Zimbabwe virus lockdown ravages bourse as trading volumes crash
JOHANNESBURG – Traders have abandoned Zimbabwe’s stock market as a lockdown imposed to curb the spread of the coronavirus adds to the strains on an economy that was already contending with severe drought, hyperinflation and a shortage of foreign exchange.
The volume of shares changing hands on the bourse has plunged by 55% since the government imposed strict measures to limit movement on March 30, said Justin Bgoni, chief executive officer of the Zimbabwe Stock Exchange. Foreign participation has dwindled to just 10% of all activity, from 34% last year.
“Both the Covid-19 outbreak and the subsequent lockdown has put a strain on our listed companies, with some having to suspend operations, which has an effect on performance,” Bgoni said in an emailed response to questions.
Source: iol.co.za
