Story of the Day:
The year 2019 was probably one of the most challenging years in recent years to be in the banking sector in Zambia. It would start with the abolishment of unwarranted charges by the Bank of Zambia and many Banks who did not see this coming were hit, especially those with a huge retail outlay. As at half-year results, the non-funded income segment had shed an average of 9.2% across the 18 member sector. Read more
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Zambia and the United Arab Emirates on Friday signed three agreements aimed at enhancing economic and trade relations between the two countries. The agreements include the promotion and reciprocal protection of investments, avoidance of double taxation and prevention of fiscal evasion with respect to taxes and incomes. Read more: News Ghana
Economics Association of Zambia President Lubinda Habaazoka has predicated that Zambia’s economic situation is expected to improve in 2020. Dr. Habaazoka said this is especially so due to favorable rainfall patterns and the expected normalization of water levels needed for electricity generation in Zambia. Read more: Lusaka Times
Commerce,Trade and Industry Minister Christopher Yaluma says Government is working towards ratifying the Agreement establishing the African Continental Free Trade Area (AfCTA) by May 2020. Read more: Lusaka Times
Transport and Communications Minister Mutotwe Kafwaya says the six months extension given to UZI Mobile, Zambia’s fourth mobile operator to set up will not be extended again. Read more: Zambian Observer
Zambia will this week host a Turkey-Zambia joint Economic Commission meant to review the overall economic and commercial relations between the two countries. The Joint Economic Commission will run from February 12 to 13, 2020 in Lusaka. Read more: ZNBC
The National Road Fund Agency (NRFA) collected over 1 point 2 billion kwacha in toll fees last year. NRFA Chief Executive Officer Wallece Mumba said this surpasses the initial One billion Kwacha estimated target for 2019. Read more: ZNBC
The Zambia Airports Corporation Limited – ZACL plans to embark on a number of non-aeronautical revenue generating projects at Kenneth Kaunda International Airport – KKIA which will culminate into an Aerotropolis – Airport City as part of its strategy. These developments are aimed at boosting the corporations revenue generation power. Read more: Zambian Business Times
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The story of many Zambians in the formal sector with well-paying jobs who end up becoming destitute after their flourishing careers is not one which is unusual. Read more
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The rapidly-spreading coronavirus in China poses the biggest demand threat to the oil market since the 2008 financial crisis. Yet OPEC and Russia can’t agree on a rescue plan. Read more: CNN
Some of Britain’s biggest business groups are urging Boris Johnson to abandon his policy of threatening to walk away from the European Union without a trade deal, warning that it would unleash economic chaos costing billions of pounds. Read more: Business Insider
Apple has been fined €25 million for secretly slowing down older iPhones. The penalty was imposed by France’s competition and fraud watchdog, which found customers were not warned about the measure. Read more: The Independent
Companies around the world are waiting for China to re-open its factories and plants today. If this does not happen, major brands from car makers to tech giants will struggle to make their products. Read more: BBC News
There’s a 70% chance that a recession will hit in the next six months, according to new research from the MIT Sloan School of Management and State Street Associates. Read more: CNBC
African governments have borrowed foreign currency debt at a record rate in the past few years, as investors flock to nations such as Egypt, Nigeria and South Africa in search of higher yields. Much of this debt falls due over the next decade, creating a “wall” of sovereign debt repayments, in the words of Gregory Smith, emerging markets strategist at M&G Investments. Read more: Financial Times
China’s consumer inflation hit its highest level in more than eight years in January due to impact from the coronavirus outbreak and the Lunar New Year, official data showed. Read more: Market Watch
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In 17 trades recorded on Friday, 3,262,609 shares were transacted, yielding a market turnover of K1,634,829. A share price loss of K0.01 was recorded in Copperbelt Energy Corporation. Trading activity was also recorded in Zanaco. The LuSE All Share Index (LASI) closed at 4,254.23 points 0.09% down from its previous close of 4,258.14 points. The market closed on a capitalization of K56,512,852,112 including Shoprite Holdings and K22,273,646,132 excluding Shoprite Holdings.
Chart of the Day: