Public Management

Zimbabwe posts Africa’s best stock market returns since Jan. 2020

Zimbabwe posts Africa’s best stock market returns since Jan. 2020
Monday, 26 October 2020 17:04

The Zimbabwe Stock Exchange had the best performance of African stock market indices over the first nine months of 2020, according to a consolidated report by the African Markets platform.

Zimbabwe All-Share Index, the main index of this financial market, grew by 612% over the period under review when the values are taken in local currency. When securities are taken in dollar and euro, the ZSE ASI shows performances of 46.6% and 40% respectively. This means that foreign investors who made investments in dollars or euro in African financial markets made better gains in Zimbabwe.

Only two other African stock markets experienced positive performance in dollar terms. These are Rwanda (+6.8%) and Malawi (+2.9%). In euros, only Rwanda posted the second positive African performance (+2.56%).

The rest of the main African indices taken into account by the study posted declines in value. The worst performance analyzed is that of the Ugandan Stock Exchange where the main index, the Uganda Stock Exchange All Share Index, fell by 24.3% over the period analyzed. In dollar and euro terms, Zambia is the country with the worst returns among African stock market indices.

Zimbabwe's performance is surprising for a very poor country that is struggling to emerge from the socio-political crises. But it is precisely this sluggish situation in the local economy, especially the money market, which has given weight to the Zimbabwe Stock Exchange.

The devaluation of the local currency has prompted investors to inject money into listed companies. Until the end of 2019, these shares were undervalued but are now the only factors of stability for investors.

Idriss Linge

Additional Info

  • communiques: Non
  • couleur: N/A
On the same topic
• IMF extends Niger’s Extended Credit Facility (ECF) program by one year through December 2026.• IMF approves a $41 million disbursement tied to...
EBRD grants $100 million loan to Banque Misr to expand credit access for SMEs and women-led businesses. Loan supports Egypt’s green finance...
UTB’s restructuring delayed to end-2026 due to incomplete audits; reorganization plan expected by March. Despite a CFA 15.2B injection, the bank...
DRC launches campaign to diversify investors in government securities 98% of bonds now held by banks; aim is to reduce risk and broaden...
Most Read
01

• Inflation within the West African Economic and Monetary Union (UEMOA) fell to a two-year low of 0....

UEMOA: Inflation Drops to 0.6% in May, Driven by Lower Food Prices
02

• Interbank volumes rose 18.7% in May, while rates declined across the market• The BCEAO cut its mai...

WAEMU Sees Easing Conditions on Regional Interbank Market
03

• The U.S. imposed a 20% tariff on cashew exports from Vietnam and a 40% tax on suspected transshipm...

U.S. Tariffs on Vietnam Cashews May Disrupt Trade, Hit African Growers (Interview)
04

Cauri Money launches Gajo Money, an e-wallet for the Cameroonian diaspora, targeting €120 mil...

Cauri Money Targets Cameroonian Diaspora with Digital Wallet Launch
05

• Qatar Airways and Kenya Airways establish strategic agreement, introducing a third daily flight be...

Qatar Airways Expands its Network in Africa, Building Presence in Kigali, Johannesburg, and Nairobi
Enter your email to receive our newsletter

Ecofin Agency provides daily coverage of nine key African economic sectors: public management, finance, telecoms, agribusiness, mining, energy, transport, communication, and education.
It also designs and manages specialized media, both online and print, for African institutions and publishers.

SALES & ADVERTISING

regie@agenceecofin.com 
Tél: +41 22 301 96 11 
Mob: +41 78 699 13 72
Média kit : Download

EDITORIAL
redaction@agenceecofin.com

More information
Team
Publisher

ECOFIN AGENCY

Mediamania Sarl
Rue du Léman, 6
1201 Geneva
Switzerland

 

Ecofin Agency is a sector-focused economic news agency, founded in December 2010. Its web platform was launched in June 2011. ©Mediamania.

 
 

Please publish modules in offcanvas position.