Story of the Day:
Reading the recent Lafarge Zambia annual report, which is part of the LafargeHolcim (now Holcim Group), and what is particularly interesting is the local and global initiatives this company is taking to respond to the COP26 agenda in cement production. Lafarge Zambia is the country’s largest cement company. It also has the broadest product offering on the market and a long history, having been founded 71 years ago. Read more
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President Hakainde Hichilema says Government will leave no stone unturned in marketing Zambia’s economic potential at any available opportunity. President Hichilema says this is for the purpose of growing the economy and ultimately improving livelihoods of the people. He says this will be done by creating more jobs, efficient health care services for Zambians including people with disabilities, and education for all young citizens. Read more: ZNBC
Zambia’s central bank raised interest rates by 50 basis points to 9.0% to help bring down stubbornly high inflation, with price rises only seen falling back within the bank’s target range in 2023, Governor Denny Kalyalya said on Wednesday. Read more: Reuters
The Kwacha made a slight appreciation against the dollar following interbank inflows and export earnings from commodities such as copper. Zanaco Plc states that market players are predicting that the local currency will appreciate. “At end of the day, commercial banks quoted the Kwacha at K17.64 and K17.69 per dollar, gaining a K0.2 (two ngwee) rise from an opening mark of K17.66 and K17.71 per dollar.” Read more: Zambia Daily Mail
First Quantum Minerals (FQM) spent US$4.4 billion on buying goods and services from local suppliers in the last three years out of its US$5.4 billion expenditure. Kansanshi Mine public relations manager Godfrey Msiska said the US$4.4 billion spent on local content represents 83% of FQM’s expenditure. Read more: Zambia Daily Mail
International Business and Finance
The US government has added a dozen more Chinese companies to its trade blacklist, citing national security and foreign policy concerns. Washington says that some of the firms are helping develop the Chinese military’s quantum computing programme. This latest move comes as tensions grow between the US and China over the status of Taiwan and other issues. Read more: BBC News
Samsung has chosen a site close to the city of Taylor in Texas for its new $17bn computer chip plant, amid a global shortage of semiconductors. It is the South Korean electronics giant’s biggest-ever US investment. The plant is expected to create 2,000 technology industry jobs, with construction starting early next year. Read more: BBC News
A resurgence of coronavirus cases across Europe is feeding fears that the region’s strong economic recovery from the pandemic could be jeopardized by another tough winter. So far, the new Covid-19 wave is having only a limited impact on business activity in the 19 countries that use the euro. The Purchasing Managers’ Index from IHS Markit, a key gauge of the economy, rose in November after slipping to a six-month low in October. Read more: CNN
Federal Reserve officials at their meeting earlier this month expressed concern about inflation and said they would be willing to raise interest rates if prices keep rising. The committee that sets interest rates for the Fed on Wednesday released the minutes from the November session where it first signaled that it could be dialing back all the economic help it’s been providing during the pandemic. Read more: CNBC
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In 25 trades recorded yesterday, 15,581 shares were transacted resulting in a turnover of K21,957.81. Trading activity was recorded in, Airtel, British, Copperbelt Energy Corporation, CEC Africa, Lafarge, Standard Chartered Zambia, Zambeef and Zanaco. The LuSE All Share Index (LASI) remained at 5,440.89 with a percentage change of 0.
Chart of the Day: