By Davison Vandira
ECONOMIC Analysts are convinced the uptake of Exchange Traded Funds (ETFs) is a sign of increased investment appetite that should boost economic activities.
The increased offering of Exchange Traded Funds by investment bankers has stimulated investment rush as they are generally a haven associated with low entry costs attractive to both individuals and companies.
Economic analysts have described the rush in Exchange Traded Funds as a positive development in the country’s capital formation thrust to support the National Development Strategy One from both the demand and supply side.
“The increased offering of ETFs on the investment arena is very encouraging especially for an economy like Zimbabwe that is seeking a growth path,” said Christopher Mugaga ZNCC CEO.
“This is quite pleasing to note the significant economic role that is being played by ETFs from a micro and macro perspective whereby its a mutually beneficial exercise to parties involved,” said Takudzwa Chisango Economist.
The general agreement among economists is that Zimbabwe is a the moment in need of patient capital to spearhead the country’s economic development.