Zimbabwe stock market hits new highs

HARARE – Zimbabwe’s stock market hit a record high last week, propelled by local investors seeking a safe haven in an economy suffering acute shortages of foreign exchange, a leading financial research firm has said.

Equity Axis said in the week under review, stocks shot up astronomically going beyond the recent all-time high set in November 2017 as uncertainties rattled investors.

Over the week, stocks rose by an average of 60 percent which has never been achieved in the post-dollarisation history of the Zimbabwe Stock Exchange (ZSE).

The financial research firm said panicky investors dumped RTGS balances, opting instead for stocks in speculative moves which resulted in a huge premium for the ZSE.

As the cash crisis worsened, a monetary crisis came to effect which almost brought the country to its knees as industry stopped business, citing currency concerns.