The Securities & Exchange Commission of Zimbabwe has published the summary findings of Zimbabwe’s third National Risk Assessment, which rates the country’s overall money laundering risk as medium, unchanged from 2019. The national threat fell from medium to medium low, while vulnerability rose from medium to medium high because of the informal economy, widespread use of USD cash and limited law enforcement capacity. Estimated proceeds from 16 predicate crimes totaled USD 6.15 billion between 2019 and 2023, equivalent to about USD 1.23 billion annually or 3.4% of 2023 gross domestic product, with smuggling, illegal dealing in gold and precious materials, corruption and fraud the largest sources. Car dealers received the highest sectoral risk rating because of cash-intensive USD transactions and the absence of licensing and anti-money laundering supervision. Dealers in precious metals and stones and real estate agents were rated medium high, while banking and legal services were rated medium. The securities sector was rated medium low overall, although contracts for differences had medium-high vulnerability and supervisory staffing was considered inadequate. Recommendations include risk-based supervision and stronger enforcement in higher-risk sectors, licensing and oversight of car dealers and virtual asset service providers, increased staffing for securities supervision, and legislation prohibiting pyramid and Ponzi schemes. The findings support Zimbabwe’s anti-money laundering and countering the financing of terrorism strategy for 2025-2029.
2026-08-26Securities & Exchange Commission of Zimbabwe
Securities & Exchange Commission of Zimbabwe publishes assessment rating national money laundering risk medium
The Securities & Exchange Commission of Zimbabwe published a national assessment rating Zimbabwe’s money laundering risk as medium, with estimated illicit proceeds of USD 6.15 billion from 2019 to 2023. Car dealers were rated high risk, while precious-metals dealers and real estate were medium high and the securities sector was medium low. The assessment calls for stronger risk-based supervision, enforcement and regulation of currently unregulated activities.