Story of the Day:
In the final week of January and beginning of February 2022 trading on the Lusaka Stock Exchange, eighteen companies’ securities recorded trades with Africa Explosives Limited as the highest priced security, in comparison to the first week of February 2021 with ten companies with Zambia Consolidated Copper Mines as the highest Priced Security. Read more
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Zambia’s central bank left its benchmark rate unchanged on expectations that inflation will continue slowing and to support a fragile economic recovery. The monetary policy committee held the rate at 9%, Governor Denny Kalyalya told reporters Wednesday in Lusaka, the capital. It was Kalyalya’s second rate decision since being reappointed to the post in September. Read more: Bloomberg
President Hakainde Hichilema says reckless sourcing of capital at high interest rates is what has caused the country’s current debt problems which his administration is dismantling. President Hichilema says he is now engaging various stakeholders across the globe to grow the economy and bring lower price capital among other things. Read more: ZNBC
The Zambia National Service (ZNS) will this year set up three Cannabis plantations which will create over three thousand jobs for young people. ZNS has so far acquired 60 hectares of land in Kabompo District of North Western Province to set up a Cannabis plantation for medicinal purposes. Read more: The Zambian Observer
CTPD Researcher for Public Finance Wakumelo Mataa says government’s domestic debt increased by 119 percent to K189 billion from K86 billion between the first quarter of 2020 and third quarter of 2021. Read more: News Diggers
International Business and Finance
The US has accused China of causing “serious harm” to workers and firms around the world with its trade policies. The US Trade Representative accused Beijing of repeatedly failing to live up to trade commitments. It published its annual review of China’s compliance with the deal that gave it membership of the World Trade Organization (WTO) on Wednesday. Read more: BBC News
Flutterwave announced today that it has raised USD $250 million in Series D funding, valuing the company at over $3 billion as the brand continues to transform the way Africans transact on the continent and worldwide. The fintech giant has become the highest valued African start-up with this investment. It is a validation of African talent, innovation and its young inspiring people. It is also a huge endorsement in the growth of the business, innovation and technology landscape in Africa. Read more: Business Insider
Federal Reserve officials set plans into motion at their most recent meeting to begin raising interest rates and shed the trillions of dollars in bonds on the central bank balance sheet, according to minutes released Wednesday. Some officials at the meeting expressed concerns over financial stability, saying that loose monetary policy could be posing a substantial risk. Read more: CNBC
Stock futures dipped in overnight trading as investors digested corporate earnings reports, updates from the Federal Reserve and developments in the Russia-Ukraine conflict. Futures on the Dow Jones Industrial Average shed about 35 points, or 0.1%. S&P 500 futures and Nasdaq 100 futures each ticked down about 0.2%. Read more: CNBC
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In 95 trades recorded yesterday, 89,793 shares were transacted resulting in a turnover of K163,066. A share price gain was recorded British American Tobacco Zambia of K0.02, in First Quantum Minerals of K0.01 and in CEC Africa on the quoted tier of K0.01. Trading activity was also recorded in Copperbelt Energy Corporation, Investrust, Madison Financial Services, Pamodzi, Standard Chartered Zambia, Zambeef, ZAMEFA, Zanacio and Zambia Sugar. The LuSE All Share Index (LASI) closed at 6,384.17 points, 0.02% up from its previous close of 6,383.10 points. The market closed on a capitalization of K68,598,735,509 including Shoprite Holdings and K33,816,050,069 excluding Shoprite Holdings.