The Securities and Exchange Commission of Zimbabwe has signed a Memorandum of Understanding with the Consumer Protection Council to enhance investor protection and promote transparency in capital markets.
Speaking at the signing ceremony, SECZim acting chief executive officer, Ms Grace Berejena, said the agreement created a formal framework for safeguarding consumer rights in financial markets.
She noted that the partnership will ensure that both institutional and retail investors are adequately informed and treated fairly in all market dealings.
“The collaboration demonstrates SECZim’s commitment to upholding market integrity and investor protection, principles that align with the CPC’s mission to promote consumer equity and justice,” Berejena said.
Mrs Berejena added that although the two institutions operate under distinct mandates, they share a common goal of defending the interests of consumers.
“Whether it is a small business owner planning for retirement, a horticulture producer seeking capital for expansion, or a young couple building savings for their first home, these are the consumers we are jointly dedicated to protecting and empowering, regardless of their background or sector,” she said.
Under the MoU, SECZim and the CPC will implement a coordinated oversight mechanism to facilitate the exchange of key information on consumer complaints and financial products.
This is expected to improve regulatory efficiency and enable both organisations to identify and respond more swiftly to cases of market misconduct and abuse.
In addition, the two bodies will roll out nationwide financial literacy and investor education programmes aimed at improving public understanding of consumer rights and responsibilities when engaging with investment products such as securities, pension funds, and insurance schemes.
SECZim noted that improving financial literacy is central to building confidence in Zimbabwe’s capital markets and ensuring long-term stability.
The MoU forms part of SECZim’s broader strategy to encourage an innovative and transparent financial ecosystem rooted in sound corporate governance.
SECZim also disclosed that approximately US$3,5 million worth of shares remain unclaimed, demonstrating a persistent challenge in the capital markets.
To address this, Mrs Berejena said the commission is introducing a new automation framework to streamline the reconciliation and recovery of unclaimed assets.
“We have identified inefficiencies associated with manual processes. We aim to enhance transparency, accountability, and operational efficiency by fully automating the system from asset identification to ownership restoration.”
Consumer Protection Commission (CPC) Director for Research and Public Affairs, Mr Kudakwashe Mudereri, said both commissions will facilitate the exchange of information regarding consumer complaints and financial products, enhancing oversight and regulatory effectiveness.
“The MOU serves as a beacon of institutional collaboration and partnership that bridges consumer protection with financial regulation, ensuring that no Zimbabwean is left vulnerable to exploitation or malpractice in the marketplace,” said Mr Mudereri.
This digital transformation initiative is part of SECZim’s broader modernisation agenda, which seeks to take advantage of technology to improve regulatory effectiveness and boost investor confidence.
Through its partnership with the CPC, SECZim reaffirmed its goal to build a trustworthy, inclusive, and investor-friendly financial environment, ensuring that every market participant, from small savers to large institutions, is protected and treated with fairness and dignity.-herald
