Story of the Day:
Three weeks into February 2022 on the Capital markets, yet another week of no bonds being traded. Since the beginning of the year there have not been bonds traded. The equities market recorded a score of 100% to 0% on the bond market. In comparison to this time last year we see the opposite as it was the bond market that recorded a 100% score. Read more
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Zambia needs to scale up copper-wire production as global adoption of electric cars accelerates, Mutisunge Zulu, chief risk officer at Zambia National Commercial Bank (Zanaco), tells The Africa Report. Copper wire exports would bring in four times more revenue than exporting raw copper, Zulu says in Lusaka. “There is an opportunity which hasn’t been tapped.” Read more: The Africa Report
The Zambia Information and Communications Technology Authority (ZICTA) has announced an increase in the number of active mobile subscriptions from 19.1 million in 2020 to 20.2 million in 2021 representing 5.8 percent increase. Read more: Lusaka Times
Minister of Mines and Mineral Development Paul Kabuswe says there is need to prevent illicit financial flows in the mining sector to enable Government to generate more revenue from the industry. Read more: Zambia Daily Mail
Minister of Finance and National Planning Dr Situmbeko Musokotwane has appointed economist Noel Nkoma as board chairperson for the Development Bank of Zambia for a period of three years. In a letter addressed to Nkoma and dated February 25, Dr Musokotwane stated that he was confident that Nkoma would execute his duties with due diligence. Read more: News Diggers
International Business and Finance
The president of the World Bank has told the BBC that the war in Ukraine is a catastrophe for the world which will cut global economic growth. “The war in Ukraine comes at a bad time for the world because inflation was already rising,”, said David Malpass. Read more: BBC News
Share prices have fallen in Asia after a fire broke out at the Zaporizhzhia nuclear power plant in Ukraine, the largest in Europe. Japan’s benchmark Nikkei index was 2.5% lower and the Hang Seng in Hong Kong was down by 2.6%. Oil prices rose in Asia morning trade, with Brent crude above $112 a barrel. Read more: BBC News
Ratings agency S&P Global on Thursday cut Russia’s credit rating deeper into junk territory as fresh international sanctions triggered by its invasion of Ukraine, and the nation’s own protective measures, ramped up default risk. S&P downgraded the sovereign rating to “CCC-minus” from “BB-plus” less than a week after dropping it from investment grade. Read more: Reuters
Flush with cash after bumper earnings, mining companies straddle a delicate balancing act as they benefit from soaring commodity prices amid the Ukraine-Russia crisis but also potentially face high inflation that could hit short-term demand and slow down growth plans, analysts said. The world’s largest listed miners, including BHP Group, Anglo American and Glencore are sitting on huge piles of cash after skyrocketing prices for copper, iron ore, coal, nickel and other resources buoyed profits. Read more: Reuters
Capital Markets Report Sponsored By ZCCM-IH
In 53 trades recorded yesterday, 3,210,493 shares were transacted resulting in a turnover of K6,234,796. A share price loss of K0.01 was recorded in Standard Chartered Zambia. Trading activity was also recorded in Copperbelt Energy Corporation, Chilanga Cement, Zanaco, Zambia Sugar and CEC Africa on the quoted tier. The LuSE All Share Index (LASI) closed at 6,486.31 points, 0.06% down from its previous close of 6,490.13 points. The market closed on a capitalization of K69,044,436,698 including Shoprite Holdings and K34,261,751,258 excluding Shoprite Holdings.