ZIMBABWE Stock Exchange Holdings (ZSEH) has projected subdued activity on the local currency bourse, citing Econet Wireless Zimbabwe’s exit, which is expected to weigh on turnover and investor sentiment.
The outlook follows Econet’s delisting on March 31 from the Zimbabwe Stock Exchange (ZSE) and the listing of its infrastructure subsidiary on the Victoria Falls Stock Exchange (VFEX).
The shift has significantly reduced ZSE market capitalisation and trading liquidity, exposing the exchange’s reliance on a small number of large counters while boosting momentum on the VFEX.
ZSE market capitalisation declined by 23,57% in April to ZiG81,38 billion after Econet’s exit, which removed an estimated ZiG30,54 billion (US$1,2 billion) from the bourse.
“Looking ahead, the group anticipates a temporary dampening of activity on the ZSE, largely driven by the anticipated exit of Econet Wireless Zimbabwe, a heavyweight counter whose departure is expected to weigh on turnover and sentiment,” ZSEH said in a statement.
Despite the slowdown, ZSEH expects the VFEX to maintain strong momentum, supported by liquidity, investor confidence, and anticipated new listings.
The group noted that TSL Limited and First Mutual Properties are also expected to delist from the ZSE, with TSL planning to list on the VFEX.
“This resilience on the VFEX is poised to provide a natural hedge, effectively balancing the group’s overall financial performance,” ZSEH said.
ZSEH said liquidity on the ZSE in the first quarter of the year remained highly concentrated, with the top five counters — Econet Wireless Zimbabwe, Delta Corporation, Hippo Valley Estates, Tigere Property Fund REIT, and TN Cybertech Investments Holdings — accounting for 93,80% of total value traded.
On the VFEX, the group said market capitalisation reached a record US$4 billion, supported by strong investor demand.
Value traded rose 69,35% to US$36,38 million in the first quarter, up from US$21,48 million in the previous quarter of 2025.
The VFEX All Share Index gained 41,07% year-to-date, reflecting strong investor confidence.
ZSEH said it will continue prioritising innovation, digital transformation and product diversification to support growth across
its exchanges.
“Heightened activity on the VFEX, alongside supportive policy measures from authorities, is expected to sustain this positive trajectory, positioning ZSEH for long-term value creation,” ZSEH said.
It added that efforts to revive the dormant debt market and ongoing product development would support long-term liquidity and growth.-newsday
