The approved projects have an estimated value of US$906 million, which the Investment Authority says compares favourably with those approved last year, which were estimated at US$104 million.
The approvals were dominated largely by the manufacturing sector (33 projects), services sector (16 projects) and mining (15 projects).The tourism and transport sectors witnessed the approval of two and four projects, respectively while agriculture and construction both had one project approved.
“Investment interest was largely drawn from China, South Africa, India, South Korea and Pakistan, among others,” said ZIA.
Meanwhile the industrial index registered a year-to-date gain of 10,52 per cent to close the month of June 2011 at 167,18 points.
Conversely, the mining index shed -14,51 per cent points to close at 171,32 points, while the industrial index modestly advanced during the period under review.
The biggest movers in industrial counters include Fidelity Printers and Refiners, which gained 581 per cent, while Starafrica was the worst performing counter as it lost 85,71 per cent.
About 350 million shares were traded on the stock market during the month of June 2011. Foreigners acquired shares worth US$13,1 million on the local bourse compared to disposal of shares worth US$ 17,3 million, culminating in net capital outflows of US$4,2 million.
This negative development reflects waning investor confidence, particularly in view of intensified indigenization and economic empowerment initiatives as well as uncertainty surrounding future elections.
Additionally, it is noteworthy that the substantial disposal of shares that occurred around June 10, 2011, was in response to uncertainties about the outcomes of the SADC Summit that was held in Johannesburg, South Africa on June 11 2011.
Post published in: Business