One year treasury bills have continued to attract the most liquidity as they remain attractively priced in a sovereign stressed environment. The eleventh treasury bill sale of the year 2021 saw the first oversubscription in the last five (5) short term debt sales. The auction recorded strong appetite of K2-billion in bids of which K1.7-billion were absorbed. The treasury bill sale performance for June 03, is an extension of the strong bond performance seen on May 28 as investor confidence in Zambia starts to climb. Of the K700-million one year assets on offer, over a yard of demand was observed…
Author: The Editor
The central bank in Africa’s copper producer sold K2-billion worth of government bonds in an oversubscribed sale supported by a sentiment boom as Zambia’s recovery prospects brighten. Of the K1.5-billion of assets on offer, the Bank of Zambia saw exceptional appetite of K9.4-billion in bids of which 2 yards were absorbed. Investor interest was concentrated in the 5 and 10 – year tenors yielding 32.99% and 31.0% respectively. INFLATION JUMP AND ‘CURVE SAG’ NARROWED PREMIUMS ON BONDS Friday, May 28 outcome saw a shift in risk skew from shorter dated higher yielding assets, a duration risk management theme to interest…
Lusaka Securities Exchange – LuSE listed Zambeef (ISIN:ZM0000000201) advised its shareholders that its 1H (first half) Group Earnings per Share – EPS for the year period ended March 31, is forecast to be 3,290% higher in local currency terms (2,167% higher in USD) compared to a year ago in the same period. This was according to a Stock Exchange News – SENs dated June 03. Attributing the solid performance was strong commencement of the financial year supported by an effective cost containment strategy that yielded significant savings in a turbulent operating environment. The cold chain retail food entity business performance…
Fish in Zambia’s Luapula province one the Northern part of Africa’s copper producer.
The genesis of 2021 was characterised by healthcare response quagmires as the world was at varying levels of the COVID pandemic, safe to say the corona virus was still top risk surpassing climate change. Nearing the end of the previous year medicinal breakthroughs through vaccinations did rally markets as hope for economic recovery through rising demand pulse seeped through the world. Much as vaccines spelt hope, not all nations were ecstatic about this as it was still vague as to how developing nations would tap into accessing the worlds inoculation agenda let alone most nations Zambia inclusive pondered on threats…
Following two day deliberations into Zambia’s monetary policy posture, Central Bank Governor Christopher Mvunga announced that the rate decision committee had decided to keep rates tad at 8.5%. This was informed mainly by rising copper prices, improved investor flows especially in the government securities market which would shape inflation trajectory over the next eight quarters. Copper the metal used in electric wire manufacture has been on an aggressive rally hitting decade highs of $10,553/MT on the London Metal Exchange. The metal remains a bellwether for Zambia’s economic recovery pulse. Read also: An inflation ebb could justify BOZ keeping rates tad…
First quarter financial results for banks in Africa’s red metal producer, Zambia, have signalled appetite for sovereign deals and a risk skew towards shorter dated higher yielding assets inferred from income decomposition, asset and after tax earnings growth. Despite commencing the year with healthcare concerns on the back of a second ferocious COVID strain, the banking sector showed resilience. Read also: Pandemic spend and sovereign induced provisions ‘shrivels’ Zambia’s banking FY20 industry earnings 14% HEADLINE EARNINGS Zambia largest indigenous bank Zanaco Plc demonstrated income leadership across almost all lines, save foreign exchange trading, growing by 65.0% to K815.5 million while…
State owned pension fund in Africa’s second largest copper producer, Zambia, National Pension Scheme Authority – NAPSA has raised its shareholding in Zambia Industrial Commercial Bank – ZICB to 65.0% from an initial 15.83%. The equity stake then makes NAPSA majority stakeholder in the bank. This transaction was facilitated through a special purpose vehicle NAPSA Investment Holding Company Limited when it participated a rights issue. Zambia Industrial Commercial Bank is a metamprphosis product of a recapitalisation of the defunct Intermarket Bank that collapsed due to unbridled governance practices by previous shareholders. The Industrial Development Corporation – IDC, NAPSA, Madison Financial…
Africa’s second largest copper producer, Zambia continues to make strides towards closing a deal with the Washington based lender, the International Monetary Fund – IMF for an Extended Credit Facility – ECF. Conclusion of a bailout deal will serve as a precursor for successful debt restructure which creditors have demanded. Zambia is in the labyrinth of a debt restructure process by Lazard Frere’s the French Investment Banking entity. The copper producer was the first nation to default in COVID era following amplified pandemic effects that has seen record resource allocation towards healthcare at the expense of productive sectors of the…
Dr. Copper is at it again, making immense headlines and is the most spoken about topic recently exceeding pandemic effects and climate change. They say copper is a bellwether for economic pulse for the globe and exporting nations. As a commodity traded on the London Metal Exchange – LME, the red metal is used in the manufacture of electric wires for power transmission, bullets, earthing material and other construction related material. The price of copper exceeded $10,000/MT on the LME and this has sparked excitement and hype in producing nations such as Chile, Venezuela, Zambia, Democratic Republic of Congo, China…