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Stanbic Connects Zambia & China
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US Congress inches closer to deal before holiday weekend
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Zambia Sugar shares its strategic plan, following a profitable 2022
Story of the Day
Annual inflation for May 2023 slowed down to 9.9 percent from 10.2 percent recorded in April, 2023. This means that on average, prices of goods and services increased by 9.9 percent between May 2022 and May 2023. This development was mainly attributed to price movements of selected non-food items. Annual food inflation for May 2023 remained the same at 11.6 percent. This means on average prices of food items increased by 11.6 percent between May 2022 and May 2023. This outturn was mainly attributed to price movements for Meat (Fillet Steak, Rump Steak, Brisket, Ox-liver, Goat Meat, Chicken Frozen); Fruits (Bananas, Pawpaw, Pineapples, Groundnuts); Vegetables (Rape, Pumpkin Leaves, Tomatoes, Sweet Potato Leaves, Okra, Spinach, Cucumber, Maize cobs, Onion). The annual non-food inflation for May 2023 decreased to 7.6 percent from 8.3 percent in April 2023. This outturn was mainly attributed to decreases in prices of non-food items such as Materials for the maintenance and repair of the dwelling (Iron sheets, Paint (PVA Water Paint), Floor tiles-Porcellain-60×60); Small electric household appliances (Heater 2 bar, Electric Kettle, Fan) Diesel and Air fare regional. Read more
In Local Business News Sponsored by
Stanbic Bank has launched the Zambia -China Trade Connect to enhance cross-border trade between the two countries and spur economic activity and growth. Stanbic Bank Chief Executive Officer Mwindwa Siakalima says the new and improved platform will help lessen travel and logistical costs for local businesses importing goods from China. Speaking during the launch, Mr Siakalima said the solution, which is already active and serving the local market, has empowered and enhanced business efficiency by cutting transport and logistical costs. And, Zambia Chamber of Commerce and Industry President, Chabuka Kawesha said Zambia-China Trade Connect facility will boost cross-border trade and foster economic growth. Read more: ZNBC
President Hakainde Hichilema says Zambia has resolved to maximize the benefits of the African Continental Free Trade Area (AfCFTA). In his Africa Freedom Day message, President Hichilema noted that this year’s theme which is, accelerating the implementation of the African Continental Free Trade Area, recognizes the need to drive trade and investment among African countries to achieve strong and sustainable economic development. The Head of State said this will lead to creation of more jobs, greater wealth and improved welfare for citizens, as well as provide access to regional and global markets for Zambian businesses. Read more: Money FM
Government has opened discussions with South African manufacturers of vehicles in its quest to ban engines that smoke, and switch to electric ones. Some of the companies which have been engaged to produce electric vehicles in Zambia are Volkswagen, BMW and Toyota, Finance and National Planning Minister, Situmbeko Musokotwane, has announced. Musokotwane said this on Thursday on the panel discussion on “Harnessing natural capital to finance climate and green growth in Africa,” at the ongoing African Development Bank annual meetings in Egypt. “A time like this one should not be seen just as a time of catastrophe that has been brought about by climate change. We have to embrace the opportunities that have come with it.” Read more: Zambia Monitor
The United Bank for Africa (UBA) Zambia claims that it has facilitated intra-African trade to the tune of about US$93 million and US$53 million in imports and exports respectively, from January to date. This was disclosed in a statement from the Bank’s Board Chairperson, Tukiya Kankasa-Mabula, in Lusaka on Thursday to mark Africa day. Kankasa-Mabula said the bank was already playing in the space of facilitating intra-African trade, where it has supported clients in global trade to the tune of US$93 million and US$53 million in imports and exports, respectively from January 2023 to-date. “The level of intra-trade is around 20 percent of these sums, and we believe we have the capacity to handle more.” Read more: Zambia Monitor
Bank of Zambia Exchange Rates
| Currency | Buying | Selling |
|---|---|---|
| USD | 19.1720 | 19.2201 |
| GBP | 23.7790 | 23.8406 |
| EUR | 20.6789 | 20.7385 |
| ZAR | 1.0002 | 1.0035 |
In International Business News Sponsored By
US President Joe Biden says progress has been made in talks with top Republican Kevin McCarthy over the US debt ceiling – even as Congress breaks up for a holiday weekend. The pair aim to reach a deal on raising the government borrowing limit for two years so it can keep paying its bills. Investors’ fears of the US defaulting on its debts have grown – despite assurances that talks are progressing. Mr Biden spoke of “several productive conversations” with Mr McCarthy. Read more: BBC News
The International Monetary Fund (IMF) has approved an aid package for Ivory Coast totaling $3.5 billion. The first tranche is nearly $500 million. The programme, which has been endorsed by the Fund’s Executive Board, is spread over 40 months and should help the West African country implement “the national development plan put in place by the authorities while preserving its macroeconomic stability”, according to a statement. Read more: Africa News
Germany has slipped into recession as last year’s energy price shock takes its toll on consumer spending. Output in Europe’s largest economy dropped 0.3% in the first three months of the year, following a 0.5% contraction at the end of 2022, official data showed Thursday. The Federal Statistical Office downgraded its previous estimate of zero growth in gross domestic product (GDP) compared with the previous quarter. A recession is defined as two consecutive quarters of declining output. Read more: CNN
US economic growth in the first three months of the year was faster than previously estimated, the Commerce Department reported on Thursday. Gross domestic product, the broadest measure of economic output, increased at an annualized rate of 1.3% in the first quarter, up from an initial estimate of 1.1% reported last month. GDP is adjusted for inflation and seasonality. The change was mostly driven by an upward revision to private inventory investment, which includes finished goods, materials, and works in progress being saved for a later date. That means inventory investment had less of a drag on GDP earlier this year. Read more: CNN
U.S. Secretary of Commerce Gina Raimondo sat down with her Chinese counterpart Wang Wentao in Washington D.C. on Thursday to discuss “concerns” surrounding bilateral trade. Marking the first cabinet-level exchange between the two countries in months, the U.S. talked about American companies operating in China. According to a readout by the Commerce Department, “The two had candid and substantive discussions on issues relating to the U.S.-China commercial relationship, including the overall environment in both countries for trade and investment and areas for potential cooperation.” Raimondo also “raised concerns about the recent spate of PRC [People’s Republic of China] actions taken against U.S. companies operating in the PRC,” it said. Read more: CNBC
JPMorgan Chase is developing a ChatGPT-like software service that leans on a disruptive form of artificial intelligence to select investments for customers, CNBC has learned. The company applied to trademark a product called IndexGPT this month, according to a filing from the New York-based bank. IndexGPT will tap “cloud computing software using artificial intelligence” for “analyzing and selecting securities tailored to customer needs,” according to the filing. Read more: CNBC
Neuralink, the neurotech startup co-founded by Elon Musk, announced Thursday it has received approval from the Food and Drug Administration to conduct its first in-human clinical study. Neuralink is building a brain implant called the Link, which aims to help patients with severe paralysis control external technologies using only neural signals. This means patients with severe degenerative diseases like ALS could eventually regain their ability to communicate with loved ones by moving cursors and typing with their minds. “This is the result of incredible work by the Neuralink team in close collaboration with the FDA and represents an important first step that will one day allow our technology to help many people,” the company wrote in a tweet. Read more: CNBC
Zambia Sugar financial performance for the six month period to 28 February 2023 grew it’s total revenue by 5% to k2.35 billion largely driven by strong domestic and export sales performance. Improvement in export proceeds was attributed to the depreciation of the Kwacha during the period December 2022 to February 2023. Sales to the export market increased by 16% due to availability of stocks following the slow down in domestic demand. Speaking during the brief for Zambia Sugar half year results, Mr. Oswald Magwenzi, country managing director for Zambia Sugar said that, Zambia Sugar continues to hold strong results and that their fundamentals also remains the same. Zambia Sugar has had time to find their strategy and had time to find their core elements, he said they have had robust discussion and have discovered a road map that will take Zambia Sugar to the next level. One of the key pillars, he said, is customer centricity, as they exist to serve their customers and consumers in Zambia and in the regional market to which they export their sugar. Read more
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