The impact of the multiple currency system on the performance of the stock market in Zimbabwe
type: CreativeWork
description: This study investigated the impact of the multiple currency system on the performance of the stock market in Zimbabwe. In particular, the study assessed the major determinants of stock market performance in the multiple currency environment in Zimbabwe, the impact of external factors, as well as the push and pull factors determining foreign investor participation in the Zimbabwean stock market. The study was motivated by the poor performance of the stock market experienced during the multiple currency system, despite some positive developments in the economy such as a positive growth trajectory and low and stable inflation rates of below 5%. The poor performance of the stock market thus underscores the need to understand whether the multiple currency system had an impact on the stock market. While some studies have looked at the impact of macroeconomic factors on stock markets, there is a possibility that due to the uniqueness of the Zimbabwean economy presented by the multiple currency system, existing studies may no longer be relevant in explaining the impact of the macroeconomic factors on stock market performance. Therefore, a gap exists in the economic literature on the potential impact of the multiple currency system in a dollarised economy such as Zimbabwe. The contribution of this study is therefore to assess the determinants of stock market performance under the multiple currency system in Zimbabwe, given its uniqueness. In addition, it adds to the existing empirical financial markets literature on how the multiple currency system influences the transmission mechanism of macro-economic factors on stock market performamce in Zimbabwe. The study applied a panel regression model on all the 54 listed companies operating on the Zimbabwe Stock Exchange, using quarterly data from 2009 to 2016. The study estimated the model using the OLS estimation method. For robustness checks, the study also used the Two Stage Least Squares (TSLS) and the General Methods of Momen…
abstract: This study investigated the impact of the multiple currency system on the performance of the stock market in Zimbabwe. In particular, the study assessed the major determinants of stock market performance in the multiple currency environment in Zimbabwe, the impact of external factors, as well as the push and pull factors determining foreign investor participation in the Zimbabwean stock market. The study was motivated by the poor performance of the stock market experienced during the multiple currency system, despite some positive developments in the economy such as a positive growth trajectory and low and stable inflation rates of below 5%. The poor performance of the stock market thus underscores the need to understand whether the multiple currency system had an impact on the stock market. While some studies have looked at the impact of macroeconomic factors on stock markets, there is a possibility that due to the uniqueness of the Zimbabwean economy presented by the multiple currency system, existing studies may no longer be relevant in explaining the impact of the macroeconomic factors on stock market performance. Therefore, a gap exists in the economic literature on the potential impact of the multiple currency system in a dollarised economy such as Zimbabwe. The contribution of this study is therefore to assess the determinants of stock market performance under the multiple currency system in Zimbabwe, given its uniqueness. In addition, it adds to the existing empirical financial markets literature on how the multiple currency system influences the transmission mechanism of macro-economic factors on stock market performamce in Zimbabwe. The study applied a panel regression model on all the 54 listed companies operating on the Zimbabwe Stock Exchange, using quarterly data from 2009 to 2016. The study estimated the model using the OLS estimation method. For robustness checks, the study also used the Two Stage Least Squares (TSLS) and the General Methods of Momen…
author: Mutodi, Energy
keywords: Business Administration
date published: 2019
date modified: 2026-07-22T22:23:34Z
provider: University of Cape Town
publisher: Networked Digital Library of Theses and Dissertations
type: WebPage
source organization: Graduate School of Business (GSB)

PropertyValue
property ID: Handle
value: http://hdl.handle.net/11427/30350