SECZim Launches Regulatory Sandbox to Foster FinTe...

SECZim Launches Regulatory Sandbox to Foster FinTech Innovation

Witness Runodada

Zim Now Reporter

The Securities and Exchange Commission of Zimbabwe has officially launched its Regulatory Sandbox Guidelines, a framework designed to facilitate the controlled testing of capital market-related FinTech solutions before they enter the broader market.

"The goal is to ensure investor protection, financial market stability, and integrity while also encouraging innovation," SECZim stated.

The regulatory sandbox will serve as a bridge between technological advancements and regulatory oversight, allowing innovators to develop solutions that meet market demands without compromising security or transparency.

As part of its mandate to promote market development, SECZim recognizes the importance of adapting to the evolving financial landscape. "The regulatory sandbox will allow innovators to engage with the market and offer novel solutions tailored to emerging needs," the Commission emphasised.

The introduction of these guidelines follows extensive research and insights from regional financial markets, ensuring a structured process for eligibility assessment, application, and testing. By implementing this framework, SECZim aims to expand the financial market’s scope while prioritizing investor-centric products and services.

The sandbox will also serve as a policy-testing mechanism, enabling regulators to assess and refine existing legislation to accommodate emerging financial technologies safely. Its primary focus will be on securities market-related innovations.

"While some innovations will be tested internally, hybrid solutions will be assessed in collaboration with peer regulators to ensure a unified approach to embracing FinTech in the broader financial services sector," SECZim clarified.

This collaborative effort is expected to enhance regulatory efficiency and market integration. SECZim envisions the sandbox as an evidence-based platform that will drive broader FinTech-related policy reforms within Zimbabwe’s securities market.

"By fostering a culture of innovation and collaboration, we are paving the way for a more dynamic, inclusive, and resilient financial ecosystem in Zimbabwe," the Commission affirmed.