THE Securities Act is being amended to give the Securities Exchange Commission of Zimbabwe (SECZ) powers to regulate listed companies.
BY BUSINESS REPORTER
SECZ chief executive officer, Tafadzwa Chinamo said it was an anomaly that the capital markets regulator is not in direct charge of issuers of securities.
“The fact that we are currently not in direct charge of issuers is an anomaly we are working to address through amendment of the Securities Act,” he said.
“It is the duty of securities regulators to regulate listed companies, that is, issuers of securities. Our own name is the Securities and Exchange Commission, which means we have a duty to oversee all aspects of the capital and securities markets.”
Currently, the Zimbabwe Stock Exchange (ZSE) oversees issuers of securities and reports to SECZ.
Earlier this year, SECZ could only watch after Econet disregarded the ZSE’s board and went ahead with an extraordinary general meeting that approved the raising of $130 million to extinguish foreign debt.
ZSE chief executive officer, Alban Chirume was suspended following the chaos. His case is still to be resolved.
Chinamo said the capital markets regulator was working to ensure there is proper disclosure among listed companies.
“This is an ongoing thing. Disclosure will always need improving. On our part educating investors on the operations on the market and their rights is a big part of achieving that goal,” he said.