Good morning. Here’s what you need to know
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CEC prepares to launch the second phase of its Itimpi Solar Power Project, which will add 136 megawatts to the grid
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Kwacha expected to weaken next week
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World’s second-largest diamond found in Botswana
In Local Business and Finance News
The Kenyan and Ugandan shillings are expected to strengthen against the dollar in the coming week to Thursday, while Zambia’s kwacha and Ghana’s cedi are seen weakening and Nigeria’s naira as holding steady, traders said. Zambia’s kwacha is likely to come under mild pressure against the dollar next week due to sustained greenback demand from importers amidst scant supply. On Thursday, the currency of Africa’s second-largest copper producer was trading at 25.9220 per dollar from 26.2500 a week ago. “With inflows thinning out and demand picking up, we anticipate the local unit to weaken slightly in the short term,” Zambia National Commercial Bank said in a note. Read more: CNBC
Binance, the world’s leading blockchain and cryptocurrency infrastructure provider, has announced the expansion of its services in Africa. Users in Ghana, Tanzania, Uganda, and Zambia can now buy and sell crypto assets using mobile money, enhancing accessibility and convenience for crypto enthusiasts in these regions. With the introduction of Binance’s One Click Buy and Sell (OCBS) feature, users can purchase crypto assets and sell assets directly from their mobile money accounts. Read more: Tech Labari
The Zambian government has urged Copperbelt Energy Corporation PLC (CEC) to increase its investment in renewable energy as a strategic measure to mitigate future energy crises. At present, the company operates two solar power plants generating 94 megawatts of power. The company is also reportedly preparing to launch the second phase of its Itimpi Solar Power Project, which would add 136 megawatts to the grid and was expected to be fully operational by the fourth quarter of 2025. During a courtesy visit to the firm in Kitwe, Technology and Science Minister, Felix Mutati, said in statement issued in Lusaka on Thursday that renewable energy was the most viable alternative to hydroelectric power, especially as it was less vulnerable to the impacts of climate change. Read more: Zambia Monitor
The 4th edition of the Land-Linked Zambia Conference has been reportedly launched, emphasizing the need for SMART transport corridors to facilitate the movement of goods, services and people across Africa. The 2025 conference, themed “Embracing SMART Transport Corridors in Africa,” is expected to take place in Lusaka in April next year. Transport and Logistics Minister, Frank Tayali, who launched the event on August 20, 2024, highlighted that Africa’s 17 major transport corridors were central to regional trade, moving over 150 million tonnes of cargo annually and contributing billions of dollars to the continent’s economy. He noted that Zambia had embraced several key corridors, including the North–South, Beira, Central, Walvis Bay and the newly included Lobito Corridor. Tayali emphasized the broader impact of smart corridors, stating they have the potential to unite Africa and ensure the continent remained connected in an increasingly globalised world. Read more: Zambia Monitor
Centre for Trade Policy and Development (CTPD) has urged government to invest in advanced technology as well as human resources to enhance the accuracy and timeliness of weather forecasts and early warnings to ensure that communities are well-prepared to respond to impending disasters in view of the anticipated above-average normal rainfall. In a statement, Centre Researcher-Climate Change and Environment, Solomon Mwampikita also advised government to prioritize the construction and maintenance of essential infrastructure, such as drainage systems, dams, and bridges, to withstand heavy rainfall and reduce the risk of flooding in flood prone areas. Mr. Mwampikita stated that with the expected above-average normal rainfall in Zambia during the 2024/2025 rainy seasons, there is need for Government to strengthen disaster preparedness by adequately allocating sufficient resources to develop and implement comprehensive disaster preparedness plans, including evacuation procedures and emergency shelters. “These efforts will not only address flooding but also help prevent the outbreak of waterborne diseases especially cholera which has affected many areas during the rainy seasons,” Mr. Mwampikita stated. Read more: Money FM
In International News
The second-largest diamond ever found – a rough 2,492-carat stone – has been unearthed in Botswana at a mine owned by Canadian firm Lucara Diamond. It is the biggest find since the 3,106-carat Cullinan diamond, found in South Africa in 1905 and cut into nine separate stones, many of which are in the British Crown Jewels. The diamond was found at Karowe mine, about 500km (300 miles) north of Botswana’s capital, Gaborone. Botswana’s government said it was the largest diamond ever discovered in the southern African state. The previous biggest discovery in Botswana was a 1,758-carat stone found at the same mine in 2019. Botswana is one of the world’s biggest producer of diamonds, accounting for about 20% of global production. Read more: BBC News
The first US shipment of copper from mines in the Democratic Republic of the Congo to be transported by the Lobito Atlantic Railway (LAR) has been loaded. A cargo of copper cathodes is headed to Baltimore after arriving by train at the port of Lobito in Angola on August 19, global commodities trader Trafigura Group, which is part of a consortium with a concession for the line, said in a statement. The shipment follows several previous shipments of copper to ports in Europe and the Far East since the Lobito Atlantic Railway took over the concession in January of this year. The Lobito corridor is seen as a key export route from mines in Congo and Zambia for minerals critical to the energy transition, including copper and cobalt. The US and EU, under the Group of Seven’s Partnership for Global Infrastructure and Investment, are supporting the project as part of efforts to counter China’s dominance in the Central African Copperbelt. Read more: Mining
Euro zone business activity showed surprising strength in August despite firms raising prices, a survey showed, potentially weakening expectations for two more rate cuts from the European Central Bank this year. However there were signs the upswing may be temporary, with readings flattered by a sharp rise in French services activity due to the Olympic Games. German business activity contracted for a second consecutive month and by more than expected. “The rise in the flash PMIs for August is not as good as it looks as it was largely due to a boost from the Paris Olympics and the survey still points to GDP growth slowing in Q3,” said Franziska Palmas at Capital Economics. “With price pressures still rising, the ECB will remain cautious.” HCOB’s preliminary composite Purchasing Managers’ Index, compiled by S&P Global, bounced to 51.2 this month from July’s 50.2, moving away from the 50 mark separating growth from contraction. Read more: Reuters
U.S. business activity fell to a 4-month low in August and firms continued to struggle to pass on higher prices to consumers, bolstering the likelihood that inflation will stay on a downward trend over the coming months. S&P Global said on Thursday that its flash U.S. Composite PMI Output Index, which tracks the manufacturing and services sectors, edged down to 54.1 this month, a still healthy level among the highest measured over the past two years. That followed a final reading of 54.3 in July. A reading above 50 indicates expansion in the private sector. A slight pick-up in the services sector was outpaced by an easing in the manufacturing industry. Average prices charged for goods and services rose at the slowest rate since January and are now at levels that S&P Global viewed as consistent with the Federal Reserve’s 2% inflation target. This echoed reports from businesses that customers are pushing back against high prices, through bargain hunting, scaling back on purchases and trading down to lower-priced substitutes. Read more: Reuters
Finally, Capital Markets News
In 261 trades recorded yesterday, 45,894 shares were transacted resulting in a turnover of K343,928.29. The following price changes were recorded yesterday: +K0.24 in CEC Zambia and -K0.06 in ZANACO. Trading activity was also recorded in AECI, Airtel, Madison Financial Services, PUMA, Standard Chartered Bank Limited, Zambeef, ZCCM, Zambia Sugar and CEC Africa. The LuSE All Share Index (LASI) closed at 14,550.15 points, 0.47% higher than its previous day close.
