APNGBC NEWS : 24th Mar 2016

KFM Weekly Investment Update Summary - 24th March, 2016

Kina Funds Management (KFM) Weekly Investment Update Summary
Latest: Thursday 24th March

— By Kina Funds Management

  • PNG’s financial institutions have over K44.0bn in banked assets according to the Bank of Papua New Guinea (BPNG). Majority of this is held by commercial banks, accounting for 70.0 % whilst super funds and other non-bank financial institutions hold the remainder
     
  • Organizations will have to adapt to the change in the business environment or risk being left behind, according to KPMG-PNG’s Audit Partner Mr Zabaks, who commented that PNG was not immune to the effects of global market volatility; increased competition, regulation and budgetary constraints, created a challenging operating environment which required adjustment to “survive”
     
  • BSP Finance released their Key Disclosure Statement for the year ended 31 December 2015, announcing a net loss of K2.4m after completing their first year (13 months) of operations
     
  • Finance Corporation Limited announced its Net Income after Tax of K20.0m, up K10.6m from the previous year. The growth in Profit underpinned by increased investment and lending income and a significant reduction in the non-interest expenses
     
  • This week’s BPNG auctions in Central Banks Bills were only offered for 28 days with an oversubscription of K649.0m out of a total of K445.0m on offer. The weighted average yield was 1.16%. KFM expects short term rates to remain flat around current levels
     
  • This week’s BPNG auctions in Treasury Bills were oversubscribed by K316.9m out of K268.6m on offer indicating strong appetite for the short term securities. Weighted average yields were 2.8% for 91 days, 4.8% for 182 days and 7.7% for 364 days from this week’s auctions
     
  • The KSi Index ended the week up by 6.7% to close at 4,033.78 points, supported by an increase in share price of Newcrest Mining (+15.2%) while the KSi Home Index was down by 0.2%, reflecting decline in Credit Corporation (-0.6%), to end at 9,097.40 points

Read the full summary from KFM

KFM Daily Market Report, Thursday 24th March, 2016

APNGBC News

Articles of interest and key APNGBC upda...

In the lead up to Australia’s largest business conference on trade and investmen... 27th Mar 2018
read more

APNGBC News

Brisbane to host 34th Australia Papua Ne...

The Australia Papua New Guinea Business Council in partnership with the Business... 21st Feb 2018
read more

APNGBC NEWS

Business Lunch with the Prime Minister o...

The APNGBC was pleased to hold a business luncheon with the Prime Minister of Pa... 31st Oct 2017
read more