CBZ Eyes Global Market Expansion

Oscar J. Jeke, Zim Now Reporter

Zimbabwe’s largest financial institution, CBZ Holdings, is setting its sights beyond national borders as it prepares for international expansion.

CEO Lawrence Nyazema has outlined a strategy that will see the bank entering key markets in Africa, the Middle East, and the Americas by the end of the year.

CBZ, a dominant player in Zimbabwe’s financial sector, has long sought to expand through mergers and acquisitions. However, regulatory roadblocks have halted recent attempts, including proposed deals with First Mutual Limited and ZB. Despite these setbacks, Nyazema remains steadfast in the bank’s global aspirations.

“We cannot remain a Zimbabwean play,” Nyazema stated during a recent meeting with top clients. “Our partners are venturing out into the world, and we cannot leave them to go there alone.”

CBZ aims to take its first step outside Zimbabwe by the end of 2025, targeting South Africa as its initial market. As a major financial hub, South Africa accounts for 70% of Africa’s insurance revenues. The bank is also eyeing Botswana as a strategic location due to its favorable capital environment, with plans to raise competitively priced capital for local deployment or further expansion.

Beyond Africa, CBZ’s international blueprint includes establishing operations in seven African countries, one Middle Eastern country, and two South American nations. While acknowledging the stiff competition from more established banks in these regions, Nyazema insists CBZ will take a cautious, calculated approach.

“The company is adopting a measured approach, acknowledging its relative size compared to established players in the target markets,” he explained. “We may be big in Zimbabwe, but we are very small elsewhere.”

To finance its expansion, CBZ is aggressively pursuing new funding sources. In February, the bank secured a US$50 million credit line from Afreximbank. It now plans to raise up to US$500 million in capital this year, a move that Nyazema believes will boost Zimbabwe’s economy by facilitating trade and business growth.

“Raising half a billion dollars is our goal, but it must be under the right conditions. If we achieve this, it will greatly benefit the economy by stimulating trade, supporting business activities across various sectors, and ultimately enhancing overall economic growth,” he said.

While Zimbabwean banks have historically struggled to sustain operations beyond their home turf, CBZ is determined to break the cycle.

The bank will explore joint ventures, partnerships, and strategic acquisitions to cement its presence in foreign markets.