Umeme uncertainty, foreign investor flight hurt stockbroker earnings on USE
Uganda Securities Exchange stockbrokers in Kampala. Umeme's share price fluctuated in the range of $0.08-$0.09, and fell by 21.95 per cent to $0.08by the end of 2018. FILE PHOTO | NMG
Uncertainty surrounding Umeme Ltd’s power distribution agreement and foreign-investor flight hurt trading turnover on the Uganda Securities Exchange in 2018, while market players struggled with cost-cutting pressures and lower revenue forecasts, industry insiders say.
Latest data compiled by stockbrokerage firm Crested Capital Ltd shows that total USE turnover dropped to Ush43.64 billion ($11.7 million) in 2018, from Ush96.17 billion ($25.8 million) in 2017, signalling difficult times for market players who earn commissions from stock trading.
