Harare -African stock markets recorded impressive gains in 2017, with the Zimbabwean Stock Exchange the top performer with triple-digit growth.
The market gains are in line with performances recorded across the globe where stock markets such as the Dow, S&P 500 and Nasdaq closed at record-breaking levels.
Even the FTSE 100, riddled with Brexit issues, closed at an all-time high, having gained 7.6% during 2017.
The ZSE, though driven by weak currency fundamentals, was the continent’s top performer after adding 130.42% in 2017, its biggest one-year gain since dollarisation.
The amount of money invested on the ZSE, which topped $675m, was also at record levels having beaten the previous high of $485.7m, invested in 2013.
The Nigerian Stock Exchange (NSE) put on 42.3% by the end of the year. Foreign investors’ interest in the equities market was on the rise, with its percentage contribution to the total equities transaction on the NSE rising by 241.1% in the 11 months ending November 30 2017.
In Kenya, the stock market still managed to record solid gains in 2017, a year in which the country had to deal with disputed elections. By the close of 2017, the Nairobi Securities Exchange had gained 28.39%. The country had to deal with increased risks as a result of the drawn-out election process and its disputed outcome.
At least seven firms listed on the NSE have since issued profit warnings, citing political uncertainty due to a prolonged electioneering period, interest rate cap and drought conditions experienced earlier in the year.
Other notable gains were recorded in Zambia, where the Lusaka Stock Exchange put on 26.97%, while the Egyptian Exchange added 21.65%.
The Malawi Stock Exchange was also firm after gaining 62.14% in 2017.