Story of the Day:
In the second week of February 2020 trading on the LuSE, only three days recorded trades of which Tuesdays equity trading was the best performing for the week in terms of turnover. Read more
Local Business and Finance Sponsored By Liquid Telecom
Government has partnered with Turkey’s Molino Mechanical Industry and Trade incorporated to develop a multi million Food Complex City (FCC) in Zambia aimed at producing cheaply priced mealie-meal by January next year. Read more: ZNBC
Zambia is a long way from attaining debt sustainability due to the huge level of indebtedness and massive restructuring required in the economy, says Bank of Zambia (BoZ) governor Dr. Denny Kalyalya. And Dr. Kalyalya says Zambia’s fiscal deficit position at 8.2 percent of GDP is unsustainable and that the country should be targetting around 3 percent. Read more: News Diggers
Vice President Inonge Wina has said lack of certifiable collateral is one of the challenges being faced by small scale farmers and SMEs in accessing finance. Wina said using the warehouse receipt as collateral through the commodity market initiative will provide farmers with “some” leverage to access various forms of finance such as a bank loan. Read more: Zambia Reports
The global impact of the coronavirus has finally directly hit home as Zambia’s largest copper miner, First Quantum Minerals – FQM which relies on its Zambian mines for over 60% of its group global copper production, with talks being delayed for the planned minority share sell deal. Read more: Zambian Business Times
Castillo Copper Ltd has executed the share sale agreement to acquire four high-quality projects across the copper-belt in Zambia. The company first detailed its intention to acquire the Zambian projects in July 2019. Read more: Proactive Investors
KPMG Featured Article
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. A good number of citizens who had high earning jobs in their working days tend to find themselves struggling to make ends meet after their career comes to an end through retirement. Read more
International Business and Finance Sponsored By Royal Air Charters
Airlines stand to lose $29.3billion of revenue this year due to the coronavirus outbreak, the global airline industry body has warned. The International Air Transport Association (IATA) predicts demand for air travel will fall for the first time in more than a decade. Read more: BBC News
Human life “as we know it” could be threatened by climate change, economists at JP Morgan have warned. In a hard-hitting report to clients, the economists said that without action being taken there could be “catastrophic outcomes”. Read more: BBC News
Stocks keep reaching record highs. Goldman Sachs is worried that leaves investors vulnerable to surprises. The investment bank told clients this week that a near-term correction, in which the market slides at least 10% from a recent peak, “is looking much more probable.” Read more: CNN
The federal government is projecting that China will buy $14 billion of American agricultural products for the upcoming fiscal year, an amount that would miss the ambitious target laid out in the Trump administration’s interim trade deal. Read more: Business Insider
Morgan Stanley said on Thursday it would buy discount brokerage E*Trade Financial Corp in a stock deal worth about $13 billion, the biggest acquisition by a Wall Street bank since the 2008-2009 financial crisis. Read more: Reuters
Capital Markets Report Sponsored By ZCCM-IH
In 8 trades recorded yesterday, 19,750 shares were transacted yielding a market turnover of K115,745. Trading activity was recorded in Airtel, Copperbelt Energy Corporation, Lafarge and Zambia Breweries. A share price loss of K0.01 was recorded in Lafarge. The LuSE All Share Index (LASI) closed at 4,253.85 points, 0.01% down from its previous close of 4,254.31 points. The market closed on a capitalization of K57,334,443,581 including Shoprite Holdings and K23,095,237,601 excluding Shoprite Holdings.
Chart of the Day: