Reflecting the lacklustre global economic recovery, declining growth in emerging markets and regional turmoil on the continent, nine of the 11 main indices in Africa, ex South Africa, posted losses in November. Only two recorded gains and just one, Botswana’s Gaborone Index, is in positive territory year to date.
Worst hit for the month was Egypt’s EGX 30, which plummeted -15.33% following a plane crash on October 31 that killed 224 passengers. The Islamic State group (IS) claimed responsibility for planting a bomb on the Russian aircraft, which had taken off from the Egyptian resort town of Sharm el-Sheikh on the Sinai Peninsula. Egypt’s economy had already been under strain due to escalating IS militancy, a declining tourism sector, foreign-exchange shortages and falling industrial production. By month’s end the index was down -28.79% for the year.
Zimbabwe’s ZSE Industrial Index contracted -10.15% in November, taking its year-to-date loss to -27.79%. On November 26, Finance Minister Patrick Chinamasa announced a thin US$4 billion budget that reflected a shrinking economy and dwindling revenues.
Namibia’s Overall Index gave back -6.71% and was -13.89% down for 2015.
Nigeria’s All Share Index declined -6.18% in November, extending its year-to-date losses to -20.98%.
The SEMDEX in Mauritius closed the month -3.27% in the red with a year-to-date decline of -12.24%.
Tunisia’s TUNINDEX retreated -3.18%, dragging its year-to-date performance -2.74% into negative territory.
Ghana’s GSE Composite Index shed -1.95%, extending its year-to-date losses to -12.69%.
The Lusaka All Share slipped -0.48% in November with a year-to-date decline of -6.57%.
Morocco’s CFG 25 dipped 0.21% for the month, taking its year-to-date loss to approximately -4%.
Following four straight months of losses, Kenya’s NSE 20 gained 3.81% in November to end the month -21.45% down since the start of the year.
Botswana’s Gaborone Index improved by 0.38%, and at month’s end was the best-performing index for the year with a gain of 11.65%. Copyright. HedgeNews Africa – December 2015.