Chairman’s Statement
Operating Environment:
The operating environment has been commendably stable in the first half of 2026, backed by increasing forex inflows and reserves, the exchange rate depreciated by 4.65% from ZWG25.5806 in January 2026 to ZWG26.7698 by the end of June 2026. Inflation remained in single digits, averaging 2.5% in the first half of the year, closing the period at 3.5%. However, global headwinds, particularly energy price shocks, posed a risk to these stability gains, exacerbating persistent domestic structural bottlenecks. To anchor inflation expectations, the Reserve Bank of Zimbabwe (RBZ) has maintained a tight monetary policy stance, while cautiously easing interest rates from 35% to 30% to encourage private spending and investment.
In the productive sectors, performance has also been exemplary, driven by record areas under cultivation in agriculture and robust mining revenue inflows. Meanwhile, there has been structural and regulatory transformation, including bans on raw mineral exports, the reservation of small-scale mining operations exclusively for local citizens, and a mandatory local sourcing requirement for grain millers and processors, who must now procure at least 40% of their grains and cereals domestically. In manufacturing, capacity utilization has risen to 62.1%, signaling a sustained uptick in industrial activity and local resource beneficiation.
Meanwhile, the Group remains fully aligned with the 2026 Monetary Policy Statement and the broader Vision 2030, with its forward agenda centred on strengthening operational resilience and refining business models to perform effectively under current conditions.
Group Performance:
The Profit After Tax (PAT) stood at ZWG0.248 billion compared to the ZWG 0.428 billion in 2025. However, the Group’s sustainable profit after tax (excluding unrealised Exchange Gains and Fair Values) increased from ZWG0.087 billion in 2025 to ZWG0.176 billion for the period ended 30 June 2026 as the Group placed more reliance on revenues earned from its core business.
Capital Requirements:
The Group remains committed to maintaining robust capital adequacy. As at 30 June 2026, all the Group companies were in compliance with the prescribed minimum capital requirements. The Building Society is undergoing liquidation following the Reserve Bank of Zimbabwe (RBZ)’s approval of the cancellation of its Banking license on 19 December 2025. The liquidation process is being administered by the Depositors Protection Commission (DPC) who were appointed in compliance with regulation.
Dividends:
There was no dividend declared for the reporting period ended 30 June 2026.
Sustainability and Environmental, Social, and Governance (ESG) Reporting:
The Group’s strategy and operations remain grounded in sustainability principles. ZB Financial Holdings integrates environmental, social, and governance (ESG) priorities into its operations through green financing for renewable energy, climate smart agriculture, and eco friendly infrastructure, while expanding financial inclusion via digital platforms. The Group also supports community development, education, and health initiatives, and promotes ethical banking, transparency, and compliance with international standards. It remains committed to meeting Sustainability and ESG requirements, including regulatory ESG reporting.
Directorate:
Ms. M Makosazana was appointed as a Non-Executive Director of ZB Financial Holdings Board with effect from 31 March 2026. We look forward to her invaluable contribution towards the Group’s continued success.
Outlook:
The outlook remains positive, with the government expecting the 2025 growth momentum to carry into 2026, albeit at a slightly moderated pace of 5%, down from 6.6% recorded in the prior year. A stable macroeconomic environment, coupled with robust performance in key productive sectors, particularly agriculture and mining, is expected to remain the primary anchor of economic activity.
However, from a global perspective, the outlook remains largely contingent on conditions in the oil market, which have a direct bearing on domestic exchange rates and inflation dynamics. If the ongoing de-escalation in the Middle East is sustained, the resulting stability in energy markets is likely to reinforce the optimistic economic outlook.
Against this backdrop, the Group remains unwavering in its commitment to delivering value-added financial solutions that support national development, while maintaining a sharp focus on sustainable revenue generation and disciplined cost management to drive shareholder value. Complementing this domestic focus, we are actively pursuing a market expansion strategy, including entry into regional and international markets, to diversify our investment portfolio and build a robust hedge against both domestic and global headwinds.
The Group will continue to support Government towards Vision 2030, particularly through capacitating the productive sectors of the economy, as well as interventions in enhancing financial inclusion within the economy.
Conclusion:
I extend my appreciation and gratitude to our valued customers and all other key stakeholders, without whom the Group would not have been able to sustain its operations. Furthermore, I remain grateful to Board colleagues, Management and Staff, whose collective contributions enabled the ZBFH Group to attain this performance for the reporting period ended 30 June 2026. Our combined interventions and inputs have ensured that the Group continues to maintain its strong position despite the challenges posed by the operating environment.
A. Makamure
(Chairman)
20 August 2026
Related Download
Unaudited Consolidated Interim Financial Results for the half year ended 30 June 2026.pdf
