Securities exchange adds sh1 trillion to investors' wealth

KAMPALA - The Uganda Securities Exchange (USE) added more than sh1.2 trillion in paper wealth to investors’ holding shares in locally listed companies during the first half of 2025.

The Local Companies Index (LCI), which tracks the performance of domestic counters rose by 10% to sh13.94 trillion by the end of June. This represents more than sh1.2 trillion in added paper wealth compared with the previous period.

The gains were driven by improved performance from key counters such as MTN Uganda, Bank of Baroda, Stanbic Holdings, Umeme and Quality Chemicals Industries Limited (QCIL), which lifted the index despite muted growth in overall market turnover.

USE recorded a turnover of sh38.42bn in the first half of 2025. Telecom firm MTN accounted for 59% of the turnover traded, according to the performance report from USE.

The performance represented a marginal 0.49% increase in value traded compared to the same period last year, but volumes rose sharply by 68.6% to 446.7m shares. The number of transactions also climbed 24.8% to 3,903 deals.

Paul Bwiso, USE chief executive, said the rise in domestic participation was a positive signal for market depth.

“While overall institutional participation decreased slightly to 72% (from 94% in 2024), participation from local individuals and companies notably increased to 23% and 28% respectively, indicating growing local engagement,” Bwiso said in a statement.

MTN Uganda remained the most influential counter, driving much of the index’s rise. The stock benefited from strong earnings and high trading volumes.

MTN’s share price rose steadily through the six-month period from sh170 in June 2024 to highs of sh261 per share in June 2025 as investors priced in continued growth from its mobile money and data businesses.

Bank of Baroda and Stanbic also saw healthy price increases, helped by stable banking sector earnings and improving investor sentiment around dividend payouts.

Baroda rose from sh20 to sh34 per share while Stanbic rose from sh37 to sh47per share in the review period.

QCIL continued its turnaround story with improving earnings. The share price grew to sh89 from sh55 in the review period.