|ZSE secondary market in sight|
|Sunday, 27 March 2016 16:36|
The Zimbabwe Stock Exchange (ZSE) is expected to establish a secondary market for emerging entrepreneurs by the third quarter of this year.
The registration process of the secondary exchange market for the small to medium enterprises (SMEs) is in progress with capital regulator, the Securities Exchange Commission of Zimbabwe (SECZIM), paving way for the establishment of the emerging market by the third quarter of this year.
Zimbabwe National Chamber of Small to Medium Enterprises Secretary General, Mr Donald Gwisai said the secondary exchange market is important in providing a platform for emerging companies to mobilise fresh capital.
“Indeed this is very critical as we seek to boost our depressed revenues by focusing on new markets,” he said.
The ZSE was last year transformed into a private company through a demutualisation process that resulted in the local bourse focusing on the establishment of a secondary exchange and a bond market to improve the viability of capital markets.
Under the new demutualisation plan, the government has reduced its shareholding from 32 percent to 16 percent with stockbrokers now accounting for 34 percent and the remaining stake will be acquired by pension funds, insurance entities, individuals, banks and corporate investors.