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Herald Reporter

The exchange control regulations have been gazetted to allow investments and trading in the new Victoria Falls Stock Exchange, an equity market that will allow shares to be quoted and traded in foreign currency.

The Exchange Control (Special Provisions for Securities Listed on Victoria Falls Stock Exchange) Regulations, 2020 were gazetted by President Mnangagwa in Statutory Instrument 196 on Monday.

Under the regulations, securities listed on the Victoria Falls Stock Exchange shall be tradable and settled in United States dollars or a convertible currency.

Zimbabwean companies already listed on the Zimbabwe Stock Exchange may list on the Victoria Falls Stock Exchange a maximum of 20 percent of its capital on the Zimbabwe Stock Exchange, but these foreign currency shares have to be funded from an offshore source or from free funds.

Foreign companies may list on the Victoria Falls Stock Exchange, but any capital raised by such company on the Victoria Falls Stock Exchange is from an offshore source or from free funds.

A foreign company that had de-listed from the Zimbabwe Stock Exchange in the five years preceding its listing on the Victoria Falls Stock Exchange must, however, reinvest or employ in Zimbabwe 20 percent of the capital raised on the Victoria Falls Stock Exchange no later than five years from the date that it was raised.