Sikhulekelani Moyo
THE Victoria Falls International Financial Services Centre (VFIFSC) and the Securities and Exchange Commission of Zimbabwe (SECZIM) have signed a Memorandum of Understanding (MoU) aimed at strengthening regulatory cooperation and supporting the growth of the financial services market.
Zimbabwe Stock Exchange chief executive officer Mr Justin Bgoni said the agreement, which he described as binding, would allow VFIFSC to concentrate on growing the market and attracting new types of licensees while relying on SECZIM’s expertise and infrastructure for supervision.
Speaking at the MoU signing ceremony, Mr Bgoni said the arrangement would provide a model for cooperation with other regulators.
“We think it’s going to be a template that we’re going to use with other regulators,” he said.
He said as VFIFSC was still new, there could be a temptation for the centre to establish its own infrastructure for supervision and the maintenance of licences.
However, the agreement would allow it to utilise SECZIM’s existing infrastructure, enabling it to focus on attracting new licensees.
“What we are doing is we’re going to use the infrastructure of SECZIM for that. The main job of the centre becomes bringing in new licensees. Then, in terms of supervision, day-to-day supervision, we will work together using the infrastructure of SECZIM to do that,” said Mr Bgoni.
