EFE Securities •
4 days ago •
Monthly Reports
2026 FEBRUARY MONTHLY REPORT
The Agriculture Index surged 26% as investor focus was drawn mainly to corporate notices and activities...
The ZSE kicked off the month of February on a positive note, with the Agriculture Index emerging as the standout
performer, surging 26.09% to close at 260.12 points, while broader market indices recorded modest but steady gains.
The All Share Index was 0.86% up at 359.11pts while, Mid-Cap Index was 7.59% firmer at 350.51pts as its constituents
dominated in the top ten risers list of the month. The Blue-Chip Index was 0.15% up at 367.23pts, despite being
partially weighed down by Tigere, ZBFH and SeedCo Limited. Focus was drawn mainly to the Econet delisting EGM
that was approved by shareholders, the trend of delisting’s continued as FMP issued a notice that it intends to delist
while, retailer OK Zimbabwe was suspended to trade on the exchange following successful application of voluntary
corporate rescue.
Conglomerate ART Holdings led the risers of the month as it surged 184.09% to $0.2500 on the back of renewed
demand in the counter, trailing behind was logistics company Unifreight that advanced 79.48% to $3.1400. Exchange
operator ZSE Holdings inched up 57.69% to close at a VWAP of $1.2615, where demand could be found while, cigarette
producer BAT was 50.81% firmer at $219.9900, despite having reached an intra-month high of $240.0000. Dairy
processor Dairibord remained as one of the most sought after counters on the bourse as it added 46.23% to $2.7199.
Spirits and wines producer Afdis closed pegged at $13.4500 following a 44.46% ascent in the counter. Property concern
FMP that is trading under a cautionary to delist edged up 27.39% to $1.0000. Sugar processor Hippo was 15.49% firmer
at $10.0720 while, the duo of Fidelity Life and Zimpapers gained 14.29% to see the former close at $0.4000 and the
latter closed at $0.0800.
Trading in the negative territory was Zimre Holdings that continued to record losses as it parred off 54.98% to $0.5045
while, hotelier RTG dropped 17.42% to close at a VWAP of $1.1561. Banking group TNCI continued to experience
increasing supply as it eased 16.82% to end the month pegged at $0.1040. Sugar refiner Star Africa was 10.83% weaker
at $0.0321 while, bankers ZBFH plunged 7.69% to $4.2000, where demand could be found. Telecommunications giant
Econet retreated 5.89% to close trading at a VWAP of $8.9622 as the counter is set to delist and prepares to list its
infrastructural assets on the VFEX. Construction group Masimba was 2.47% weaker at $2.4479 while, retailer Ok
Zimbabwe was 2.46% down at $0.1137. Packaging group Proplastics shed 2.22% to $1.3200 while, seed producer
SeedCo Limited dropped 1.70% to $4.6200.
In the month under review the central bank released, the 2026 monetary framework in which it highlighted its current
successes, challenges and the road it intends to take as they continue to stabilise the economy on the monetary front.
Exchange rate stability continued to be entrenched since December 2024, with the interbank rate averaging ZiG26.69
per US$1, while, on the parallel market the ZIG appreciated by 12.9% to end the period hovering between 30.5 to 31.5.
The parallel market premium also moved from 36% to 20%, supported by increasing foreign reserves and strong export
performance. The exchange rate is projected to remain broadly stable over the medium term as policy coordination
continues. However, concerns continue to be raised over non payment of some export proceeds by the central bank,
highlighting that if that liquidity is to enter the market current stability could be eroded.
Interest rates
Interest rates were maintained at prior levels as the central bank continued to entrench discipline in the economy,
where people borrowed for speculative reasons, as they were capped at 35%, while, in the same manner statutory
reserves were maintained at 30%.
Targeted finance facility to productive players of the economy that was introduced in 2025 January with a revolving
fund of ZiG $600m gathered pace and was fairly accepted in the economy as it registered a drawing of $476.12m
representing 79.35% of the total funds available. The fund continues to serve its use as helps distressed players in the
economy.