Online Reporter
Nqobile Bhebhe, Zimpapers Business Hub
ZIMBABWE recorded a notable increase in credit registry inquiries during the seven-month period from September 2024 to March 2025, with a sharp spike observed in February this year, according to the Mid-Term Budget Review Statement presented in Parliament by the Minister of Finance, Economic Development and Investment Promotion, Professor Mthuli Ncube.
The number of monthly inquiries — an important indicator of credit activity and financial sector confidence — fluctuated significantly throughout the review period.
The Credit Registry, housed within the Reserve Bank of Zimbabwe (RBZ), plays a vital role in the country’s financial ecosystem by supporting sound credit decision-making and helping to mitigate non-performing loans. Launched in 2017, the registry was part of broader reforms aimed at improving Zimbabwe’s ease of doing business, particularly in accessing credit.
This intervention forms part of the Government’s wider reform agenda to enhance the country’s appeal to both foreign and domestic investors, reduce the cost of doing business, improve public service delivery, and ensure value for money.
According to the mid-term budget review document, total inquiries stood at 109 236 in September 2024. However, activity dropped sharply in October 2024, with inquiries falling to just 12 186 — the lowest level during the reporting period.
Inquiries rebounded in the following months, reaching 74 789 in November and climbing to 92 351 in December. A slight dip was recorded in January 2025, with inquiries falling to 82 098.
The most dramatic increase occurred in February 2025, when inquiries surged to 318 517, marking the peak of the review period.
This spike may reflect heightened demand for credit facilities or financial services in anticipation of economic activity or policy changes.
By March 2025, inquiries had declined to 214 648 but remained significantly higher than in most other months.
The increased use of the Credit Registry is viewed as a positive development, signaling growing reliance on credit risk information by lending institutions to assess borrower profiles.
In his presentation, Professor Ncube noted that the sharing of credit information among lending institutions — via the Credit Registry and private credit bureaus — continues to enhance credit market efficiency, financial inclusion, and financial stability. He reported that the Credit Registry had accumulated 5,8 million inquiries as of March 31, 2025, up from 5,2 million at the end of December 2024, indicating improved access to the system.
“Government has been actively raising awareness of the operations and benefits of the collateral registry, an initiative aimed at improving access to credit for under-served segments. Lending institutions continue to broaden the range of movable assets accepted as collateral. During the quarter ending March 31, 2025, registered collateral included household goods, livestock, private vehicles, trucks, agricultural plant and equipment, and shares,” he said.
The mid-term report further highlights that Micro, Small and Medium Enterprises (MSMEs) pledged a variety of movable assets, including construction equipment, agricultural machinery, and Notarial General Covering Bonds (NGCBs), particularly in the agricultural sector — reinforcing the registry’s role in supporting this vital segment of the economy.
Commenting on the impact of the Credit Registry on micro-finance lending, Mrs Regina Moyo, Chief Executive of Mid Level Micro-Finance, said: “The improved access to credit history through the Credit Registry has significantly reduced our default rates and helped us make more informed decisions. It has empowered even informal traders to build credit profiles, giving them better chances of securing loans at more favorable rates.”
“For the micro-finance sector, this is a game-changer. We are seeing more MSMEs being able to leverage movable collateral and access much-needed capital, particularly in agriculture and small-scale trading.”
