Story of the Day:
When the President of Zambia announced the Economic Recovery Plan (ERP) for the period 2020 to 2023, many sectors were identified that would be key priority areas for the country’s turnaround. ZCCM IH’s key focus area in its new strategy was one of those areas. Read more
Zambia’s external creditors will have to accept losses as they negotiate debt restructuring and it won’t be possible for the government to secure a bailout from the International Monetary Fund before general elections in August, the main opposition leader said. Read more: Bloomberg
Government has pledged to support local manufacturing companies in the pharmaceutical industry to enhance economic development. Health Minister Jonas Chanda says Zambia can take advantage of the prevailing market in the neighbouring countries to export some drugs and help stabilise the Kwacha. Read more: ZNBC
The Bank of Nevis International Limited has acquired a 24.8% stake in Investrust Bank Plc. Following the acquisition, Bank of Nevis International Limited (BONI) which is from an island off the coast of Mexico and Venezuela becomes the second largest shareholder after ZCCM-IH Plc which holds 71.4%. Read more: ZNBC
ZSIC General Insurance operations are collapsing following the institutions failure to settle claims and refunds on time and as they fall due. Read more: Zambian Business Times
International Business and Finance
The oil giant Saudi Aramco has announced that its profits fell sharply last year as lockdowns around the world curbed demand for oil. Earnings in 2020 fell by nearly 45% compared with 2019. Saudi Aramco, one of the largest companies in the world, still made a profit of $49bn however and said shareholders would still receive dividends totalling $75bn. Read more: BBC News
The Director-General of the World Trade Organisation (WTO) Dr Ngozi Okonjo-Iweala has called on authorities to remove all barriers serving as challenges to businesses. She said all barriers must be removed on businesses especially those owned by women to ensure economic growth post-COVID-19. Read more: Business Insider
Two of North America’s largest railroad companies announced a merger Sunday that would connect freight customers to Canada, the USA and Mexico on a single network for the first time in history. Canadian Pacific agreed to purchase Kansas City Southern. in a deal worth about $25 billion. Read more: CNN
The U.S. economy is recovering from the Covid-19 recession, but some economic “scarring” may take a long time to heal, said Richmond Federal Reserve Bank President Thomas Barkin. Read more: CNBC
Capital Markets Report Sponsored By ZCCM-IH
In 4 trades recorded yesterday, 2,172 shares were transacted resulting in a market turnover of K2,884. Trading activity was recorded in Zanaco and ZAFFICO. The LuSE All Share Index (LASI) maintained its close at 3,974.75 points,as there were no share price movements. The market closed on a capitalization of K57,625,843,385 including Shoprite Holdings and K23,392,072,200 excluding Shoprite Holdings.
Chart of the Day:
