Rebalancing the economy through competitiveness and compliance", Reserve Bank of Zimbabwe (RBZ) governor John Mangudya said such development were greatly appreciated and should be intensified.High interest rates had discouraged savings as bank charges were too high. Bank failures in Zimbabwe over the completed 10 years have affected people's confidence in the banking sector, a situation which is detrimental to the sustained development of the country. The fragility of the financial sector, high interest rates and bank charges had affected domestic savings over the years, and hence it was significant for the RBZ approaching up with new measures to stimulate savings in the country and protect depositors.
  • CHINA Export and Import Bank has disbursed $80 million for generation capacity

    ZIMBABWE, 2014/11/05 CHINA Export and Import Bank has disbursed $80 million for generation capacity expansion of Kariba South Power Station to reduce crippling widespread power deficits plaguing the country. The $80 million disbursement is the initial of several tranches approaching under an engineering, procurement arrangement valued at $354 million. Chinese firm Sino Hydro, is undertaking the expansion project estimated to cost about $533 million, inclunding development costs to be met by the Zimbabwe Power Company. Kariba South's capacity expansion is projected to take 40 months and will add 300 megawatts to the plant's current capacity of 745MW.
  • European Investment Bank Officials Coming to Zim

    EUROPEAN UNION, 2014/02/23 European Investment Bank (EIB) officials are due to visit Zimbabwe on a mission to explore funding opportunities for the private sector, an official has said. The EIB suspended lending to the Zimbabwean Government over a decade ago due to a long-term deficit which remains unpaid. According to figures in the 2014 National Budget, the country owes the European regional bank in excess of US$300 million. The EIB has been in the country on two missions in the completed and is due for a third one any minute at this time, according to the European Union's ambassador to Zimbabwe Aldo Dell'Ariccia.