Angola is taking valuable cues from Zimbabwe’s pioneering Victoria Falls Stock Exchange (VFEX) as it seeks to modernise its own financial and commodity markets. By studying Zimbabwe’s model, Angola is exploring new approaches to improve price discovery, foster private-sector participation, and expand alternative trading platforms.
Zimbabwe’s VFEX: A Blueprint for Diversifying Markets
In 2024, Zimbabwe introduced new regulations through Statutory Instruments 148 and 149, enabling commodity and mineral trading under the umbrella of the VFEX. This included commodities such as gold, lithium, and diamonds, traded within a framework that is U.S. dollar denominated, not under U.S. law (a common misconception).
The reform aims to deliver flexibility, legal clarity, and greater investor confidence by establishing a transparent system for contracts, clearance, and settlement. Analysts argue the VFEX commodity segment—known as VCOMEX—could catalyse foreign direct investment (FDI), create opportunities in mining and finance, stabilise commodity prices, and expand the tax base.
By demonstrating how a regulated commodity exchange can function in Africa, Zimbabwe has created a reference point for other nations seeking to curb informal trade and attract global investors.
Angola Eyes Exchange Innovation to Boost Market Efficiency
Angola, eager to diversify away from hydrocarbons and reduce reliance on state-owned enterprises (SOEs), is looking closely at Zimbabwe’s example. A delegation from BODIVA, Angola’s stock exchange, visited Harare in 2024 to exchange technical, operational, and regulatory insights with VFEX officials.
This knowledge-sharing effort aligns with Angola’s economic diversification strategy, supported by the IMF and World Bank, which places emphasis on capital-market deepening and private-sector growth. By studying the VFEX model, Angola aims to build a system that enhances market liquidity, improves price formation, and ensures greater transparency.
Ultimately, the move could strengthen Angola’s financial ecosystem, build trust among investors, and open new channels of financing for agriculture, mining, and infrastructure—helping the country move toward a more balanced, market-driven economy.
