CBZ Holdings expands footprint into region

Business Reporter

CBZ HOLDINGS has announced ambitious plans to expand its operations into regional markets, marking a significant step in its strategic growth.

The bank’s chief executive, Mr Lawrence Nyazema, revealed this at a gathering of clients and partners in Harare last week, where he outlined the institution’s vision to spread its wings into the broader African financial landscape.

He said international expansion is not merely an opportunistic move, but a well-calculated strategy driven by the need to support its existing partners and capitalise on the vast potential of the African market.

“We cannot remain a Zimbabwean player because our partners are venturing out into the world, and we cannot leave them to go there alone,” he stated.

He further highlighted the importance of mutual growth and support.

The institution’s initial focus will be on entering regional markets, with the first international expansion targeted for this year.

“We are actively engaging key stakeholders as we prepare to expand into regional markets,” Mr Nyazema added.

South Africa, in particular, has emerged as a key target.

Mr Nyazema cited South Africa’s dominance in the continent’s insurance sector, stating: “Seventy percent of insurance revenues for the continent are in South Africa.

“So, by staying away from South Africa, it means you are staying away from 70 percent of the budget.”

This strategic focus underscores CBZ’s commitment to capturing significant market share and driving substantial revenue growth.

However, it is adopting a measured approach, acknowledging its relative size in comparison to established players in these markets.

“We acknowledge our size that we may be big in Zimbabwe, but we are very small elsewhere,” Mr Nyazema admitted.

CBZ plans to leverage partnerships and explore various expansion methods, including joint ventures, greenfield investments, and mergers and acquisitions.

Botswana is also playing a strategic role in CBZ’s international ambitions.

“We like Botswana not as a market where we generate revenue, but we like Botswana because it’s friendly from a capital perspective,” he explained.

“We believe we will be able to raise reasonably priced capital either to deploy in Botswana or to deploy elsewhere in the world.”

Mr Nyazema also addressed the importance of innovation and digital transformation in driving CBZ’s international growth.

He emphasised the institution’s commitment to leveraging technology to enhance customer experience and streamline operations.

“We are leveraging data and digital solutions to create smarter and more accessible financial products,” he said.

CBZ’s international expansion plans are part of a broader strategic restructuring aimed at positioning the institution for long-term success in an evolving financial landscape.