ZSE and FBC Crown Bank Launch Share-Backed Loans

By Nyashadzashe Ndoro - Chief Reporter

The Zimbabwe Stock Exchange Holdings Limited (ZSE Holdings) has partnered with FBC Crown Bank Limited to introduce securities-backed lending, a financing model that allows investors to unlock capital from their investment portfolios without liquidating their holdings.

The facility will enable corporate, institutional, and retail investors with securities held in the Zimbabwe Stock Exchange (ZSE) and Victoria Falls Stock Exchange (VFEX) Depositories to access loans using their shares as collateral. Under the arrangement, pledged securities remain active, allowing investors to continue benefiting from price appreciation and dividend income.

FBC Crown Bank, formerly Standard Chartered Bank Zimbabwe Limited, will provide tailored lending solutions with competitive interest rates, negotiated directly with clients. The ZSE and VFEX Depositories will manage the pledging process to ensure transparency, proper recording, and investor protection.

ZSE Holdings Group Chief Executive Officer Justin Bgoni said the initiative was designed to improve liquidity in the market while preserving investor participation.

“This collaboration bridges the gap between investment and liquidity, allowing investors to participate in the market while also meeting their funding needs,” he said.

The launch of the securities-backed lending service comes as the capital markets push for deeper product diversification and greater financial inclusion. FBC Crown Bank Managing Director Mubaiwa Mubayiwa said the facility underscores the bank’s commitment to innovative, asset-based financing that responds to evolving client needs.

ZSE Holdings oversees both the ZSE, a multi-asset class trading platform, and the VFEX, positioned as an offshore financial hub to attract local and international investors. The company’s depositories play a central role in securities custody, clearing, and settlement, and will also oversee the administration of securities pledges under the new facility.

Interested investors can access the service through Crown Bank relationship managers upon completing the required documentation.