Lusaka Securities Exchange (LuSE) says it has recorded a robust performance in 2025, with total market capitalization surpassing K328 billion, representing a 52 percent year-to-date growth.
The LuSE All-Share Index gained over 65 percent, reflecting strong capital appreciation and growing confidence in fundamentally sound Zambian assets. The strong market performance was underpinned by improved macroeconomic stability, enhanced market infrastructure and sustained investor participation.
In a year-end message to the market, LuSE Chief Executive Officer, Nicholas Kabaso, noted that market liquidity also improved significantly, with increased turnover across a broad range of counters, signaling wider participation and deeper market activity.
“Notably, Copperbelt Energy Corporation Plc and ZCCM Investment Holdings each surpassed US$1 billion in market capitalization, demonstrating the scale that can be achieved through strong governance, disciplined execution and patient capital. Their success strengthens the investment case for high-quality Zambian corporates,” Mr. Kabaso said.
According to Mr. Kabaso, the positive market performance was supported by a favourable macroeconomic environment characterized by moderating inflation, easing fixed-income yields and a more predictable monetary policy stance.
He added that the recent sovereign credit rating upgrades, further boosted investor sentiment and improved Zambia’s risk profile ahead of 2026.
On market development, Mr. Kabaso revealed that the Exchange made tangible progress through extended trading hours, increased retail investor participation via mobile trading platforms — which grew by over 18 percent annually — and targeted financial literacy initiatives aimed at broadening access to the capital market.
Looking ahead, he said LuSE expects to conclude additional initial public offerings (IPOs) currently in the pipeline and anticipates the issuance of Zambia’s first sustainability bond by ZANACO in the first half of 2026.
Primary market activity also gained momentum, with the successful listing of Dot Com Zambia, which attracted strong interest from both retail and institutional investors.
Despite the positive outlook, he acknowledged that challenges remain, including the slow pace of new listings, particularly among small and medium-sized enterprises (SMEs).
Mr. Kabaso said addressing these constraints through targeted reforms, technology-driven solutions, settlement cycle enhancements and closer stakeholder collaboration remains a strategic priority.
He further emphasized the need to simplify listing rules and encourage greater participation of public pension funds through selected private fund managers to enhance equity market liquidity.
Mr. Kabaso also called for targeted fiscal incentives, such as tax waivers or relief for companies that raise capital through public listings, to lower entry barriers and stimulate issuer appetite.
“While the journey ahead will require continued discipline and collaboration, we remain committed to positioning the LuSE as a credible, efficient, and Competitive investment destination,” he added.
