Zambia set to join American Giant J.P. Morgan’s market index

Zambia is set to enter a new phase of international recognition for its local-currency government bonds as J.P. Morgan prepares to include the country in its new GBI-EM Edge index, covering nearly 330 billion United States dollars in government debt across 26 frontier…

Zambia is set to enter a new phase of international recognition for its local-currency government bonds as J.P. Morgan prepares to include the country in its new GBI-EM Edge index, covering nearly 330 billion United States dollars in government debt across 26 frontier economies.

Ministry of Information and Media Director Spokesperson, Henry Kapata, says the new GBI-EM Edge is specifically designed for frontier markets, meaning Zambia is now being brought into a new benchmark created for economies at an earlier stage of financial-market development.

Mr KAPATA has told the media business news that the development comes about eight months after President Hakainde Hichilema met investors in a J.P. Morgan-facilitated engagement at State House.

He said it also follows stronger demand for Zambia’s domestic bonds and efforts to increase the size and accessibility of the local bond market.

Mr Kapata explained that the development will help the country continue to rebuild confidence in its economy and domestic financial markets following the debt crisis and restructuring.

The index inclusion is therefore another development to watch as Zambia works to strengthen its financial markets and attract investment.