MWILA NTAMBI
Kitwe
LUSAKA Securities Exchange (LuSE) head of business development Linah Lungu says corporates need more incentives if they are to be attracted to list on the stock market.
Speaking during a PricewaterhouseCoopers Limited (PwC) Zambia Listed Companies Analysis Review recently, Ms Lungu said the stock market is an anchor for the financial markets and needs to be fully utilised by corporates.
She said there are a number of factors driving the low participation of corporates on the market, and some of them include the undeveloped private equity and venture capital market.
However, with the recent launch of the Capital Markets Master Plan, Ms Lungu is optimistic that the status will change.
“The issuance of corporate bonds may have been difficult in the past because they could not compete with the rates offered by government securities,” she said.
Ms Lungu said the participation of corporates is important in giving investors a wider variety on one hand while making it possible for the listed entities to raise capital on the other.
And Ms Lungu said the participation of small and medium enterprises (SMEs) in the capital market space is almost nil despite the existence of an alternative market where they (SMEs) can list.
“There have been no listings yet on the alternative market,” she said…https://enews.daily-mail.co.zm/welcome/home
