Story of the Day:
Zambian businesses lose millions of kwacha annually in reduced productivity hours due to malaria infections in the workforce. This detrimental yet often overlooked impact of the disease was just one of the many issues spotlighted at a convocation of stakeholders in the fight against malaria from both the public and private sectors at the Mika Convention Centre from the 29th to the 30th of November 2022. Read more
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Finance Minister Situmbeko Musokotwane says government converted the 20 percent shares ZCCM-IH owns in Kansanshi Copper Mine to a royalty of 3.1 percent because it offers a more profitable revenue stream than the dividends model. Dr Musokotwane says this means that whether or not the mine makes a profit, ZCCM-IH will get revenue at the rate of 3.1 percent for everything that is mined from Kansanshi Copper Mine. He told journalists at a Press briefing in Lusaka that the negotiations to convert the dividends to a Royalty actually started three years ago before the New Dawn Administration took over government. Read more: ZNBC
Fitch Ratings has affirmed Zambia’s Long-Term Foreign-Currency Issuer Default Rating (IDR) at ‘RD’. he ‘RD’ LTFC IDR reflects that Zambia remains in default on its foreign-currency government debt, following the sovereign’s failure to honour a Eurobond interest payment in October 2020. Subsequently, the government announced that it would stop servicing all of its external debt, excluding multilateral debt and some priority project loans, and applied for debt relief under the G20 Common Framework. Following the financing assurances provided by the Official Creditor Committee in July 2022, the IMF Board approved a USD1.3 billion 38-month Extended Credit Facility Arrangement in August, clearing the way for a debt treatment. Read more: Fitch Ratings
President Hakainde Hichilema has been named as the African Political Leader of the Year 2022. The United Kingdom based African Media Agency -AMA- has named President Hichilema as the African Political Leader of the Year 2022. The poll, which has become the continent’s premium vote-based awards, attracted over 12,000 votes on the website and over 3,000d votes via email. Read more: The Maravi Post
Zambia’s quest to broaden market share for agriculture -related products continues surging with a staggering US$41 million expected to be realized from export deals after a trade mission undertaken to Angola. A delegation from Zambia comprising various agriculture sector players and led by the Zambia Development Agency-an investment wing of the Government participated exhibitions and business to business (B2Bs) meetings. During the Agriculture Fisheries and Livestock (AFL) Show in Benguela, Angola held from 9-13 November, 2022, and the companies from Zambia garnered US$41.5 million worth of export deals, says a statement seen by FRA. Read more: Farmers Review
President Hakainde Hichilema has assured that government is committed to the rehabilitation of the country’s entire railway stretch as it is cardinal to the country’s economic transformation. President Hichilema says Zambia’s economic agenda can be attained through having a quality rail infrastructure as it has an advantage of accommodating heavy loads. The Head of State was speaking at State House today, when he met a Swedish trade delegation led by the Swedish Ambassador to Zambia, Johan Hallenborg. Read more: Lusaka Times
International Business and Finance
Africa’s economic recovery has been disrupted in 2022 by a range of internal and external shocks—including adverse weather conditions, rapidly rising inflation rates, higher borrowing costs and softer demand in major export markets. Some of these factors will subdue growth prospects in the year ahead, but the region is expected to hold steady rather than suffer a major downturn in economic growth. Here are a few of the major trends, issues and events that will shape the trade and investment landscape across Africa in 2023, according to EIU analysts. Read more: Business Insider
Africa accounts for less than 2% of total US merchandise exports and imports. The overall value of US exports to the continent fell from $32.9bn in 2011 to $26.7bn in 2021, while imports declined from $93bn in 2011 to $37.6bn in 2021, according to the United States Census Bureau. South Africa has become the largest US trading partner on the continent. Its exports to the US rose to $15.7bn in 2021, the highest for at least 10 years. Separate figures from the UN COMTRADE database show that exports of stones, glass, metals and pearls together amounted to $7.3bn. Read more: African Business
Just a few months after the European Union-Africa Summit was held last February, Moussa Faki Mahamat, the Chairperson of the African Union (AU), and Ursula von der Leyen, the EU Commission President, met in Brussels on Tuesday to unveil details of the EU’s $150bn Global Gateway Plan for Africa. The Global Gateway represents a shift in the EU’s foreign policy from development aid to investments in key infrastructure projects and the energy and productive sectors. The plan, initially unveiled in December 2021 as part of the EU’s €300bn Global Gateway investment strategy – of which half is to be deployed in Africa – is seen by many observers as a counterweight to China’s Belt and Road Initiative. Read more: Read more: African Business
he US trade gap edged only slightly higher in October than the month before, to $78.2 billion. The latest reading was up just 5.4%, less than half the pace of increase from the revised September reading, when the trade deficit jumped by 12.7% to $74.1 billion. A strong dollar and weaker global demand weighed on exports both months. A strong dollar makes US goods more expensive to foreign buyers and it also makes imports more affordable for US buyers. But economic slowdowns in overseas markets also hit US exports in the most recent readings. Read more: CNN
The global airline industry is expected to return to profitability in 2023 for the first time in four years. In a forecast released Tuesday, the International Air Transport Association predicted that airlines will earn a net profit of $4.7 billion, despite fears of a global recession. It would mark the first time the sector has made money since 2019, as fliers return to the skies after years of Covid-19 restrictions reduced demand for flights. Read more: CNN
Capital Markets Report
In 202 trades recorded yesterday, 2,471,606 shares were transacted resulting in a turnover of K25,543,211.78. A share price loss of K0.01 was recorded in Zambeef and Zanaco. Trading activity was also recorded in Copperbelt Energy Corporation Zambia, Chilanga Cement, PUMA, Standard Chartered Bank Limited, Zambia Breweries, ZCCM, ZAMEFA and Zambia Sugar. The LuSE All Share Index (LASI) closed at 7,337.91 points, 0.05% downfrom it’s previous close at 7,341.92 points. The market closed on a capitalization of 72,872,294,244.65 including Shoprite Holdings and K38,089,608,804.65 excluding Shoprite Holdings.