ZIMBABWE Trends and Developments Contributed by: Norman Chimuka and Tonderai Sena, ChimukaMafunga Commercial Attorneys
requirements. It does this in conjunction with invest- ment promotion bodies such as the Zimbabwe Invest- ment Development Agency (ZIDA), Zimbabwe Stock Exchange (ZSE) and other regulatory bodies. The RBZ is also responsible for granting approvals to import- ers and exporters to make foreign payments through authorised dealers (banks). Monetary policy and economic stability The RBZ formulates and implements monetary poli- cies in a bid to ensure that the economy and the investment environment remain stable. It also controls inflation, which directly impacts the interests of inves- tors. Further, the RBZ regulates permissible interest rates so as to protect the interests of investors. Consumer and Investor Protection The RBZ provides a regulatory framework which pro- tects both consumers and investors, fostering a safe and transparent investment environment.
The following points are of notable interest to pro- spective investors: • No Restriction on Foreign Currency: The RBZ does not restrict the amount of foreign currency that can be invested in Zimbabwe. • Repatriation of Funds: Investors are allowed to repatriate proceeds and investments. • Foreign Currency Accounts: Foreign investors are permitted to open and operate foreign currency accounts in Zimbabwe. • Borrowing: Foreign investors are permitted to bor- row locally and/or internationally. Exchange control approvals The RBZ considers and grants exchange control approvals for restructurings, takeovers, mergers, acquisitions, and rights issues involving foreign investment. The RBZ also regulates the remittance of dividends and disinvestment proceeds to ensure compliance with exchange control regulations.
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