Story of the Day:
Astria Learning Founder and Chief Executive Officer (CEO) Dr. Jeff Bordes’s life is rooted in the belief that education is how you build a better life and a better future for yourself and those around you. He believes the world is a better, less violent, more understanding place when people are educated, and that if we want to work towards a better society for all, Jeff knows we need to start with education. Read more
Local Business and Finance Sponsored By Liquid Telecom
Bondholders rejected Zambia’s request for debt relief, setting the southern African nation on course to becoming Africa’s first sovereign default since the onset of the coronavirus pandemic. Holders of Zambia’s $3 billion of Eurobonds voted against the country’s proposal to suspend interest payments for six months, the finance ministry said on Friday. Read more: Bloomberg
Zambia’s plan to sell the copper mines it seized last year from billionaire Anil Agarwal’s Vedanta Resources Ltd. is bogged down in legal challenges that are discouraging buyers. Arbitration between Vedanta and Zambia will proceed in London in January, after the government alleged the company lied about expansion plans and paid too little tax. That leaves cash-starved Konkola Copper Mines Plc in the hands of a court-appointed liquidator, with the prospect of a protracted legal process deterring potential investors. Read more: Bloomberg
ZANACO was a top performer last week after the Lusaka Securities Exchange (LuSE) opened the month at over K860,000 in turnover. Of the total K863,444 overall turnover, about K300,000 was shared among nine companies that participated in 90 trades on the local bourse. During the period under review, Zanaco posted the largest chunk of over K541,646, surpassing the previous week’s turnover of K191,283. Read more: Zambia Daily Mail
Zambia on Friday flagged off its inaugural export of fresh blueberries to China, becoming the first country in southern African to enter the huge Chinese market. Read more: China Economic Net
Minister of Finance in Africa’s red metal producer on 14 November justified defaulting on its coupon interest on its 2024 dollar bond whose 30 day grace period elapsed on Friday November 13. “It was difficult for us to pay dollar bond holders seeing that we were already in arrears with other creditors,“ Dr. Bwalya Ng’andu said in a Sunday interview. Read more: The Business Telegraph
International Business and Finance
Fifteen countries have formed the world’s largest trading bloc, covering nearly a third of the global economy. The Regional Comprehensive Economic Partnership (RCEP) is made up of 10 Southeast Asian countries, as well as South Korea, China, Japan, Australia and New Zealand. The pact is seen as an extension of China’s influence in the region. The deal excludes the US, which withdrew from a rival Asia-Pacific trade pact in 2017. Read more: BBC News
President Donald Trump has signed an executive order banning Americans from investing in Chinese firms that the administration says are owned or controlled by the Chinese military. The order applies to 31 Chinese companies which it says “enable the development and modernization” of China’s military and “directly threaten” US security. Read more: CNN
There has to be a breakthrough this week in talks for a post-Brexit trade agreement, British and Irish ministers said on Sunday, ahead of the Dec. 31 expiry of Britain’s transition period for leaving the European Union. Without a deal, around $1 trillion worth of trade is at risk of disruption from import tariffs and tougher rules, just as Britain and the EU are struggling to contain the economic fallout from the COVID-19 pandemic. Read more: CNBC
A lawsuit launched by the Nigerian government against U.S. bank JP Morgan Chase, claiming over $1.7 billion for its role in a disputed 2011 oilfield deal, will proceed to trial, London’s high court ruled on Thursday. The suit filed in the English courts in 2017 relates to the purchase of the offshore OPL 245 oilfield in Nigeria by oil majors Royal Dutch Shell and Eni in 2011, which is the subject of an ongoing trial in Milan. Read more: Reuters
Africa’s Internet economy has the potential to reach 5.2% of the continent’s gross domestic product (GDP) by 2025, contributing nearly $180 billion to its economy, according to a new report from Google and the International Finance Corporation (IFC). Read more: Business Insider
Capital Markets Report Sponsored By ZCCM-IH
In 5 trades recorded yesterday, 30,760 shares were transacted yielding a market turnover of K35,521. A share price gain was recorded in Lafarge of K0.77. Trading activity was also recorded in AEL Zambia and CEC Africa on the quoted tier. The LuSE All Share Index (LASI) closed at 3,855.33 points, 0.92% up from its previous close of 3,820.03 points. The market closed on a capitalization of K57,259,375,876 including Shoprite Holdings and K23,020,169,896 excluding Shoprite Holdings.
Chart of the Day: