Old Mutual Seeking to Clarify Zimbabwe Statement on Expulsion

The share price of one of Africa’s oldest insurers is taking center stage in Zimbabwe’s battle to bring order to its chaotic foreign-exchange system. Photo: Simphiwe Mbokazi African News Agency (ANA)

HARARE (Bloomberg) — Old Mutual Ltd. said it’s working to clarify a statement by Zimbabwe’s ruling party that the company should be expelled from the country.

The insurer is continuing to operate as normal and its business units in Zimbabwe are financially sound, it said in an emailed statement Sunday.

The company commented two days after the ruling Zimbabwe African National Union Patriotic-Front’s acting spokesman, Patrick Chinamasa, said the party had endorsed a decision to “eject Old Mutual from the financial system.” The resolution was taken because the company was among institutions that have allegedly helped fuel inflation in the country, he said.

“Old Mutual has and will always continue to comply with all regulations and legislation within the countries where it operates,” the company said. “We will ensure to continue to update you of any significant developments on our official company platforms.”