-
Old Mutual says it continues to grow, despite suspension from trading
Staff Writer
Old Mutual Zimbabwe says engagements with authorities continue on the potential lifting of the suspension from trading on the main bourse, the Zimbabwe Stock Exchange (ZSE).
In June 2020, Old Mutual Zimbabwe, PPC, and Seed Co International were suspended by the government from Zimbabwe’s main bourse due to the fungibility of their shares.
The government during that time argued that the fungibility of the shares was being used to fuel the parallel market, as the Old Mutual implied rate (OMIR) was used to determine a forex rate that was widely adopted as the market-determined foreign currency exchange rate—one that was higher than its official counterpart.
In an interview, group chief executive Samuel Matsekete said the matter is under the purview of the principals.
They negotiate and engage with the authorities here because the OML on the listing really is our holdings.
“There have been a number of engagements to try and see if there can be a way forward that allows parties invested in the share or those that want to invest in the share to trade, but we still are having the share suspended.
“I believe that where we are now with the authorities is to explore really what could be done in the meantime if the suspension can be lifted,” he said.
Experts believe the relisting of OMZIL will create another liquid counter on the ZSE, especially at a time some blue-chip counters have migrated to the Victoria Falls Stock Exchange (VFEX).
According to Matsekete, the suspension has not had an effect on group operations, as it continues to grow.
“There has not been inter positioning of the business in the market, we have continued to grow and extend our reach to even customer segments that we would have not served as well as we are now doing.
“We have also continued to acquire new customers and continued to receive the support of regulators and policymakers in terms of the initiatives that we are undertaking as a business in Zimbabwe,” he said.
However, Matsekete said there has been indirect adverse impact, which would probably be experienced by anyone that is managing assets and those holding the Old Mutual Share.
“That impact shows in that you are not able to fully meet your old clients’ requirements; some of them would have wanted to sell, some would have wanted to buy, and we have seen these implications come through to say, ‘How can I access the Old Mutual Share?’ or ‘Can I sell the shares?’ and some of the funds that we manage hold these positions,” he said.
Authorities argued the fungible counters were being used as vehicles of capital flight by investors who would buy a local stock of Old Mutual and then sell off on South Africa’s Johannesburg Stock Exchange.
Lloyd Mlotshwa, the head of research at broking firm IH Securities, in an earlier interview, said the current suspension has negatively impacted the numerous public investors in Old Mutual, including pensioners in this country who are indirect victims and have lost value on their capital.
He said the relisting allows them to at least partially recover their invested capital.
“The ZSE will benefit greatly from the re-admission of Old Mutual; it creates another liquid investment alternative in a blue-chip business with an extensive track record in this country. “This will lift the current market capitalisation of the ZSE and improve daily trading volumes,” he said.
Investment analyst Enock Rukarwa also highlighted that the relisting is a welcoming initiative to investors, as it restores fundamentals around share capital appreciation and provision of an efficient exit route for current investors.
“More so, given a situation where stock pick quality has dissipated on account of VFEX migrations, Old Mutual re-listing will ignite increased attention of the ZSE as investor options broaden.
“However, fungibility has to be restored to foster efficient trading, especially for foreign investors,” he said.
-
Pension funds pour over ZWL$1.2 billion into Masvingo projects as Minister urges more investments
Pension funds pour over ZWL$1.2 billion into Masvingo projects as Minister urges more investments
Staff Writer
Pension funds have injected more than ZWL$1.2 billion into infrastructure and social development projects across Masvingo Province over the past three years, in a wave of investments that has boosted housing delivery, healthcare, and education.
The figures were revealed by the Minister of State for Provincial Affairs and Devolution for Masvingo Province, Ezra Chadzamira, who said the investments had created jobs, improved public services, and stimulated economic activity in line with the Second Republic’s development vision.
“Over the past three years, pension funds have invested over ZWL$1.2 billion in infrastructure and social development projects across the Province. These include the construction of low-cost housing units in Chiredzi and Gutu, the refurbishment of clinics in Zaka and Bikita, and the development of commercial properties in Masvingo Urban,” said Chadzamira.
“These investments have not only improved access to shelter and healthcare but have also created jobs, supported SMEs, and enhanced the quality of life for thousands of residents.”He made the remarks while addressing the Zimbabwe Association of Pension Funds Principal Officers and Chairman Convention held in Masvingo on today.
Chadzamira said pension funds were now central to Zimbabwe’s development agenda, describing them as active architects of economic transformation.
“Under His Excellency, the President of the Republic of Zimbabwe, Cde Dr. Emmerson Dambudzo Mnangagwa’s guidance, the Second Republic has created an enabling environment for pension capital to be mobilized toward strategic investments that uplift communities, stimulate growth, and secure long-term returns,” he said.
The Minister commended the sector for partnering with local authorities to upgrade school infrastructure — including the installation of solar power systems and water tanks in rural schools — in line with President Mnangagwa’s vision of “Leaving No One and No Place Behind.”
Pension funds have also emerged as key players in the energy sector. The Public Service Pension Fund (PSPF)holds a stake in the Great Zimbabwe Hydro Power Station, now contributing 5MW to the national grid, and is a key investor in the Tugwi-Mukosi Hydro Power Station, expected to add 15MW once completed.
Chadzamira said Masvingo’s strong economic potential presented new frontiers for pension fund participation in **tourism, housing, renewable energy, and agro-industrial infrastructure.
He noted that tourist arrivals in the province — home to the Great Zimbabwe Monument, Lake Mutirikwi, and Gonarezhou National Park — were projected to rise by 8.5% annually, yet the region required at least 1,500 new hotel rooms by 2027.
Urbanization was also accelerating, with a housing backlog exceeding 11,000 units across Masvingo Urban, Chiredzi, and growth points. Pension funds, he said, could unlock value by investing in mixed-use residential developments offering affordable housing alongside retail and commercial spaces.
The Minister further encouraged the development of solar mini-gridsin the Lowveld, where solar irradiance levels are high. He cited apilot 5MW solar project in Chikombedzi, which currently powers over 2,000 households and 50 enterprises, as proof of concept.
In agriculture, Chadzamira said ZWL$800 million was needed to modernize water reticulation systems in Chiredzi and Mwenezi to unlock full productivity in sugarcane, citrus, and livestock farming.
“These opportunities are not just theoretical — they are real, measurable, and transformative. The time to act is now,” he said.
He also called on pension funds to consider industrial park investments along the North–South and East–West corridors, leveraging Masvingo’s strategic location to support manufacturing, agro-processing, and logistics hubs.
Commending the Zimbabwe Association of Pension Funds for promoting governance and transparency, Chadzamira said the province stood ready to offer land and policy support to ensure investment
-
Fund managers urged to strengthen governance, transparency and public trust
Staff Writer
ZIMBABWE Association of Pension Funds (ZAPF) Chairperson Phoebe Zvisinei Chawasarira has urged fund managers to strengthen governance, transparency, and value creation to restore and sustain public trust in the pensions industry.
Chawasarira said the lessons from past economic crises must guide the industry’s next chapter, warning against repeating the mistakes that eroded member confidence during the hyperinflation era.
“To sustain our legacy, we must recommit ourselves to the principles that have anchored this industry: prudence, integrity, innovation, and advocacy,” she emphasised.
Speaking at the 6th Edition of the ZAPF Principal Officers and Chairman’s Convention in Masvingo, running under the theme “50 Years of Pension Leadership: Sustaining Legacies, Shaping Futures,” Chawasarira said the sector’s long-term survival depends on responsible stewardship and renewed commitment to fiduciary duty.
She noted that the pension industry has been central to Zimbabwe’s economic growth over the past five decades, having financed industries, supported infrastructure, and provided a vital safety net for millions of families.
“Over the last five decades, the pension sector in Zimbabwe has been at the heart of social and economic development. We have financed industries, supported infrastructure, and provided a vital safety net for millions of Zimbabwean families,” she said.
However, she acknowledged the sector’s painful past, especially the massive erosion of pension value during the hyperinflation period before 2009, which left many retirees destitute.
“We cannot speak about pensions in Zimbabwe without acknowledging one of the most painful chapters in our collective history. Lifetime savings, faithfully contributed over decades, were wiped out in real terms. The promise of retirement security was broken, and the confidence of members tested,” she said.
Chawasarira said the industry must draw from those lessons to build a more resilient, transparent, and member-driven system that safeguards retirement savings from future shocks.
“The future of pensions will not be defined by what we lost, but by what we build next,” she said, noting that ongoing discussions around regulation, technology, strategic investments, and member welfare are key to shaping a more sustainable sector.
She also called for stronger collaboration between funds, regulators, and government to ensure that pensions remain a cornerstone of national stability and inclusive growth.
“As we shape the next 50 years, let us also strengthen collaboration between funds, regulators, and government, ensuring that our pension system remains a cornerstone of national stability and inclusive growth,” she said.
Chawasarira said the 50-year milestone represents both celebration and reflection — honouring a legacy built on advocacy, accountability, and transformation.
“Let us celebrate our past with gratitude, engage our present with courage, and embrace the future with renewed purpose,” she said.
The convention brought together principal officers, chairmen, regulators, and partners from across the pension industry to reflect on reforms, member protection, and strategies for long-term sustainability.
-
Zimbabwe’s DPC CEO Elected Vice-Chairman of IADI Africa Regional Committee
Staff Writer
HARARE: The Deposit Protection Corporation (DPC) has announced the election of its Chief Executive Officer, Hopewell Zinyau, as the Vice-Chairman of the International Association of Deposit Insurers – Africa Regional Committee (IADI-ARC).
In a statement, DPC said the appointment marks a major milestone for Zimbabwe, underscoring the country’s growing role in shaping regional and global financial safety-net systems.
“It also reflects recognition of Mr Zinyau’s leadership, expertise, and commitment to strengthening deposit protection across Africa.
“The Africa Regional Committee serves as a key platform for deposit insurers on the continent to share knowledge, foster collaboration, and enhance deposit insurance frameworks.
“Through initiatives such as training, research, and policy guidance, the Committee plays a central role in advancing financial sector stability,” DPC said.
IADI-ARC is one of eight regional committees of the International Association of Deposit Insurers (IADI), which was established in 2002 and is headquartered at the Bank for International Settlements in Basel, Switzerland.
IADI has grown into a global standard setter for deposit insurance, working closely with international institutions such as the Basel Committee on Banking Supervision, the World Bank, and the International Monetary Fund. The Association currently represents over 100 deposit insurers worldwide.
“Mr Zinyau’s appointment enhances Zimbabwe’s profile in the international financial community, adding that his new role will contribute to advancing best practices and safeguarding depositor confidence across the African continent,”DPC concluded.
-
Old Mutual Limited set priorities to generate growth over the medium to long term.
Staff Writer
Old Mutual Limited delivered adjusted headline earnings of R4.2 billion for the six months ended 30 June 2025, uplifting return on net asset value to 15.5% amid sales and persistency pressures.
The group’s adjusted headline earnings growth of 29% was driven by strong underwriting performance in Old Mutual Insure and strong equity market performance, particularly in South Africa and Malawi.
The Board declared an interim dividend of 37 cents per share, reflecting an increase of 9%.
The group said establishing strategic priorities have been sharpened with an emphasis on focused execution, optimising operational efficiencies and disciplined capital allocation to drive the achievement of a value accretive return on group equity value in the medium term.
“As part of our focus on shareholder value creation, we are pivoting to return on group equity value and cash generation as our value creation metrics. This shift enhances clarity and establishes a demonstrable link between strategic intent, execution and value creation,” the group noted.
The four Group’s strategic priorities are structured to unlock value in the short to medium term, while positioning the Group to generate growth over the medium to long term.
These include: Drive the competitiveness of the South African business » Deepen market leadership in Southern Africa » Establish the right to win for OM Bank » Evaluate and pivot on growth markets.
Results from operations increased by 16% primarily driven by exceptional growth in Old Mutual Insure and favourable market conditions.
“This growth was partially offset by the negative impact of a persistency basis change in Mass and Foundation Cluster and higher central costs, which includes a once-off restructuring provision incurred to reduce future expenditure.”
Adjusted headline earnings grew by 29%, supported by an 88% increase in shareholder investment returns.
Malawi faced elevated equity markets and heightened currency risk as a result of sustained inflationary pressures.
Return on net asset value was 15.5%, within the target range, supported by earnings and ongoing balance sheet optimisation.
However, excluding higher than expected market returns, return on net asset value would have been below the target range.
IFRS profit and headline earnings declined, mainly reflecting reduced profits from the Zimbabwean business after the transition of its functional currency from Zimbabwe Gold to the United States dollar. The impact on net asset value was limited owing to lower currency translation losses reported in equity.
“We saw muted sales growth with present value of new business premiums decreasing by 7%. Life APE sales increased by 1%, with higher retail risk volumes in Mass and Foundation Cluster and good sales in Old Mutual Africa Regions largely offset by lower guaranteed annuity sales in Personal Finance.
Gross flows grew by 7%, driven by good contributions from Wealth Management and Old Mutual Africa Regions, partially offset by lower inflows in Personal Finance. Gross written premiums increased by 5% driven by good growth in Old Mutual Insure.
Looking ahead, The company said the combination of geopolitical headwinds and resilient market sentiment underpins a cautious but constructive outlook for the remainder of 2025.
It said strategic priorities have been sharpened with an emphasis on focused execution, optimising operational efficiencies and disciplined capital allocation.
“Through improved competitive positioning, the Group will be well positioned to lift growth and market share going forward.
“In order to restore our value of new business margin to an acceptable level, we have a strong resolve to drive expense efficiencies, supported by the operating model redesign and leaner corporate centre,” it said.
Saturday, Nov 15, 2025
