(Ecofin Agency) - Zimbabwe will welcome a new stock exchange called the Victoria Falls Stock Exchange by the end of October 2020. The securities exchangeable on this exchange will be made only in foreign currencies, local media said. This new marketplace will be a subsidiary of the Zimbabwe Stock Exchange.

The announced Zimbabwean Stock Exchange is expected to attract foreign capital and investors to the country. To this end, it has put in place incentives such as tax exemption on capital gains. Beyond these measures, the Victoria Falls Stock Exchange hopes above all to regain the confidence of companies that have suffered significant foreign exchange losses due to the volatility of the Zimbabwean dollar.

Since the reintroduction of the local currency for transactions in the country, the shares of listed companies have gradually lost value in the eyes of investors. The suspension of operations on Zimbabwe's main stock exchange in June 2020 has made the situation even more difficult, leading to the repatriation of foreign investors' assets from the country.

Chamberline Moko