The Malawi Stock Exchange (MSE) registered a positive performance in the third quarter (Q3), with nine counters registering share price gains, sending the overall market measure up by an average 9.67 percent, a market report shows.

The market report shows that the local bourse registered an increase in both volume and value of traded shares.

The MSE Market Performance Report for Q3 published on Wednesday shows that the Malawi All Share Index (Masi)—the overall measure of local shares market performance—inched upwards from 49 596.14 points registered in July to 54 389.92 points in September.

Reads the report in part: “The price gains registered on e price gains registered on Illovo, National Bank, Standard Bank, Press Corporation Limited, Nico Holdings, FDH Bank, Airtel, National Investment Trust Limited and Sunbird Tourism plc were enough to offset share price losses in FMB Capital Holdings, TNM, NBS Bank, Icon properties and Blantyre Hotels Limited resulting into an upward movement of the Masi.”

Trading in progress at the Malawi Stock Exchange

During the review period, the market transacted 560 million shares, raising K14.7 billion in 1 147 trades, which is higher than 189 million shares transacted during the corresponding period last year, which raised K8.3 billion in 975 trades.

This reflects a 197.7 percent increase in volume of trades and a 77.13 percent increase in share value.

“Daily average share trades exhibited similar trends where the market registered an average daily volume of 8 617 111 shares compared to 2 959 676 shares traded in the corresponding third quarter of 2021 reflecting an increase of 191.15 percent,” reads the report.

It further shows that the average daily turnover for the Q3 was K226.2 million compared with K129.7 million for the corresponding period in 2021, reflecting an increase of 74.4 percent.

In an interview yesterday, Stockbrokers Malawi Limited chief executive officer Noel Kadzakumanja observed that this year has so far been characterised by some level of mixed performance.

Kadzakumanja, however, said there has generally been improved stock performance for the half-year with the Malawi All Share Index (Masi)—the overall measure of the stock market performance—which gained by 9.3 percent while during the corresponding period in 2021 Masi gained by 8.5 percent.

“The performance would have been better though had it not been for economic challenges facing the country and the world at the moment. With a good number of listed companies affected by the economic woes, stock performance will equally be affected by performance of these companies,” he said.

Meanwhile, Malawi Stock Exchange (MSE) operations manager Kelline Kanyangala said the outlook for the market remains positive despite significant downside risks mainly emanating from the macroeconomic environment.

“We are aware that most of the risks became more prominent towards the end of June and so perhaps the impact may not be fully reflected in the results. Nonetheless we are confident with the momentum we are seeing on the market,” she said.

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