The Malawi Stock Exchange (MSE) has started the New Year on a good note, transacting a total of 935 070 shares raising K10.5 million in 19 deals.
During the week ending January 9, the 13-counter local shares market recorded trading activity in seven counters namely, Illovo Sugar (Malawi) Limited, Mpico Limited, NBS Bank, Nico Holdings Limited, Standard Bank, TNM plc and Old Mutual Limited.
As a result of this, the Malawi All Share Index (Masi), the overall measure of market performance, edged upwards by 39.12 points from 13 320.51 points to 13 359.63 points due to an increase in the domestic share index (DSI) by 31.11 points from 10 456.92 points to 10 488.03 points.
MSE report attributed the increase to the share price gain in TNM by 17 tambala from K6.05 to K6.22, which was enough to offset a share price loss in Nico Holdings by one tambala from K17.00 to K16.99.
On the Treasury bills (T-bills) market, the average yield on the 91 days T-bills decreased by 0.0001 percent from 23.9993 percent to 23.9992 percent while the 364 days T-bills inched upwards by 0.0423 percent from 25.9577 percent to 26 percent.
MSE performance in the just ended year was not satisfactory compared to the prior year, according to market analysts.
For instance, in the first quarter of 2016, the market registered a negative return on investment of 7.8 percent compared to 3.21 percent registered in the first quarter of 2015 and a decrease in both traded volume and value.
But in an earlier interview, MSE operations manager Esnat Lweya was upbeat that the local bourse is set for strong performance in 2017 on the back of a stabilising macroeconomic environment.
She said: “We have seen some positive developments in macroeconomic indicators notably the interest rates cut and the slowdown in inflation rate. We are hopeful that these results will filter in 2017.”
Lweya said the local bourse is also hopeful that the awareness activities that it embarked on last year to woo investors to the MSE will bear fruits. n