Story of the Day:
Vedanta Resources has expressed deep concern regarding the Sulphur dioxide leak at the Nchanga Smelter that occurred on the night of the 14th of November that has affected communities in the surrounding areas resulting in an undisclosed number being hospitalized. Read more
Local Business and Finance
Zambia State Insurance Corporation (ZSIC) and Zambia Forestry and Forest Industries Corporation (ZAFFICO) Ltd. initial public offerings have become a mirage as Zambia’s economic woes glitch progress. Read more: The Business Telegraph
Vice President Inonge Wina says government is concerned with the depreciation of the Kwacha against major foreign currencies. She has however stated that the Bank of Zambia is taking measures to restore relative stability to foreign exchange. Read more: ZNBC
One of the world’s top three maize breeders, specialized in maize seed research and multiplication, will invest US$3 million in three years in Zambia to make it a regional seed hub. PROFARM Seed India Private Limited is also targeting to create 5- Hundred jobs in Zambia by 2022. Read more: ZNBC
Housing and Infrastructure Development Minister Vincent Mwale says government is in the process of obtaining a financial loan agreement of US $2.03 billion from the Exim Bank of China to commence the construction of the Chipata-Serenje railway line. Read more: Zambian Observer
The World Bank in collaboration with Rural Electrification Authority – REA and national power utility ZESCO held an energy sector knowledge sharing workshop where the World Bank reaffirmed its commitment to supporting Zambia’s energy procurement. Read more: Zambian Business Times
An independent power producer (IPP) registered in Zambia, has recently launched studies to prepare for the construction of its Unika I wind farm in the Katete district in the east of the country. With the support of the Zambian government, Mphepo power is now launching studies to determine wind speed more accurately, and thus better assess the sites electricity production potential. Read more: Energy Central
International Business and Finance
A combination of easing trade tensions and easier monetary policy will lift global growth from the first quarter of 2020, according to economists at Morgan Stanley. Read more: Bloomberg
The European Union is expected to grant the derivatives trading industry an extra year to prepare for a no-deal Brexit by prolonging existing emergency access for European institutions to crucial UK market infrastructure. Read more: Financial Times
Saudi Arabia has placed a preliminary valuation on state oil company Aramco of between $1.6trillion and $1.7trillion. The company has published an updated prospectus for its initial public offering (IPO), seeking more than $25billion for the sale of 1.5% of its shares. Read more: BBC News
Chinese Vice Premier Liu He spoke with Treasury Secretary Steven Mnuchin and U.S. Trade Representative Robert Lighthizer about a phase-one trade deal in a phone call Saturday morning, according to Chinese Ministry of Commerce. The two sides had “constructive discussions” about “each other’s core concerns” and agreed to remain in close contact, the ministry reported. Read more: CNBC
China is heavily exposed to the U.S. dollar, but now, with the risk of “decoupling,” Beijing is silently diversifying its reserves to reduce its dependence on the world’s largest reserve currency, analysts say. Read more: CNBC
Investor sentiment is improving, allowing markets to continue pushing higher and higher. US stock indexes hit all-time highs again on Friday, with the Dow climbing above 28,000 points for the first time in history. Read more: CNN
As impact investors use their funds to bridge gaps in development and finance, several groups, especially women in developing countries, remain excluded from financial markets. For impact investing to generate enough momentum to create lasting change, the parties with capital and clout must give a voice to the women they fund. Read more: Investment News
Capital Markets Report
In 34 trades recorded yesterday, 4,735,278 shares were transacted, resulting in a market turnover of K37,456,049. A share price loss of K0.09 was recorded in Zambia Breweries. The LuSE All Share Index (LASI) closed at 4,296.29 points down by 0.27% from its previous close of 4,308.10 points. The market closed on a capitalization of K56,687,711,032 including Shoprite Holdings and K22,448,505,052 excluding Shoprite Holdings.
Chart of the Day: