VFEX, ZSE reduce settlement periods
THE Victoria Falls Stock Exchange (VFex) has announced the reduction of its trade settlement cycle from three days to two (T+2), effective April 14, 2025, to improve efficiency, deepen the pool of liquidity and boost investor confidence in the market.
T+2, which stands for “trade date plus two business days,” means that investors will now receive proceeds from sales or delivery of purchased securities within two working days.
The shortened cycle enhances the speed of transactions, reduces counterparty risk and aligns VFex with global best practices.
In an official market notice, VFex Head of Markets, Mr Robert Mubaiwa, said: “The Victoria Falls Stock Exchange Limited (VFex) wishes to advise the market of the migration of the settlement cycle from T+3 to T+2, effective Monday, April 14, 2025.
VICTORIA Falls Stock Exchange
“Given the successful tests and co-operation received from the market, VFex expects a seamless transition. Migrating to T+2 means investors can receive their funds or securities two days after trading,” he said.
The shift follows a successful test run and wide engagement with market participants, reinforcing VFex’s ongoing efforts to modernise Zimbabwe’s financial infrastructure and attract both local and international investors.
Analysts say the reduced settlement period may increase market participation by making the local bourse more attractive to both institutional and retail investors seeking quicker access to capital or securities.
Similarly, the Zimbabwe Stock Exchange Limited (ZSE), Chengetedzai Depository Company Limited (CDC), and ZSE Depository (ZSE Depository) also advised the market of the migration of the settlement cycle from T+3 to T+2, effective Monday, April 14 ,2025.
“Following the market consultations and successful testing phase on the migration to T+2, the Securities and Exchange Commission of Zimbabwe (“SECZim”) has approved proceeding to the live implementation stage,” the companies said in a joint statement.
“We are expecting a seamless transition, given the successful tests and co-operation received from the market. Migrating to T+2 means investors can receive their funds or securities two days after trading.”-chornicle
