MEFMI builds capacity in bond issuance and trading in Zimbabwe

MEFMI, through its Business Development Unit, conducted a virtual training on Bond Issuance and Trading for Zimbabwe from 16 to 20 May 2022. The workshop was held to address gaps in the skills and capacity required for the development of the bond market in Zimbabwe. The hyperinflation environment of the early 2000s to 2008 significantly impacted the domestic debt market in Zimbabwe. Recent efforts to revive the bond market have not yielded the desired results. One of the reasons for the slow resurgence of the bond market is the dearth of skills in the market. In this regard, the workshop aimed at enhancing participants’ knowledge and practical understanding of bond issuance, pricing, trading and settlement.

The workshop covered the following topics: understanding bond markets; developing a vibrant bond market in Zimbabwe; domestic debt market in Zimbabwe; bond issuance and trading; practical aspects of pricing bonds; yield curve analysis; managing risks; credit analysis in bond markets; bond portfolio management and building liquidity in secondary bond markets. MEFMI expects participants trained in the workshop to contribute effectively to the revival of the bond market in Zimbabwe.

The workshop was facilitated by Messrs Nigel Chanakira and Tafadzwa Chinamo (both independent experts from Zimbabwe), Cappitus Chironga (a MEFMI Accredited Fellow of the Central Bank of Kenya) and Joseph Medzano of the Ministry of Finance and Economic Development in Zimbabwe. A total of 40 participants drawn from a diverse mix of market players attended the workshop.

By Josephine Tito