Bond market: Trading volume declines 27.6%; market activity vibrant

Market activity on the bond market was vibrant, with improved interest in various tenors on the bourse.

However, the total volume traded declined to ¢281.57 million, about a 27.60% fall over the previous week.

The new bonds accounted for over 80% of the volume traded.

According to trading results, the 4-year new bond drove the market, accounting for 70% of the aggregate volume traded.

Analysts believe trading activity could remain vibrant on improving economic outlook. This is supported by the Monetary Policy Committee’s decision to hold the policy rate at 29.5%, which could aid correction in the Local Currency Yield (LCR) curve.