Mixed fortunes on stock market – The Times Group

Navigating Market Volatility: Opportunities and Challenges for Malawi’s Business Landscape

Post was last updated: July 22, 2025

Key Business Points

  • Mixed performance on the Malawi Stock Exchange (MSE) last week, with some counters showing resilience and others facing pressure, presenting opportunities for strategic investment and risk management.
  • FDH Bank plc emerged as the most active counter, with trading volumes worth K1.22 billion, and Nico Holdings showed remarkable activity, with trades valued at K293.3 million, highlighting the importance of diversification in investment portfolios.
  • Market outlook remains positive for the second half of the year, driven by strong company performance, but election uncertainty in 2025 may introduce risks, emphasizing the need for informed decision-making and adaptive business strategies.

The Malawi Stock Exchange (MSE) recorded a mixed performance last week, with some counters demonstrating resilience amid pressure faced by others. According to the latest MSE weekly summary report, FDH Bank plc was the most active counter, with trading volumes worth K1.22 billion for 2.33 million shares traded. The banking stock closed at K527.40, marking a significant recovery from its weekly low of K470.21 to reach a high of K527.41. This rebound is a positive sign for investors, who can consider rebalancing their portfolios to capitalize on such trends.

Other notable performers included NBM plc, which recorded trades valued at K172.4 million, with its share price seen at K6,500, and Airtel Malawi, which recorded a market capitalisation of K1.485 trillion, though trading activity totaled K609.3 million across 64 transactions. TNM plc and Illovo Sugar plc also showed significant activity, with trades worth K91.2 million and K140.9 million, respectively. Nico Holdings showed remarkable activity, with trades valued at K293.3 million, though the stock experienced significant volatility, trading between K865.00 and K994.75 before closing at K994.75.

Stockbrokers Malawi Limited Equity Market Analyst Kondwani Makwakwa noted that the market performance is strong and attracting more public interest, increasing demand and pushing prices higher. "Kufika kwa mawana" (the arrival of investors) is a key factor driving market growth, as more people become interested in kubeba hisa (shareholding) and kufanya biashara (doing business) on the exchange. Makwakwa said, "The outlook for the second half of the year remains positive, as company performance is likely to remain strong. However, it is essential to note that 2025 is an election year, which introduces some uncertainty and potential risk to the market."

MSE Chief Operating Officer Kelline Kondowe expressed optimism that the market will continue to deliver good returns to investors. "Tukuke kwathu" (our growth) is dependent on investments in key infrastructure, which will enable efficient operations of the market and improve accessibility to the public. Kondowe said, "In terms of regulatory and strategic developments, we will continue to invest in key infrastructure that enables us to ensure efficient operations of the market, as well as improving accessibility of the market to the public. As you are aware, we are still in the process of implementing a mobile trading platform which we believe is a game changer in terms of ukfelu wa kifedha" (financial inclusion).

Overall, the mixed performance on the MSE presents opportunities for strategic investment and risk management. As the market continues to evolve, it is crucial for investors to stay informed and adapt to changing market conditions, considering factors such as chuma cha soko (market trends) and matenda ya soko (market risks). By doing so, they can capitalize on growth opportunities and navigate potential challenges, ultimately contributing to kuendelea kwa uchumi (economic growth) in Malawi.

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