Zimbabwe is set to introduce commodities trading on its dollar-based Victoria Falls Stock Exchange (VFEX) in the final quarter of this year, according to the head of the bourse’s operator.
This move comes as the country seeks to capitalize on its abundant natural resources, including gold, diamonds, lithium, platinum, and coal.
The new trading initiative will be governed by recently published guidelines, which include a requirement for all commodities trading activities to be licensed. These regulations were released by the government on Friday, outlining the framework for mineral commodities trading on VFEX, which is managed by the Harare-based Zimbabwe Stock Exchange (ZSE).
Initially, the ZSE had planned to launch commodities trading in the first quarter of this year, but the rollout was delayed. Now, with the regulations in place, the exchange is preparing for the new market segment.
To obtain a license for commodity trading, applicants must meet specific criteria, including being registered and ensuring that the principal officer has at least one year of experience in trading such assets, as stipulated by the new regulations.
The Victoria Falls Stock Exchange was established in 2020 in the resort city bordering Zambia, offering investors a market with fewer risks related to currency fluctuations and inflation—issues that have long affected Zimbabwe’s economy.
ZSE Chief Executive Officer Justin Bgoni noted that the new rules also cover clearing and settlement requirements for the commodities bourse, ensuring a structured and secure environment for trading these valuable resources.
