Diaspora Kapita Aims to List on Zimbabwe’s VFEX to Facilitate Diaspora Investments

Diaspora Kapita is set to list on Zimbabwe’s dollar-only VFEX to facilitate real estate investments for Zimbabweans abroad. The company will issue bonds aimed at both institutional and retail investors, with repayments sourced from diaspora property purchases. Founded by 13 expatriates, it notably generates $46 million annually in funeral premiums.

Diaspora Kapita is poised to debut on Zimbabwes foreign currency-denominated Zimbabwe Stock Exchange (VFEX), seeking to assist Zimbabweans abroad in purchasing real estate in their home country. The company aims to generate capital through a bond targeting both institutional and retail investors, with its repayment tied to the international diaspora’s acquisition of properties. By establishing a reliable foreign currency revenue stream, Diaspora Kapita is setting a precedent in the investment community.

This strategic initiative aligns with the VFEX’s objectives, as the exchange, operational for two years and featuring approximately 15 listings, provides various tax incentives and benefits for investors. Moreover, Diaspora Kapita was established by 13 Zimbabweans residing abroad and has diversified investments across financial services, insurance, agritech, and funeral services, reportedly generating yearly premiums of approximately $46 million in the latter sector.

The Zimbabwe Stock Exchange’s VFEX aims to provide an alternative investment platform, particularly geared towards foreign currency transactions. Launched two years ago, the VFEX offers tax advantages and incentives designed to attract foreign investments. The inclusion of companies like Diaspora Kapita, which addresses the needs of the Zimbabwean diaspora, highlights a progressive movement towards revitalizing Zimbabwean investment opportunities and fostering economic growth through expatriate contributions.

In summary, Diaspora Kapita’s forthcoming listing on Zimbabwe’s VFEX represents a significant move towards empowering Zimbabweans abroad to engage in real estate investments within their home country. By harnessing the financial potential of the diaspora, the company not only promises a substantial return on investment but also aims to enrich Zimbabwe’s economic landscape through increased foreign currency inflow. This promising development underscores the VFEX’s role as a critical player in bridging diaspora resources with national economic needs.

Original Source: www.zawya.com