Economic Update: 27 March 2018

Local News

Zim open to Indian investment – President Constantino Chiwenga has called on India’s private sector to consider investing in Zimbabwe and take advantage of the pro-business reform agenda in the country’s new political dispensation. Some Indian companies are looking for investments in mining — coal, granite, gold and diamonds, according to the India foreign office. So far, India has been a major market for Zimbabwe’s diamonds which feed its cutting and polishing industry. India has strong presence in the pharmaceutical sector in Zimbabwe and Indian medicines are readily available on the local market. (Herald)

Zim in $44,4m trade surplus with SA – Zimbabwe recorded a $44.4 million trade surplus against its major trading partner, South Africa, after exporting goods worth $216.9 million to the neighbouring country in the month of February 2018, official figures have shown. Latest data from the Zimbabwe National Statistics Agency (Zimstat) shows that Zimbabwe exported goods worth $216.9 million to South Africa in February this year against imports of $261.2 million, giving a trade surplus of $44.4m. (Newsday)

Market Data

Precious Metals

Proof of income requirement hinders mortgage seekers – Failure to provide proof of income by mortgage seekers operating in the informal sector has resulted in a low uptake of mortgage facilities, players in the housing finance sector have said. According to the Zimbabwe Association for Housing Finance “providing proof of incomes from informal business activities continued to be problematic for increasingly cautious lending institutions.” (Herald)

ED pledges to remove business restrictions – President Emmerson Mnangagwa has pledged to change the face of the Zimbabwean economy by dealing with red tape in government to lure foreign investors. President Mnangagwa said he was ready to interact with the international community to ensure that Zimbabwe leap frogs from years of stagnation. (Newsday)

Regional Stocks

Exchange Rate

Zimbabwe Stock Exchange

Zimbabwe Stock Exchange Performance

The Industrial Index was up 0.06% to 290.79 points on the back of an 9.09% gain in CAFCA which was offset a 16.39% decline in Zimre Holdings. The Mining Index remained unchanged to close off at 122.73 points. The All Share Index was up 0.06% to close at 86.92.