VFEX roars to record 24% surge
STAFF WRITER
The Victoria Falls Stock Exchange (VFEX) has stormed to a record 24% year-to-date gain, cementing its position as Zimbabwe’s premier investment destination and drawing heightened interest from both institutional and retail investors.
Chief executive Justin Bgoni said the stellar rally has triggered a cultural shift in investor behaviour, with many shareholders now treating their VFEX holdings as long-term security.
“Investors are refusing to sell, with some telling us that this is now their retirement plan. They are beginning to see value in holding long term, which is exactly what we wanted when we launched VFEX,” Bgoni said.
Launched in 2020 as an offshore-oriented trading platform, VFEX was designed to lure foreign capital with a mix of incentives. Listed companies benefit from exemptions on certain capital gains taxes, trade in hard currency, and enjoy investor-friendly repatriation guarantees.
Bgoni credited the migration of mining firms for powering the current rally. Heavyweights including Caledonia Mining Corporation, Padenga Holdings, Bindura Nickel Corporation, and Seed Co International have shifted from the Zimbabwe Stock Exchange (ZSE), transforming VFEX into a mining-led powerhouse.
“When you look at our mining counters, the growth trajectory has been phenomenal. These are world-class companies with global shareholders, and their presence gives depth and credibility to VFEX,” Bgoni noted.
Turnover has surged in 2025, with average daily trades up more than 40% compared to last year, according to preliminary data. Analysts say this liquidity boost is drawing pension funds, asset managers, and retail investors seeking hard-currency returns in Zimbabwe’s fragile economy.
Financial analyst Charles Moyo described the 24% surge as “a strong signal that VFEX is no longer a fringe market but a serious platform for value preservation.”
Still, some observers caution that the rally leaves VFEX exposed to volatility risks if liquidity wanes or if commodity prices slump, given its heavy concentration in mining and agriculture.
Bgoni dismissed fears of overheating. “We are not in a bubble. Our growth is anchored on real businesses with strong fundamentals. VFEX is here to stay,” he said.
To broaden its base, the exchange is courting new listings in tourism, banking, and manufacturing, with at least four issuers expected before year-end.
For now, the numbers speak loudly: a 24% return in less than nine months, swelling liquidity, and a growing perception that VFEX has matured from an experimental platform into a serious market force.
