The Victoria Falls Stock Exchange (VFEX) is set to launch a dedicated platform to help junior and exploration-stage mining companies raise capital, giving miners structured access to funding for early-stage projects that often struggle to attract investment through traditional channels, Mining Zimbabwe can report.
By Ryan Chigoche
The new Venture Board will offer a specialised listing segment for high-growth mining companies still in exploration or early development phases. For these operators, the platform is expected to provide a vital pathway to attract investors willing to take higher risks in exchange for potential returns.
Access to long-term finance has long been a challenge for Zimbabwean miners, with most local banks offering only short-term loans at interest rates of around 35%. This has limited junior and exploration-stage companies from investing in modern equipment, expanding operations, or sustaining exploration programmes.
The Venture Board on the VFEX aims to bridge this financing gap by unlocking funding that is otherwise unavailable through traditional banking channels. It is expected to help miners grow, operate safely, and increase production while supporting economic growth and job creation.
Speaking on the initiative, Zimbabwe Stock Exchange CEO Justin Bgoni said the board will focus on mining and natural resources, with input from key stakeholders to ensure it meets the sector’s needs.
“We are working on establishing the Venture Board, which will serve as a dedicated capital-raising platform for junior and exploration-stage companies, with an initial focus on the mining and natural resources sectors. This will be launched in collaboration with key stakeholders during the first half of this year,” he said.
A junior mining company is typically defined as a firm whose principal activity is mining but which does not yet qualify for listing on the main board, although it meets the requirements for a junior platform.
The Venture Board is expected to complement VFEX’s existing operations, which have been active since 2020 as a subsidiary of the Zimbabwe Stock Exchange within the Victoria Falls Special Economic Zone.
Recent fundraising activity highlights the platform’s potential. Kavango Resources, listed in the UK and on the VFEX, raised approximately US$8.4 million to support the development of its gold projects, including the Hillside Gold Project in Matabeleland South.
The funds will be used for exploration, project expansion, and potential acquisitions, demonstrating strong interest from both domestic and international investors in Zimbabwean mining assets.
Analysts say platforms like the Venture Board provide a regulated and transparent environment for early-stage mining companies to access capital, while offering investors a clear framework for high-risk, high-reward opportunities.
The initiative also forms part of broader efforts to improve market liquidity and provide financial tools tailored to the mining sector.
Zimbabwe’s mining industry remains a cornerstone of the economy, contributing about 12% of GDP and the majority of export earnings. By connecting junior miners with accessible capital, the VFEX Venture Board is set to play a key role in supporting sector growth and strengthening its contribution to national development.
