What licensing steps are required for a Zimbabwean fintech to offer mobile wallet services under RBZ regulation?

Hello

A fintech company intending to provide mobile wallet services in Zimbabwe must obtain a Payment Service Provider license or a Deposit-Taking Microfinance Institution (DTMFI) license from the Reserve Bank of Zimbabwe (RBZ). This licensing falls under the Banking (Money Transmission, Mobile Banking, and Money Interoperability) (Amendment) Regulations, 2025. The process involves partnering with a local financial institution authorized to operate in Zimbabwe, a critical step for license application submission.

The application requires submitting a detailed business plan, technical infrastructure setup, security protocols, and financial projections to demonstrate the ability to safeguard customer funds. The application fee is set at USD 5,000, with an annual license fee of 2% of gross turnover capped at USD 50,000. These fees make the licensing process scalable and accessible to different sizes of fintech companies.

Zimbabwe’s regulatory environment mandates strict adherence to anti-money laundering (AML) and know-your-customer (KYC) requirements. Fintech operators must implement thorough customer due diligence, continuous transaction monitoring, and maintain records for at least five years. Suspicious transaction reports must be promptly submitted to regulatory authorities. The RBZ also requires ongoing reporting of financial and operational data as part of compliance and supervision.

Typical timelines for licensing can extend over several months, influenced by the thoroughness of the application and regulatory reviews. The RBZ also offers a regulatory sandbox to allow fintech innovators to test their products with less stringent initial requirements, usually for up to 24 months before full licensing.

In summary, key licensing steps and requirements include:

- Partnering with a local licensed bank.
- Submitting a comprehensive application to RBZ with technical, financial, and business plans.
- Meeting minimum capital and security standards.
- Complying with AML/KYC and data reporting obligations continuously.
- Paying an initial application fee of USD 5,000 and annual fees based on turnover.

This regulatory framework aims to protect customers, ensure financial stability, and promote financial inclusion by regulating mobile money operations carefully while fostering innovation in Zimbabwe’s fintech space.