Staff Reporter
Commercial Bank of Zimbabwe (CBZ) Holding Limited has emerged as a formidable force in the banking sector as it takes a lead in banking, life assurance, and property markets.
During an exclusive interview with this publication, the source within CBZ divulged key strategic moves that include CBZ’s acquisition of a substantial 36 percent stake in First Mutual, underscoring that organisation’s commitment to fortify its position in the financial sector.
The source further emphasised CBZ’s imminent takeover of ZB Financial Holdings where it plans to secure a controlling stake.
According to the source, this strategic collaboration aims to bolster the entities’ resilience against market fluctuations. The source said the merger will be advantageous in funding of large transactions for both the private and public projects.
"The partnership between CBZ and ZB is a strategic alignment that positions us to effectively navigate market shocks, ensuring stability and success in substantial transactions,” said the source.
Furthermore, this diversification into multiple sectors not only strengthens CBZ’s standing in the banking industry but also establishes resilience in the face of economic uncertainties.
"CBZ's diversified portfolio ensures our ability to navigate challenges, providing stability and alternative means for sustainable growth,” the source emphasised.
Speaking on investment security, the insider underscored the significance of CBZ’s multifaceted approach.
"By diversifying our interests across banking, life assurance, and properties, CBZ effectively spreads risks, offering investors a robust layer of security,” said the source.
However, the source lamented that the road to expansion faced a regulatory hurdle.
Competition and Tariff Commission (CTC) reportedly delayed the collaboration between CBZ and ZB Financial Holdings, expressing concerns about potential market concentration.
"Despite fulfilling all regulatory requirements by the end of 2023, CTC raised concerns, prompting a re-evaluation of our collaborative efforts.”
Meanwhile, the strategic moves within the financial landscape position the conglomerate as a force driving sustained growth and stability.
