finance

Powerspeed sounds off on over regulation

POWERSPEED Electrical (Powerspeed) says the increasing regulatory burden on formal business is driving costs up and tilting odds in favour of informal traders. “Ever increasing regulation of formal business are increasing the cost of doing business in Zimbabwe while making it easier for informal traders, who are now our largest competitors,” Powerspeed said last week…

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Meikles banks on macadamia, avocados

EIKLES says growth in export volumes of macadamia and avocados set-off a decline in bulk tea production at its subsidiary, Tanganda, during the nine months to December 2019. Macadamia and avocado exports grew by 126 percent and 39 percent respectively, compared to the same period last year. “The incremental export sales from these new crops…

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Nssa seeks to reprice Treasury Bills

ZIMBABWE’S state-run pension fund, the National Social Security Authority (Nssa), says it is negotiating with relevant authorities for a better yield on Treasury Bills (TBs) that are on its books. The majority of the government paper in issue yields less than 10 percent per year, while the Reserve Bank of Zimbabwe’s accommodation rate is currently…

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Pension funds dread prescribed assets

ZIMBABWEAN pension funds say they are shunning prescribed assets over fears of “being burnt” by value erosion amid a currency crisis. According to the Insurance and Pensions Commission (Ipec), pension funds had an aggregate prescribed assets compliance level of 7,64 percent as at September 30, 2019, against a requirement of 10 percent, while stand-alone funds…

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Tobacco forex earnings dip

ZIMBABWE’S tobacco export proceeds last year were US$746 million, down from US$838 million during the 11 months to December 2018, data provided by the Zimbabwe National Statistics Agency shows. This was despite a bump in production, from 252 million kilogrammes (kg) in 2018 to 255 million kg in 2019. The decrease in earnings, however, was…

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‘High taxes crowd insurance dollars’

INSURERS say high levies and taxes on premiums have made insurance unaffordable in Zimbabwe, exerting pressure on the country’s insurance penetration rate. At less than two percent, the country’s insurance penetration is very low, particularly in comparison to other countries in the region. “Tax is crowding insurance premiums to the extent that as much as…

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Zimbabwe attractive for private equity

ZIMBABWE’S ongoing reforms make it a viable destination for private equity investment as the economy benefits from improved governance, transparency and management expertise, a local research firm has said. In an outlook note for 2020, a local equities research firm, Akribos said the structural changes to the economy are expected to attract deal flow in…

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Development banks worsening poor countries’ debt burdens: World Bank

WORLD Bank President David Malpass on Monday chided other development banks for lending too quickly to heavily indebted countries, saying some were helping worsen already-challenging debt situations. Malpass said at a World Bank-International Monetary Fund debt forum in Washington that the Asian Development Bank, the African Development Bank, and the European Bank for Reconstruction and…

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Delta, Cassava lead net sellers on ZSE

FOREIGN investors were net sellers of $68,3 million worth of shares on the Zimbabwe Stock Exchange (ZSE) in January, latest figures show. According to the bourse, foreign purchases accounted for $19,8 million worth of shares during the month under review while sales amounted to $88,2 million. Beverages giant, Delta Corporation (Delta), dominated the net sellers…

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