Zimbabwe’s economy is a regular customer in the mainstream media today. Not many African countries get the amount of coverage it gets. And each time it gets reported on, two forces have stayed constant: hyperinflation and a weakening local currency. Every major policy and event has some link to these two. Implications mentioned usually point to losses for the everyday man. But no one foresaw them leading to the world’s biggest stock market rally in 2023. Share prices have moved so quickly on Zimbabwe’s stock exchange this year that the bourse increased the maximum move allowed in a single day. The gains have come at blistering speed: 5%, 10%, and even 20% in a single session. Tally them up, and the market is up a breathtaking 800% on the year. Zimbabwe runs a small-sized stock market with only $1.8 billion in total capitalization. This size makes it more accessible for the locals to invest. And now, they are using the stock market as a refuge from hyperinflation.
The Silver Lining in Zimbabwe’s Economic Woes
- AFRICA TOP 10
- 1 min read