Story of the Day:
Zambia Reinsurance Plc has issued a statement that indicates that the company is likely to score a weaker financial performance at half year 2021 compared to the same period last year. Read more
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Zambia’s new President Hakainde Hichilema pledged to rein in public debt and the budget deficit, while restoring the nation’s credibility following a default on its foreign loans. “Our focus over the next five years will be on restoring macroeconomic stability,” Hichilema said in his inauguration address. “We will grow our economy so we can lift more people out of poverty than ever before.” Read more: Bloomberg
Jubilee Metals Group PLC has agreed to work with Mopani Copper Mines PLC, a subsidiary of ZCCM Investment Holdings PLC, to create additional copper and cobalt refining capacity in Zambia. Read more: Proactive Investors
The central bank in Africa’s copper hotspot will commence deliberations for its pen ultimate rate decision meeting for the year 2021 on August 30 for 2 days with the announcement to be made on September 01. There will be need for the central bank to manage the level of excess liquidity in the Zambian financial system as a result of stimulus programs through quantitative easing methodologies that continue to prove inflationary. Read more: The Business Telegraph
The Competition and Consumer Protection Commission (CCPC) tribunal says the matter in which Lafarge Zambia Plc, Mpande Limestone Limited (commonly known as Sinoma Cement) and Dangote Cement Zambia Limited appealed the CCPC board’s decision of the three companies reverting to pre-cartel prices is still before the tribunal. Head of Tribunal Secretariat Kalumba Chulu said the matter is still being heard and judgement waited upon but could not confirm when the case would be concluded. Read more: Zambian Business Times
International Business and Finance
The US Congress has approved a $3.5tn budget blueprint, setting the stage for Democrats to enact President Joe Biden’s ambitious economic agenda. Read more: BBC News
The World Bank has halted funding for projects in Afghanistan after the Taliban seized control of the country. It cited concerns over how the Taliban’s takeover will impact “the country’s development prospects, especially for women”. The move comes just days after the International Monetary Fund (IMF) suspended payments to Afghanistan. Read more: BBC News
South Africa’s unemployment rate surged to the highest on a global list of 82 countries monitored by Bloomberg. The jobless rate rose to 34.4% in the second quarter from 32.6% in the three months through March. Read more: Al Jazeera
Africa’s largest retailer, Shoprite Holdings, has announced plans to discontinue operations in Uganda and Madagascar, adding to its growing list of African departures. Read more: Business Insider
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In 39 trades recorded yesterday, 1,213,601 shares were transacted resulting in a turnover of K1,474,691. A share price loss was recorded in British American Tobacco Zambia of K0.01. Trading activity was also recorded in Airtel, Copperbelt Energy Corporation, Pamodzi, Real Estate Investments Zambia, ZCCM and Zanaco. The LuSE All Share Index (LASI) closed at 4,645.12 points, 0.01% down from its previous close of 4,645.61 points. The market closed on a capitalization of K61,013,500,958 including Shoprite Holdings and K26,230,815,518 excluding Shoprite Holdings.
Chart of the Day: