BSEL experience quiet start to the year

It was a quiet first half of the year for the Botswana Stock Exchange Limited (BSEL) with regards to trading activity as well as liquidity.

According to latest data from the BSEL, during the first six months of the year they recorded a turnover of P866.9 million from the trading of 257.4 million volumes of shares.

It marks a big drop from the same period last year, when BSEL recorded a turnover of 1, 084.7 million with 411.6 million shares traded.

During the period, eco-tourism entity, Wilderness Safaris, which has since exited the stock market, was the top performer, producing turnover of P283.3 million.

It was followed by the insurance group, Botswana Insurance Holdings Limited (BIHL) which raked in a turnover of P120.6 million, while Sechaba completes the top three with P114.9 million.

The BSEL has however seen an improvement in turnover from listed companies, as last year during the same period, three companies accounted for 74.1 percent of turnover compared to 59.9 percent this time around.

Local companies contributed 58.7 percent of total turnover compared with 60.1 percent last year.

In addition, local individuals contributed 4.7 percent to total turnover registered between January and June, an increase from 3.7 percent seen during the same period last year.

With regards to the share price performance, StanChart was the biggest loser, shedding 50 percent during the first six months of the year, followed by Tlou Energy who lost 48.7 percent and 45.5 percent respectively on their share prices.

On the other hand, FNBB was the biggest gainer, with its share price shooting up by 12.2 percent, followed by Letlole and Sechaba whose share prices went up by 5.1 percent and 2.8 percent respectively.

Out of 38 listed companies (three have since de-listed), only nine experienced an increase in share price, while 19 registered a decline and share price of 10 entities ended the period flat.

The BSEL not only experienced slowdown in share trading, there was also deceleration in bond trading.

The value of bond trading year-to-date sits at P523.8 million, which is significantly lower than the P755.7 million recorded in the same period in 2018.

In the first half of the year, two bonds were listed, valued at P47.35 million and P128.51 million, taking the value of bonds currently listed to P15.8 billion, a slight increase from P14.6 billion last year.