The Zimbabwe Stock Exchange industrial index has failed to surpass the 180 points mark since the beginning of the year owing to slow recovery of the manufacturing sector amid projections by market watchers that it will end the year at around 165 points.The countryâ€™s bourse which for the greater part of the year has been sluggish due to liquidity constraints has seen both the mining and industrial indices remaining constant.
The mining index which in January was averaging 200 points has not gained much, ending the first half of the year around 190 points.
On the other hand, the industrial index has remained sluggish at around 160 points owing to liquidity challenges facing the market.
Economic analyst, Mr. Kipson Gundani believes the industrial index will end the year at less than 170 points level, adding that there is need to restore investor confidence on the local bourse.
While the mining index recorded notable gains during the first quarter as evidenced by the increase in the market capitalisation from US$3.8 billion in January this year to over US$4 billion by March, the positive performance was reversed during the second quarter of the year.
Meanwhile, the industrial index reserved mid week loss to close the week in the positive territory after adding 0.69 points to end the week at 160.84 points.
The mining index on the other hand dropped 5.26 points to close at 155.66 points after losses were recorded by Riozim which shed 15 cents to close at 85 cents as Bindura, Falgold and Hwange were unchanged at previous day levels.