INTRODUCTION
The Government of the Republic of Zambia approved the 10-year Capital Markets Master Plan (CMMP) which was launched by the Republican President, Mr. Hakainde Hichilema on 23rd February 2023. The CMMP is envisaged to provide a unified and clear roadmap to reposition the Zambian capital markets as an important conduit for domestic and foreign investments and that will enable it to fulfil its function of bolstering Zambia’s economy.
In this regard, the Ministry of Finance and National Planning (MoFNP) in collaboration with the Securities and Exchange Commission (SEC) initiated steps towards implementing the CMMP, which includes among other things, the establishment of CMMP Governance and Implementation structures namely; the Steering Committee, Implementation Committee, five (5) Working Groups and five (5) Action Teams. It is envisaged that the successful implementation of the CMMP shall rely on concerted efforts by various capital markets stakeholders that shall constitute the aforementioned structures.
OBJECTIVES OF THE CAPITAL MARKETS MASTER PLAN
By Implementing the CMMP, Zambia should achieve the following aspirations among others:
- A classification of Zambia as a frontier market by 2027;
- A market capitalisation of 27% of Gross Domestic Product by 2024;
- Double listings by 2031 (from 23 to 40 or more); and
- A broadened product landscape by introducing products such as Green Bonds, Exchange Traded Funds,
Real Estate Investment Trusts, Derivatives, etc.