The Mozambique Stock Exchange (BVM) recently presented its 2024-2028 Strategic Plan, which aims to double the number of listed companies, from 16 to 30, and achieve a market capitalization equivalent to 35% of the country’s Gross Domestic Product (GDP). This move positions BVM as a central player in boosting the real economy, reinforcing the confidence of investors and companies in the capital market.
Transformation with purpose
Salim Valá, chairman of BVM’s Board of Directors, stressed that these targets reflect the growth potential of a market that already accounts for 28.54% of Mozambique’s GDP. “It is possible to achieve and even surpass these objectives through integrated action by the various players in the financial ecosystem,” he said, highlighting the 26 years of experience accumulated by the institution.
The plan also aims to increase the number of investors registered with the Central Securities Depository (CVM), from the current 26,305 to around 50,000 in four years. Valá stressed that strengthening the BVM will be crucial to boosting productive investment and good corporate governance, key elements for economic sustainability.
Strategic pillars
The new strategic plan is based on five main pillars:
- Streamlining the stock and bond markets, promoting greater liquidity.
- Technological modernization, aligning with international standards and facilitating integration with regional stock exchanges.
- Development of new financial products and instruments, diversifying the options for investors and companies.
- Strengthening the regulatory framework, ensuring transparency and integrity.
- Increased institutional capacity and visibility, consolidating BVM as a benchmark in the market.
Current performance and projections
In the first six months of 2024, BVM’s market capitalization grew by 11% to 203.852 million meticais (€3.001 million). Turnover rose by an impressive 102.2% to 16,697 million meticais (€245.8 million). Although the number of listed companies remained unchanged, there was a 20% increase in corporate debt issues and an 8.6% growth in financing for the economy, which reached 338.679 million meticais (€4.986 million).
The plan also includes the acquisition of modern infrastructure to accommodate the accelerated growth of the stock exchange and the introduction of innovative mechanisms to boost the market, making it more attractive to national and international investors.
Future objectives
With this plan, BVM is positioning itself as a catalyst for Mozambique’s economic growth, promoting a robust, inclusive and efficient capital market. For senior company directors, the opportunities are clear: access to financing, appreciation of their shares and an ethical platform for sustainable growth.
