Regulatory Alerts2020-10-09
Securities (Debt Securities Levies) Rules 2017
The Zimbabwean Minister of Finance and Economic Development, acting on the Securities and Exchange Commission’s proposal, has approved rules mandating standardized levies on all debt securities transactions. Securities dealers serve as collection agents, remitting specified percentage-based charges to the SEC, exchanges, central depository, brokerage VAT fund, and investor protection fund by the close of business on Friday following each transaction. These uniform rates apply to every investor purchasing, selling, or exchanging debt securities, ensuring consistent regulatory funding across the market.
Statutory Instrument 62 of 2017.
[CAP. 24:25
Securities (Debt Securities Levies) Rules, 2017
IT is hereby notified that the Minister of Finance and Economic Development has, in terms of section 118(6) of the Securities and Exchange Act [Chapter 24:25], approved the following rules made by the Securities and Exchange Commission in terms of section 118(1)—
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These rules may be cited as the Securities (Debt Securities Levies) Rules, 2017.
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Every investor in debt securities shall pay the levies outlined in the Schedule below.
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The charges applicable to transactions in debt securities are categorised in the Schedule.
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The securities dealers shall be collection agents and the levies shall be payable not later than close of business on the Friday of the week in which he or she concluded the purchase, sale or exchange of debt securities on which the levy is collected. If the Friday is a public holiday, the next Monday shall be the last day.
SCHEDULE LEVIES
| Type of charge | Percentage |
|---|---|
| Securities and Exchange Commission | 0.01000 |
| Securities Exchanges | 0.01200 |
| Central Securities Depository | 0.01000 |
| Securities Dealers | 0.06500 |
| VAT on brokerage | 0.00975 |
| Investor Protection Fund | 0.00300 |
Supplement to the Zimbabwean Government Gazette dated the 12th May, 2017. Printed by the Government Printer, Harare.
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