NEWS ANALYSIS: Zimbabwe presents an opportunity for SA financial services firms
Old Mutual and Nedbank say they are committed to growing their operations in Zimbabwe despite the challenges in that market
Zimbabwe certainly is a challenging market at the best of times and not for the fainthearted, especially when it comes to financial services. According to the World Bank’s development indicators, the number of depositors at commercial banks there almost halved to 244 per 1,000 adults in 2016, from 480 a decade earlier. Although there has been a slight improvement to 392 depositors per 1,000 adults in 2017, cash shortages and political instability still make the country relatively unattractive from an investment point of view. However, SA financial institutions with operations in Zimbabwe say despite the challenges they are committed to growing their market share in the country. Warwick Bam, head of research at Avior Capital markets, says he is not surprised because while the potential for opportunity in the country in the short to medium term is gloomy, “Zimbabweans will need financial services more than ever through this crisis”. Many businesses came to a standstill earlier this mo...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.