Gaborone — The Botswana Stock Exchange (BSE) stock market has remained stable amid the COVID-19 pandemic that continue to cause ripples through global financial markets and economies.
Speaking in an interview, Botswana Stock Exchange Limited Head of Market Development Ms Thapelo Moribame explained that the stock market had remained steady owing to the comparative and competitive advantage that the market had.
She highlighted that the demand from the local investors had so far been able to cushion the market's volatility in instances where international investors were selling.
She indicated that stock markets had in recent times experienced normal course of business as some investors were selling while others were buying as the share prices kept on fluctuating daily.
Both investors and listed traders, she noted were responding to the current market activities differently as some were disposing off their shares while the current affair could prove to be conducive for buyers, depending on the investor's strategy and mandate.
"Stock market traders have responded differently to the pandemic with some responding to worrying about volatility, as some traders have sold their shares out of fear while some have taken advantage of the recent turmoil to buy to at low rates," she said.
Ms Moribame however cautioned that it would be premature to make any market trajectory as the pandemic was still unfolding.
She further stated that as part of compliance with advice from health authorities regarding COVID-19, the BSE had taken precautionary measures focused on protecting the health and safety of staff, as well as their stakeholders by cancelling all scheduled events and meetings.
She said 60 per ent of BSE staff would work from home to minimise the risk of infection adding that critical functions of the exchange such as trading, clearing and settlement would go on without interruption.
As at Friday BSE had recorded no price movement except for Botswana Telecommunication Corporation Limited which lost one thebe to end the day trading at 86thebe.
Source : BOPA