The ZimRe Holdings Group (ZHL Group) achieved a profit after tax of $9.33m in the first six months of this year, a 37% increase from $6.82m in the corresponding half in 2024, according to the group's unaudited interim consolidated financial statements.
The profit jump was driven by growth in insurance contract revenue, investment returns and disciplined cost management. All the subsidiary operations were profitable except for the wealth management cluster.
ZimRe Holdings is a diversified investment holding company with core competencies in insurance and property, with investments and operations located in Zimbabwe and the Southern African region.
The Group's insurance contract revenue grew by 28% to $40.31m in 1H2025 from $31.58m in 1H2024r. This growth was driven by increased business acquisitions, expansion of local and external markets and product diversification across the group’s insurance, reinsurance and life and pensions segments, said Mr Desmond Matete, chairman of ZimRe Holdings, in a message in the interim financial statements.
Reinsurance operations accounted for 73% (2024:75%) of insurance contract revenue, with Zimbabwe and Mozambique being key contributors under the reinsurance cluster at 27% and 14% (2024:26% and 14%) respectively. Life and Pensions at 21% (2024:22%) continued to contribute positively to the Group’s insurance contract revenue, while the short-term business unit showed significant strides to recovery at 6% (2024:3%) contribution.
The balance sheet remained strong, with the Group’s total assets closing the period at $242.65m, a 17% increase emanating from a growth in financial assets. The Group maintained a strong cash position, generating $10.36m from operations.
Outlook and business growth strategy
Mr Matete pointed out that the World Bank had forecast a muted 4.3% growth for the Southern African Region on account of heightened geo-political uncertainty and the potential for adverse changes in trade policies. Opportunities remain anchored in deeper investment in infrastructure development, industrialisation, digital expansion and value-chain development.
He said, “Fortunately, ZHL’s strategic pillars align with the nuanced outlook of the Southern African Region, sustaining the Group’s cautious optimism going into the second half of 2025.”
Supported by the implementation of the African Continental Free Trade Area (AfCFTA), the Group is entering new markets on the continent, the Great Africa Trek, he said.
Mr Matete also commented on the economic environment of several African countries:
Zimbabwe's economy demonstrated resilience in the first half of 2025, on the back of disciplined monetary policies. The local currency, ZWG, depreciated by 4.3% against the US dollar while ZWG year-on-year inflation stood at 92.5%, illustrating the substantial debt and liquidity constraints within the market. The government of Zimbabwe has engaged the International Monetary Fund (IMF) on a staff-monitored programme to address these issues, signalling a commitment to stabilisation which could strengthen investor confidence.
Botswana’s economy remained under pressure as diamond mining output continued to decline. The rise in popularity of more affordable alternatives to mined diamonds and precious stones, such as lab-grown diamonds, significantly impacted the real value added from the diamond trade which fell by 36.2%. This shift contributed to a marginal 0.3% contraction in Gross Domestic Product (GDP), underscoring the country’s exposure to structural changes in the commodities sector.
Malawi experienced a modest 5.4% increase in maize output compared to 2024, however, production remained 25% below the 2019–2023 average. At the same time, inflation peaked at 30.7% in February 2025, driven by surging food and fuel prices, further deepening food security concerns.
Zambia made significant strides in its debt restructuring efforts with over 92% of its $12.4bn external debt having been restructured. Despite this progress, domestic debt pressures remain elevated, with debt servicing rising to 24.2% of revenue in 2025, highlighting the importance of continued fiscal discipline.
Mozambique’s economy grew by an estimated 2.7% in the first half of 2025, driven by a recovery in its extractive industries. Inflation, on the other hand, edged up to 4.8%, reflecting rising local food prices, climate-related disruptions, social unrest, and declining foreign aid.