Private investors have embraced the concept of capital markets including African Governments are now supporting the idea.
management
Description
MBA – 513 : Financial Analysis for Managers
THE CAPITAL MARKETS- LUSAKA STOCK EXCHANGE (LUSE)
Private
investors have embraced the concept of capital markets including African
Governments are now supporting the idea. It is a major source of generating
cost free investing capital. Policies of capitalist states places capital
markets at the centre of economic development. In view of the benefits accruing
from capital markets the MMD Government with the help of World Bank created
LUSE in 1994 as a private nonprofit making entity. Assume that the Zambian
political land scape changed drastically and a socialist party makes Government
and LUSE closes in 2017.
Questions
a) Examine the effect of such a closure on
existing and prospective investors in Zambia.
b) Evaluate the impact of the closure on
LUSE and all its listed companies.
c) Analyze the economic and financial
benefits of creating LUSE to the Zambian people.
d) Explain the concept of ‘fiscal
consolidation’ using Zambia Plc as a case study.
Limit: maximum 3500 words.
