Citi Says Zambia's 36% Bond Rally Can Extend if Hichilema Wins August 13 Vote
Updated
Updated · Bloomberg · Jul 24
Citi Says Zambia's 36% Bond Rally Can Extend if Hichilema Wins August 13 Vote
3 articles · Updated · Bloomberg · Jul 24
Summary
Zambia’s local-currency bonds have returned 36% in dollar terms this year—the best performance among emerging markets tracked by Bloomberg—and Citi says the rally could continue after the August 13 election.
Citi’s call hinges on President Hakainde Hichilema winning decisively enough to secure a second term, a result the bank sees as supportive for investor confidence.
Election risk is still keeping some investors cautious for now, with the vote acting as the main near-term test for whether Zambia’s bond surge can keep running.
The contrast is stark: an index of emerging-market local debt has returned just 1.35% this year, underscoring how exceptional Zambia’s rally has been.