Mthuli extends the suspension of previous mutual fungibility of PPC shares by 12 months, ⋆ Pindula Information


The Minister of Finance and Economic Development, Mthuli Ncube, has extended the fungibility suspension of Old Mutual and PPC Limited shares for another year.

Minister Ncube said the government was still considering the impact of an audit report.

The government banned the cross-border movement of PPC and Old Mutual stocks in March last year, claiming it fueled currency speculation.

Ncube’s policy was issued on March 12, 2021 under General Notice 371A of 2021 entitled “Exchange Control (Suspension of Fungibility of Certain Shares) Order 2021”. It read in part:

… The government that received the audit report is still evaluating its impact:
Well, therefore, I, the Hon. Professor M. Ncube, in my capacity as the Exchange Control Authority under Part V (“Securities”) of the Exchange Control Ordinance of 1996 (Instrument 109 of 1996), will order suspension for a period of twelve months from the date of publication on this general announcement , which ends on March 11, 2022, of any government agency, policy, or order issued by any exchange control agency that enables the fungibility of stocks of the following companies listed on the Zimbabwe Stock Exchange –
(i) Old Mutual Limited;
(ii) PPC Limited.