The Securities and Exchange Commission of Zimbabwe (SECZim) issued Regulatory Sandbox Guidelines establishing a controlled environment for live testing eligible fintech and other capital markets innovations, with scope for targeted regulatory waivers or relaxations during tests. The framework is positioned as a step after SECZim’s Innovation Office and is intended to help the regulator test innovations before broader market introduction and use evidence from trials to inform longer-term policy and potential legislative updates. Admission is limited to entities incorporated in Zimbabwe or with offices in Zimbabwe, and only after authorisation by the Innovation Office. Target participants include licensed securities market intermediaries, unregulated entities intending to be licensed, or a combination of both, with qualifying categories including innovative fintech products or services, alternative intermediation platforms, crowdfunding (equity, debt, donation and rewards where treated as capital markets activity), alternative risk transfer mechanisms, automated investment advice and artificial intelligence. Applicants must submit a live testing plan and consumer protection and risk management framework, provide an exit plan, and demonstrate operational readiness including capacity to onboard at least 100 clients, subject to case-by-case reconsideration. Live testing periods are set in consultation with SECZim but must not exceed 12 months, with a potential extension of up to a further 12 months; participants are subject to ongoing reporting and record-keeping, and must submit a final report within 30 days after the testing period ends. SECZim may revoke participation for breaches of testing requirements, public interest considerations, failed tests, imminent liquidation or other specified grounds. Applications can be submitted at any time and are assessed on a rolling basis, with receipt acknowledged within seven working days and full assessment completed within 21 working days from acknowledgement of receipt. SECZim will publish the name and sandbox test dates of approved participants, will treat non-public information as confidential subject to legal requirements, and will charge a non-refundable application fee as prescribed from time to time. The guidelines apply from 1 November 2024 and are subject to at least annual review.
Securities & Exchange Commission of Zimbabwe 2025-02-12
Securities and Exchange Commission of Zimbabwe sets a 12 month regulatory sandbox framework for live testing fintech in the securities market
The Securities and Exchange Commission of Zimbabwe (SECZim) has issued Regulatory Sandbox Guidelines for live testing of fintech and capital markets innovations, allowing potential regulatory waivers during tests. Admission is limited to entities incorporated in Zimbabwe or with offices there, and participants must be authorized by SECZim's Innovation Office. The framework aims to inform long-term policy and legislative updates based on trial outcomes.