Take advantage of VFEX – SMEs urged

SMALL to medium enterprises (SMEs) have been urged to make full use of the Zimbabwe Stock Exchange and the Victoria Falls Stock Exchange as investment platforms available to grow their enterprises.

SMEs continue to play a major role in the Zimbabwean economy as the sector has managed to employ the majority of the people.

Speaking at the National University of Science and Technology (Nust) during a public lecture held last Friday, Securities and Exchange Commission of Zimbabwe (SecZim) Head of Investor Education, Ms Farai Mpofu said the stock exchanges in the country are an opportunity for the SMEs to invest.

“There is a reluctance among SMEs to get their businesses formalised and it is a step back as they are missing out on the benefits brought forward by the two stock exchanges in Zimbabwe. I urge you to utilise the Zimbabwe Stock Exchange and the Victoria Falls Stock Exchange and start trading,” said Ms Mpofu.

She said SMEs players should not hesitate to seek assistance that would steer the growth of their respective businesses.
“Recently we have been witnessing migrations of firms from the Zimbabwe Stock Exchange (ZSE) to the Victoria Falls Stock Exchange because it uses the US dollar and you would also want to invest in it but this does not mean you should not trade and invest in the Zimbabwe Stock Exchange.

It is still important and as SMEs, you can still gain many benefits from it.”

National University of Science and Technology (Nust)

Of late, many entities have been migrating from the ZSE to list on the United States-denominated VFEX, which is a subsidiary of the ZSE and was launched in 2020 as part of efforts to attract global capital and restore foreign investor confidence in Zimbabwe’s capital markets and help companies raise capital in foreign currency.

VFEX is the only exchange in Africa trading in the United States dollars and was established as a pioneer offshore financial services centre by the Government in 2020 to attract global investment.
The Ministry of Finance and Economic Development continues to appreciate the great work by ZSE and VFEX management in attracting new players and the Government is expecting more listings this year.-chronicle.cl.zw