Vic Falls financial hub targets $10bn assets to drive regional growth

Nqobile Bhebhe Zimpapers Business Hub

ZIMBABWE is targeting to attract and manage US$10 billion in assets within the next five years through the Victoria Falls International Financial Centre (VFIFC), as the country steps up efforts to position itself as a regional gateway for international capital and investment.

The ambitious target underscores the country’s growing appetite to leverage its mineral wealth, expanding capital markets and strategic geographical position to attract international financial institutions and unlock long-term funding for productive sectors.

The initiative is expected to strengthen Zimbabwe’s capacity to mobilise foreign currency resources for mining, energy, agriculture, tourism, infrastructure, logistics and technology, sectors requiring substantial long-term investment to expand production and support economic transformation.

Presenting on positioning Zimbabwe as a regional financial centre at the ongoing inaugural Financial Markets Stakeholder Summit in Bulawayo, VFIFC chief legal officer Mrs Meluleki Sibanda said the US$10 billion assets-under-management target within five years represented the centre’s long-term ambition.

The focus, she indicated, was to establish a financial jurisdiction that could connect international investors with investment opportunities in Zimbabwe and the wider Southern African region.

“Our ambition is to build a financial centre that does more than attract institutions; it must mobilise substantial international capital and channel it towards productive investment.

“The US$10 billion assets-under-management target within five years reflects the scale of opportunity we see for Zimbabwe and the wider region,” she said.

The target comes as Zimbabwe seeks to harness its resource endowment and growing economic opportunities to attract capital capable of supporting industrial expansion, infrastructure development and export growth.

The country’s mining sector provides a particularly strong investment proposition, accounting for approximately 80 percent of export earnings and contributing 14,5 percent to gross domestic product.

Zimbabwe also produces an estimated nine percent of global lithium supply, while mineral export revenue was estimated at US$6,2 billion in 2025.

These figures show the scale of investment opportunities in mineral exploration, beneficiation, processing and supporting infrastructure, particularly as the country seeks to derive greater value from its natural resources.

Beyond mining, agriculture, energy, tourism, logistics and technology have been identified as sectors requiring long-term foreign currency investment to improve productive capacity and competitiveness.

“Zimbabwe has significant investment opportunities in mining, energy, agriculture, tourism and infrastructure. What is required is a trusted financial gateway that connects these opportunities with international investors seeking long-term returns in a predictable and internationally aligned regulatory environment,” Mrs Sibanda said.

The development of the VFIFC is therefore intended to address the need for a dedicated financial jurisdiction capable of attracting and structuring international capital.

Mrs Sibanda pointed to established financial centres such as Casablanca, Mauritius and Kigali, which have demonstrated how specialised regulatory environments can attract international investors and financial institutions.

According to the Global Financial Centres Index 40 released in October 2026, Casablanca ranked 38th globally, followed by Mauritius at 55th and Kigali at 80th. Cape Town and Johannesburg ranked 93rd and 95th, respectively.

Kigali has attracted more than 300 investors in approximately five years, demonstrating the potential of dedicated financial centres to build international investor confidence and attract substantial business activity.

The VFIFC is being developed as a ring-fenced jurisdiction with its own licensing, regulatory and incentive framework, operating mainly in foreign currency.

Its establishment follows the policy direction set in the 2019 National Budget, with the centre formally established through Statutory Instrument 29 of 2025.

The regulatory framework was subsequently strengthened through SI 43 of 2026, covering banking regulations, and SI 63 of 2026, which provides for capital markets licensing.

She noted that the centre has already recorded early momentum, with approximately 70 licences issued across financial and professional services within six months of opening.

These include licences covering securities trading, asset management, custodial services and financial advisory services.

The institution is targeting a broader financial services ecosystem encompassing banks, development finance institutions, fund and asset managers, fintech companies, family offices and professional service providers.

The growth of the Victoria Falls Stock Exchange (VFEX) is also providing an important foundation for this ambition.

The exchange’s market capitalisation increased from US$2,1 billion in January 2026 to US$8,3 billion in September, representing growth of approximately 295 percent in eight months.

The VFEX had 20 listed securities comprising equities, real estate investment trusts, an exchange-traded fund and a bond.

It overtook the Zimbabwe Stock Exchange by market value in April 2026, while Old Mutual Limited has also relisted on the exchange.

The expanding US dollar-denominated market provides an avenue for companies and investors seeking foreign currency-based investment opportunities, although its market capitalisation should be distinguished from actual capital mobilised by the VFIFC.

For the US$10 billion target to be achieved, the centre will need to move beyond issuing licences and attract institutions that conduct substantial business, introduce new financial products and bring fresh investment into the economy.

Mrs Sibanda identified several operational priorities for the year ahead, including acquiring and renovating premises to accommodate licensed institutions and establishing a bank within the centre, supported by settlement and payment systems.

The centre is also engaging the Zimbabwe Revenue Authority on developing a competitive tax framework that improves the economics of operating within the jurisdiction.

An integrated digital licensing and regulatory platform is being developed to streamline applications, reporting and ongoing compliance, making it easier for institutions to establish operations and meet regulatory requirements.

Another priority is completing the anti-money laundering and counter-terrorism financing risk assessment and strengthening risk-based supervision in line with international standards.

This is particularly important in attracting international financial institutions, which require confidence in the regulatory integrity, transparency and credibility of the jurisdictions in which they operate.

The VFIFC’s investment proposition is anchored on legal certainty, foreign currency operations, competitive tax incentives, streamlined authorisation and access to the growing VFEX capital market.

Its geographical position also provides access to regional markets, with Victoria Falls located close to the borders of Zambia, Botswana and Namibia.

This offers opportunities to serve investors and businesses seeking to access markets across Southern Africa while using Zimbabwe as a financial and investment gateway.

However, the centre’s ultimate success will depend on its ability to translate its regulatory framework and early licensing achievements into actual capital flows, investment transactions and economic activity.

“The success of the Victoria Falls International Financial Centre will ultimately be measured by the capital it mobilises, the institutions it attracts, the financial products it introduces and the jobs it creates. Our focus is to ensure that international capital translates into tangible economic development,” Mrs Sibanda said.

The centre has identified mobilised capital, institutions operating substantively, new products introduced, jobs created, regulatory credibility and contribution to economic transformation as key indicators of performance.

Delegates said the US$10 billion target presents an opportunity for Zimbabwe to deepen its financial markets and build a competitive international financial services industry capable of supporting the country’s broader development objectives.

Source: Vic Falls financial hub targets $10bn assets to drive regional growth – herald

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