CBZ Holdings, Zimbabwe’s largest financial services group, has reported an increase in total deposits to approximately 1.1 billion United States dollars for the financial year ending 31 December 2025, up from about 900 million dollars in 2024. The growth comes at a time when Zimbabwe’s financial system continues to operate under tight liquidity conditions and elevated lending costs.
According to remarks by chief executive Lawrence Nyazema, reported by The Herald, the expansion in deposits was largely driven by organic growth within the bank’s core operations rather than reliance on external borrowing. Of the roughly 232 million dollar increase recorded during the year, about 42 million dollars was attributable to net lines of credit, with the remainder linked to growth in current accounts.
The composition of deposits reflects broader monetary dynamics within Zimbabwe’s economy. Approximately 80 percent of CBZ’s deposits are held in United States dollars rather than the domestic Zimbabwe Gold currency. This trend is consistent with the continued prominence of foreign currency usage in the country, where households and businesses often prefer to transact and save in more stable currencies.
Zimbabwe’s financial system remains relatively shallow when compared with the size of its economy. With gross domestic product estimated at around 53 billion dollars, total banking sector deposits are reported to be about 4.8 billion dollars, representing less than 10 percent of economic output. Analysts have noted that this gap constrains the availability of credit and intensifies competition for limited capital within the banking sector.
Nyazema indicated that CBZ is pursuing a dual approach to address these structural challenges, combining efforts to mobilise domestic deposits with increased access to international funding. Over the course of 2025, the group’s lines of credit rose from 132 million dollars to 159 million dollars, while repayments amounting to 88 million dollars were made, signalling a focus on maintaining repayment discipline.
The bank’s performance also reflects behavioural patterns within Zimbabwe’s largely cash oriented economy. Salary deposits are often followed by rapid withdrawals, which can limit the stability of deposit bases across the sector. Despite this, CBZ’s results suggest that incremental growth is possible through customer retention and expansion of transactional banking services.
Across southern Africa, similar structural questions continue to shape financial sector development, including the depth of banking systems, the role of foreign currency, and access to long term capital. Zimbabwe’s experience illustrates how financial institutions are navigating these constraints while seeking to support economic activity within complex monetary environments.
CBZ Holdings’ latest results therefore provide a window into both the resilience of domestic banking institutions and the broader challenges facing financial intermediation in Zimbabwe and comparable African economies. The trajectory of deposit growth, alongside efforts to expand funding sources, is likely to remain central to discussions on financial sector development across the region.
Meta description: CBZ Holdings reports deposit growth to 1.1 billion dollars in 2025 despite liquidity constraints in Zimbabwe, highlighting structural challenges in the country’s banking sector.
