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President Biden Stresses Strong US-Zambia Relations
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Zimbabwe’s Stock Market outpaces global competitors with stunning 800% growth
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CEC Calls For Innovation And Partnerships In Renewable Energy To Meet Mining Sector Demand
Story of the Day
If, right now, you could drive from one refueling station to another up and down the country, you would experience a curious mix of outcomes in respect of the availability of petrol. Increasingly, service stations are managing to stock up and supply diesel without issue, but when it comes to petrol, the situation is rather murky. It’s becoming apparent that a shortage of petrol is emerging in Zambia and this crisis is deepening day after day. But here is the thing: there is no known shortage of petrol globally, or in the region. So, why should Zambia be experiencing shortages of this crucial commodity right now? Like diesel, petrol is one of the most critical inputs into the Zambian economic machine, as is the case with any other country. Apart from the potential for social unrest and political tensions that fuel scarcity can create, its likely impact on the economy cannot be underestimated. So why is Zambia going through a phase of petrol shortages? Read more
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In a significant declaration, President Joseph Biden highlights the enduring friendship and strengthened ties between the United States and Zambia. The President expresses enthusiasm for deepening partnerships in Zambia, across Africa, and globally, underscoring the shared commitment to democracy and its responsibilities. President Biden looks forward to collaborative efforts with Zambia, aiming to enhance governance, promote regional peace and security, and address crucial issues such as food and energy security. He applauds Zambia’s reform efforts and welcomes opportunities to deepen bilateral and multilateral cooperation. President Biden emphasizes the significance of joint initiatives to achieve shared objectives and overcome common challenges. Read more: Lusaka Times
President Hakainde Hichilema has observed that Small and Medium Enterprises (SME’s) continue to play a pivotal role in the economic development of the country. The President said this during the presidential luncheon held in honour of visiting King Mswati lll of Eswatini at Mukuba hotel. “SME’s continue to play an important role in the economic development of our country,” he said. The President has further identified Tourism as one sector that the two countries Zambia and Eswatini can take advantage of, by combining their marketing cost in tourism. Read more: Lusaka Times
Zambia’s export earnings from refined copper in May increased by 10 percent to K10.9 billion from K9.9 billion in April. Similarly, non-traditional exports (NTEs) earnings increased by 20 percent to K6.1 billion in May, up from K5.1 billion in April. Zambia Statistics Agency (ZamStats) statistician general Mulenga Musepa said copper export volumes during May increased by 18.5 percent to 68,200 tonnes from 57,600 tonnes in April. “Further, copper prices on the London Metal Exchange (LME) market for the corresponding months decreased by 6.6 percent to US$8,234.2 per tonne in May 2023 from US$8,814.0 per tonne in April 2023,” Mr Musepa said last week. Read more: Zambia Daily Mail
The Energy Regulation Board (ERB) has announced an upward adjustment in the price of petrol by K0.48 per litre while low Sulphur diesel prices have been maintained at K21.87. ERB has also reduced the price of kerosene and Jet A-1 by K1.21 per litre and K1.29 per litre respectively. Speaking during a briefing, Friday, ERB Board Chairperson Reynolds Bowa attributed the changes in petroleum prices to movements in international oil price and the exchange rate. Read more: News Diggers
Finance Minister Situmbeko Musokotwane has revealed that Zambia’s import cover has been above the target of at least three months under UPND. He said this in the National Assembly, Friday, in response to a question by Chinsali PF member of parliament Kalalwe Mukosa who wanted to find out what the import cover was as at December, 2021 and August, 2022. Dr Musokotwane told the House that the import cover as at December 2021 amounted to US$2.8 billion while at end of August 2022 it stood at $3 billion equivalent to 3.5 months of import cover. Read more: News Diggers
Zambia’s Mopani Copper Mines posted a deeper financial loss last year and lower output, state owner ZCCM Investment Holdings said. Its financial losses widened to $298 million from $74.2 million in 2021, ZCCM said in a financial report published late on Thursday. Copper output at the operations declined to 72,694 tons from 87,618 tons, impacted by a 45-day smelter maintenance shutdown, it said. Rothschild & Co, hired by the ZCCM last year to find new investors for Mopani, has shortlisted companies including China’s Zijin Mining Group and Sibanye Stillwater to acquire the assets, Reuters reported on June 20, citing sources. Zambia expects to decide on an investor to take over Mopani Copper Mines by the end of this month from a shortlist of four companies, the country’s Finance and National Planning Minister said Sunday evening. Read more: Reuters and Mining
The Citizen Economic Empowerment Commission (CEEC) claims the new strategic focus to include traders in the empowerment structure has created 100,000 jobs in the first quarter of 2023. Commission spokesperson, Michelo Mukata, stated in an interview at the Zambia International Trade Fair in Ndola on Monday that the interventions by CEEC were changing lives. “We have created 100,000 jobs in the first quarter of 2023 loan products introduced recently by the commission,” Mukata said. Read more: Zambia Monitor
Mining consortium, Kobold Metals, says it is confident more copper ore would be discovered at Zambia’s Mingomba Mine. Kobold has 52 percent shares, EMR Capital has 28 percent stake, while ZCCM-Investment Holding (ZCCM-IH) holds 20 percent. Co-founder and global president, Josh Goldman, said Kobold’s Al technology would guide the exploration and development of the Mingomba deposit enabling the discovery of copper beyond nine million tonnes of copper ore already discovered. “We have confidence in the Zambian economy, that is why we are committing ourselves to huge investments to explore for copper and other minerals,” Goldman said in Kitwe on Monday. Read more: Zambia Monitor
Bank of Zambia Exchange Rates
Currency | Buying | Selling |
---|---|---|
USD | 17.5390 | 17.5885 |
GBP | 22.2447 | 22.3146 |
EUR | 19.1122 | 19.1680 |
ZAR | 0.9288 | 0.9316 |
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Gains occur at breakneck speed in Harare, Zimbabwe, the location of the largest stock market surge in history: 5%, 10%, and even 20% in a single session. Add them all up, and the market has increased by an astounding 800% year-over-year. The rapid rally, though, should raise more anxiety than excitement in a nation where up often comes down and the next currency crisis is always just around the horizon. Market watchers claim that this is a telltale indicator that investors are preparing for an inflationary spiral and looking for a hedge to preserve the value of their money. Over 100% yearly growth in consumer prices is causing unease in a country still feeling the effects of hyperinflation. Read more: Business Insider
On the sidelines of the Africa Energy Forum in Nairobi, the African Development Bank and the United States Agency for International Development (USAID), through the Power Africa Presidential Initiative, signed an extension and expansion of their current Regional Development Objectives Agreement (RDOAG). The action increases the foundation for collaboration in the development of creative and sustainable solutions to tackle energy poverty, and climate change, and enhance energy systems in sub-Saharan Africa. It also deepens the strategic relationship. The pact specifically aims to eliminate energy poverty by 2030, speed up the just energy transition in Africa, and improve the favorable climate for renewable energy. Read more: Business Insider
Saudi Arabia announced on Monday that it was extending its oil production cut by one million barrels a day to boost flagging prices, while Russia announced that it would cut its exports by 500,000 bpd in August. These measures are the latest to be taken by major producers to stabilize prices in the face of high market volatility, lingering fallout from Russia’s invasion of Ukraine and China’s faltering economic recovery. Saudi Arabia, the heavyweight of the Organization of the Petroleum Exporting Countries (OPEC), decided in early June to make a further production cut in the hope of boosting prices. This voluntary reduction, which took effect this weekend, will continue into August and “may be extended” beyond that period, the kingdom’s official news agency reported, citing a source in the Energy Ministry. Read more: Africa News
Facebook owner Meta is launching its new app to rival Twitter and says it will go live on Thursday. The app, which is called Threads and is available for pre-order on the Apple App Store, will be linked to Instagram. Screengrabs show a dashboard that looks similar to Twitter. Meta describes Threads as a “text based conversation app”. The move is the latest in a rivalry between Meta boss Mark Zuckerberg and Twitter owner Elon Musk. Read more: BBC News
The Federal Aviation Administration has certified for testing a vehicle that a California startup describes as a flying car — the first fully electric vehicle that can both fly and travel on roads to receive US government approval. Alef Automotive said that its vehicle/aircraft, dubbed the “Model A,” is the first flying vehicle that is drivable on public roads and able to park like a normal car. It also has vertical takeoff and landing capabilities. It apparently will be able to carry one or two occupants and will have a road-range of 200 miles and a flying range of 110 miles. The company expects to sell the vehicle for $300,000 each with the first delivery by projected for the end of 2025. Read more: CNN
Beijing will impose export controls on two rare elements essential for manufacturing semiconductors, in apparent retaliation after the United States and Europe restricted chip exports to China. Gallium and germanium will be subject to export controls starting August 1 “to protect national security and interests,” China’s Ministry of Commerce said in a statement Monday. Exporters of these raw materials will need to apply for “special permission from the state” to ship them out the country, the statement said. Read more: CNN
Italy has contributed EUR 5.5 million to African Development Bank Group’s Youth Entrepreneurship and Innovation Multi-Donor Trust Fund, to foster job opportunities and economic growth in the region. The Trust Fund has also empowered more than 12,000 young entrepreneurs who have gone on to transform their business plans and contribute to economic growth. Italian officials announced the new financing during the Fund’s mid-year Oversight Committee Meeting held virtually on 26 June. They reaffirmed the country’s commitment to fostering youth entrepreneurship and innovation in Africa. Read more: Zambia Monitor
Copperbelt Energy Corporation (CEC) Chief Financial Officer Mutale Mukuka calls for partnerships, innovative structuring and financing solutions to overcome challenges of the demand and supply gap in the mining sector with renewable energy. Speaking during a panel discussion at the Africa Energy Forum in Nairobi, Kenya, on the subject ‘Breaking Down Barriers for Energy Transition in Mining’, Mr. Mukuka said most countries in the region have undertaken energy sector reforms that allow for private sector participation but also facilitate for open access thereby enabling large power users or consumers such as the mining companies to directly contract their power requirement from Independent Power Producers. This framework provides an opportunity for investment in energy infrastructure to address the power deficit. “The regional power pool markets are now opening up and there is an opportunity for business-to-business solutions that will deliver reliable power supply to the mines in view of the energy transition,” he said. Read more
In 19 trades recorded yesterday 376,200 shares were transacted resulting in a turnover of K589,496.00. A share price gain of K0.03 was recorded in Zanaco and a share price loss of K0.05 was recorded in Standard Chartered Bank Limited. Trading activity was also recorded in CEC Zambia and Zambeef. The LuSE All Share Index (LASI) closed at 8,238.86 points, down by 0.11% from its previous close of 8,248.06 points. The market closed on a capitalization of K76,793,950,255.85 including Shoprite Holdings and K42,011,264,815.85 excluding Shoprite Holdings.
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