African Business and Economy News [Archive] - Page 7

buhera

April 5th, 2010, 09:19 PM

Indian Ocean islands go for 90 days without power, causing business problems and water shortages.
By Maura R. O'Connor — Special to GlobalPost
Published: April 1, 2010 06:14 ET

After three months without electric power, the lights have come back on in Zanzibar. During the power outage, chef John Paul posed behind unrefrigerated food displayed on his grill stand in the seaside Forodhani Gardens of Stone Town, Zanzibar, Dec. 19, 2009. Zanzibar's tourism sector suffered heavy losses during the outage caused by a broken connector.

After an unprecedented three-month power blackout, electricity has been restored, but not before the Indian Ocean islands' residents suffered severe economic hardship and coped with widespread water shortages.

On March 9, the islands’ undersea power cable was finally repaired and reconnected to the national power grid on the Tanzanian mainland, allowing residents to use running water and refrigerators in their homes for the first time in 90 days.

Nevertheless, the effects of the blackout will be felt for a long time to come by Zanzibar's residents, 49 percent of whom already live under the poverty line.

Muana Kombo Slimba Kombo, 38, runs a small business selling clothes and shoes on Zanzibar’s largest island, Unguja. The cost of buying diesel to run a generator so that she could pump water from a neighbor's well, nearly bled her enterprise dry.

"Sometimes I didn't have money to pay for diesel and I was forced to use capital from the business,” said Kombo, a mother of two. "Often there was no money for petrol.”

The price of diesel skyrocketed from around $4.50 per gallon to $13 during some weeks of the blackout.

The 1 million-strong population of Zanzibar, which merged with the country of Tanganyika in 1964 to become the United Republic of Tanzania, relies heavily on revenue generated by the tens of thousands of tourists that come each year to visit its historic Swahili city and its white sand beaches.

So far there has been little to no statistical data released showing the effect of the blackout on Zanzibar's tourism industry but it is predicted to be enormous, as the power outage occurred during both the Christmas holiday season and Sauti za Busara, a six-day African music festival held each February.

Other effects may be less obvious but no less destructive over the longterm. One economist has found that a previous blackout in Zanzibar in 2008 caused both a rise in birth rates and a significant decrease in birth weights for babies conceived during the power crisis.

Alfredo Burlando, now a professor at University of Oregon, said the 2008 blackout was responsible for a 1.7- to 3.5-ounce reduction in birth weight among newborn babies, most likely because women whose incomes were hurt were eating less.

"People lost income; food prices were high," said Burlando.

Low birth weights are associated with a higher rate of growth deficiencies, learning disabilities and childhood death.

"The 2010 blackout was certainly worse," said Burlando. "Based on that, my prediction is the following: We'll see lower than expected birth weights this time around, too. Moreover, I suspect we will see lower birth weights as soon as now. Even very pregnant women might have had a hard time securing enough food."

The source of Zanzibar's power crisis is the 40-year-old undersea cable connecting it to the national grid on the Tanzanian mainland 23 miles away. The cable was built with Norwegian financing but passed its expiration date years ago and has been ill-maintained, according to experts.

The situation is indicative of the larger energy crisis in Tanzania as a whole. Access to electricity is just 10 percent nationwide with a mere 2 percent of the population able to access power in rural areas, according to the World Bank. Power outages are weekly if not daily events.

"Tanzania is seriously under-invested and has been for a long time in modern energy," said John McIntire, country director of the World Bank for Tanzania.

For Zanzibar, the recent three-month blackout was a repeat nightmare. In 2008 the undersea cable ruptured during one of the year's most anticipated soccer matches between Zanzibar's two favorite soccer teams: Manchester United and Chelsea.

Just minutes before half-time, the island was plunged into darkness causing widespread suspicion that staff at the Zanzibar Electricity Corporation were too busy watching the game to pay attention to a power surge originating on the mainland and prevent the disaster.

The resulting month-long blackout was the longest on record and required a technician and mechanical parts to be flown in from Norway to fix the problem. Then on Dec. 10, 2009, the cable ruptured again.

After three months of struggling to charge mobile phones and living without running water, residents are desperately hoping that a new submarine cable funded by the Millennium Challenge Corporation will be completed by 2013 as reported. But some expressed their anger that they remain dependent on aid to solve the electricity crisis.

"If the country was able to help itself, the problem would have dissolved a long time ago,”
said one resident, who did not wish to be named. “It’s because we depend on foreign aid that it’s taken so long.

http://www.globalpost.com/dispatch/africa/100331/zanzibar-tanzania-electricity-shortage?page=0,1

hakz2007

April 8th, 2010, 09:41 AM

S. Korea pledges to support rural development in Africa
SEOUL, April 8 (PNA/Yonhap) -- South Korea pledged Thursday to support the agricultural and forestry sectors through rural development projects in three African countries, government officials said.

The Ministry for Food, Agriculture, Forestry and Fisheries said the country plans to create a model for wider official development assistance based on its aid program for the Democratic Republic of Congo, Ghana and Tunisia.

The broad cooperation pledge came after vice farm minister Ha Young-je made a visit to the three African countries in late March.

Under the plan, South Korea will provide 2 billion won (US$ 1.7 million) over the next three years to Kitshini, a village located 80 kilometers from Congo's capital city of Kinshasa, to improve overall conditions there. Kitshini has been selected by the local government as a model for future development.

Seoul will also support the African country's New Village Movement, a local version of South Korea's Saemaul Movement that kicked off in the early 1970s to modernize the countryside. Congo's Saemaul movement has attracted 1,000 members since it was started in 2004.

Launched by then President Park Chung-hee in 1970, the nationwide campaign known as "Saemaul Undong," which translates as new village movement, helped South Korea rebuild its economy from the ruins of the 1950-53 Korean War.

Other cooperative measures to be taken include programs to fight pests that destroy crops, enhancing seed improvements and introducing fish farming skills to help increase stocks.

Seoul agreed with Tunisia to strengthen cooperation in the forestry area and work on a follow-up program to the successful Ain Snoussi oak forest program that Seoul has supported since 2007.

South Korea and Ghana agreed to hold talks on dual taxation issues in the fishing sector that have been raised by Korean-run fishing boat operators in the country. About two-thirds of the 600 Korean nationals in Ghana are engaged in fishing.

Accra, in addition, said it wanted to learn from South Korea's Saemaul Undong movement in order to improve the livelihood of its rural communities. (PNA/Xinhua) http://www.pna.gov.ph/index.php?idn=4&sid=&nid=4&rid=268567

abesha

April 13th, 2010, 11:05 AM

London Firm to Invest in African Food Processing and Sales

Source: Reuters
13/04/2010

Dakar, April 12 - Growth rates that outstrip the developed world are drawing emerging markets asset manager Silk Invest to open a 100 million euro ($133.7 million) fund to invest in African food processing and sales, the company said.

The London-based firm, which takes its name from the 'Silk Route' historical trade paths linking Europe and Asia, plans to launch the Africa Food Fund in June, it said at the weekend.

Unlike many investments in Africa, it is not a bet on raw commodities, but instead on their local processing and distribution to African consumers.

"(The) focus of the fund is to invest in companies across the food value chain and we especially like the companies who are servicing the local African consumers," chief executive Zin Bekkali told Reuters.

"Examples of target companies that we are analysing are ... (a) fast food chain which wants to accelerate the number of outlets that it has, a cocoa processing company which wants to sell more of its own branded products, a flavoured fizzy drinks producer which is building capacity in mineral water, and a biscuit maker which is importing currently 50 percent of the products it sells but wants to replace it by its own goods."

Many Middle Eastern investment agencies are spending money to grow crops in Africa for shipment to their domestic markets to alleviate food insecurity in the Arab world, but Silk Invest is looking for companies that sell to African consumers.

"Moving to packaged sugar, milk or flour is a big driver of growth. In most African countries, food is still pre-dominantly sold through non-branded items," Bekkali said.

"(In) the last years we are seeing a dramatic change and African food companies are servicing the local need without increasing the cost of the product. Consumers are able to buy a higher quality branded food item for the same price."

POLITICAL STABILITY SOUGHT

The International Monetary Fund will forecast euro zone growth of 0.8 percent in 2010, according to a report this month, far below the fund manager's expectations for Africa.

"African growth on average is de-coupled from the Western world ...We think that Africa will move back to its pre-crisis annual growth level of 5 percent," Bekkali said.

The firm said it is looking for countries institutionally strong and politically stable enough to sustain high economic growth, and its investor presentation names Egypt, Ethiopia, Ghana, Morocco and Nigeria as initial targets.

"Within this list we have excluded countries like Somalia. Many investors in Africa do not fully understand that Africa is moving on and that countries like Somalia are as much an exception in Africa as Afghanistan is in Asia."

As Ivory Coast, formerly one of Africa's economic powerhouses with world-leading cocoa exports, slips further away from elections that were slated for 2005, many commentators suggest foreign investors are staying away from the country until its political crisis is resolved.

"Ivory Coast is not in the focus list but is not in our exclusion list," Bekkali said. "It is definitely one of the countries which has a higher risk profile than let's say South Africa. On the other hand it remains one of the African countries with a reasonably well developed infrastructure."

Silk Invest is marketing the fund to development finance agencies, family offices, and private equity firms, but has found the latter the most resistant to the idea.

"The private equity industry is still focusing mostly on management buy-out deals or trying to find the next Google," Bekkali said. "When they look at Africa (it) is almost entirely focused on commodity type of investments which we see as the least attractive sector in Africa."
http://www.flex-news-food.com/pages/29493/Africa/Food/london-firm-invest-african-food-processing-sales.html

abesha

April 13th, 2010, 11:07 AM

Rough translation: "Frying Gold".

I believe that they have operations in all the nearby countries, including Ethiopia.

Personally, I think that they are making good business decisions of late.
The financial crisis has put an impact on remittances, so they are attempting to diversify into more lucrative industries, such as the nascent Islamic banking industry in Somali areas as well as the booming telecommunications sphere.

Just saw this post.

Cool name :lol:. I agree, they are moving in the right direction. There are a lot of fields they can enter, they're positioning themselves very well.

preme3000

April 14th, 2010, 04:13 PM

London — A so-called Vulture Funds bill - to stop finance companies using British courts to extort excessive debt repayments from some of the world's poorest countries - was passed in the frantic scramble to finish outstanding parliamentary business before Britain's general election in May.

"It's the first time since the global credit crunch that financial services companies have been told, 'Thus far and no further'. They won't be able to fleece developing countries, and they will have to comply with the same rules on debt relief as the public sector and the more responsible parts of the private sector," said MP Sally Keeble, who proposed the bill.

In the last few days of the outgoing parliament many proposed laws were abandoned or drastically cut so they could be rushed through without debate. Keeble told IRIN she was "absolutely delighted" that the bill had been passed - "It's a real landmark."

The companies targeted by the new law act as international debt collectors. They buy old debts incurred by developing countries from creditors happy to sell at a massive discount because they despair of ever getting paid. The new owners of the debt then pursue it far more aggressively than the original creditors would have done.

Taking liberties

They also take advantage of the debt cancellation process offered to Highly Indebted Poor Countries (HIPC) by the International
Monetary Fund and the World Bank. Once a country has gone through the HIPC process, most of its creditors agree to write off nearly all its debt, often accepting less than 10 cents for every dollar they are owed.

This is intended to make more money available for the country to spend on health, education and other essential services - but this is the moment the Vulture Funds have been waiting for.

As soon as the see the country has some money, they move in to collect the debt; unlike the other creditors, they demand payment in full, including years' worth of unpaid interest.

In one case, two finance companies based in Caribbean tax havens bought up Liberian government debt dating back to the 1980s, when Liberia's National Petroleum Corporation borrowed US$6.5 million from an American bank in the time of Samuel Doe.

By the time the debt's new owners took the case to court in London, the debt had swollen to more than $20 million. The claim may have been extortionate, but it was legal, and the funds won their case.

This judgement, and another where a vulture fund bought Zambian debt for $4 million and then sued for $42 million, caused an outcry in Britain. The Jubilee Debt Campaign, which called for the debts of the poorest countries to be cancelled and a change in the law, was launched in response.

Its spokesman, Jonathan Stevenson, told IRIN they felt it was wrong for these companies to make huge profits out of developing countries; Britain had given debt relief so that money could be used to relieve poverty, not to enrich financial speculators.

The new law specifically applies to the 40 countries which have taken part in the HIPC process, and limits the amount of debt that can be recovered in British courts to the level agreed by the other commercial creditors.
The Democratic Republic of Congo (DRC) is approaching completion of its HIPC process and the cancellation of its debts, and could be one of the first countries to benefit from the new law, Stevenson said. The DRC has said it is afraid some of its commercial debt may end up in the hands of debt recovery funds.

Although the campaigners and MPs from all parties who backed Keeble's bill are justifiably pleased, they stress that because there was no time for proper debate, the new law will only apply for one year unless the new parliament makes it permanent.

There is still the risk that when debt owners find it is no longer worthwhile to sue in Britain they will use courts in other countries, wherever the debtor has assets worth seizing. Keeble said the UK has set a standard; the next task is to press for similar legislation in Europe and the United States.
[ This report does not necessarily reflect the views of the United Nations ]

allafrica.com (http://allafrica.com/stories/201004130999.html)

abesha

April 15th, 2010, 09:16 AM

I'm very glad to hear that, but more needs to be done. They need to be banned worldwide. This is extortion, they act like the mafia.

hakz2007

April 24th, 2010, 04:44 AM

Cameroonian business leaders to attend summit with Muslim world in US
YAOUNDE, April 23 (PNA/Xinhua) -- Three business leaders from Cameroon will participate in the global summit that will bring together 250 economic operators from the Muslim world on April 26-27 in Washington.

The summit was proposed by US President Barrack Obama in his speech on June 4, 2009 in Cairo, Egypt.

The three Cameroonian entrepreneurs to attend the summit include Ahmadou Moussa, director general of the Mvogo-Betsi poultry complex; Alamine Ousmane Mey, director general of Afriland First Bank; and Ibrahim Moukouop Nguena, an engineer teaching at the Yaounde National Polytechnic.

They are among the 23 participants from 14 African countries, including 10 sub-Saharan Africa -- Cameroon, Gambia, Kenya, Djibouti, Madagascar, Mauritania, Niger, Nigeria, Somalia and Uganda.

"This meeting is very important because it will help us meet senior political and business personalities from all over the world and the United States. I expect to go there to represent my country and showcase my business," Moussa said on Thursday during a videoconference at the US Embassy in Yaounde.

He was answering questions from the director of economic affairs in the US State Department, William Fitzgerald.

Titled "a new beginning: the president's business summit," the summit will be presided over by President Obama with an emphasis on the role of entrepreneurs in creating employment and improving the people's living conditions.

The gathering is also expecting delegations from the Middle East region, Asia and the United States.

Mohamed Yunus, the father of micro-finance and the winner of the Nobel Peace Prize, will be as one of the well known participants. Nguena said he expects the summit "to grow the business culture in the world."

In his speech delivered in Cairo, Obama said the objective of the meeting is to deepen ties between business leaders, especially between US entrepreneurs and those from the Muslim community elsewhere. (PNA/Xinhua)http://www.pna.gov.ph/index.php?idn=3&sid=&nid=3&rid=271563

hakz2007

April 26th, 2010, 04:04 PM

IMF REVISES ZIMBABWE'S GROWTH PROJECTIONS DOWN FROM 6.0 TO 2.2 PCT
HARARE, April 26 (NNN-NEW ZIANA) -- The International Monetary Fund (IMF) has revised downwards Zimbabwe’s economic growth rate for this year from 6.0 per cent to 2.2 per cent and says the country will register zero growth next year.

According to the latest World Economic Outlook (WEO) report, entitled "Rebalancing Growth", launched last week, the IMF says there remains varying risks to economic growth with possible declines in aid flows to the sub-Saharan region as well as political uncertainty in some countries expected to dampen growth prospects.

The WEO represents the IMF's analysis and projections of economic developments at the global level, in major country groups and in many individual countries. It also focuses on major economic policy issues as well as on the analysis of economic developments and prospects.

The IMF said: "As private and external demand begins to recover, countries will need to rebuild fiscal room, turning from the near term objective of stabilising output to medium-term considerations, such as increasing spending on growth enhancing priorities including infrastructure, health and education."

The report follows hard on the heels of an announcement by Finance Minister Tendai Biti that the Zimbabwe government would revise downwards its forecast growth of 7.0 per cent for this year to 4.8 per cent.

This was primarily as a result of obstacles the economy was still facing such as lack of fiscal space as well as lack of external support for the 2010 national budget. At least 810 million USD in the budget were expected to come from donors but at the end of the first quarter, Biti said only 2.9 million USD had been received.

"We have to depend sorely and entirely on our own revenue which is a challenge. The fact of the matter is that if the Vote of Credit is unable to perform then we may have to revise downwards our GDP (Gross Domestic Product) growth projections to a figure of around 4.8 per cent," Biti said.

External partners continued to have negative perceptions towards the stability of Zimbabwe’s political situation and performance of its year-old inclusive government, it was noted.

Inflationary pressures are also presenting a challenge, with annual inflation for the month of March having shot up to 3.5 per cent from a negative 0.7 per cent in February. http://www.namnewsnetwork.org/v2/read.php?id=118144

hakz2007

April 26th, 2010, 04:40 PM

AFRICA NEEDS SIZEABLE AND QUICK INVESTMENTS TO PROVIDE ENERGY, ADAPT TO CLIMATE CHANGE
WASHINGTON, April 26 (NNN-WORLD BANK) -- Overcoming Africa’s energy deficiency—one of the continent’s most crucial priorities—won’t be achieved by incremental increases in energy supply but by “a substantial leapfrogging”, which requires access to significant new finance.

Speaking at a seminar on climate change and Africa at the ongoing World Bank and International Monetary Fund Spring Meetings in Washington DC, Prof. Ogunlade Davidson, Sierra Leone’s Energy minister, said the focus on improving efficiency in energy distribution in Africa should be replaced by a far bigger priority – energy supply.

Global inequities in access to energy are startling: only 24 percent of Africans have access to modern energy, compared with around 50 percent in South Asia and 80 percent in Latin America. In Rwanda, 93 percent of the population has no electricity; in DRC, that number is 94 percent. “Even if we improve efficiency, it will deliver few gains as the supply base is so low,” said the minister.

Africa Region Vice President Obiageli Ezekwesili said climate change was a development challenge for Africa as between 75 and 250 million Africans live in water stressed environments due to weather variability or climate change.

Financing, she said, must become a core issue in the dialogue as, by current estimates, Africa needs about US$18 billion per year for adapting to climate change. This is in addition to the estimated US$23 billion per annum required to expand energy access in Africa.

Ezekwesili said that, working with other partners, the World Bank can help to reform the carbon finance regime so that it works better for Africa and generates more resources. This will involve scaling up development assistance and generating more resources from climate investment funds. These partnerships can also tap initiatives such as Reducing Emissions from Deforestation and forest Degradation or REDDs, which aims to make forests have greater value standing than cut down.

The Africa Vice President said the World Bank can help countries to optimize the fast-start financing committed in Copenhagen by channeling these resources to investments that will deliver quick returns.

Explaining the context to the seminar participants, World Bank Africa Sustainable Development Director Inger Andersen said soils are currently out of the carbon trading regime but need to be part of the discussion to ensure better land practices and food security.

She said African voices weren’t being heard strongly enough in the negotiating rooms and that private sector financing for climate change was under tapped.

Tosi Mpanu Mpanu, chair of the Africa group of climate negotiators, highlighted the significant opportunities Africa could reap from climate mitigation measures. “Deforestation contributes 20 percent of global emissions: if you cut deforestation in half you will have reduced emissions by 10 percent,” said Mpanu.

“Funding for climate change must be additional to Overseas Development Assistance: we must explore levies on air and sea travel, and we must make our policies sound in order to attract investment,” said the environmental campaigner from the DRC.

African Development Bank head of infrastructure Robert Pittman told the meeting that there were many examples of local entrepreneurs in Africa investing in the energy sector to expand access. He cited the wind energy farm near Lake Turkana in northern Kenya which will supply 20 percent of the country’s energy needs by 2016.

He said Kenyan entrepreneurs saw the opportunity of supplying energy at $ 0.17 per kilowatt hour through this renewable source which was about half the cost of the thermal generated electricity that forms part of Kenya’s energy mix.

Pittman said Nigeria’s energy sector was attracting significant private sector interest and noted the importance of “climate proofing” development and infrastructure projects through design that takes account of harsh weather variability.

Wrapping up the session, the Africa Vice President said Africa needs upfront investments of scale to make large hydropower projects such as the Grand Inga dam on the River Congo a reality.

Ezekwesili highlighted the need to end the cacophony from different African stakeholders on climate change: “Africa spoke with one voice at Copenhagen – it is important to harness that spirit of solidarity as we look to Cancun.”http://www.namnewsnetwork.org/v2/read.php?id=118193

hakz2007

April 27th, 2010, 06:31 AM

ZIMBABWE GROSSES 83. 5 MILLION USD FROM TOBACCO SALES
HARARE, April 26 (NNN-NEW ZIANA) -- Zimbabwe has earned 83.5 million USD from the sale of 26.3 million kilogrammes of tobacco sold since the opening of the current selling season in February.

The golden leaf has been sold at an average price of 3.17 USD per kg and of the total earnings, 46.9 million USD were earned from auction sales while the remainder was realized from contract sales.

At least 15.2 million kg of the crop had been sold through the auction system while the remainder was sold via contract, according to statistics from the Tobacco Industry and Marketing Board (TIMB) here.

The data released released last Friday showed that the volume of tobacco which had gone under the hammer had dropped by 12.7 per cent compared with last year but the average price of 3.17 USD was an increase of 4.46 per cent from 2.84 USD last year.

A total of 30.14 million kg worth 87.3 million USD of the golden leaf was sold during the comparative period last year.

According to the Second Round Crop and Livestock Assessment report released by government recently, national tobacco production is forecast at 86,045 tonnes, with an average yield of 1.27 tonnes per hectare for the 2009/2010 season. Initially, production had been forecast at 77 million kgs.

The production level is 34 per cent more than the 63,600 tonnes achieved last season.
About 38,000 growers registered to sell tobacco this season, an increase from 28,000 who registered in 2009. http://www.namnewsnetwork.org/v2/read.php?id=118157

ZIMBABWEAN TELCO ECONET POSTS 113.2 MILLION USD PROFIT
HARARE, April 26 (NNN-NEW ZIANA) -- Mobile phone services operator Econet Wireless Zimbabwe Limited (EWZL) has posted a net profit of 113.2 million USD for the year ended February 2010, cementing its position as one of the most profitable companies listed on the Zimbabwe Stock Exchange.

The company raked in 362.8 million USD in revenue, which was attributed to massive investment in network infrastructure. Econet declared a dividend of 6.0 US cents per share while basic earnings per share (EPS) closed the year at 66 US cents. The company has about 163.8 million shares in issue.

EWZL Chairman Tawanda Nyambirai said the company registered a 233 per cent increase in its subscriber base from 1.2 million at the end of 2009 to the current four million.

Thecompany spent more than 160.1 million USD on network equipment. "The planned investment of 300 million USD in the next financial year is a clear demonstration of the strong belief by the business in the future prospects of the Zimbabwean economy,” Nyambirai said in a statement accompanying the company’s financials.

He said Econet commissioned two switching stations as well as 200 base stations during the period as part of its expansion programme. The company was also expanding its 3rd Generation (3G) network to the rest of the country.

The 3G network had initially been restricted to Harare as a pilot programme.

"The business expects the additional capacity to be commissioned before the commencement of the FIFA 2010 World Cup which is being hosted by South Africa in June-July 2010,” the Econet chairman said.

Future investments in network expansion would boost the company’s subscriber capacity as well as network quality, Nyambirai said.

Econet currently enjoys more than 60 per cent of the telecomms market share followed by Telecel with over one million subscribers and Net One with about half a million subscribers.

Nyambirai said the government as well as the public had benefited significantly from the telecommunication’s company operations.

The government received 17 per cent of the group’s total revenue, totalling about 63 million USD in taxes and levies while 7.0 million USD were invested in various corporate social responsibility (CSR) programmes.

EWZL is largely telecommunicatios-based with subsidiaries including Internet access provider Ecoweb, Transaction Payment Solutions and Data Control Systems.

The company also has an interest in beverages manufacturer, Mutare Bottling Company. http://www.namnewsnetwork.org/v2/read.php?id=118151

hakz2007

April 29th, 2010, 06:56 AM

WORLD ECONOMIC FORUM FOR AFRICA TO BE HELD IN DAR ES SALAAM IN MAY
NAIROBI, April 29 (NNN-KBC) -- Regional expansion, growth opportunities, risk and education are among the key issues which government and business leaders will be discussing at the 20th World Economic Forum on Africa, to be held next month in Dar es Salaam, Tanzania.

The forum, which will bring together some 1,000 participants from 85 countries, has the theme "Rethinking Africa's growth strategy". It will be officially opened by Tanzanian President Jakwaya Kikwete and several African presidents, including Jacob Zuma of South Africa, will be attending the forum.

The PricewaterhouseCoopers' (PwC) Global CEO (chief executive officer) Survey has found that business leaders are very confident about the regional opportunities for growth on the African continent.

In fact, 87 per cent of CEOs headquartered in Africa anticipate regional expansion in the next 12 months, the highest percentage among CEOs headquartered anywhere in the world. Growth through better penetration of existing markets is expected among 77 per cent of CEOs in Africa.

These are findings from a report by PwC entitled "Africa at a Crossroads", which features CEO perspectives on Africa's business issues and is being launched next week in Dar es Salaam to coincide with the Forum.

The report features data from PwC's 13th Global CEO survey, which is based on 1,198 interviews with company leaders and government officials around the world, including over 70 from Africa's leading institutions.

Leonard Mususa, the Country Senior Partner of PwC Tanzania, said: "Recent disruptions to the global economy, including the recession and the volcanic activity in Iceland have reminded many business leaders of the need to expand and diversify their regional operations. We will come together in Dar es Salaam confident about these opportunities but also mindful of the sometimes harsh realities of operating in emerging African markets."

World Bank President Robert Zoellick recently said that developing countries had become a key resource of demand for the world going by the experiences of the recent recession.

Addressing journalists ahead of the conference, the director and Head of Africa World Economic Forum, Katherine Tweedie, said the meeting would provide leaders with a platform to evaluate their businesses and to strategize on how best to use the recession crisis as an opportunity to redesign a sustainable roadmap to Africa's future.

CEOs in Africa simultaneously demonstrate the strongest confidence as well as the highest level of anxiety among CEOs anywhere, according to "Africa at a Crossroads", which found that 51 per cent of CEOs in Africa were very confident of revenue growth over the next 12 months compared with a global average of only 31 per cent.

Even so, CEOs from Africa showed the most concern regarding 20 potential threats to growth, including a lack of skilled people, over-regulation, currency volatility and energy costs.

"The World Economic Forum is an excellent opportunity for the business community to engage with policy leaders, non-governmental organisations and the global community to address critical issues," said Leonard Mususa. "These issues are shaping how we progress at this important junction in Africa's development."http://www.namnewsnetwork.org/v2/read.php?id=118500

djsmallz

April 29th, 2010, 10:13 AM

CAMEROON
This was the focus of an audience granted the Korean Ambassador to Cameroon by the Minister of Public Health yesterday in Yaounde.

The final stitches that will pave the way for the construction of an ultra modern Medical Emergency Centre were placed yesterday in Yaounde during an audience granted the Korean Ambassador to Cameroon, Lee Ho-sung, by the Minister of Public Health, André Mama Fouda. For about an-hour, both personalities and their close collaborators discussed on the stakes at hand to kick-start the construction of a Medical Emergency Centre in which the government of Korea is ready to offer some 3 million US Dollars for the construction and equipping of the centre. André Mama Fouda expressed worries over the enormous sum needed for the project whose initial cost is over F CFA 4 billion. The Minister sought to know if the project could be segmented into different phases or if it could be a joint project carried out by the Korea and Cameroon governments or if it is possible to have a loan from the Korean government to execute the Medical Emergency Centre project. Experts from both parties are expected to meet and discuss how the Medical Emergency Centre project will unfold.

The Korean diplomat said he was at the Ministry of Public Health to inform the Minister on the current development of projects Korea is helping to contribute in Cameroon, particularly the construction of the Emergency Centre at the Yaounde Centre Hospital. The Ambassador noted that their interest is to help in improving the medical care given to patients in Cameroon, especially as Cameroon does not have a Medical Emergency Centre. When the centre will be completed, Lee Ho-sung said, Korean doctors will be sent on voluntary basis to assist Cameroonian medical personnel who will be working at the centre.

Yupes

April 30th, 2010, 11:56 AM

Zambia's inflation slows in April as food prices drop

Zambia's inflation slowed to 9.2 percent year-on-year in April from 10.2 percent the previous month as food prices fell, data showed on Thursday, and is seen easing further.

"The decline of one percentage point in the annual inflation rate is attributed to the decline in the cost of some food items," the Central Statistical Office said in a statement.

Analysts said a good maize harvest could help cool inflation further.

"With the expected good maize harvest, inflation should further decline and Zambia should be able to achieve (sustained) single digit inflation by the end of 2010, if we can manage the harvest well," Finance Bank country treasurer Miles Sampa said.

The statistics office also said the trade account showed a surplus of 752.9 billion kwacha ($163.1 million) in March after a 391 billion kwacha surplus in February.

buhera

May 5th, 2010, 08:56 PM

By Renee Bonorchis and Nasreen Seria

May 5 (Bloomberg) -- The African Development Bank plans to fund more power projects on the continent to help ease an electricity shortage that’s hindering faster economic growth.

“The appetite for this type of a project has really risen,” Tim Turner, director of private sector initiatives at the bank, said in a speech in Dar es Salaam, Tanzania today. “A year ago, we couldn’t get any response.”

Africa needs to spend $93 billion a year on power, transport and water projects over the next decade to lift growth and reduce poverty in the world’s poorest continent, the World Bank said on Nov. 11. At least half of that will be needed to expand electricity capacity, which amounts to only 68 gigawatts, about the same as Spain, for 48 countries, according to the World Bank.

Sub-Saharan African nations including South Africa and Nigeria, the continent’s biggest economies, have run into power shortages in recent years as growth accelerated. Nigeria, Africa’s most populous nation, borrowed $600 million from the World Bank in November to help boost energy production.

The Tunis-based African Development Bank is investing $100 million in Kenya’s Turkana wind project and lent Eskom Holdings Ltd., South Africa’s state-owned power utility, 1.86 billion euros ($2.4 billion) to build the Medupi coal-fired power plant.

Fiber-Optic Cable

The bank has also provided loans to build communication networks, including $66 million to help finance the undersea fiber-optic cable connection along the west coast of Africa being developed by Main One Cable Co. Turner said today the cable, which runs from Europe, will arrive in Nigeria in the middle of this month.

The African Development Bank is seeing a significant increase in investor interest in Africa as more opportunities open up, Turner said.

Members of the African Development Bank are expected to ratify an agreement to triple the bank’s capital base to $100 billion at the lender’s annual meeting in Abidjan, Ivory Coast, later this month, Turner said. The bank more than doubled its loan commitment to $11.8 billion during the global crisis, the bank’s President Donald Kaberuka said on April 22.

Turner was speaking ahead of the World Economic Forum, being held for the first time in East Africa. The conference has attracted more than 1,000 delegates, a record, including seven African heads of state, such as South Africa’s Jacob Zuma.

Growth

Infrastructure development is a key concern being discussed at the conference. Rapid urbanization has led to 72 percent of Africa’s population living in slum settlements in cities and towns, Anna Tibaijuka, executive director of the United Nations Human Settlements Program, told reporters in Dar es Salaam today.

Africa, which sits on the world’s biggest deposits of platinum, chrome and diamonds, is attracting investment from China and India, helping to boost growth on the continent to 4.7 percent this year, double the pace of 2009, according to forecasts from the International Monetary Fund.

To contact the reporters on this story: Nasreen Seria in Johannesburg at nseria@bloomberg.net; Renee Bonorchis in Johannesburg at rbonorchis@bloomberg.net

BUTEMBO21

May 5th, 2010, 11:41 PM

hakz2007

May 7th, 2010, 05:35 AM

MALARIA, AGRICULTURE TAKE CENTRE STAGE ON FIRST DAY OF WEF FOR AFRICA
PRETORIA, May 7 (NNN-BUANEWS) -- Agriculture development and the fight against malaria took centre stage on the first day of the World Economic Forum (WEF) on Africa on Wednesday.

African leaders from 26 countries have launched a fresh drive to eliminate malaria using a combination of bed nets, insecticides and medication.

"We believe that if we cover everybody in Africa with bed nets, insecticides and medication by the end of this year, we will have zero deaths or near zero deaths from malaria in Africa by 2015," said Ray Chambers, a United Nations special envoy for malaria.

He said African countries and international organizations must grasp the opportunity of the 2010 FIFA World Cup in South Africa to advocate the fight against malaria and accelerate actions of confronting the number one killer of children under five on the continent.

Malaria is taking a heavy toll on Africa's economic and social development. It not only kills a child every 30 seconds, but also contributes to the vicious cycle of poverty.

The Global Malaria Action Plan estimates that malaria costs Africa 12 billion USD each year in direct economic losses, and much more in lost productivity.

Eleven African heads of state and government, including President Jacob Zuma of South Africa, are attending the 20th World Economic Forum on Africa in Dar es Salaam, Tanzania, to discuss strategies in the aftermath of the economic downturn.

President Zuma is accompanied by Finance Minister Pravin Gordhan, Science and Technology Minister Naledi Pandor, Water and Environmental Affairs Minister Buyelwa Sonjica, Trade and Industry Minister Rob Davies, Agriculture, Forestry and Fisheries Minister Tina Joemat-Pettersson, and Economic Development Minister Ebrahim Patel.

South African business leaders are also at the meeting.

According to panellists at the opening plenary, Africa urgently needed to build partnerships if it is to unlock the continent's immense growth potential.

President Jakaya Kikwete of Tanzania called for partnerships at local, bilateral and international levels to help overcome the many obstacles faced by African nations.

"Africa's potential is immense in terms of human and natural resources. It is a contradiction that Africa remains poor. Poor as we are, our capacities are limited. We need partnerships with the private sector to invest in the development of the continent; we need Official Development Assistance, infrastructure and services. We badly need foreign direct investment," he added.

Ajai Chowdhry, Chief Executive of South African mining and energy company Sasol, pointed to Africa's rich human capital and the need to make it more productive. Africa's population of one billion is a "huge opportunity", he said. http://namnewsnetwork.org/v2/read.php?id=119384

hakz2007

May 8th, 2010, 12:58 PM

ZIMBABWE NO LONGER RISKY FOR INVESTORS: PM TSVANGIRAI
DAR ES SALAAM (TANZANIA), May 8 (NNN-ZIMONLINE) -- Zimbabwean Prime Minister Morgan Tsvangirai said the southern African country no longer poses a risk to investors as the political crisis that destroyed the economy "no longer exists".

"The perceived risk on Zimbabwe does no longer exist . . . what country in Africa is risk-free?" Tsvangirai said, during a joint address with Prime Minister Arthur Mutambara and President Robert Mugabe, who made a surprise showing at the World Economic Forum (WEF) on Africa in Dar es Salaam.

"Zimbabwe is ready to do business. If Africa's time has come for investment then Zimbabwe cannot miss the boat. It must be part of that opportunity," he said.

Zimbabwe, still struggling to recover from a decade-long economic collapse and a protracted political crisis that followed its disputed 2008 elections pitting then opposition leader Tsvangirai against Mugabe, registered its first positive economic growth in ten years last year.

The former rivals formed a power-sharing government last year which has won plaudits for stabilising the country's economy and improving people's lives, but the administration has been dogged by political squabbles over full implementation of the power-sharing agreement.

"The political crisis . . . no longer exists. The country is making progress and it is time investors started looking at Zimbabwe from a different perspective," Tsvangirai said.

Mugabe also appealed for investment at Africa's biggest business meeting, dismissing investor worries over new ownership laws meant to transfer majority stake of foreign owned firms to black Zimbabweans and which have strained the unity government.

"People have said it will drive away investment. We say it won't," said Mugabe, adding; "Companies have been forthcoming . . . I don't think it's a painful thing for them. Forty-nine percent is a lot."

Tsvangirai stressed that discussion was continuing on the empowerment law and its application.

The former opposition supremo said he would not enter a coalition government again, but that "it was "necessary" to work with Mugabe because the country had to undergo a transition after the disputed elections.

But, he added: "I think it is a very painful exercise . . . It is painful in so far as every day you are negotiating. Would I ever do this again? I don't think so. I think it is a bad precedent. It would be unfortunate if the next election is conducted in an atmosphere of violence, in an atmosphere of undermining the mandate of the people."

Tsvangirai pulled out of the second round presidential run-off election in 2008 because of violence against his supporters, leaving Mugabe to claim victory before the African Union and the Southern African Development Community forced him to form a power-sharing government with Tsvangirai.

Deputy Premier Mutambara called for the complete lifting of Western sanctions targeted against Mugabe and his inner circle.

"We are calling for the total, unequivocal removal of all sanctions," he said, adding; "The intended target is the individual but the impact of the sanctions is the entire economy. No lines of credit, no investors. The brand of the country is damaged." http://namnewsnetwork.org/v2/read.php?id=119576

desert burner

May 8th, 2010, 06:56 PM

Zambia's President Rupiah Banda on Tuesday launched two new copper mining projects with a call to investors to add value to the economy by employing more Zambians.
http://www.africagoodnews.com/images/stories/news/201004/RupiaBanda_JacobZuma_Sapa.jpg Zambian President Rupiah Banda (right) with South African President Jacob Zuma

Banda said that despite the recent growth of the mining sector in the copper-rich southern African country, not many Zambians are given job opportunities by foreign investors.
"The mining sector is growing and Zambia is on course to recapture its former status as one of the leading copper producers in the world and it is the wish of everyone to see that this translate into improved well being of all Zambians," Banda said.
"While copper production is increasing, very little progress is being made to add value locally to the commodity to enhance the benefits accruing to the nation," he added.
Banda was speaking at the launch of the Konkola Deep Mining Project (KDMP) in Chililabombwe, north of the capital, Lusaka. He also launched the Nchanga Smelter in Chingola, about 25 kilometres (15 miles) away.
Indian mining firm Vedanta, which holds a 79 percent stake in the Konkola mine, says the 674-million-dollar (500-million-euro) KDMP expansion will increase the mine's output from 2 million to 7.5 million tonnes per year.
The launch of the projects comes barely a month after Banda commissioned a nickel mine in Mazabuka, south of Lusaka.
Mining is an economic mainstay for Zambia, where the average person earns less than three dollars a day, according to the World Bank.
Last year, more than 80 percent of Zambia's foreign exchange earnings and 15.9 percent of its GDP came from copper mining, Banda said.
Sapa-AFP

http://www.africagoodnews.com/trade-and-investment/zambia-launches-copper-mine-with-call-for-more-local-benefit.html

hakz2007

May 9th, 2010, 12:13 PM

ANGOLA:AFRICA AND BRAZIL TO STRENGTHEN CO-OPERATION IN AGRICULTURE
LUANDA, May 9 (NNN-ANGOP): A delegation of African ministers of Agriculture left Saturday for Brazil, at the invitation of President Lula da Silva, to participate this on May 10-12 in a meeting related to food security and rural development.

Dubbed “Africa/Brazil dialogue”, the meeting will address ways of increasing co-operation in various agricultural domains, taking advantage of the capacities of countries in terms of investments in the sector, rural extension and commercial exchange.

Speaking to the press at “4 de Fevereiro” International Airport , the Angolan minister of Agriculture, Afonso Pedro Canga explained that each government official will present particular issues and he expects Brazil to offer its capacities of help.

Regarding Angola, the minister said that the country intends to learn from the Brazilian experience in sectors such as scientific research, family agriculture development, entrepreneurial agriculture and organised agro-business and industry since Brazil is a top exporter of foodstuffs.http://namnewsnetwork.org/v2/read.php?id=119645

hakz2007

May 13th, 2010, 11:18 AM

ZAMBIA HAS RECEIVED MORE THAN 3.0 BILLION USD IN INVESTMENTS FROM INDIA -- MINISTER
LUSAKA, May 13 (NNN-ZANIS) -- Commerce, Trade and Industry Minister Felix Mutati says Zambia has benefited from Indian investment worth more than 3.0 billion USD over the past three years.

Zambia is happy to work with the Indian government, he said here Wednesday, adding that relations between the two countries should be embraced by all loving Zambians.

Speaking during the official launch of the African Competition Programme (AFRICACOM), Mutati told the delegates that competition was vital to the development of any country and as such, Zambia would ensure that there was balanced competition in the private, public and consumer sectors.

He said Zambia delayed signing this agreement due to the fact that it did not include copper ore which had been one of the Zambia's major exports to India.

Mutati added that market access to India had tremendously increased to 94 per cent of late, a situation he described as good for the country's economic development.

He cited the Konkola Single deep mine which was recently launched in Chingola as one of the biggest Indian investments, involving about 1.6 billion USD.

The Chingola Deep Mine would be the biggest mine in the country, hesaid, adding that investments from India were poised to increase because the Indian government was interested in some other projects in the country such as in manganese mining among other investment opportunities.http://namnewsnetwork.org/v2/read.php?id=120121

abesha

May 14th, 2010, 09:45 AM

From Forbes

What Happens In Rwanda ...

With a growing hospitality industry, this African nation is poised to be the next Las Vegas.

Not too many years ago, Las Vegas figured out that conventions are good business. Courting potential clients with the memorable "What happens in Vegas, stays in Vegas" marketing campaign, the city has had tremendous success. Las Vegas hosts about 20 major conventions every month, with customers ranging from the FBI to the Tortilla Industry Association to the splashy annual Consumer Electronics Association gadget fest.

When it comes to hosting major conferences in Africa, though, most people wouldn't put Rwanda on that list. Just six years ago there was scarcely a world-class hotel room in the entire country. In 2004, just days before eight African heads of state were on their way to the capital, Kigali, for the New Partnership for Africa's Development conference, crowds of workers were scurrying to put the finishing touches on the new 148-room Intercontinental Hotel.

That situation has shifted dramatically in the past few years. New international-class hotels are springing up all around the capital; just this week, Marriott announced that it would join Serena Hotels (which took over the Intercontinental) and Radisson by rolling out a new hotel in Kigali in 2012. Part of the draw for these top hospitality brands is the new Kigali International Convention Center, also slated to open in 2012.

In 2007, when Kigali hosted a large international AIDS conference, organizers put up a huge temporary tent at what is now the site of the soon-to-be-completed Marriott. Even without a permanent structure, the conference was a rousing success. In a region where most major conferences are held in Nairobi, Kenya, (not so fondly referred to as Nairobbery) or Addis Ababa, Ethiopia, Rwanda was a refreshing change for the 1,500 development professionals who attended. Kigali is clean, friendly, stable and safe, and for many reasons, the city has become an even more attractive venue since then.

The hospitality industry has recognized Rwanda's appeal and, with these new hotels, Kigali now has high hopes for attracting even more major gatherings. The convention center includes a five-building information technology office park, a convention floor with 32,000 square meters, a multi-purpose arena that can host 2,600 people, and a 292-room, on-site hotel that Radisson will manage.

Rwanda is aiming high with this initiative, which will no doubt create thousands of jobs. The tourist bureau also is developing a strategic plan to keep the convention visitors in the country long enough to tromp out of Kigali to visit the famed mountain gorillas as well as other sites in the country. The country's business and political leaders are already well on the way to putting Rwanda on the map as a business and tourism destination.

This kind of thinking--tying economic opportunity to the country's strengths--is exactly the kind of unexpected savvy and acumen that I see emerging here in Rwanda, where I have been living with my family for four years. I work at the intersection of traditional health and development efforts and entrepreneurship and business development, and have seen extraordinary and accelerating progress in this nation. My dad-to-day work includes overseeing a project that improves management at 79 health centers serving 2 million people; helping a dairy company raise capital to ultimately lower the cost of protein for all Rwandans; and, with my wife, running the Heaven Restaurant and Bar in Kigali.

Josh Ruxin is an assistant clinical professor of public health at Columbia University. He is based in Kigali, Rwanda. http://www.forbes.com/2010/05/13/rwanda-hospitality-hotels-opinions-contributors-josh-ruxin.html

I.M Boring

May 15th, 2010, 01:19 PM

That is good for Rwanda, but did the article really have to refer to Nairobi as Nirobbery?

IIRC, Crime in Nairobi has gone down of late, and that term is somewhat uncalled for!

buhera

May 16th, 2010, 04:46 AM

Bloomberg News

May 13 (Bloomberg) -- China Development Bank Corp., the nation’s largest state-owned policy bank, will provide $5 billion of loans to companies involved in Zambia’s mining sector under an agreement signed between the two countries yesterday, the official Zambia News & Information Services said on its website.

Zambia’s President Rupiah Band urged the country’s private companies to work with their Chinese counterparts to access the funds, the state-owned news service said in a report from Livingstone.

China Development Bank’s President Jiang Chaoliang said the lender was keen to help Zambia improve its hydro-electric power industry and provide financing to small and medium-sized enterprises, Zanis said.

alama

May 16th, 2010, 09:28 AM

Mozambique’s Mphanda Nkuwa dam to be granted in concession this year.

Maputo, Mozambique, 10 May – The Mphanda Nkuwa dam project will be granted in concession this year to investors in the complex being built for an estimated US$2 billion on the Zambeze River in Tete province, reports the Maputo-based daily Noticias.

The newspaper adds that negotiations with the government on granting the concession to the Mphanda Nkuwa Hydroelectric Company are continuing at a good pace and that the investors expect the negotiation process to conclude in the next few months.

The head of Mphanda Nkuwa Hydroelectric, Egídio Leite, said that obtaining the concession will be vital for ensuring the project’s life, given that only from then on can investors develop it, complete it and begin operations.

Leite also spoke of finishing work on financial aspects of the project, which he said could happen by early 2011 at the latest.

The conclusion of financial aspects is currently conditioned by a number of factors, namely the completion of negotiations with potential buyers of energy generated by the complex, he added.

Potential buyers of Mphanda Nkuwa energy include the South African power utility Eskom, as well as the Mozambican public company Electricidade de Moçambique (EdM) and other companies from the region, with whom negotiations are well under way, Leite said.

The Mphanda Nkuwa hydroelectric dam will be located about 70 km upriver from Tete city and 61 km downriver from the Cahora Bassa hydroelectric dam. It should take from four to five years to build and will have an installed capacity of 1500 megawatts. (macauhub)
macauhub.com

alama

May 16th, 2010, 09:34 AM

Bloomberg News
Mozamibique Seeks $85 Million to Distribute Gas in Maputo

April 23 (Bloomberg) -- Mozambique’s state-owned oil company is seeking $85 million to finance gas distribution to residential and industrial areas in and around the country’s capital, Maputo, Chairman Nelson Ocuane said.

Empresa Nacional de Hidrocarbonetos de Mocambique wants to start piping the gas between 2011 and 2012, Ocuane said in an interview from Maputo today. ENH, as it’s known, has asked companies to tender for the environment impact study on the project, he said.

Sasol Ltd., the world’s largest maker of oil from coal, is the biggest producer of gas in the southern African nation. ENH wants to increase the amount of gas Mozambique retains from Sasol’s Temane and Pande fields to 27 million gigajoules from 6 million gigajoules, Ocuane said.

Sasol pumps the gas through its pipeline from Temane, about 800 kilometers (497 miles) north of Maputo, to its petrochemical plant in the town of Secunda in neighboring South Africa’s Free State province.

desert burner

May 21st, 2010, 02:12 PM

An Egyptian firm, Elsewedy Electric, is set to invest 200 million dollars to generate and increase access to electricity in the southern African country of Mozambique, a local newspaper reported Thursday.

Mozambique's independent daily Opais reported that Elswedy planned to spend 100 million dollars on rural electrification projects and another 100 million dollars on building small hydroelectric and coal- fired power stations.
Elsewedy Electric Africa's Director, Hatem Abd, told reporters in Mozambique's capital Maputo that the company had already granted state electricity utility Electricidade de Mocambique (EDM) 11 million dollars in funding last year.
The two new investments were part of a package still being negotiated with President Armando Guebuza's government, he added.
The announcement is a boost for the government's plans to electrify the entire country by 2014 but EDM is still running short of the 718 million dollars it needs to achieve that objective.
Currently only 89 of 128 districts in the vast former Portuguese colony of 20 million people are covered by electricity from the national grid.
Those districts make up around 14 per cent of the population.
Elsewedy's investment is expected to help bring electricity to a further 3.5 million people in the centre and north of the country, bringing to 23 per cent the proportion of people with formal access to power
http://www.africagoodnews.com/energy/egyptian-energy-firm-to-invest-in-mozambique.html

desert burner

May 21st, 2010, 02:17 PM

China will build a 90-million-dollar (72-million-euro) cement factory in Mozambique, a spokesman said on Wednesday, the latest in a string of investments around Africa.

http://www.africagoodnews.com/images/stories/news/201005/Concreteblocks_WikiCommons.jpg A new cement factory will help address shortages in Mozambique

The China Development Bank is financing the factory in Beluluane, outside the capital Maputo, the spokesman for the Mozambican Centre for Investment Promotion, Evaristo Cumbane, told AFP.
"Construction on the factory will start in the next few days and produce 500,000 tonnes of cement a year," Cumbane said.
China is the number one investor in Africa. The Mozambican project comes one week after China announced plans for a 217-million-dollar cement plant in South Africa and a 23-billion-dollar oil refinery deal in Nigeria.
A consortium of Chinese and Mozambican companies is already building a 72-million-dollar cement factory outside Maputo that will produce 800,000 tonnes yearly.
Mozambique currently has four factories producing around one million tonnes of cement a year.
"That is not even half of what we need," Cumbane said.
"We import a lot and even with imports it is not enough."
Cement often runs out in Maputo despite imports from neighbouring South Africa.
Most of the country's cement must be transported across the vast territory north of the city. One factory services the centre of the country, and another the north.

http://www.africagoodnews.com/trade-and-investment/china-to-build-90-million-dollar-cement-factory-in-mozambique.html

egypt69

May 22nd, 2010, 09:39 PM

Egypt's information and communications technology fuels economic growth

EGYPT. Egypt's economy grew by 5.8% in the first quarter of 2010, accelerated by the 11.3% growth of its ICT industry.

Reports by the Economic Development Minister revealed the growth was at its fastest pace in almost two years and is expected to hit as high as 5.3% in the fiscal year ending June, up from 4.7% in the previous year.

Egypt remains one of the world's fastest growing outsourcing destinations and has seen huge investments in the last year with companies including Sykes Enterprise and Stream Global Services.

ITIDA has also signed an Memorandum of Understanding (MoU) with Intel Corp to further boost the potential of Egyptian information and communication technology (ICT) companies by using Intel's technical expertise to improve their potential and develop products and technical solutions.

Commenting on the growth of the sector, Dr. Hazem Abdelazim, CEO of the Egypt's Information Technology Industry Development Agency said: "We have had a positive start to the year with new companies investing and local companies developing and expanding their capabilities and services.

The sector is going from strength to strength and is evidently having a huge impact on the overall growth of our country. We are confident that the sector will continue to grow during the remainder of 2010 and that we will see more multinational companies expanding and outsourcing their business to Egypt."

Egypt continues to invest in its infrastructure and intellectual property and piracy are two areas that it is aggressively tackling. In the 2009 Business Software Alliance (BSA) and IDC Global PC Software Piracy Study published this week, Egypt's piracy rating remained at 59% for the second year, despite overall global levels rising in 2009.

Egypt's rating has dropped by 5% since 2005 and, at 59%, its ratings are lower than other leading outsourcing destinations such as Morocco (66%), China (79%) and the Philippines (69%).

Dr. Hazem Abdelazim adds, "Reducing piracy continues to be a challenge for the sector globally. In Egypt, we are continuing to make this a priority and are making good progress. Our rate remains lower than some other destinations around the world, and shows why Egypt has become a leading destination for global outsourcing."

http://www.bi-me.com/main.php?id=46392&t=1&c=15&cg=3&mset=1031

hakz2007

May 25th, 2010, 08:11 AM

EAST AFRICAN COMMUNITY DEVELOPMENT PLANS AT ADVANCED STAGE, SAYS KENYAN PRES KIBAKI
NAIROBI, May 25 (NNN-KBC) -- Kenyan President Mwai Kibaki has invited other African countries to join the East African Community (EAC) that has proved to be the most successful and integrated regional bloc in Africa.

Saying he personally looked forward to the expansion of the community, President Kibaki said he was proud that during his time in office Rwanda and Burundi joined the EAC.

President Kibaki noted that Rwanda and Burundi had immensely benefited from the community and made the regional bloc stronger and more economically vibrant.

"I am aware that some countries have already expressed their support in joining the EAC. We welcome them and assure them of our support because our vision is to make the East African Community the most successful and integrated bloc in Africa," President Kibaki said.

President Kibaki said the EAC is one of the most comprehensive and far-reaching integration arrangements in the world that envisions the eventual full unification of the partner states as a single political entity, a target envisioned by the community's founding fathers.

"I have no doubt in my mind that the founding fathers of our community, would be proud of the steps we have taken to grow their original vision of an integrated East Africa," President Kibaki said.

President Kibaki made the remarks Monday at Parliament buildings when he addressed members of the East African Legislative Assembly (EALA), whom he said had a unique opportunity and duty to promote the East African integration process.

President Kibaki said the EALA members should come up with programs that will take the spirit of East Africa from the summits and boardrooms to the furthest points of the region.

"After all it is our people who must see and feel the benefits of integration," the Head of State of said.

President Kibaki, at the same time, said the signing of the EAC Common Market Protocol, targeted to come into force on July 1 this year, has coincided with new momentum towards establishment of the East African Monetary Union that the EAC aims to establish by 2012

Saying that the East African Community is set to expand its scope and mandate in the period ahead, the President said the implementation of the Common Market Protocol will make the region more attractive and enable EAC people reap the benefits of increased market access and expanded trade.

Noting that the Common Market Protocol will require amendment of certain national laws and policies, President Kibaki said his Government has constituted a Legal Reform Task Force to identify the necessary legal, administrative and institutional reforms.

In this connection, the President called on the East African Legislative Assembly to be at the forefront in ensuring that implementation of the protocol is smooth, saying he was confident in the Assembly's commitment and preparedness for the historic tasks ahead.

On regional development, the President said the East African Community's strategic development plans have been taken to higher stages of implementation.

President Kibaki pointed out that priority is being placed on infrastructure projects including roads, railways, inland waterways, ports and harbours, Information and Communications Technology as well as energy and civil aviation.

In this regard, President Kibaki disclosed that Kenya is moving fast with the development of the second port in Lamu as well as revamping Mombasa port facilities, which forms part of the East African infrastructure upgrade program.

"You will also appreciate the great works we have undertaken on the Mombasa to Nakuru Highway while upgrading of the Nakuru to Malaba Highway has commenced," President Kibaki said.

In addition, the President said Kenya landed fibre-optic cables and connected the region to the world in a seamless manner that promises to revolutionize the I.C.T. sector in the region.

President Kibaki also expressed satisfaction that construction works on the East African Road Network Project and a number of other critical infrastructure projects have commenced.

He cited the Arusha-Namanga-Athi River road, the Power Interconnection Project between Kenya and Tanzania at the Namanga border post and the ambitious East African Railways Master Plan as some of the ongoing infrastructural projects in the region.

The President pointed out that the region has also recorded encouraging progress in other areas as well, saying the EAC Investment Conferences that have so far been held in Kigali, Nairobi and Kampala have become key community programmes.

President Kibaki added that the conferences have realized great success in promoting the region's economic potential and investment opportunities.

Moreover, the President said, the enactment in 2008 of the EAC Trade Negotiation Act was a major breakthrough in the longstanding endeavor by the partner states to negotiate as a bloc in the multilateral trade fora.

"These achievements have leveraged the community's image and position in the international trade and development arena. All Partner States are jointly participating in the negotiations of the Economic Partnership Agreement with the European Union," President Kibaki said.

The Head of state said the community is also at the forefront of the Tripartite EAC-COMESA-SADC initiative towards the establishment of a Free Trade Area of the three major African regional economic communities which will further boost the East African Community market advantage and strength.

President Kibaki said investors, on the other hand, will access more investment opportunities and be able to move their capital freely across borders.

The Head of State pointed out that labour markets in the region will be more liberalized with free movement of labour, thus benefiting both employers and employees from the partner states.

"Cumulatively, it is expected that benefits from the Common Market will stimulate and strengthen our economies, while enabling us to achieve our long term goals of reducing poverty and improving the living standards of our people," the Head of State said.

The President, once again, assured members of the East African Legislative Assembly of support and wished them success as they discharge their mandate.

President Kibaki added that Kenyans placed high value on the East African integration process and appreciate the role of the East African Legislative Assembly in the integration of the region.

He commended the East African Legislative Assembly for its commitment to putting in place an appropriate legislative framework for the community, pointing out that the Assembly is the body that is entrusted with the powers and responsibilities to drive the integration process.

Saying the Assembly has an elaborate agenda for its meetings, the President said the meetings that will be held in Nairobi and Mombasa will address important issues affecting the East African Community.

"These include presentation of the State of the East African Community Address by the Chairperson of the EAC Summit and presentation of the Budget Speech by the Chairperson of the Council of Ministers," President Kibaki said.

Other speakers included the Speaker of the East African Legislative Assembly Abdirahim Abdi and the Speaker of the Kenya National Assembly Kenneth Marende.

In attendance were Vice-President Kalonzo Musyoka, several Cabinet Ministers and members of the diplomatic corps among others.http://www.namnewsnetwork.org/v2/read.php?id=121434

yosef

May 25th, 2010, 03:40 PM

East Africa to register highest growth in Africa

East Africa, which best weathered the global economic crisis, is yet again projected to achieve the highest growth on the Continent at an average of more than 6 percent in 2010/2011, according to the African Development Bank (ADB).

The Bank said in its 2010 edition of the African Economic Outlook (AEO) that was launched yesterday at the Annual Meetings of the Boards of Governors of the ADB Group that average growth on the Continent is expected to rebound to 4.5 percent in 2010 and 5.2 percent in 2011 from 2.5 percent in 2009.

The AEO underscores that the recovery process across the continent will be uneven.

“Southern Africa, which was hardest hit in 2009, will recover more slowly than other regions with an average growth of almost 4 percent in 2010/2011,” the report reads in part.

However, with 6 percent East Africa has the highest projection as both North and West Africa combined are expected to grow at around 5 percent and Central Africa at 4 percent during the same period.

“The good news is that the continent has proved resilient to the crisis. The bad news is that, despite rebounding growth next year, the downturn could make it more difficult for some African countries to meet the Millennium Development Goal (MDGs) of halving the number of people living in poverty by 2015,” Henri-Bernard Solignac-Lecomte, Head of the Europe, Africa and Middle East Desk at the OECD Development Centre said in a press release.

The report also highlights uneven recovery across sectors such as mining and manufacturing that were particularly exposed to the fall of commodity prices and global trade in goods and services.

Other sectors, notably non-tourism services and agriculture, were more resilient and mitigated the effects of the downturn, the report says.

“In most African countries the agricultural sector benefited from good harvests due to favourable weather, although in some countries, bad harvests exacerbated the effect of the global crisis.”

In 2009, Africa’s exports slid by 2.5 percent and imports by about 8 percent.

The AEO finds that the global crisis brought a period of relatively high economic growth in Africa to a sudden end.
Due to the crisis, Africa’s Gross Domestic Product (GDP) growth fell from an average of 6 percent in 2006- 2008 to 2.5 percent in 2009.

The 2010 AEO also includes a special study on public resource mobilisation—or taxation— as a means for African governments to become less dependent on aid in the long run, to the benefit of recipients and donors.
http://www.newtimes.co.rw/index.php?issue=14271&article=29476

ADB: AEO Report Summary (http://www.afdb.org/en/news-events/article/africas-growth-on-the-rebound-african-economic-outlook-2010-launched-in-abidjan-6761/)

yosef

May 25th, 2010, 03:47 PM

EXIM India to open office in Ethiopia next month

n a bid to support Indian companies' growing investments in East Africa, the Export and Import (EXIM) Bank of India will open an office in Ethiopia next month, officials said.

Ethiopia's Minister of Finance and Development Sufian Ahmed and EXIM bank officials are expected to sign the agreement Tuesday, which will further boost ties between India and East Africa.

The bank and the Ethiopian ministry have been in negotiations for the last couple of months about the opening of the East African office in Addis Ababa.

The bank will open its office in a month, Indian embassy officials told IANS.

It will be the third office of EXIM bank in Africa. The bank has offices in Johannesburg and Dakar, responsible respectively for southern and western Africa.

In Ethiopia, EXIM has so far been active in disbursing loans for the construction of the Tendaho sugar factory and the expansion of two existing sugar factories.

The Indian government has accepted Ethiopia's project proposal and offered a $640 million soft loan through EXIM bank for two expansion projects at the Fincha and Wonji sugar factories and to construct the giant new factory at Tendaho in Afar Regional State.

This is the largest single line of credit India has extended to a foreign country.

EXIM bank was appointed to execute the loan disbursement for Ethiopia in October 2007.

It is an Indian government-owned financial institution based in Mumbai and managed by a board with representatives from the government, Reserve Bank of India, Export Credit Guarantee Corporation of India (ECGC), a financial institution, public sector banks, and the business community.

The bank's functions are segmented into several operating groups that include the Corporate Banking Group, which handles a variety of financing programmes for Export Oriented Units (EOUs), importers, and overseas investment by Indian companies; and Project Finance/Trade Finance Group that handles the entire range of export credit services such as supplier's credit, pre-shipment credit, buyer's credit, finance for export of projects and consultancy services, and guarantees.

The Indian government launched the institution not just to enhance exports from India but to integrate the country's foreign trade and investment with the overall economic growth.

Since its inception, the Exim Bank of India has been both a catalyst and a key player in the promotion of cross border trade and investment.

http://www.hindustantimes.com/EXIM-India-to-open-office-in-Ethiopia-next-month/Article1-548265.aspx

Ethiopia signs agreement with EXIM Bank

Addis Ababa, May 25, 2010 (Addis Ababa) - Ethiopia and EXIM (Export and Import) Bank of India signed agreement here on Tuesday enabling to set up a representative office of EXIM Bank in Addis Ababa. EXIM Bank's representative office in Addis Ababa will promote trade and investment smooth flows between India and the East African region, including Ethiopia in particular.

EXIM Bank’s office in Addis Ababa will be its seventh overseas regional office and third office in Africa.

The office will look after EXIM Bank's interest in Burundi, Djibouti, Eritrea, Ethiopia, Kenya, Rwanda, Somalia, Sudan, Tanzania and Uganda.

Its other overseas offices are at Dakar, Dubai, Durban, London, Singapore and Washington DC.

Finance and Economic Development Minister, Sufian Ahmed and EXIM Bank’s Chairman and Managing Director, T.C.A. Ranganathan signed the agreement.

Source: ENA News Agency

http://www.newsdire.com/business/843-ethiopia-signs-agreement-with-exim-bank.html

abesha

May 26th, 2010, 09:52 AM

ECA report predicts high East African growth

Led by Ethiopia, East Africa is expected to continue to be the fastest growing region in the continent recording an average growth rate of 5.3 per cent in 2010, according to a new report by the Economic Commission for Africa.

Presented at the headquarters of the ECA, the Economic Report on Africa 2010 (ERA) compares the East Africa region in terms of EGP growth with West Africa (4.7), North Africa (4.1), South Africa (4.1), and Central Africa (3.8).

Overall, ERA finds that GDP growth in Africa declined from 4.9 per cent in 2008 to 2.4 per cent in 2009, but is expected to grow by 4.8 per cent in 2010.

The report said four countries, Angola, Republic of Congo, Ethiopia and Uganda, are expected to grow at more than seven percent, the rate at which African countries need to grow if they are to halve poverty by 2015.

The report also acknowledges that Ethiopia is among only two countries to maintain its growth of above seven per cent from last year, with the other country being the Democratic Republic of Congo.

“A key driver of the incipient growth recovery, albeit fragile, will be the various fiscal and monetary stimulus packages adopted by many African governments,” said the report.

It said commodity prices, an important determinant of growth in many African economies, fell at the beginning of 2009, but have since rebounded and are expected to stabilise in 2010 and rise moderately in 2011.

The report indicates loose fiscal policies and investment in infrastructure and social sectors are expected to boost domestic demand, which will benefit from relatively low interest rate levels.

Launched under the theme, Promoting High-level Sustainable Growth to Reduce Unemployment in Africa, the paper is described as a major report tracking the performance of African economies and raising challenging themes to stimulate policy debate globally on Africa.

The ERA also recognised that high unemployment rates continue to hinder poverty reduction efforts in the continent. This prompted the UN to urge countries to give priority to the creation of decent jobs through economic diversification as a central pillar of macroeconomic policy.

ERA argues the current global economic crisis offers African countries an opportunity to lay the foundation for sustainable, employment intensive, high economic growth rates.
It argues for structural transformation as the mechanism for achieving these aims, saying: “Africa’s long-term growth prospects and ability to sustain high rates of employment generation and broader social development depend on success in economic diversification.”

For most people, gainful employment is the only way out of poverty. This is especially the case for youth and other disadvantaged groups.

Unfortunately, unemployment and underemployment rates in Africa are high and continued to rise even during the period of rapid economic growth that came to an end with the global economic crisis in 2008.

Appropriate investment in infrastructure and human capital, renewed and creative efforts at domestic resource mobilisation, factor market reforms, incentives to support private-sector employment and efforts to increase productivity and incomes in the informal sector are needed, the report says.

The commodity price rebound in 2009 was mainly due to increased petroleum prices, resulting in part from increased demand from China following its stimulus package as well as the upward revision of expected world demand. However, as a result of the depreciation of the United States dollar, 2009 commodity prices were below their 2008 levels in real terms.

Another major challenge facing Africa is climate change. The report states that agricultural output is expected to decrease by 50 per cent in Africa, resulting in severe undernourishment as a result of unchecked climate changes. The health burden and conflicts will increase as populations fight over dwindling resources.

The costs of adaptation and mitigation are, however, extremely high and beyond the means of African countries.

It is estimated that the cost of adaptation could be anywhere between five and 10 per cent of continental GDP. It is therefore important for the international community to help in financing the cost.http://www.capitalethiopia.com/index.php?option=com_content&view=article&id=12840:eca-report-predicts-high-east-african-growth-&catid=12:local-news&Itemid=4

Xusein

May 27th, 2010, 08:27 AM

Somali companies to invest $1 billion in Somaliland and Somalia

INSTANBUL (Somalilandpress) — Five Somali companies signed an agreement here on Sunday to establish a joint company providing much-needed electricity and gas infrastructure to the under- developed country. The agreement was signed at the sideline of the round table meeting after the closing of the United Nations’ Somalia Conference in Istanbul.

Sharif Ahmed Said, director of the Somalia Business Council, said: “this project will give Somali people the peace dividend that has eluded them for so long.”

The Trans-National Industrial Electricity and Gas Company will start with an investment of 1 billion US dollars from the partners and other investors.

The five companies, which asked to remain unnamed for the moment, will provide the initial 300 million dollars down payment. The five companies are all local, not international.

The remaining funding will be provided by individual, not institutional, investors and by the manufacturers themselves, Abdullahi Hussein, spokesman for one of the companies told Xinhua.

The company aims to implement the Somalia Peace Dividend Project, a labor intensive electricity and gas infrastructure program to provide these services for the new industrialization of Somalia, and will be carried out in two phases.

The first phase, expected to start in the next 6 months, will train and use the skills of young people to provide electricity to exclusive economic zones and communities.

A written press release said the workers will be able to improve their livelihood as they receive training to construct, install and manage the infrastructure, which will help “reduce poverty, find alternatives to looting, piracy and unnecessary violence and stabilize the country and bring lasting security and prosperity to Somalis.”

The second phase where factories will be established in specially designated economic zones for the local transformation or for fisheries, livestock, agriculture and mining industries, is expected to go live in 12-18 months, which Hussein admitted as ” optimistic.”

Overall, the project aims to provide training and employment opportunities for an initial 100,000 jobs throughout Somalia and Somaliland.

Hussein said security was not a concern for the project, adding that “tribal democracy .

Source: Xinhua | Monday, May 24, 2010

Link (http://somalilandpress.com/somali-companies-to-invest-1-billion-in-somaliland-and-somalia-15953)

Xusein

May 27th, 2010, 08:30 AM

THIS is how peace and stability will be brought, not half-hearted "peace talks" that neither go anywhere nor have any real result.

Xusein

May 27th, 2010, 08:47 AM

Coca Cola to Open Plant in Somaliland

http://somalilandpress.com/wp-content/uploads/2010/05/coca-cola2-150x150.jpg

HARGEISA (SomalilandPress) — If ever there was a brand that was truly international, this brand would of course be Coca Cola. Known in literally every corner of the world, it was once the most recognised brand worldwide. Even till this day, in the most remote regions of the world, people recognise the name and brand even in places where it is considered a luxury.

With the launch of the Coke Plant in Mogadishu in 2004, many were interested in seeing how profitable such a plant would be in the midst of the war torn country. The plant has since been closed down due to heavy fighting in the city and currently has no plans of reopening. Somaliland, on the other hand, has been a bastion of peace and stability in the region for over 19 years and just may be the answer to Coke’s needs to supply the region.

Coke is currently supplied to the region by exporters from Egypt, Djibouti as well as the UAE. While the quality of the products from some of those areas are questionable, it is the cost of these products in relation to local brands that has made it a luxury available only to those who are able to afford the half dollar price tag that they carry in most shops. A few wise Somalilander entrepreneurs realized quickly that there was a gap and excellent opportunity in this multi-million dollar industry in Somaliland and have taken it on themselves to bring the international big-name brand to Somaliland. Their timing couldn’t be better because it’s about time some of the big international players made their presence felt locally, because Somaliland is quickly becoming an important economic hub in the region.

The Coke plant is scheduled to be opened sometime before autumn, and staff have already been hired and are working on a major marketing campaign and the distribution of their family of products. The bottling factory will be located in a remote village on the road between Hargeisa & Berbera, making it central to distribution points all across the country.

The main investors in this project are the Geeley family who have also taken on other investors in order to bring a more economical option to the people of Somaliland when it comes to their choice of beverages. Coke will be supplied in Somaliland by SBI (Somaliland Beverages Industries) and after the launch of the factory, bottles of Coke products will be priced to compete with locally bottled no-name brands and all Somalilanders will be able to take advantage of the great Coke taste at a great price.

There is no word yet as to whether or not SBI has considered recycling options for their output, however, perhaps somewhere in the future we can read about another group of Somaliland Entrepreneurs opening the country’s first recycling plant.

By Maxmuud-Aar

Somalilandpress | Sunday, May 23 2010

Link (http://somalilandpress.com/coca-cola-to-open-plant-in-somaliland-15844)

desert burner

May 27th, 2010, 03:00 PM

wonderful projects, this really bring happiness and smile to my face :cheers::banana:

abesha

May 27th, 2010, 04:02 PM

$1 billion dollars from local investors?! That's a heck of a lot of money.

Somaliland should be recognized. It's ridiculous that it's made to pay for the chaos below. If there will be a united Somalia in the future, Somalilanders can join it if they want to do so (which I doubt they will to be honest - tried and failed before).

I'm glad to hear of good things happening there, with no help from outside.

ja'far

May 28th, 2010, 01:29 AM

ja'far

May 28th, 2010, 01:33 AM

ja'far

May 28th, 2010, 01:43 AM

THIS is how peace and stability will be brought, not half-hearted "peace talks" that neither go anywhere nor have any real result.

true, but with that kind of money investing in privatized infrastructure would be a great move.

hakz2007

May 29th, 2010, 10:19 AM

EXPERTS TO DISCUSS FUNDING FOR HYDRO PROJECTS IN AFRICA
NAIROBI, May 28 (NNN-KBC) -- Experts from some of the world's top hydro-electric power generating nations are set to discuss funding and financing of hydro-electric power projects in Africa during the annual Hydropower Africa Conference to be held in Johannesburg in August.

The event, which is the only hydro power conference and exhibition in Africa bringing together all the major stakeholders is expected to be opened by South African Energy Minister Elizabeth Dipuo Peters.

The experts will also discuss the future of hydro power electricity generation in Africa.

"There is an enormous demand for information on the finance and funding of hydro power projects in Africa, especially given that the potential for hydro generation is great and that only 10 per cent of the continent's potential has been realised," according to Nicolaas Loretz, Hydropower Africa project director.

"This is the ideal platform to give impetus to project implementation for small and large hydro projects. We therefore have a special focus on investment opportunities with specialists from the World Bank and the African Development Bank and case studies from Zambia and Mozambique as part of our programme.

"We are delighted that Minister Dipuo Peters will share her vision with us, particularly to hear her views regarding the promotion of sustainable development, regional integration, water and energy security, and poverty eradication in Africa."

During a recent visit to South Korea, the minister said South Africa could produce more than 43,000 megawatts of electricity but wanted to increase this by using renewable energy sources like wind, solar and hydropower.http://namnewsnetwork.org/v2/read.php?id=121781

Sergu

May 30th, 2010, 06:46 PM

From Spain I have to say that the hydro-power projects and reservoir are very fundamental for the african countries for giving electricity and potable water in the future and it must be the main project for the african politics, with reservoirs Spain changed and converted in a first world country, Africa must do it too.

desert burner

May 31st, 2010, 09:36 AM

A British mineral exploration and development firm – African Eagle – has entered into a joint venture with an Australia firm Macquarie Harbour Mining Ltd to develop gold mining at the Miyabi mine in Tanzania.

According to African Eagle country manager John McDonald, under the agreement, Macquarie will provide the technical expertise and funding for a feasibility study.

Mr McDonald said that African Eagle will retain 25 per cent of its interest in the project and its past exploration expenditure will be credited against the development costs.

“African Eagle will grant Macquarie an exclusive period of up to six months to review and conduct legal and technical due diligence before it starts mining,” he said.

During the period, the parties will draft a joint venture agreement under which under which Macquarie can earn a 75 per cent share of African Eagle’s interest in the Miyabi gold project.

African Eagle’s managing director Mark Parker said this transaction provides a quick and effective route to take Miyabi into production.

“Part of the revenue from production will be invested in expanding the current resource of 520,000 ounces of gold and extending the mine life,” he said.

The transaction represents further delivery on African Eagle’s stated intention of developing into an operator, bringing in like-minded partner companies for its extensive non-core copper, gold and uranium portfolio.
African Eagle is currently undertaking a pre-feasibility study at its Dutwa Nickel Project in Tanzania, which will be completed by the end of the year.

The agreement between African Eagle and Macquarie will see African Eagle contribute $6.5 million to the joint venture.

The two firms will also invest a minimum of 12 per cent of pre-tax net revenue into exploration within the Miyabi gold project area.

http://www.theeastafrican.co.ke/business/Two%20firms%20strike%20a%20deal%20over%20Miyabi%20goldmine/-/2560/928720/-/15ose74z/-/index.html

desert burner

May 31st, 2010, 09:37 AM

hakz2007

June 1st, 2010, 12:04 PM

ZIMBABWE HOPES CHINA WILL BUY ITS COTTON TO BOOST PRICES
HARARE, June 1 (NNN-NEW ZIANA) -- The price of Zimbabwe's cotton can improve if Chinese buyers enter the market in the same way that they do with tobacco, says Vice-President Joyce Mujuru.

Addressing a visiting delegation from the Chinese Communist Party (CCP) at her Munhumutapa office here Mondy, she added: "We are concerned at the low volumes of cotton that Western companies are buying so we are working on using Chinese companies to improve cotton prices."

Mujuru, who was accompanied by senior officials of the rulign Zanu PF party, said when Chinese companies were buying tobacco at the onset of the marketing season, prices reached an all-time high.

She said the Zimbabwe government wanted high prices for crops to support the land reform programme. "Tobacco and cotton are the crops our farmers are producing at the moment," she noted.

Mujuru commended the Chinese for also showing interest in mining, saying it inspired local people. "We are beginning to see Zimbabweans' interests in mining since the Chinese came," she added.

She also applauded China for upholding bilateral relations through political, economic, cultural and social activities noting inter-party exchange programmes involving youths, women and leadership were vital in strengthening the two parties.

The Head of the Chinese delegation, Gang Wang, praised the quality of cotton produced in Zimbabwe saying it was unfair for the crop to fetch low prices. "Cotton produced in Zimbabwe is of high quality but in the past some companies were paying an irrational price," he said.

Wang, who is also a member of Chinese Communist Party Politburo, said inter-party relations between Zanu PF and the Chinese Communist Party which started in 1982 would continue to promote bilateral co-operation in various sectors.http://namnewsnetwork.org/v2/read.php?id=122178

hakz2007

June 4th, 2010, 06:48 AM

WEST AFRICA A REGION RIPE FOR INVESTMENTS, SAYS GHANA'S TRADE MINISTER
ACCARA, June 4 (NNN-GNA) -- Potential investors should see Ghana and other countries in the West Africa sub-region as good investment destinations where they can exploit opportunities, says Ghana's Trade and Industry Minister, Hannah Tetteh.

The period of conflicts and political upheavals were over, making the sub-region and Africa as a whole the right environment for investment, she said at the opening session of the Confederation of Indian Industry-Exim Bank Regional Conclave on India-Africa Project Partnership in Accra Thursday.

The annual conclave, which started in 2005, has become a medium for Indian and African policy makers, corporate leaders and academics to meet and share knowledge and network for collaborative businesses. The Ghana event is a collaboration between the Association of Ghana Industries (AGI) and the CII.

More than 40 participants from the telecommunication, agriculture, infrastructure and heavy machinery sectors from India are attending the conclave to explore business opportunities with their counterparts from countries in the West Africa sub-region.

Tetteh said sharing knowledge and technology was the best way to accelerate economic development since that would allow countries to go beyond dependence on export of primary commodities and diversify to manufacturing.

She lauded the objectives of the conclave, saying it could help move the continent forward and appealed to prospective investors to invest in varied environments.

Gilbert Hounghou, Togo's Prime Minister, said every effort should be made to sustain the partnership through developing capacity to assume development and build local ownership of projects. "The partnership must be action-oriented and results based," he said.

S. Kuppuswamy, the leader of the Indian delegation, said the conclave had helped to build bridges between Indian businesses and their African counterparts. It was a lasting partnership not only based on commercial interests but on a shared vision of mutual attitude to develop and succeed.

"Partnership growing from strength to strength with focus fully fixed on education, innovation and entrepreneurship designed to enhance growth and employment," he said.http://namnewsnetwork.org/v2/read.php?id=122514

The E.N.D

June 4th, 2010, 03:00 PM

ZIMBABWE HOPES CHINA WILL BUY ITS COTTON TO BOOST PRICES
http://namnewsnetwork.org/v2/read.php?id=122178

Motlanthe mistrusts Chinese

Jun 04 2010 11:47 Hennie Duvenhage Print this article (javascript:print();) | Email article (http://www.skyscrapercity.com/Templates/Articles/EmailArticle.aspx?cid=4444&aid=0976ba2e-c29b-444d-8f9e-8386ea6d8fdf)
Cape Town - Deputy President Kgalema Motlanthe (http://www.whoswhosa.co.za/user/5325) does not trust the assistance China is extending to Africa.

In an interview with McKinsey Quarterly, the trade journal published by the influential American organisation McKinsey & Company, Motlanthe made it clear he believed the Chinese were pursuing their own objectives, using African countries in the process.
On the eve of the World Cup soccer tournament Motlanthe said the Chinese had a long-term vision for their own economic development, while African countries with which they concluded agreements for the supply of resources often had only short-term benefits in mind.
China has helped a number of African countries by providing them with capital, he said, adding that it had not been only capital they had brought, but in most instances also the staff to do the work.
He referred to Angola which, with the help of Chinese labour and $2bn, had rehabiltated three railway lines that had been destroyed by the civil war. The job was completed within 18 months by virtue of Chinese money and labour.
If one looks at it from the perspective of the Chinese’s ability to resolve the Angolan problem speedily, that is a positive development.
The negative is that, when the project was complete, the Chinese workers did not return to their country but remained in Angola. Angolans were the losers in terms of jobs.
The original arrangement was that China would provide 70% of the workers and Angola 30%.
What the Angolans signing the contract did not know was that the Chinese worked seven days a week, and did not take Sundays off as the Angolans were accustomed to do. At the end of the first month the Angolans decided to stop working. The Chinese filled the vacant positions with more of their own people.
In response to a question as to where South Africa stood regarding public-private partnerships, Motlanthe said there were already various examples of these, and that the best-managed hospital was the Inkosi Albert Luthuli Central Hospital in KwaZulu-Natal, a partnership project.
He said there were also examples of partnerships between the state and the private sector at Correctional Services, where prisons were being jointly built and managed.
With reference to the country's electricity requirements, Motlanthe said that work was being done on the establishment of a body that would make it possible for the private sector to provide power to the grid, and that the private sector would be the place to develop new technology to improve the generation of electricity.
- Sake24.com

desert burner

June 7th, 2010, 01:01 PM

http://www.businessdailyafrica.com/Company%20Industry/KCB%20to%20launch%20mobile%20banking%20service%20in%20Rwanda/-/539550/933248/-/13pj7owz/-/index.html

hakz2007

June 8th, 2010, 07:30 AM

AfDB APPROVES GRANT TO TANZANIA/MALAWI TO FINANCE SONGWE RIVER BASIN PROJECT
DAR ES SALAAM, June 8 (NNN-AfDB) -- The African Development Bank (AfDB) approved an African Water Facility (AWF) grant of 3.549 million Euros to the Governments of Malawi and Tanzania to finance the Songwe River Basin Development Programme (SRBDP).

Tanzania and Malawi jointly engaged in a preliminary study in 2001 and 2002 to address the frequent shifting of the international border between the two countries due to random meandering of the lower part of the Songwe river.

As a result of this study, both countries submitted a funding request to the African Development Bank. After analysis, the Bank identified two key Facilities, namely the AWF and NEPAD-Infrastructure Project Preparation Facility (IPPF) as possible sources of finance to respond to the request.

The overall goal of the proposed project is to contribute to economic growth, reduced poverty, improved health, better living conditions, and enhanced food and energy security for the people in the Songwe Basin as well as economic development of the two countries.

The objectives are to assist the two countries creating a long-term strategic framework, investment plans, and enabling environment for basin-wide socio-economic development based on joint management of the shared waters.

The project also provides detailed designs and other preparations for capital investments in the order of 400 million Euros, including a multi-purpose dam, and associated hydropower schemes, irrigated agriculture, river stabilisation, flood control, fisheries development, water supply, and roads.

The total costs of the projects are estimated at 5.779 million Euros, and will be financed by contributions from the AWF (3.549 million Euros); the IPPF (1.226 million Euros), the Government of the Republic of Malawi (407,610 Euros); and 596,610 Euros from Tanzania. The project is expected to last 32 months.

The project corresponds to the focal areas of intervention of the Africa Water Vision 2025 for equitable and sustainable use of water for socio-economic development and the priorities of the African Ministerial Council on Water (AMCOW), and NEPAD on strengthened cooperative framework arrangement for transboundary water resources management, structural investments to enhance water and energy security, adaptation to climate variability risks.http://namnewsnetwork.org/v2/read.php?id=122995

chiefayic2

June 10th, 2010, 05:57 AM

Africa Needs $93 Billion to Maintain Economic Growth, AfDB Says

By Frederic Tomesco

June 9 (Bloomberg) -- Africa will need investments of at least $93 billion in power plants and roads during the next decade to sustain economic growth, said Nkosana Moyo, chief operating officer at the African Development Bank.

“If any economic activity is going to take place, clearly our infrastructure deficit must be closed,” Moyo said in an interview yesterday at the Conference of Montreal. “We need a lot of money, and the bank can only supply a part of that.”

Africa, the world’s poorest continent, is home to one-sixth of the global population. It holds about 10 percent of the earth’s oil reserves, 40 percent of its gold and 60 percent of cobalt reserves.

Shareholders of the African Development Bank last month approved the tripling of the lender’s capital base to almost $100 billion to help fund projects such as railways and ports. The bank, based in Tunisia’s capital, Tunis, more than doubled lending to $12.6 billion last year.

Lending to companies in 2010 will probably be little changed as the bank waits for shareholders to start injecting capital, Moyo said.

“We are holding our pipeline a bit flat,” he said. “It’s a timing issue. The capital increase will only kick in sometime next year, so we are bridging the period between now and when the capital comes in by suppressing a little bit.”

Founded in 1963, the bank has 53 member countries from Africa and 24 from outside the continent, including the U.S., the European Union and Japan. Nigeria, Africa’s most populous nation, has the biggest shareholding in the bank, with 8.9 percent.

Power

The bank, one of five major multilateral development lenders in the world, invests more than half of its funds on infrastructure projects, mainly in energy and transportation. The World Bank estimates that electricity capacity in Africa amounts to only 68 gigawatts for 48 countries, about the same capacity as Spain.

No other continent has more power outages than Africa, Moyo said. This, combined with deficient roads, boosts the cost of doing business in the region, he said.

“Power is a big issue,” Moyo said. “Everything else in terms of economic development needs that foundation.”

After approving power investments in South Africa and Botswana last year, the bank is considering whether to back wind-power projects in Kenya and Cape Verde, Moyo said. The lender is also continuing to evaluate a plan to build the Inga 3 hydropower plant on the Congo river -- a project that has been beset by delays.

Congo

“Inga is one of the projects we are looking at,” Moyo said. The Democratic Republic of Congo “is doing a study to see if it makes more sense to keep the project small, or go for a bigger version right away. We are still in the very early stages.”

Telecom investments such as the construction of wireless towers also fit the bank’s focus on infrastructure, Moyo said. Africa will probably have 560 million mobile-phone subscribers by the end of next year, double the 2007 total, he said, citing bank estimates.

“There is a lot of pent-up demand for telecommunications in Africa,” Moyo said. “The penetration rate is still very low, and consumers are prepared to pay for the service. This should translate into good opportunities for investors.”
http://www.bloomberg.com.au/apps/news?pid=20601116&sid=a27vj6YAsIWE

paddylo

June 14th, 2010, 12:40 AM

BHP Billiton Agrees $3 Billion Iron Ore Development With Liberia
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By Ansu Konneh

June 12 (Bloomberg) -- BHP Billiton Ltd. has signed a $3 billion dollar iron ore agreement with Liberia,

“The deal followed 18 months of negotiations with BHP and the cabinet has endorsed the deal,’’ Richard Tolbert, chairman of the National Investment Commission, told reporters in the Liberian capital, Monrovia, yesterday. “It will now be submitted to the National Legislature for ratification.”

BHP’s Chief Executive Officer for Ferrous and Coal Marcus Randolph said the company is ‘‘enthusiastic about the investment and looking forward of moving ahead with it.”

http://www.bloomberg.com/apps/news?pid=20601116&sid=aCAutlHobohk

hakz2007

June 21st, 2010, 07:19 AM

PERUVIAN EXPORTS TO AFRICA ROSE BY 274% IN FIRST FOUR MONTHS
LIMA, June. 20 (NNN-ANDINA): Peruvian exports to the African continent totaled US$ 78.6 million in the first four months of 2010, a 274 percent increase over the same period last year (US$ 21 million), the Peruvian Exporters’ Association (Adex) announced Saturday.

Between January and April, exports from the Peruvian traditional sector reached over US$ 61.5 million, accounting for 78 percent of the total, ADEX reported citing its Data Trade Intelligence System.

The figure represents a 459% increase from the same period a year earlier (US$ 11.1 million).

During the first four months of 2010, value added product exports accounted for the remaining 22 percent of the total, growing 71% to US$ 17.9 million.

Peru's main export destination was Namibia with US$ 37.6 million, followed by Algeria (US$ 14.6 million), Morocco (US$ 12.05 million), South Africa (US$ 3.78 million) and Egypt (US$ 1.9 million).

According to Adex, the main exporting company during this period was Louis Dreyfus Perú with US$ 37.64 million, followed by AYS and Consorcio Minero Cormin.http://namnewsnetwork.org/v2/read.php?id=124313

hakz2007

June 27th, 2010, 05:28 AM

AFRICA OPEN FOR BUSINESS - ZUMA
PRETORIA, June 26 (NNN-BuaNews): President Jacob Zuma has declared to world leaders that Africa is open for business.

Addressing the G20 business leaders in Toronto yesterday on the eve of the G8 and G20 Summits, Zuma said Africa can no longer be viewed only as a destination for development aid.

He said together with the developed world, there must be ways to promote stronger and more effective international partnerships for growth and development.

Zuma says African leaders do not want to create the impression that they have come cap-in-hand to ask for favours.

"We reiterate that Africa is open for business. It is open for trade and investment."

Zuma said Africa's recent economic success is "proving Afro-pessimists wrong."

Sub-Saharan Africa's growth rate is only surpassed by China and India. Zuma attributed this to good policies and regulations, business rescue programmes, job retention schemes and huge infrastructure programmes.

"There is every expectation that Africa's current pace of growth will remain at a high level, at around six percent per year," he said, also calling for fair trade.

"Our movement forward will be greatly enhanced by the speeding up of economic reforms to enable more inclusive and faster growth," he said.

He emphasised that changes in both the voting structure and leadership of the International Monetary Fund (IMF) and World Bank will be crucial in ensuring a more stable and equitable financial infrastructure.

"The developing world has an equal right to run these institutions," said Zuma.

Reform of global financial systems will be a priority issue for many G20 members; China, India, and Brazil who will join South Africa in arguing that their economic strength needs to be better reflected in the architecture of major institutions.

Leadership of the World Bank and the IMF has been dominated by Europeans and Americans, which many analysts see as a strong Western influence and an imbalanced voting structure.

With the World Cup in full swing, the president said the country will never be the same again.

He says through the successful hosting of the event, Afro-pessimists are once again proven wrong.

"More than the infrastructure that our future generations will inherit, we remain hopeful that the various skills that our people acquired since we started working on this FIFA World Cup project, will prove useful going forward."

Above the economic benefits, Zuma said there will also be a legacy of education for the African continent- through the 1Goal Education for All Campaign. http://namnewsnetwork.org/v2/read.php?id=124975

èđđeůx

June 30th, 2010, 07:13 AM

The UN Economic Commission for Africa (UNECA) has launched a fund that it hopes will help turn scientific ideas into successful enterprises.

The African Science, Technology and Innovation Endowment Fund (ASTIEF), along with the African Science to Business Challenge (ABSC) were launched at the second Science with Africa Conference last week (23-25 June) in Addis Ababa, Ethiopia.

They aim to motivate inventors and innovators and spur on the development of sustainable industries and enterprises for the continent, according to Aida Opoku-Mensah, director of the ICT, Science and Technology Division at UNECA, which organised the conference.

"The work of the fund will be to help translate scientific research and ideas into micro-entrepreneurship to spur socioeconomic growth on the continent," Opoku-Mensah told SciDev.Net.

She said that while researchers and others have many ideas, they do not know how to translate them into enterprise. Opoku-Mensah added that Africa also needs goods and services derived from applied science - a lack of funding, she said, had also impeded turning research outputs into viable commercial products.

ASTIEF, she said, will fund and support both enterprising individuals and research and development (R&D) centres, and bring their outputs to the market. It will also link up R&D centres with industry.

The fund - which will be managed by UNECA - has received US$500,000 from African organisations, particularly the private sector, Opoku-Mensah said. But she refused either to name the donors or to reveal the fund's target size.

A committee will now be formed to manage the fund and call for bids, she said. Timelines have not yet been set..................................
http://www.africagoodnews.com/innovation/fund-aims-to-turn-african-science-ideas-into-business.html

èđđeůx

July 7th, 2010, 06:12 PM

A new regional centre to help develop the renewable energy potential for West Africa opened yesterday in Cape Verde, the United Nations Industrial Development Organization (UNIDO), which is supporting the facility, said.

The Centre for Renewable Energy and Energy Efficiency (ECREEE), a specialized agency of the Economic Community of West African States (ECOWAS), is based in Praia, the capital of Cape Verde. It is supported by UNIDO and the Governments of Austria, Cape Verde and Spain.

It will help develop renewable energy and energy efficiency markets in West Africa, formulate policy, build capacity and quality assurance mechanisms, as well design financing plans. The centre will also implement demonstration projects with potential for regional scaling up.
"The current energy systems in the ECOWAS region are failing to support the growth prospects of the over 262 million inhabitants, especially the needs of the poor. The creation of ECREEE is a central milestone in efforts to accelerate the deployment of renewable energy and energy efficient technologies and services in the region," said Yoshiteru Uramoto, Deputy to UNIDO's Director-General.

"Investing in renewable energy systems and introducing energy efficient technologies will contribute to the region's economic and social development without harming the environment," he added.

It is estimated that a total of 23,000 megawatts of large and small hydroelectric potential is concentrated in five ECOWAS member States, of which only 16 per cent has been exploited.

Traditional biomass is already the main source of energy for the poor majority and accounts for 80 per cent of total energy consumed for domestic purposes. There are also considerable wind, tidal, ocean thermal and wave energy resources available. The region has vast solar energy potential.UNIDO has a number of projects in Africa where renewable energy sources like small hydro, biomass gasification, wind energy, solar thermal and photovoltaic energy are used to promote the development of small industries, particularly in rural areas, that contribute to growth and poverty reduction.

The agency has also developed an energy programme for 18 countries in West Africa, including all ECOWAS member States, funded by the Global Environment Facility. ECREEE will become the main implementing agency of the $150 million programme that will focus on the energy access agenda and energy efficiency in key sectors of the economy.

http://www.africagoodnews.com/energy/renewable-energy-centre-for-west-africa-opens-in-cape-verde.html :banana::cheers:

èđđeůx

July 7th, 2010, 06:16 PM

Africa has $1.7 trillion of potential wealth and production in areas such as agriculture, tourism and water, a study showed on Wednesday, pointing to new investment areas that stretch beyond commodities.
The study by investment research firms Africa Investor and The Africa Group said the potential represented an additional market size of $762.4 billion.

GDP in Africa, one of the fast-growing regions in the world, has been boosted by its vast natural resource wealth in recent years and new partnerships in other sectors could also lift growth.

A McKinsey Global Institute study says Africa's strong growth will continue at a rapid pace and investors and businesses cannot afford to ignore the continent's potential, which goes far beyond commodities.

"At the highest level, Africa is similar to any other private investment ... investors must take on risk to pursue an addressable market opportunity," The Africa Group said.

The study also estimated stocks of extractable oil, gas, coal and uranium to be worth between $13 trillion to $14.5 trillion.
Higher than the GDP in the US right now...I'm surprised nobody posted this a few days back!

http://www.africagoodnews.com/economy/africa-has-17-trillion-potential-wealth-study.html

abesha

July 8th, 2010, 08:44 AM

Ethiopia’s GDP growth to lead Africa by 2011 - AFDB

Thursday 8 July 2010

By Tesfa-Alem Tekle

July 7, 2010 (ADDIS ABABA) – Ethiopia’s Gross Domestic Product (GDP) is likely to grow by 10.9 percent in 2010-2011, putting the horn Africa’s nation in the lead across continent, the African Development Bank (AFDB) said.

The Bank in its 2011 report forecast indicated that, Ethiopia will be in a leading development position by 10.9 percent, followed by Angola and Uganda with expected 7.9 and 7.9 percent growth respectively.

Ethiopia is one of the fast growing non-oil economies and forerunners that achieved double digit growth in the period 3003/2004, it said.

The report said Ethiopia is expected to fulfill the Millennium Development Goals (MDGs) in 2015.

Accordingly, Ethiopia, Libya and Tunisia are listed among the leading countries to meet the target of MDGs.

It said the Ethiopia has given priority to education, health, agriculture roads for decade and has achieved impressive results.

Economic Development and NEPAD Division Director in UNECA Emmanule Nnadozie said the report is widely recognized and assesses the social and administrative progress of the continent.

The report recalled that Ethiopia ranked first in its overall GDP in 2009 by registering 9.9 percent growth followed by Congo and Malawi registered 7.6 percent and seven percent respectively.
http://www.sudantribune.com/spip.php?article35599

èđđeůx

July 9th, 2010, 08:14 PM

The government of Mozambique has announced it will build a new bridge across the Zambezi River to allow for a giant coal mining project in the interior Tete province.
The announcement was made today, following a decision during a cabinet meeting yesterday. According to the government decree, the "new Tete bridge, between the locality of Benga and the city of Tete" crossing the Zambezi River is to be funded by government and constructions to begin as soon as possible.

The new Zambezi bridge is budgeted to cost US$ 132 million. The Ministry of Public Works already has drafted a contract with the Brazilian-Portuguese consortium Estradas do Zambeze to oversee constructions, which are scheduled to start later this month.
Works are to be finished no later than January 2014, the contract, which is to be signed next week, states.

A new bridge over the Zambezi is utterly needed to develop the poor but highly potential inland province of Tete, squeezed between Malawi and Zimbabwe. The current bridge is in a very poor state, allowing for only one larger vehicle to cross at the time.

Mozambican authorities have great plans for the Tete province. For decades, it has been known that it holds one of the world's greatest untapped coal reservoirs. But while coal mining earlier was impossible due to unrest, it is now hindered by the lack of adequate infrastructure to transport the heavy and voluminous resource to the coast for exports.

Several international mining companies already have announced their interest in the Tete coal reservoirs, some having secured mining rights as soon as the infrastructure has improved. Mapped coal resources amount to 2.4 billion tonnes.
As part of the new bridge construction, also access roads will be strongly improved, the Ministry of Public Works has announced. This would assure the development of Tete province and its natural resources, government holds.

Also, the new bridge and access roads would improve landlocked Malawi's and Zimbabwe's access to export ports at the Mozambican coast. The new road would also go around Tete city, removing yet another traffic bottleneck.But Mozambican authorities do not want to count on the new road alone for its expected boom in coal exports. Already, the railway is being upgraded to allow for coal transports and the Transport Ministry is considering ways of navigating around the many rapids and waterfalls on Zambezi River - the most cost-efficient way to transport large volumes of coal to the coast.

The new Zambezi bridge and Tete highway are part of a large infrastructure modernisation scheme in the vast country. Also, the road connection to northern Mozambique is now quickly improved to allow for tourism and other development in this remote area.
http://www.afrol.com/articles/36471

èđđeůx

July 9th, 2010, 08:20 PM

Ethiopia’s GDP growth to lead Africa by 2011 - AFDB

Thursday 8 July 2010

http://www.sudantribune.com/spip.php?article35599

wow they're even going to outgrow Angola. :cheers:

èđđeůx

July 9th, 2010, 08:27 PM

The fall of the Iron Curtain cost Africa much in terms of reduced investments and development aid, which in the 1990s was redirected to Eastern Europe. But now, following EU demands and increased wealth, country after country in the region is setting up development cooperation agencies focusing on Africa, with booming budgets.

But in the longer run, Eastern Europe's growth and EU membership is set to pay off for African countries. Indeed, among the demands made by the EU to applying countries were their definition of an international development aid policy, plans to set up development aid agencies and adopting the long-term goal of spending at least 0.39 percent of GDP in development aid.

Angola has been Poland's only African "partner country" for several years, but since 2004, PolishAid has also given assistance through its Small Grants Fund for the African continent. Still, in 2005 only 2 percent - or US$ 1 million - of PolishAid's bilateral aid went to Africa. More than half went to Europe's poorest countries. But the Warsaw government plans to change this as development aid is to more than triple by 2015, as percentage of GDP. Tanzania is already set to become Poland's next African "partner country".

At the moment, development aid for African countries is still very modest from the EU's new members. But the tide is just about to turn as most countries will have to double their aid by 2010, and then again triple it by 2015. In this process, the most advanced eastern donors have already shown, new relations with Africa have to be made. And African governments could start finding key partners in Eastern Europe right now, as the window is wide open. http://www.afrol.com/features/25604

It's sort of a long article so I just posted what I thought was the main points.

èđđeůx

July 13th, 2010, 01:06 AM

SIEMENS is to spend €200m in Africa in the next two years and plans to double to 10% its share of the market in the regions it serves, estimated to be worth almost €30bn a year by 2012.

The president and CEO of Siemens, Peter Loscher, said on Friday that the investment would focus mainly on expanding its business and sales structures in Africa, where the group was eyeing business in health, renewable energy and infrastructure development.

About R1bn of the total planned investment would be spent in southern Africa, according to the CEO of Siemens Southern Africa, Stuart Clarkson. His unit plans to use SA as a launch pad for winning orders for renewable energy projects across the continent.
"Africa offers Siemens vast opportunities for growth," Mr Loscher said. "As a green infrastructure pioneer, we are a natural partner for mastering the continent's major challenges. Renewable energies, in particular, have huge potential in Africa." Mr Loscher was in SA to celebrate 150 years of doing business here.

Siemens joins the small but growing list of global companies already doing business with Africa that want to consolidate their market share as part of a strategy to become major players in emerging markets.

But cash-rich Chinese and Indian companies have been more aggressive of late, stealing a march on their European competitors, who have been focusing on recovering from the devastation in home markets caused by last year's recession.Mr Loscher said Siemens wanted to grow its presence in Africa and had already clustered its individual African companies into five sales regions and had changed the setup of its business in oil-rich Angola.
Siemens last year announced plans to more than triple new orders in Africa to €3bn by the end of this year, from orders of almost €1bn that the group won last year.

"In fiscal 2012 the African market served by Siemens will have a total volume of a little less than €30bn a year and the company expects to have doubled its share of this market to 10%," Mr Loscher said.
http://allafrica.com/stories/201007120943.html

èđđeůx

July 13th, 2010, 01:16 AM

Rwanda is moving to establish four industrial parks in all four provinces.

The Acting Coordinator of Industry Development Unit in the Ministry of Trade and Industry Ms. Annonceé Kuradusenge says the move is aimed at adding value to local products and massive job creation.
She says the target is to have competitive products locally, regionally and internationally. Each province has identified one district in which the industrial zone will be built, according to the tender document.
Karongi District has been selected to pilot the industrial zone of the Western Province.
Huye District will host the industrial zone of the Southern Province while Kayonza District will host that in Eastern Province.

In the Northern Province, the industrial zone will be built in Rulindo District, said to be the largest producer of fruits in the country. Each district will provide 50 hectares of land on which the park will be built.
Ms. Kuradusenge said construction of the first pilot industrial zone is likely to start in February 2011. She said a research conducted in 2008 showed that Rwanda had 68 large industries and more than 2, 900 small and medium industries.
Agro-processing was leading with many players.

Currently a modern industrial park is underway in Kigali.

Most industries are currently operating in an area the environmental authority says is a wetland and industries should evacuate it.

Rwanda, along with Uganda, Kenya, Tanzania and Burundi entered into a common market liberalising movement of capital, goods, labour and services effective July 1.

With this highly competitive market, the battle will shift from product to quality and Rwanda with such a small industry sector with low quality products, more efforts are needed to stay alive in the market.

However, the country has taken steps to ease doing business ans could become the region's most attractive destination. Rwanda has for the last two consecutive years been voted the region's top reformer.
http://allafrica.com/stories/201007121187.html

èđđeůx

July 13th, 2010, 09:13 PM

40 fast-growing African companies highlight the continent's economic awakening, according to a recent report by the Boston Consulting Group (BCG).

Titled the 'African challengers' the report says the 40 African companies range in size from $350- million to $80-billion in annual sales and represent most of the major industry sectors. They all display strong growth, an international footprint, and ambitious plans to further expand overseas.

Most of the companies are based in South Africa (with 18 companies), Egypt (with 7), and Morocco (with 6). The nine remaining firms are based in Algeria, Angola, Nigeria, Togo, and Tunisia. These eight countries represent 70% of Africa's Gross Domestic Product (GDP).
International expansion has helped the African companies grow more swiftly than established players in developed markets. They are also more profitable, with an average operating margin of 20%.

'The African economy is much more vibrant and entrepreneurial than most casual observers understand,' says Patrick Dupoux, a partner and managing director in BCG's Casablanca office.

Keys to success

The African challengers share some characteristics that have allowed them to prosper:

1. They benefit from doing business in a place with many native advantages such as natural resources, cheap labour and fast growing consumer markets.

2. They enjoy a beneficial business environment that includes market de-regulation, national economic-development policies and rising commodity prices.

3. They recognise that a challenging economic environment is an opportunity to be creative and expand globally.

'Few people recognize that a new breed of African companies is poised to make a big splash on the global stage. These companies are following the same path as the global challengers from the BRIC nations,' says Dupoux.

Some Western companies have used their relationship with African companies to gain a better understanding of the African consumers and markets as French conglomerate Vivendi has done. French cement maker Larfarge acquired Egypt's Orascom Construction Industries in order to gain access to the Middle East and North Africa region.
BCG notes that some of these companies are, or will become major competitors against foreign companies, as displayed by South Africa's mobile operator MTN and paper maker Sappi.

South African companies expanding into Africa

South African companies have increasingly expanded operations into the rest of Africa. Some recent activity undertaken by South African firms include:

Zimbabwe:

Engineering company TWP will build a gold plant at Pickstone. The plant will treat 20,000 tonnes of gold dump material per month.

Specialist investment manager Investec has bought a 7.47 % stake in OK Zimbabwe after underwriting the retail group's $15-million rights issue and providing a convertible loan of $5-million.

Uganda:
Beverage maker SABMiller acquired water business Rwenzori Beverages Ltd, Uganda's leading bottled mineral water producer for $18-million, according to local newspaper New Vision. Rwenzori owns 70% of Uganda's bottled water market and exports to the DRC, Sudan and Rwanda.

Tanzania:

A division of Law firm Deneys Reitz, Africa Legal, is now operating in Tanzania. Africa Legal established a joint venture with Tanzanian commercial law firm CRB Attorneys and will focus on the East African region.

Kenya:

ICT firm Altech increased its stake in Kenya Data Networks (KDN) to 60.8% by investing $39.5-million. The investment will be used to roll-out KDN's fibre optic network in the country for the provision of broadband services. The company is also building a US$10m data centre in Kenya, which will be operational in September 2010.

Lesotho:

Ster-Kinekor Theatres opened a new cinema complex in Maseru. The company also operates in Namibia, Zimbabwe and Zambia.

Mozambique:

MCC Contracts, a subsidiary of Eqstra Holdings, has signed an open pit mining agreement with Australian coal-miner Riversdale Mining to mine at Benga coal mine in Mozambique in the first stage of development. The investment is worth $250 million.
http://allafrica.com/stories/201007130767.html

èđđeůx

July 19th, 2010, 08:46 PM

Techobanine — The governments of Mozambique and Botswana signed a memorandum of understanding on Friday to develop a deep water port at Techobanine point, in Mozambique's southernmost district of Matutuine.Besides building a port that can receive bulk mineral ships, oil tankers and passenger vessels, the project also involves a new 1,100 kilometre railway linking Techobanine to Botswana, and passing through Zimbabwe.
The document was signed, in Techobanine itself, by Mozambican Transport Minister Paulo Zucula, and his Botswanan counterpart, Frank Ramsden.

Speaking during the presentation of the project , Adelino Mesquita, the Chief Executive Officer of Mozambique's port and rail company, CFM, said that the budget for studies and for the construction of the port and railway is estimated at around seven billion US dollars.

The preparatory phase, including the mobilisation of finance, should be completed by the end of 2011, and the first phase of construction will take place between 2012 and 2015.
Mozambican Transport Minister Paulo Zucula told the ceremony that the memorandum of understanding marks the rebirth of a dream for a deep water port in Matutuine that dates from the 1960s. The original site indicated for such a port was Dobela Point, but it has been shifted to Techobanine largely for environmental reasons.

"This memorandum of understanding has been long awaited, given its importance in relaunching the foundations for a common strategic vision for the Techobanine Point project, in order to meet the challenges of the transport sector and the expansion of the regional market", said Zucula..

For his part, Ramsden declared that the memorandum marks an important stage in strengthening the relations of cooperation between the two countries.

"As a country of the hinterland, Botswana needs exits to the sea in neighbouring countries, to facilitate its imports and exports", he said. "With this port we shall encourage trade and tourism between our peoples".

Botswana believes a new port and railway will dramatically reduce the time taken to move its imports and exports. According to Taolo Sebonego, the chairperson of the Botswana rail company, with the country's current dependence on South African ports, it takes up to 22 days for merchandise to arrive, be unloaded and reach its destination.

He expected the new port and railway to reduce this period to an average of just six days.

The Executive Secretary of the Southern African Development Community (SADC), Tomas Salomao, stressed that SADC will give its full support "because we believe this project is important for the region". SADC would also encourage other member states, Such as South Africa (which is just 30 kilometres from Techbanine) and Swaziland, to participate in the initiative.
The Mozambican and Botswanan governments believe that private finance will be forthcoming, since the port and railway can be leased out to private management.
But when AIM asked Zucula what would happen if the private sector failed to provide the money, he replied "if there is no interest from private business, then there will be no problem in arranging public investment, because the project justifies this".

The main cargo expected to use the new port is coal from Botswana. The country has an estimated 212 billion tonnes of coal reserves. Using Techobanine would free Botswana from dependence on the South African ports of Durban and Richard Bay which, apart from congestion problems, give priority to South African exports.
http://allafrica.com/stories/201007191851.html
This port and railway system would definitely benefit both Botswana and Mozambique. SA and Swaziland participating in the construction of the railway could make it the first plans for a future, larger rail transport system running through SADC region.

èđđeůx

July 25th, 2010, 07:58 AM

The Government of Liberia and the Federal Republic of Nigeria have committed themselves to what appears to be rewarding contracts through which their two oil companies, the Liberia Petroleum Refinery Company (LPRC) and the Nigeria National Petroleum Corporation (NNPC) will collaborate effectively and meaningfully.
During the signing ceremonies which took place in the Federal Republic of Nigeria, the Liberian government was represented by Justice Minister, Cllr. Christina Tah and LPRC’s Managing Director T. Nelson Williams.

By the scope of the “purchase and sale contract” signed and entered into by the two nations, the LPRC is being provided the opportunity now to allocate 20,000 barrels per day of Nigeria cruel oil from the NNPC.
The news of the signing of the mouthwatering contract was revealed yesterday at a news conference attended by members of the LPRC Board in persons of Prof. Wilson Tarpeh as chairman, Cllr. David A.B. Jallah, Samuel P. Jackson, William Smith as well as Justice Minister Cllr. Christina Tah.

The contract which is expected to last for a period of twelve calendar months, according to the management of the LPRC, is also renewable for an additional period of twelve calendar months upon negotiations between the LPRC and NNPC.
The contract brings with it huge revenue benefits to the Liberian government which in return will be used for other construction projects.“This manifestation of assistance will enable the government of Liberia to accrue about US$120,000 per month, an amount that will be used for national reconstruction projects,” a prepared statement read by the Managing Director Williams revealed.

Most importantly, owing to the fact that the LPRC does not have refinery facilities, it has signed what it calls “Management Service Contract (MSC)” on the same day it signed the contract with Nigerian Government with the Sahara Energy Resource, Ltd.As for the terms of reference agreed between the MSC and the Sahara Energy Resource Ltd, the company will have oversight in the managing the operations, logistics and arrangements for lifting the oil, including programming, loading, transportation and trading of the cruel oil.
Sahara is an international oil trading company conducting business in several countries around the world. Sahara is currently involved in similar arrangements in several West African nations.

According to the LPRC, Sahara shall be responsible to provide a monthly report to the LPRC on allocation from the NNPC.

The process that following awarding Sahara the contract, the LPRC said, met all of the requirements.

MD Williams said four companies bided for the contract out of which Sahara was declared winner based on its rich credentials, as confirmed by authorities of other countries in which the company has assets.

At the same time, while responding to inquiries as to whether the new contract is an extension of the one signed by his predecessor, the LPRC boss said the contract in question, so far, is independent, and has nothing to do with the controversial contract Mr. Harry Greaves, former Managing Director signed two years ago.

Relishing the contract as major breakthrough, the LPRC management said the signing is a goodwill of the government of Nigeria, as Liberia or the LPRC will not pay a dime, whatsoever, for the lifting of the oil.

At the same time, the LPRC management said efforts are underway to embark on it robust rehabilitation work in order to return the entity to its pre-war status.
http://allafrica.com/stories/201007220236.html

GeeOhDee

July 25th, 2010, 08:51 AM

Long live nigeria!

hakz2007

July 26th, 2010, 07:44 AM

Africa's economy on recovery trend after global economic crisis: AU official
KAMPALA, July 26 (PNA/Xinhua) -- Africa's economy is on a recovery trend after the devastating effects of the global financial crisis, a top official of the African Union (AU) Commission said on Sunday.

Jean Ping, chairperson of the AU Commission while speaking at the opening of the 15th AU summit here, said that last year production increased by 1.6 percent and it is expected to grow at an average of 4.7 percent this year.

"It has been announced that next year 13 African countries would experience growth rates ranging between 6 and 11 percent," he said, noting that countries like Uganda are likely to achieve an average of 7.9 percent while Ethiopia will achieve nearly 11 percent growth.

According to experts, during the downturn which mostly affected developed economies, Africa faced secondary effects like reduction in export earnings, aid inflow and remittances from abroad.

Jean Ping said there is need to consolidate the growth by increasing infrastructure investment to help stimulate production capacity, reducing bottlenecks in supplies and promoting intra-African trade.

He said the Commission with the help of the African Development Bank has already mobilized 7.8 million Euros to provide the AU with a continental vision of infrastructure development by 2030.

According to experts the poor transport and the inadequate energy infrastructure are some of the major bottlenecks to Africa' s potential economic growth.http://www.pna.gov.ph/index.php?idn=3&sid=&nid=3&rid=290054

egypt69

August 5th, 2010, 03:35 AM

Egypt signs free trade deal to increase exports to Latin American markets

Egypt and Mercosur signed on August 3rd 2010 a free trade agreement. The deal provides preferential advantages for Egyptian exports to help them find their way to Latin American markets.

Under the agreement, the cost of some Egyptian imports will be decreased. Egyptian Minister of Trade and Industry Rasheed Mohamed Rasheed signed the deal in Argentina.

Rasheed said that the deal will be a bridge of communication between the Middle East and Africa on the one hand and Latin America on the other.

The agreement will open up vistas of economic cooperation between the two continents, said Rasheed.

In a word, he expected that the volume of trade exchange between Egypt and Mercosur countries will be doubled from the current 2.7 billion dollars.

Rasheed said Egypt looks forward to activating cooperation with Mercosur in all other economic fields as industry, technology and tourism.

This agreement will open new promising markets for Egypt’s exports and would enable Egypt to acquire its needs of foodstuffs, Rasheed added.
(SIS)

http://www.english.globalarabnetwork.com/201008046793/Economics/egypt-sign-free-trade-deal-to-increase-exports-to-latin-american-markets.html

Egypt sees trade with South America tripling

By Eduardo Garcia
BUENOS AIRES (Reuters) - Egypt could triple its trade with South American trade bloc Mercosur over the next few years as it pushes to secure food supplies, its trade minister said on Tuesday.

Egypt signed a free trade agreement on Monday with Mercosur, which groups agricultural exporters Argentina, Brazil, Uruguay and Paraguay.

"We have $2.5 billion of trade between Egypt and the Mercosur. With the free trade agreement we can double, or triple that number easily in the next few years," Rachid Mohamed Rachid said in an interview.

Egypt imported $1 billion of Argentine goods in 2008, including soy beans, soy oil, corn and beef and sold goods worth $111 million to Argentina.

"Our population today is 80 million; we'll go to 100 million in the next decade, so our consumption of food will increase and this is one of the reasons why we're here because we want to partner and secure our source of food for the future," Rachid said.

As a country that would like to secure at least 5 million tonnes of wheat a year, it is in Egypt's interest to have a diversified base of supply, he added.

Egypt's exports to Brazil, the largest economy in Latin America, totaled $218 million in 2008. Its imports, which include meat, sugar and aircraft, came to $1.4 billion, according to Egyptian Trade Ministry data.

Rachid said the deal is likely to boost Egyptian investment in South America and vice versa and could prompt other Arab countries to expand their trade with the region.

"It's a very important new event, new link, new chapter in the relation between the Middle East and Latin American countries ... I'm sure other (countries) will follow," he said.

Rachid said Egypt also expects to start negotiations for a free trade agreement with Russia, a big supplier of grains to the country, in the next six months and with South Africa before the end of the year.

"We're trying to expand our providers... and at the same time balance the risk of the existing markets," he said.

Asked about plans to grant eight new cement licenses to boost output, Rachid said Egypt will issue the permits before the end of the year. But he added the government may not be able to supply energy to firms that obtain them.

Egypt aims to increase cement output by 40 percent to 80 million tonnes by 2015 to meet growing local demand.

"It can be part of the conditions that we will not be able to supply energy ... which will mean that the companies will have to make their own deals, either with foreign companies operating in Egypt or importers," he said.

http://af.reuters.com/article/investingNews/idAFJOE67301320100804

ufookoro

August 6th, 2010, 07:51 PM

South Africa: Absa Takes Measured Step Into Nigeria
Sure Kamhunga 6 August 2010
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Johannesburg — ABSA is opening a representative office in Nigeria in a move CEO Maria Ramos says is not a late entry into Africa's most populous nation. Rather, she says, it is a calculated strategy not to blindly follow rivals, some of whom have registered to buy distressed banks rescued from collapse by the Nigerian central bank.

Local rivals FirstRand and Nedbank have already publicly confirmed they would be keen to consider investing in some of the banks.

Ms Ramos says while Nigeria was a potentially lucrative market, Absa would not rush to invest for the sake of "raising our flag".

It had received regulatory approval to open an office in the country, giving it a foothold in what is potentially going to be the next major growth market - together with Angola - for investors. "We are expanding in a measured approach taking into account that each country is different (and) has different dynamics, and will need different products and investments," she says.

"We got a licence to open there a month ago and we should be up and running in the next few months. We will continue to look for appropriate opportunities that are able to provide value and that meet the objectives of the organisation," Ms Ramos says.

"We did not register for the distressed bank process; not that we forgot, but (because) we took a long and hard look at it and we did not think it was the only option (to enter Nigeria). There are other opportunities under consideration," she says, without elaborating.

Analysts say Nigeria can be a harsh test for a greenfield entrepreneur. The best option would be to partner with locals, they say.

Nedbank plans to leverage its strategic alliance with Ecobank to invest in the country - that is if the lender finds the right asset - according to CEO Mike Brown.

Bank CEO Michael Jordaan last month said the lender was considering its options in Nigeria. Ms Ramos says Absa is already a major player in Africa, particularly when one considers its partnership with its UK-based parent, Barclays, which operates in several countries on the continent.

"Between Absa and Barclays, we are pretty much in many countries, even though in some markets it's only Barclays represented. As Absa, we are currently in Mozambique and Tanzania (where we hope to launch an initial public offering in the first quarter of next year ) and we work together in Botswana," she says.

"Ultimately, Angola will come in the picture at some point when the time is right (and) when the business opportunity is good."

Absa was already a major player in investment banking in Africa through Absa Capital.

Ms Ramos says she now has a full executive team to drive her strategy of growing the business in SA and beyond.

"The exco (executive committee) is now in place and there are no vacancies. More importantly, we share a common vision and commitment."

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The group's strategic focus would include growing retail and commercial deposits, strengthening risk management, further expanding into the entry-level banking segment and growing revenues from Africa.

Absa deputy CEO Louis von Zeuner says the group is taking a conservative approach towards impairments in the second half of the year, as clients are still under stress. "They are showing early signs of improvement, but we are being conservative," he says.

Absa would continue to invest particularly in IT to further improve efficiencies, he says. "We will spend R8bn over five years and will cover among other things the infrastructure to support the growth areas we have identified.

hakz2007

August 22nd, 2010, 08:09 AM

AFRICAN CENTRAL BANKS AGREE TO COOPERATED, EXCHANGE EXPERIENCES
DAKAR, Aug. 22 (NNN-APS): African central banks have agreed to strengthen cooperation in monetary and financial fields and to exchange experiences, following the annual meetings of the Association of African Central Banks (ABCA) closed here Friday.

According to the new president of the ABCA, Philipe-Henrie Dacoury-Tabley, speaking at a press conference, African financial institutions have realized that they had "much to take from each" which necessitated to "strengthen the multilateral cooperation."

Dacoury-Tabley who is also governor of the Central Bank of the States of West Africa (BCEAO) has argued that the existence of such a cooperation would enable Africans to "meet the challenges they are facing."http://www.namnewsnetwork.org/v2/read.php?id=130943

egypt69

August 30th, 2010, 02:18 AM

Restructuring of Rift Valley Railways International complete

http://www.bi-me.com/myPictures/Citadel_Capital_logo_180.jpg

EGYPT. Citadel Capital, the leading private equity firm in Africa and the Middle East with US$8.3 billion in investments under control, confirmed today that its shareholding in Rift Valley Railways International, the entity that owns 100% of each of the Kenya and Uganda concession companies, has risen to 51% through its subsidiary Ambience Ventures Ltd as it completed the restructuring first announced in March 2010.

The development gives Citadel Capital management control of RVRI, which has a 21-year concession to operate a century-old rail line with some 2,352 kilometers of track linking the Indian Ocean port of Mombasa in Kenya and through Kenya and Uganda, including the capital city of Kampala.

RVRI’s other shareholders include Trans-Century Limited, a Kenya-based investment company (whose shareholding rose to 34% today from 20% pre-transaction), and Bomi Holdings Ltd a Ugandan private investor (holding 15%).

“We look forward to working with our partners to build the reliable, efficient and safe national rail system Kenyans and Ugandans truly deserve,” said Karim Sadek, Managing Director at Citadel Capital, the leading private equity firm in the Middle East and Africa with US$ 8.3 billion in investments under control in 15 industries spanning 14 countries.

“Citadel Capital and its partners in RVRI are grateful for the support not just of the governments of Kenya and Uganda, but also of the RVRI lenders, clients, suppliers and above all its dedicated management and staff.”

Citadel Capital and the other RVRI shareholders are now finalizing a sustainable business and investment plan that includes a US$287 million capital expenditure program to rehabilitee infrastructure and rolling stock. The firm will also work to strengthen RVRI’s management team and is in advanced stages of negotiation with a leading global rail consultant to bring in international best practices.

Rift Valley Railways International will also continue discussions with the governments of Kenya and Uganda on the revitalization of the concession.

Across its core African footprint, Citadel Capital sees transport costs being a major impediment to economic growth: High costs and systemic inefficiency greatly reduce the competitiveness of African businesses, as East African Community reports clearly underline.

Transport prices in East Africa are among the highest in the world, studies find, with transport to Uganda from Kenya presently costing more than US$0.13 per ton/kilometer (the standard industry metric) due in large part to heavy reliance on trucking. A lack of operating capacity has resulted in rail capturing less than 10% of East Africa’s transport market.

“An efficient rail network could, in time, bring East African transport costs down by as much as 35% due to the operational and fuel efficiency of shipping by rail,” added Citadel Capital Managing Director Amr El-Barbary. “RVRI today hauls just over 1 million tons per annum out of an existing market of 16 million tons being handled in Mombasa Port. The goal is to see that figure grow to 5 million tons per year by 2015.”

http://www.bi-me.com/main.php?id=48086&t=1&c=15&cg=3&mset=1031

ufookoro

August 30th, 2010, 04:01 PM

Abuja — The World Bank weekend met with President Goodluck Jonathan and presented the report of a recent research on the state of the Nigerian economy and gave the country a clean bill of health over its credit status.

A highly elated Jonathan has assured the bank and other key players in the financial sector that the board of Asset Management Corporation of Nigeria (AMCON) will be constituted today, as provided for in the Act setting it up which he assented to recently.

In the report, which was presented at presidential meeting with stakeholders, the global apex financial institution certified Nigeria as a non-credit crunch economy.

Mr Isma'il Rodwan of the World Bank Nigeria Country Mission, told Jonathan that the research the bank conducted on the Nigerian financial sector revealed that contrary to perception in certain quarters, there is no evidence of credit crunch in the Nigerian economy.

The World Bank declared that the research has shown that Nigerian banks before the intervention of the Central Bank of Nigeria (CBN) were not lending significantly to the economy, but instead lending was concentrated on margin loans to the capital market and oil and gas.

According to the World Bank, there is gradual credit growth in the economy but for understandable reasons, margin lending has declined after the crisis in the banking sector which led to the intervention of the CBN.

The bank, in the presentation, applauded the reforms of the banking sector by the CBN, saying that the reforms were necessary and timely.

The public finance expert identified the growing fiscal deficit as the major risk facing the Nigerian economy at this time and not credit crunch.

This he attributed to increasing government expenditure, while oil income inflows have been decreasing and increasing level of borrowing by the Federal Government both internally and externally.

He observed that the development, if not checkmated, has the potentials to crowd out the private sector from obtaining credit from banks.

In his comments, Jonathan said, even though some of the outcomes of the reforms are painful, "we have a better opportunity to put the economy, real sector, financial and capital markets on a structurally sounder footing through a well coordinated" reforms and commended the actions of the CBN as timely.

The president said the board of AMCON will be constituted on Monday (today) and explained that the Ministry of Finance and the CBN have performed their role in the process of constituting the Board of AMCON.

The initial delay, according to Jonathan, was caused by the need for due diligence on some of the nominees in view of the importance of AMCON in the resolution of the challenges facing the financial sector.

Also present at the meeting were the minister of finance, Dr. Olusegun Aganga, minister of national planning, Dr. Shamsudeen Usman, minister of petroleum resources, Mrs Deziani Allison-Maduekwe and governor of the CBN, Malam Sanusi Lamido Sanusi represented by deputy governor, financial system stability, Dr. Kingsley Moghalu.

Others are the director general of the Securities and Exchange Commission (SEC) and representatives of other players in the financial sector as well as selected members of the Organised Private Sector (OPS) and captains of industries.

In his contribution, the managing director of First Bank of Nigeria, Mr. Bisi Onasanya commended the CBN reforms and confirmed that the reforms were necessary and have the effect of repositioning the banking system.

The repositioning, according to him, has serve as an effective intermediary to the real sector, adding that the banks had learnt their lessons.

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He added that "agric business must be made profitable in order for banks to lend to them and that the businesses need to be de-risked".

The CBN intervention funds for the Nigerian Small and Medium Enterprises (SMEs), Power/Aviation; Agric etc were commended by the World Bank and other participants at the dialogue.

However, the World Bank believes that the 80 per cent risk guarantee given by the CBN for the funding of SMEs was "too generous" and recommended a 50-50 split of risk sharing between the CBN and commercial banks.

The president of the National Association of Small and Medium Scale Enterprises (NASME) Dr. Godwin Abugu in his presentation to President Jonathan commended the CBN credit guarantee scheme to the SMEs.

The NASME boss confirmed that he endorsed the 80 per cent risk sharing taken by the CBN, but noted that 95 per cent of members of the Association have no access to credit with banks.

hakz2007

October 1st, 2010, 01:22 PM

PLANS TO BOOST AFRICA'S ENERGY PRODUCTION
TUNIS, Sept 29 (NNN-AFROLNEWS) -- Africa could experience a major boost in its renewable energy generation capacity in the next 10 years if a recent energy deal with Europe is fully implemented. More than 15,000 MW are planned.

According to a joint energy plan reached at the recent 1st High Level meeting of the Africa-EU Energy Partnership (AEEP), the two continents agreed to build 10,000 megawatts (MW) of new hydropower plants in Africa by 2020.

This is in addition to at least 5,000 MW of wind energy and 500 MW of all forms of solar power capacity expected to be commissioned in the same period.

If achieved, the plan would bring access to modern and sustainable energy services to at least an additional 100 million people in Africa. The continent has a target to reach an additional 250 million people by 2020. The EU-African initiative would therefore benefit at least 40 percent of the continent's target.

"Africa and the EU will take joint action to increase both energy efficiency and use of renewable energy in Africa by building 10,000 MW of new hydropower facilities taking into consideration social and environmental standards," AEEP said in a statement.

AEEP said plans are also underway to triple "the capacity of other renewables such as geothermal and modern biomass" in Africa.

This will be part of the Africa-EU Renewable Energy Cooperation Programme launched at the meeting. The programme aims among other things to encourage the uptake of renewable energy. Africa is vast with renewable energy sources, which if fully harnessed have the capacity to address all the energy needs in the continent.

The African Development Bank (AfDB) notes that sub-Saharan Africa has the potential to provide more than 170 gigawatts (GW) of additional power-generation capacity – more than double the sub-region's current installation – through 3,200 "low-carbon" energy projects such as solar and wind.

Low-carbon energy projects that produce less pollutant are fast emerging as the most lucrative source of financing under the Clean Development Mechanism (CDM).

The CDM allows a country with an emission-reduction or emission-limitation commitment under the Kyoto Protocol to implement emission reduction projects in developing countries. It also enables developing countries to increase energy access while limiting greenhouse gas emissions through harnessing clean energy sources.

However, available data show that Africa has benefited the least among all continents from the US$ 7 billion annual CDM market, with only about 71 of the 2,156 projects having been registered in Africa.

The signing of the energy deal between Africa and the EU is thus expected to see more CDM projects being exploited in the continent.

AEEP also said joint efforts to improve energy security would be undertaken to ensure sustainable development in both continents. "We will double the capacity of cross border electricity interconnections, both within Africa and between Africa and Europe, thus increasing trade in electricity while ensuring adequate levels of generation capacity."

AEEP said it would also double "the use of natural gas in Africa as well as double African gas exports to Europe, by building gas infrastructure."

The Africa–EU partnership added that the energy targets set at the meeting would be reviewed and updated periodically in light of the new political developments and joint agreements between the two continents. "The AEEP roadmap is endorsed as a living document for implementation of the AEEP," the joint statement said.

Africa and Europe launched AEEP after the Europe-Africa Summit of Heads of state and government held in Portugal in December 2007. AEEP is already said to have played a notable role in strengthening cooperation between Africa and the EU in the energy sector.

Such cooperation includes increased financial support through the European Development Fund and the EU Energy Initiative Partnership Dialogue Facility to support African countries to improve the business climate for energy investment.

The first high level AEEP meeting was held in Vienna, Austria, on 14-15 September. AEEP is one of the eight strategic partnerships launched by Africa and the EU to boost mutual cooperation between the two continents.

Other partnerships focus on climate change, peace and security, infrastructure, Millennium Development Goals (MDGs) and regional trade and integration.

Policy makers from the commissions of the AU and EU, ministers responsible for energy, representatives of regional economic communities as well as business and civil society representatives took part in the meeting.http://namnewsnetwork.org/v2/read.php?id=134730

èđđeůx

October 3rd, 2010, 07:37 PM

^^ I'm suspicious of this :sly:

tanzan

October 5th, 2010, 07:12 AM

Dar es Salaam excels in good governance

TANZANIA has performed exceptionally well in the 2010 Ibrahim Index of African Governance, leading the EAC member states to clinch position 15 out of 53 African countries, with a score of 54.13.

The 2010 Ibrahim Index was launched on Monday by the Mo Ibrahim Foundation in four cities of Accra, Ghana; Dakar, Senegal; Johannesburg, South Africa and Nairobi, Kenya, a press statement issued to ‘Daily News’ indicated.

Tanzania scored higher than the regional average for East Africa which is 45 and the continental average of 49 in the overall score.

Commenting on the scores, the Minister of State, President’s Office (Good Governance), Ms Sophia Simba, said Tanzania deserves the position given the government’s efforts to improve good governance in all sectors.

The minister said the government had taken corruption suspects to task, through changes made in the anti-corruption law, and provided a wider opportunity of cooperation between the public and the private sector, through the Public Private Partnership Act.

“In essence, the government has done a tremendous job that deserves commendation and the Mo Ibrahim Index has done just that,” the minister told this newspaper over the phone.

On Gender, where the country scored extremely well, the minister attributed this to government’s empowerment of women from the grassroots to the national level. Programmes implemented by government to address gender had borne fruit and today there are more women at decision making levels.

Citing women MPs, Ms Simba noted that the number of women in Parliament had increased from 30 per cent to 40 per cent.

“The government has encouraged and empowered more women running for parliament to do so in the constituencies, instead of waiting for the special seats. This has never happened before,” she said.

The minister was, however, doubtful on the education score, a sub category which rated Tanzania as the lowest, noting that the country had built more primary and secondary schools and increased school enrolment.

Tanzania’s excellent performance enabled it to score higher marks than its five East African member states. Uganda ranked 24 with 51.33 scores, Kenya’s position was 27 with 49.68 scores, Rwanda 31 with 47.92 scores and Burundi at 32 with 45.77 scores.

The Mo Ibrahim Index also ranked Tanzania second among 12 Eastern Africa countries. At the sub-category level, Tanzania was ranked among the top ten in Gender, with a score of 67 above African average score of 52.

She emerged lowest in Education at position 47th with a score of 34 against the Africa average score of 47. In the Private Sector participation, the country was ranked 10th with a score of 67 above African average of 47, while in National Security the country scored 93 against the Africa average of 81 making it the 13th.

On Accountability and Corruption, the country scored 48 above African average score of 43, taking 17th position.

Mauritius leads the 53 Africa countries with a score of 81.78, followed by Seychelles with a score of 74.5, Botswana was third with 74.21, Cape Verde was fourth with a score of 73.83 and South Africa fifth with a score of 70.21.

Somalia was the worst performing country in all categories at position 53 with a score of 7.86. According to the statement, East Africa was the fourth-highest ranked region in the 2010 Ibrahim Index out of five regions in Safety and Rule of Law and Sustainable Economic Opportunity.

The region was ranked third out of the five regions in Participation and Human Rights and Human Development. It was, however, ranked as lowest in the National Security and Public Management categories while taking second position in Gender sub-category.

Overall governance quality remains largely unchanged from previous years. Angola, Liberia and Togo have noted a significant improvement in governance performance scores.

The Ibrahim Index is Africa’s leading assessment of governance, established to inform and empower the continent’s citizens and to support governments, parliaments and civil society to assess progress

abesha

October 6th, 2010, 03:41 PM

Sub-Saharan Africa's 2011 Growth Forecast Cut to 5.5%, IMF Says

Oct. 6 (Bloomberg) -- The International Monetary Fund cut its 2011 growth forecast for Sub-Saharan Africa to 5.5 percent as the global recovery falters and European governments cut back on spending, curbing demand for exports.

The Washington-based lender left its growth forecast for the world's poorest region this year at 5 percent, according to its World Economic Outlook. The IMF had previously estimated growth of 5.9 percent for 2011.

Africa's growth rate is forecast to almost double this year as demand from China and India drive up prices of commodities such as copper and platinum, and exports rebound from last year's global recession. That's being tempered by fiscal spending cuts in the U.K., Germany and other European nations, which buy about a third of exports from middle- and low-income African countries, according to the IMF.

"The primary risk to the outlook for the region is a faltering global recovery," the IMF said. "In addition to these trade linkages, continued weakness and measures to cut budget deficits in advanced economies may affect the low-income economies of Sub-Saharan Africa by reducing aid and private financial flows to the region."

Global growth will probably slow to 4.2 percent in 2011 from 4.8 percent this year, and the recovery is "neither strong nor balanced," the IMF said. In the euro region, growth is expected to reach 1.7 percent in 2010 and 1.5 percent next year.

Ethiopian Boom

Low-income countries, such as Ethiopia, Tanzania and Uganda, will drive growth in the Sub-Saharan Africa next year, the IMF said. Ethiopia, which devalued its currency for a third time in 14 months in September, will probably grow 8.5 percent in 2011 from 8 percent this year, the IMF said.

Tanzania's growth is forecast to accelerate to 6.7 percent from 6.5 percent in 2010, while Uganda's economy is estimated to expand 6.1 percent next year, up from 5.8 percent.

"Growth in low-income economies is generally expected to be driven as much by domestic factors as by the global recovery," the IMF said.

Oil-exporting nations will probably expand 6.7 percent this year and 7 percent in 2011, led by rising output in Republic of Congo, Angola and Nigeria, the IMF said. Nigeria, Africa's second-biggest economy and its most populous nation, is forecast to expand 7.4 percent in 2011, the same pace as this year, the IMF said.

South Africa's economy, the biggest on the continent, will probably expand 3 percent this year and 3.5 percent in 2011, compared with a contraction of 1.8 percent in 2009, the IMF said. The central bank expects 2.8 percent growth in 2010.

Read more: http://www.sfgate.com/cgi-bin/article.cgi?f=/g/a/2010/10/05/bloomberg1376-L9V4CF1A1I4H01-3BUV91Q88MG8F49AH3K5R8413P.DTL#ixzz11aNPQA3k

IMF trims sub-Saharan Africa's 2011 growth forecast

WASHINGTON (Reuters) - Growth in sub-Saharan Africa will accelerate next year, though it won't be as fast as previously estimated, the International Monetary Fund said on Wednesday, cautioning a tepid recovery in advanced economies may hurt exports and curb oil prices.

In its World Economic Outlook report, the IMF said belt tightening by some European nations to cut huge budget deficits could reduce aid and private financial flows to the region's low-income economies.

It trimmed its 2011 gross domestic product growth forecast for sub-Saharan Africa to 5.5 percent from the 5.9 percent rate estimated in July. The growth projection for 2010 was maintained at 5.0 percent. The region grew 2.6 percent last year.

Growth next year was seen powered by oil producers Angola and Nigeria, with low-income economies such as Ethiopia and Tanzania also lending a hand.

"The primary risk to the outlook for the region is a faltering global recovery," the IMF said. "For the oil-exporting economies, spillovers from a global slowdown would be manifested primarily through its impact on oil prices."

A rebound in global trade contributed hugely to the region's strong recovery from the global financial rout.

Middle- and low-income sub-Saharan African economies would be the hardest hit by a slowdown in the global recovery, the IMF said, noting that their exports to Europe were about a third of total exports.

"In addition to these trade linkages, continued weakness and measures to cut budget deficits in advanced economies may affect low-income economies of sub-Saharan Africa by reducing aid and private financial flows to the region," it said.

Despite the cloud of uncertainty, the IMF urged some governments in the region to start tailoring their fiscal policies towards addressing medium-term priorities.

Some governments in the region increased spending and cut interest rates to soften the blow on their economies from the global financial shakedown.

"Where output growth has recovered, (where) debt levels are rising, and (where) primary deficits are above levels that will stabilize debt over the medium-term, more prudent fiscal balances are in order," the IMF said.

"However, where output growth is still weak, outstanding debt is low, and fiscal deficits are in check, there may be scope to sustain higher levels of spending in priority areas such as education, health and infrastructure investment," it said.

http://af.reuters.com/article/topNews/idAFJOE6950F420101006?sp=true

popa1980

October 6th, 2010, 04:51 PM

The IMF tend to underestimate.

èđđeůx

October 7th, 2010, 03:38 AM

^^ I agree. I remember back in '09 they expected the US to grow around a mere 1% in 2010, if I'm right.

I think the IMF is tying growth in Africa in with demand for commodities.

èđđeůx

October 7th, 2010, 03:41 AM

With air traffic between the United States and Africa growing at more than 5 percent annually, the U.S. air carrier Delta Air Lines is steadily increasing its flights to the continent in response to strong customer demand, says Delta spokesman Kent Landers.

In an October 4 interview with America.gov, Landers attributed that growth to three key factors: strong economic growth across the African continent, the large number of African-born American citizens who are now traveling back and forth to Africa on personal and business travel, and increased investment in the continent's oil and natural resource industries. "All of those together are driving growth," he said.

Although Africa is growing from a fairly small base in comparison to Europe, Asia or other developed markets, Landers said, "in percentage terms, Africa is probably one of the fastest-growing markets in the world."

"There has been an underserved U.S.-Africa demand for many years that historically has not had many options for service other than circuitous routings through Europe," Landers said. "We began to fill that void in 2006" by beginning service to Johannesburg from Atlanta via Dakar. "Now that flight operates nonstop and has been very successful."

Delta announced September 29 that it will add an eighth destination to its Africa route network with direct service between the United States and Luanda, Angola. Delta has grown from 22 weekly departures to and from Africa in the summer of 2007 to nearly 80 for the same time this year.

With its winter 2010-2011 schedule, Delta will operate flights to eight African destinations: Accra, Ghana; Abuja, Nigeria; Cairo, Egypt; Dakar, Senegal; Johannesburg, South Africa; Lagos, Nigeria; Luanda, Angola; and Monrovia, Liberia. Delta also intends to serve Malabo, Equatorial Guinea, and Nairobi, Kenya, once additional U.S. government approvals are received.

"With our entrance to Angola via Dakar, we once again will serve Senegal from both Atlanta and New York, creating another double gateway to Africa with service from two hubs in the United States," Landers said. Delta also serves Accra from New York and Atlanta. Monrovia is an emerging destination, currently visited one day a week via Ghana. Landers said the Monrovia flight is playing an important role in helping Liberia to rebuild and he voiced hope that its frequency will be expanded in the near future.

Africa is critical to Delta Air Lines because "having a diverse flight network is important," Landers said. "When there are economic downturns in other regions of the world, our business goal is to be diversified across all the continents to protect ourselves from regional downturns."

"One of the great things about airlines is that our assets are mobile, so if situations require the adjustment of our network it is very easy to do so. But, by and large, we have been very pleased with Africa over the last four years.

"When we first entered the market, we immediately saw load factors, or the percentage of our seats filled, at 80 percent or greater, and that led us to continue to expand across the continent."

"In July 2007, Delta had 97 departures to Africa from the U.S. In July 2010, we had 320, so we tripled in size in three years," Lander said. "We believe our hubs give us the right strength. New York has a very large local market [of people wanting to travel to Africa] and Atlanta, being the world's largest passenger hub, gives us the ability to connect pretty much every community in America to Africa with one stop."

Americans traveling to Africa, he said, choose Delta for time savings. "If you look at the Atlanta-Johannesburg nonstop rather than connecting in Europe, you save an average of six hours in each direction. So on a roundtrip we are giving 12 hours back" to the traveler, he said. "There is great benefit to more direct routings to Africa."

Helping to pave Delta's expansion into Africa have been many of its employees, some of whom were formerly with Pan American World Airways, Landers said. Delta acquired Pan Am's trans-Atlantic routes in 1991 when the airline ceased worldwide operations.

(On May 20, 1939, Pan Am launched the first U.S. passenger air service to Europe. As the United States entered into World War II, Pan Am began providing military transport of U.S. troops into Europe, Africa and Asia. As the war ended, Pan Am went on to establish passenger and cargo routes throughout the continents of Africa, Europe, Asia and Latin America and became one of the world's premier international airlines before its demise.)

"We have a lot of people with many years of experience in developing African markets and who are very familiar with the business environment and how to be successful in Africa, and that has paid off for us. ... Pan Am really paved the way to Africa."

Landers said Delta is expanding its partnerships with African airlines. Kenya Airways is now a full-fledged member of the Sky Team Alliance and Landers said Delta is working with other African carriers such as Air Nigeria and TAAG Angola to explore and expand code sharing (allowing single bookings across multiple airlines).

For an interesting perspective on African commercial aviation go to http://crankyflier.com/2010/09/09/africa-then-versus-now-in-the-eyes-of-a-pan-am-vet-guest-post/ to read a narrative by Jimmy Eichelgruen, Delta’s regional sales manager for Africa. Eichelgruen joined Delta when it acquired Pan Am’s trans-Atlantic routes in 1991. During his long career, he worked in Johannesburg, Nairobi, Monrovia and Abidjan.
Source (http://allafrica.com/stories/201010060081.html)

a_bondima

October 13th, 2010, 08:16 PM

GDF Suez To Invest $5 Billion For Cameroon LNG Plant

Philippe Olivier GDF Suez
YAOUNDE, Cameroon -(Dow Jones)- Cameroon will receive an investment of $5 billion from French energy firm GDF Suez SA (GSZ.FR) to build a liquefied natural gas plant, the company’s senior executive told newsmen Tuesday.

“Cameroon’s government is conversant with our project here in the country, for which we’ll be investing $5 billion – not a negligible sum,” said the president and CEO of GDF Global LNG Philippe Olivier.

Olivier was speaking after holding talks with Cameroon’s president Paul Biya, to whom he presented an update on the energy project, planned for the coastal town of Kribi.

In 2008, GDF Suez reached an agreement with the Cameroon government-owned National Hydrocarbons Corp. to explore for LNG in Kribi, located some 300 kilometers southwest of the capital, Yaounde.

“We’re satisfied and comforted by President Paul Biya in putting the Cameroon LNG project on the rails,” said Philippe Olivier after meeting the Cameroonian leader.

èđđeůx

October 16th, 2010, 03:28 AM

Mozambique: Two Billion Dollars in Tourism Investment Expected (http://allafrica.com/stories/201010140934.html)
Maputo — The Mozambican government expects around two billion U.S. dollars to be invested over the next 10 years in key tourism projects, said tourism Minister Fernando Sumbana on Wednesday, at a meeting with the national and foreign cooperation partners of his ministry.

He said that the "Arco Norte" (Northern Arc) project in the centre and north of the country is at an advanced stage of implementation.

As part of this project, tourist operators in Zambezia, Nampula, Cabo Delgado and Niassa provinces will be trained in matters that will allow them to have access to funds to invest in improving their establishments. The objective is to transform the north of the country into a major tourist destination.

It is also expected that "Arco Norte" will allow the creation of 141,000 new jobs over a ten year period.

In Cabo Delgado, "Arco Norte" covers three top level tourist resorts in the provincial capital, Pemba, and conservation of the historic centre of Ibo Island. In Nampula, the project covers unspoiled coastline from Lumbo to Sancol, near the country's first colonial capital, Mozambique Island, while in Niassa, tourist infrastructures are to be built on the shore of Lake Niassa.

Sumbana said that the idea of the meeting with partners was to establish a platform for dialogue and for sharing information about the development of the tourism sector.

èđđeůx

October 18th, 2010, 03:23 AM

Comesa approves penalties on countries erecting NTBs (http://www.theeastafrican.co.ke/news/Comesa%20approves%20penalties%20on%20countries%20erecting%20NTBs/-/2558/1033960/-/asumqrz/-/index.html)
Faced with a new wave of protectionism, the Common Market for Eastern and Southern Africa has now drafted new rules to empower its Secretariat to penalise countries that introduce restrictive trade practices and other forms of non-tariff barriers within the trading bloc.

Trade disputes between Comesa countries and overlapping membership spell double trouble
The 19-member Comesa grouping, the largest trading bloc in sub-Saharan Africa, has been grappling with a rising tide of trade disputes arising from complaints from member states about other member states protecting markets by applying non-tariff barriers.

The most common non-tariff barriers encountered within the bloc are cumbersome quality inspection procedures, prohibitive transit charges, and arbitrary application of rules of origin.

Under the new draft rules seen by The EastAfrican, Comesa is also to introduce new institutions and committees that will permanently monitor non-tariff barriers across the trading bloc.

The rules oblige member states to establish their own national committees and focal points to monitor NTBs by December, while the Lusaka-based Comesa Secretariat will have powers to carry out compliance checks within member states and to impose penalties on defaulting countries.

Right now, the most explosive trade dispute around non-tariff barriers within the trading bloc arises from complaints by membership of the trading bloc about the rules of origin applied by Egypt.

Unable to reconcile the obligations it has made to fellow Arab members of the Pan Arab Free Trade Area on the one hand, and the commitments made under Comesa on the other, Egypt stands alone as the only country that insists on applying a rules of origin regime long abandoned by other Comesa countries.

The Pan Arab Free Trade Area brings together 17 Arab states, the most significant of which are Kuwait, Saudi Arabia, Iraq, Qatar, the United Arab Emirates, Morocco, Yemen, Libya and Sudan.

Instead of going by the 35 per cent value-added threshold applicable in Comesa, countries, Egypt insists on a 45 per cent value-add threshold — meaning that it will only accept imports of whose value at least 45 per cent has been added within the exporting country.

-----Trade wars-----
The largest economy in Comesa, it now faces retaliation if it persists in applying trade barriers that continue to block entry of manufactured goods from Comesa into its territories.

Indeed, the spectre of a new wave of trade wars between Comesa countries and Egypt now looms, especially after a meeting of the Comesa Council of Ministers in Lusaka last month urged member states to erect barriers to Egyptian exports if the country refuses to lower the 45 per cent value-added threshold it imposes on Comesa imports to 35 per cent.

Egypt has been unilaterally imposing the 45 per cent local content rule on manufactured exports from Comesa for the past 10 years, resulting in a sluggish growth in manufactured exports from Comesa into Egypt.

Until recently, Zambia, Uganda, and Malawi too were also applying a 45 per cent value-added threshold on Comesa exports.

But the countries have since lowered the threshold to 35 per cent, in line with the existing Comesa protocol on rules of origin.

New details from minutes of last month’s Comesa Council of Ministers meeting in Lusaka, now show that the Egyptian delegation to the meeting came under intense pressure during the deliberations, with countries narrating the difficulties they had experienced as they tried to export manufactured products into Egypt.

According to the minutes of the meeting, the assault on Egypt was led by Mauritius, Uganda, Malawi and Zambia.
Statistics from the Comesa Secretariat show that Egypt’s trade balance with Comesa countries has been consistently positive since 2003.

-----Import-export balance-----
Prior to joining Comesa in 1998, Egypt used to import more products from Comesa — in value terms — than it exported.

However, since 2003, Egypt has been exporting more, leading to a situation where it now enjoys a positive trade balance in Comesa compared to a persistent negative trade balance with the rest of the world.

For instance, statistics show that in 2008, the country recorded a positive trade balance of $500 million with Comesa compared with a negative trade balance of $28 billion with the rest of the world.

Eighty per cent of Comesa exports to Egypt are raw materials or unprocessed products such as tea from Kenya and copper from Zambia.

This category of goods entering Egypt are not subject to the rules of origin since trade in these products is conducted under the wholly produced goods criterion.

According to minutes of last month’s Lusaka meeting, Egypt defended itself by insisting that it was under an obligation to apply terms it had negotiated with the European Union and the Pan Arab Free Trade Area.

Its representatives at the meeting also disputed the statistics from the Comesa Secretariat, arguing that if one discounts trade between Egypt and the Arab countries within the Comesa bloc, namely Sudan and Libya, what emerges is that the country has a trade deficit with the non-Arab members of Comesa.

The language may have been coded but the message was clear: Egypt considers trade with Arab countries to be more strategically important to its interests than its trade with non-Arab Comesa countries.

-----Experts-----
Trade experts from the Comesa Secretariat argued with Egypt, pointing out that even within the Pan Arab Free Trade Area, the applicable rule of origin stipulated a 40 per cent value-added threshold.

As it turned out, Cairo’s defence did not convince the delegates meeting in Lusaka.
The Council decided that until Egypt lowered the value-added threshold to 35 per cent, Comesa member countries were at liberty to apply the same restrictions.

egypt69

October 20th, 2010, 10:02 PM

http://www.crossed-flag-pins.com/Friendship-Pins/Egypt/Flag-Pins-Egypt-South-Africa.jpg

Zuma wraps up trade talks with Egypt

President Jacob Zuma was heading home from a two-day state visit to Egypt on Wednesday.

He took a 100-strong business delegation with him, emphasising the commercial flavour of his call on Africa’s second largest economy.

Egypt’s Trade and Industry Minister Rachid Mohamed Rachid said his country supported all means of cooperation needed to build commercial ties with South Africa.

South African Deputy Minister of Trade Thandi Tobias-Pokolo listed several incentives provided by government for potential investors, adding that no restrictions have been imposed on type or size of foreign investment in South Africa.

http://www.eyewitnessnews.co.za/articleprog.aspx?id=51154

Egypt, SA business ties

THE government of Egypt supports all means of co-operation required to build on Egyptian-South African commercial relations, said Rachid Mohamed Rachid, Minister of Trade and Industry of Egypt.

Speaking at a conference held in Cairo during President Jacob Zuma’s visit to Egypt to discuss enhancing bilateral relations between the two countries, Rachid said Egypt welcomed any moves to further develop its economic ties and co-operation with South Africa, which offered diverse economic sectors.

“South Africa has maintained its position as a country that attracts foreign direct investment. Egypt has co-operated with South Africa in several sectors, resulting in many agreements between the two countries signed under the umbrella of Africa-Egypt joint bilateral trade relations,” Rachid said.

Thandi Tobias-Pokolo, South Africa’s Deputy Minister of Trade and Industry, said: “All business sectors are open for investors; South Africa provides several investment incentives for potential investors. No restrictions are imposed on foreign investment type or size.”

The event hosted about 800 Egyptian businesses and 120 South African businesses, as well as organisations like the Industrial Development Corporation, Business Unity South Africa, Dimension Data, South African Airways, Multichoice and the Gauteng Economic Development Agency.

South Africa is the leading economic power in Africa, with a GDP of more than 25% of the total African GDP. Investments here have increased from 15% of GDP in 2002 to 21% this year, which indicates South Africa’s strength in attracting foreign and local investments.

The main focus of the conference was on methods of promoting bilateral co-operation, shedding light on South Africa’s value proposition, and business opportunities in the different economic sectors. – I-Net Bridge

http://www.weekendpost.co.za/business/article.aspx?id=617306

PetroSA eyes joint venture with Egypt firm

CAIRO (Reuters) - South Africa's PetroSA is seeking a joint venture with an Egyptian company, its chairman said, as it wants to continue working in the country although its own oil exploration efforts in Egypt have not been successful.

The South African national oil company already holds exploration acreage in Egypt and is "seriously considering" entering a new round of bids announced by the Egyptian General Petroleum Corporation, Linda Makatini told Reuters.

Makatini, in Cairo for a high-level state visit that included President Jacob Zuma and was aimed at bolstering the weak trade ties between the two countries, said she would maintain interest in Egypt.

"We understand that you cannot work in countries without engaging or participating jointly with the firms already operating there," she said in an interview late on Tuesday.

PetroSA was in talks with several firms under the Egyptian Ministry of Petroleum but it would also seek opportunities with companies that are not necessarily 100 percent owned by the state, Makatini said.

"We come with the approach that I'm at your back door, my back door is also open to you," she added.

PetroSA's exploration efforts in Egypt failed to yield results after the firm spent some $100 million, Makatini said.

"As is the business of oil, it did not yield much results for us but it did not stop our appetite for wanting to work in Egypt," she said.

Egypt's proven reserves of oil and gas rose to 18.3 billion barrels equivalent in the year to end-June and the country expects to boost them to 20 billion over the next two years, the state news agency said in August.

Makatini said PetroSA was waiting for a political green light before selling a stake of up to 30 percent in a planned 400,000 barrel-per-day refinery at South Africa's port of Coega, potentially among the largest in sub-Saharan Africa.

The company has said it was talking to China's Sinopec as well as Malaysia's state-owned oil company Petronas and Sonangol of Angola.

"Sinopec is a partner. Definitely, we have engaged with them and they have expressed interest and requested further information," Makatini said. "We are looking to progress but once the political go-ahead is given."

http://af.reuters.com/article/investingNews/idAFJOE69J0GM20101020?pageNumber=2&virtualBrandChannel=0

egypt69

October 30th, 2010, 08:46 PM

JV to oversee Toyota SUV assembly in Egypt

Toyota’s "Fortuner" SUVs will be assembled in Egypt, with a planned annual output of approximately 3,000 vehicles, beginning early 2012, according to a statement.

Toyota Motor Corporation (TMC), Toyota Tsusho Corporation (Toyota Tsusho) and Toyota Egypt S.A.E. (Toyota Egypt) — TMC's independent vehicle distributor in Egypt — will establish a company to oversee the assembly of Toyota-brand vehicles locally, using parts mostly made in Thailand, a statement on MarketWatch read.

TMC, Toyota Tsusho and Toyota Egypt plan to conclude a joint-venture agreement by mid-November, and the company will be formally established in mid-December.

The company will also perform quality control, supply and demand management, and logistics management.

TMC started exporting to and selling vehicles in Egypt in 1979 though Toyota Egypt; it sold approximately 15,000 vehicles in 2009.

http://www.thedailynewsegypt.com/transport/jv-to-oversee-toyota-suv-assembly-in-egypt.html

egypt69

December 9th, 2010, 03:26 AM

$80m in investments is too little for Egypt-Ghana relations, says Ambassador Omar at the Ghana-Egypt Trade and Investment Seminar.

"$80 million in investment volume between Ghana and Egypt is too little for the deep relation between both countries," said Assistant Foreign Minister for Africa affairs, Ambassador Mona Omar, on ‘Investment Opportunities in Ghana’ this morning during the opening of the Ghana-Egypt Trade and Investment Seminar.

"We’re looking forward to boost trade and investment relations between both countries," added Omar, who praised the historical relations between Egypt and Ghana since the time of President Abdel Nasser and President Kwame Nkrumah, describing the Egyptian-Ghanaian relations as "close family ties."

Also attending the opening were Mahama Ayariga, deputy minister of trade and industry, Osama Saleh, GAFI chairman, and Ghanaian ambassador Amin Amidu Sulemani, who insisted that the investment atmosphere in Ghana is appropriate for foreign investments in general and for the textile sector in particular.

Both sides agreed on the importance of revitalizing the Joint Ghanaian-Egyptian Committee, and promoting economic and trade relations to the level of political relations given the successful presence of a number of Egyptian companies and investments operating in the Ghanaian market, including Arab Contractors, the United Engineers, Egypt Air, El-Sewedy, Alkan and Egypro.

The two sides also addressed the interest of the Egyptian private sector has in entering the Ghanaian market in the fields of fertilizers, cement and transport.

http://english.ahram.org.eg/NewsContent/3/12/1448/Business/Economy/m-investments-too-little-for-EgyptGhana-relations,.aspx

egypt69

December 17th, 2010, 06:14 AM

Egypt hopes to double exports to 200LE billion by 2013

Trade and Industry Minister Rachid Mohamed Rachid on Wednesday said the government plans to double exports to LE200 billion by 2013.

Rashid also said his ministry is carrying out programs that aim to maintain existing export markets and create new ones.

He noted that the period from January to December 2010 witnessed a quantum leap in Egyptian exports, reaching a total of LE103 billion, compared to LE92 billion in 2009.

He also said that total exports are expected to reach LE110 billion by year-end. The government originally projected LE100 billion for 2010, representing a 20 percent increase over 2009.

http://www.almasryalyoum.com/en/news/egypt-hopes-double-exports-200le-billion-2013

Toshiba to spend about US$59 million on Egypt TV plant

Tokyo--Japan's Toshiba Corporation said on Thursday it would spend about 5 billion yen (US$59 million) on setting up a liquid-crystal display TV plant in Egypt as a joint venture with El Araby.

The plant is expected to start production in March 2011, with an initial annual capacity of 600,000 units, rising to two million units in 2013, the company said in a news release.

http://www.almasryalyoum.com/en/news/toshiba-spend-about-us59-million-egypt-tv-plant

ukiyo

January 13th, 2011, 02:55 AM

Africa told ODA to double by 2012
http://search.japantimes.co.jp/cgi-bin/nn20110113a7.html
Kyodo News Japan intends to boost its relationship with African nations this year by implementing its 2008 pledge to double their official development assistance by 2012 and supporting Japanese private-sector investment in the continent, Foreign Minister Seiji Maehara said Wednesday.

"Africa, in the process of recovering from the global economic crisis, is attracting increasing attention from Japanese companies," Maehara told representatives from 37 African nations that have diplomatic missions in Tokyo.

Specifically, the minister said Tokyo is set to extend cooperation for development of energy resources, construction of regionwide infrastructure and liberalization and expansion of trade and investment in the continent.

Maehara said he will host a ministerial meeting in Africa this year to follow up on the fourth session of the Tokyo International Conference on African Development, a forum to discuss Japan's commitment to African development held in May 2008.

Matthias Offodile

May 14th, 2011, 03:33 PM

France annuls the total existing bilateral debt between Togo and France

La France annule la dette du Togo à son égard

12/05/2011 à 15h:27 Par AFP

La totalité de la dette bilatérale du Togo vis-à-vis de la France a été annulée par Paris. Soit quelque 100 millions d’euros.

La France a annulé la totalité de la dette contractée par le Togo, soit 101,1 millions d'euros (plus de 66,3 milliards de F.CFA), a indiqué jeudi le ministre togolais de l'Economie et des Finances sur les ondes de la radio nationale.

Les documents à cet effet ont été paraphés mercredi à Lomé par l'ambassadeur de France dans le pays ouest-africain, Dominique Renaux, et le ministre togolais de l'Economie et des Finances Adji Ayassor.

Cet accord par lequel la France a annulé 100% de la dette du Togo traduit dans les faits l'engagement de la France à mettre en œuvre les recommandations du Club de Paris, a déclaré M. Ayassor.

Réformes engagées depuis 2006

Cette décision est, selon le ministre, un encouragement par l'intermédiaire duquel la France incite le gouvernement togolais à poursuivre les réformes engagées depuis 2006 en vue de redresser la situation économique du pays, après la longue crise socio-politique qu'il a traversée.

La marge créée par l'annulation de cette dette sera utilisée de la manière la plus efficiente possible pour créer les conditions d'une croissance économique forte et durable susceptible de réduire sensiblement la pauvreté qui frappe aujourd'hui les couches les plus vulnérables de notre pays, a assuré M. Ayassor.

Le Club de Paris, groupe informel de créanciers rassemblant 19 des principaux pays industrialisés, avait décidé en décembre d'annuler 203 millions de dollars de dette du Togo, après son accès au point d'achèvement de l'initiative Pays pauvres très endettés (PPTE).
Les créanciers du Club de Paris avaient également exprimé leur intention d'accorder au Togo, un allégement de dette additionnel sur une base bilatérale, pour un montant de 404 millions de dollars.

Lire l'article sur Jeuneafrique.com : La France annule la dette du Togo à son égard | Jeuneafrique.com - le premier site d'information et d'actualité sur l'Afrique

http://www.jeuneafrique.com/Article/DEPAFP20110512152244/france-developpement-investissement-togola-france-annule-la-dette-du-togo-a-son-egard.html#axzz1MKeEzahe

I am dead sure the same will be the case for IC pretty soon...billions of Euros in debst will wiped away as well!:cheers:

BG_PATRIOT

June 1st, 2011, 04:58 AM

An interesting story about a Romanian businessman doing business in Africa

Ovidiu Tender – the Romanian who controls half an African country and invests 500m USD to plant jathropa

http://img90.imageshack.us/img90/1209/tender909.jpg

After doing business in Senegal, Ovidiu Tender moved to Gambia, where he was granted by the state the concession of an oil perimeter with the surface of 5,000 square km. The whole country only covers 10,500 sq. km. of land, according to Money.ro.

A strip of land located within Senegal. This is Gambia, the smallest African country, with just 1.7 million inhabitants. Out of the 10,500 sq. km. of Gambian land, 5,000 have been granted under concession to Ovidiu Tender by the government of Banjul, in view of prospecting and exploiting crude oil. The businessman promised to share with the state any everything he will obtain from the land.

“I started from Senegal, which is my operation base, and went to Gambia. I reached an agreement with the president and the government, which allows me to explore and exploit half the country, for 25 years. The oil perimeter may also contain other mineral resources. I will share with the state everything I can produce there... I also want 100,000 hectares of farmland where I will plant jathropa – a plant also called the “oil tree” that gives the oil used for biodiesel. I want such farms in Senegal and other countries like Guinea Bissau or Guinea Conakry. Over a 10-year interval I want to exploit one million hectares of land with this plant. I estimate an investment of 400-500 million USD for jathropa alone,” Tender said for Money.ro.

Gambia is just one of Tender’s many African businesses. In Senegal, he controls four plots of land covering a total 10,000 sq.km., which contain deposits of heavy metals, rare metals, gold and copper. With his “best friend” Frank Timis, he made Dakar authorities a firm offer for the concession of three offshore oil fields with the total surface of 20,000 km in the Atlantic Ocean, where oil reserves might last for 43 years. He also applied for 1,000 sq.km. of land on the continent.

The air company controlled by the businessman, Jetran Air is negotiating with the governments of Gambia and Guinea Conakry a stake in the public airlines of these countries, where Jetran will provide the air fleet, because the countries actually have no plane of their own and the only thing they can provide is the right to use their airspace.

Tender is betting on Africa. „Africa is the last geologically unexplored place of the planet. It has huge mineral resources, with opportunities available since the very moment you leave the airplane. I only want to have no problems at home, so I can develop in Africa,” he said. In Romania, Tender has businesses in agriculture, industry, real estate, infrastructure and tourism.

His most profitable company, called ‘Prospecţiuni,’ operates on four continents and had a net profit of 15 million RON (slightly under 4 million EUR) in the first quarter of the year, with the annual profit estimated at 62 million RON (some 15 million EUR).

http://www.bucharestherald.ro/economics/40-economics/22641-ovidiu-tender-the-romanian-who-controls-half-an-african-country-and-invests-500m-usd-to-plant-jathropa

BG_PATRIOT

June 1st, 2011, 06:59 AM

Biofuels boom in Africa as British firms lead rush on land for plantations

Controversial fuel crops linked to rising food prices and hunger, as well as increased greenhouse gas emissions

http://static.guim.co.uk/sys-images/Guardian/Pix/pictures/2009/2/2/1233574897866/ICOAST-ENERGY-BIOFUEL-JAT-001.jpg

An Ivory Coast nursery for jatropha, a non-edible plant whose oil-rich seeds can be processed into biodiesel.

British firms have acquired more land in Africa for controversial biofuel plantations than companies from any other country, a Guardian investigation has revealed.

Half of the 3.2m hectares (ha) of biofuel land identified – in countries from Mozambique to Senegal – is linked to 11 British companies, more than any other country.

Liquid fuels made from plants – such as bioethanol – are hailed by some as environmentally-friendly replacements for fossil fuels. Because they compete for land with crop plants, biofuels have also been linked to record food prices and rising hunger. There are also fears they can increase greenhouse gas emissions.

A market has been created by British and EU laws requiring the blending of rising amounts of biofuels into petrol and diesel, but the rules were condemned as unethical and "backfiring badly" in April by a Nuffield Council on Bioethics commission. In the UK, only 31% of biofuels used meet voluntary environmental standards intended to protect water supplies, soil quality and carbon stocks in the source country.

There are no central records of land acquisitions in Africa, but research by the Guardian revealed the scale of the biofuels rush in sub-Saharan Africa – 100 projects and 50 companies in more than 20 countries.

Crest Global Green Energy has the largest recorded landholding, 900,000ha in Mali, Guinea and Senegal. Tom Stuart, the chief executive, said: "It is true in some cases [that biofuels displace food], but in our projects we 'inter-crop', planting as much food as biofuel on the marginal land we have brought into agricultural use. There is a large social element to our projects, with all the local people needing to be in agreement, and that's normally written into contracts at government level."

Another UK company, Sun Biofuels, leased 8,000ha in Tanzania where it grows Jatropha curcas, a non-edible plant whose oil-rich seeds can be processed into biodiesel. "We'll start harvesting and producing in two years," said Peter Auge, office manager in Tanzania. "The main attraction for us is exporting to Europe."

Claims that J curcas use prevents biofuels competing with food because it grows easily on marginal and arid land unsuitable for other agriculture have been challenged even within the industry. "Growing jatropha in a profitable way on dry lands is a myth. It needs water, fertilisers and pesticides to provide high yields," Auge said. Jamidu Katima, at the University of Dar es Salaam, is critical of biofuels guidelines adopted by Tanzania's government in 2010. "There are no plans to build refineries, nor obligations for foreign investors to reserve part of their output for the domestic market," he said.

Another risk is that biofuel use could increase carbon emissions by increasing destruction of forests when displaced local farmers clear land. The Institute of European Environmental Policy recently said carbon released from deforestation linked to biofuels could exceed carbon savings by 35% in 2011 rising to 60% in 2018. Currently, this indirect impact is not considered in European sustainability guidelines.

James Smith, professor of African and Development Studies at Edinburgh University, said: "Private investment is running far ahead of our knowledge of the impacts of biofuels, such as land dispossession. This action is eroding the UK's position of enlightenment on development issues."

Unpublished research by the charity ActionAid, seen by the Guardian, confirms the picture of scores of projects amassing millions of hectares on the east and west coasts of Africa. "I suspect the estimates are actually quite conservative," said Smith.

Norman Baker, the Liberal Democrat junior transport minister, said: "I consider the sustainability of biofuels to be paramount. No biofuel will count towards our targets unless it meets certain sustainability requirements. But we are pushing [Europe] to go further, to reduce the risk of knock-on effects, including deforestation in new areas."

He added: "Only a tiny proportion – less that 0.1% - of UK biofuel has come from Africa."

As oil prices rise, said Jeremy Woods, a lecturer in bioenergy at Imperial College London, biofuels could boom. "Once oil is over $70 a barrel, conventional and new generation biofuels become cost competitive. When oil and biofuels are competitive, we are into a different world."

Expansion of the biofuels industry has been fuelled by capital raised on the Alternative Investment Market of the London Stock Exchange. In the Guardian survey Italy is the next biggest player with seven companies, followed by Germany (six), France (six) and the US (four). Brazil and China have been acquiring land in Africa for biofuels and food but the investigation identified only a handful of established biofuels projects. The database of biofuels projects in Africa was compiled with the help of the University of California Berkeley's Africa Reporting Project.

Some projects provide local benefits through investment, employment and local use of the produce, but many do not, says Lorenzo Cotula at the International Institute for Environment and Development, who recently analysed 12 contracts from African land deals. "Some of the contracts we analysed only contain vague and unenforceable promises." Some have 100-year leases, at very low or free rent and priority access to water, he added. "Extensive commercial plantations dislocate rural communities from their land", said Cotula. "Instead, self-managed biofuels production can offer cheaper energy and complementary sources of income".

The chief executive of Sun Biofuels, Richard Morgans said: "Our company produces sustainable and ethical biofuels – categorically yes. We would welcome higher sustainability standards, but you do have to balance this with economic development. If you are a local [in Tanzania or Mozambique] and need a job, you probably aren't worried about whether the orangutans sleep at night. It's also insulting to say African governments can't run their own affairs."

A community-based approach is embraced by a few investors. "Our farmers in Mozambique are given seedlings to grow jatropha on their own land with the option to sell the seeds back to us," says Chris Hunter, of UK-based Viridesco. "We help smaller plantations that cater to the developing world markets, as opposed to big monocultures that service the developed world's energy needs".

UK companies were the first into Africa in 2005, but this has not been without problems. D1 Oils froze its export plans and started supplying locally in Malawi and Zambia, following the failure in 2009 of its joint-venture with BP, which doubted jatropha's market potential. Last year GEM Biofuels, operating in Madagascar, suspended its LSE quotation for four months.

The revelation of the central role of UK companies in biofuels coincides with a report from Oxfam forecasting that the price of staple foods will more than double in the next 20 years. The report identifies biofuels as a factor and demands that western governments end biofuel policies that divert food to fuel for cars. "We are sleepwalking towards an age of avoidable crisis," said Oxfam's chief executive, Barbara Stocking. "One in seven people on the planet go hungry every day despite the fact that the world is capable of feeding everyone. The food system must be overhauled."

http://www.guardian.co.uk/environment/2011/may/31/biofuel-plantations-africa-british-firms

Nostra

June 1st, 2011, 09:00 AM

South Africa’s Economy Expanded Faster Than Expected 4.8% in First Quarter

South African economic growth unexpectedly accelerated to the fastest pace in a year in the first quarter as the lowest interest rates in three decades spurred manufacturers to restock to meet rising demand.

Gross domestic product rose an annualized 4.8 percent from a revised 4.5 percent in the final quarter of 2010, Statistics South Africa said in a report released in the capital, Pretoria, today. The median estimate of 18 economists surveyed by Bloomberg was for growth to slow to 4.2 percent.

The Reserve Bank cut its benchmark interest rate three times last year to a 30-year low of 5.5 percent to help spur consumer spending, which accounts for two-thirds of demand in the economy. Faster growth in Africa’s biggest economy may prompt the government to increase its 3.4 percent forecast for 2011, Finance Minister Pravin Gordhan told lawmakers in Cape Town today.

“This is an environment that’s still accommodative,” said Jean-Francois Mercier, an economist at Citigroup Inc. in Johannesburg. “There’s monetary stimulus that’s feeding through the economy. Manufacturers are restocking and business investment is picking up.”

The rand strengthened to 6.8827 against the dollar as of 12:21 p.m. in Johannesburg from 6.8915 before the data was released, extending its gain since Feb. 1 to 4.3 percent. The yield on the R157 government bond, due 2015, rose 6 basis points, or 0.06 percentage points, to 7.54 percent.

Manufacturing Surge
Manufacturing surged an annualized 14.5 percent in the first quarter, the fastest pace since the second quarter of 2008, the statistics office said.

“If it carries on like that then we’ll be way above the 3.4 percent that we talked about earlier on,” Gordhan said. “What is extremely encouraging is the strong growth in manufacturing, part of which is impacted upon by the strong rand, as everybody calls it.”

The government has said it needs annual growth of 7 percent in order to meet a pledge to create 5 million new jobs by 2020. The central bank on May 12 cut its economic growth forecast for this year to 3.6 percent from 3.7 percent.

http://www.bloomberg.com/news/2011-05-31/south-africa-s-economy-expanded-faster-than-expected-4-8-in-first-quarter.html

èđđeůx

June 4th, 2011, 02:39 AM

^^:cheers: especially for manufacturing..

LADEN

June 4th, 2011, 02:56 AM

I wonder if the natural gas find will bump it up even more in the future.

BG_PATRIOT

June 9th, 2011, 02:47 AM

Multinationals target potential of Africa’s middle class

For a huge consumer-goods company such as Procter & Gamble Co., (PG-N64.85-0.21-0.32%) it might seem an odd choice for a target market: the impoverished African country of Ethiopia, often perceived as a land of famine and drought.

But when Procter & Gamble sent its researchers into Ethiopia, they discovered that the company’s products were unexpectedly well-known. Even among Ethiopians barely above the poverty level, its brands were recognized far more widely than the company had imagined.

“It was totally surprising for us to see that Ethiopia had such huge potential,” said Eva Imir Yokus, the company’s head of consumer and market knowledge for southern and eastern Africa.

The researchers spent time with an Ethiopian woman who lived with her family near a slum neighbourhood in a one-room house with no windows. Even though Procter & Gamble had only limited distribution of its Always sanitary pads in Ethiopia, the woman was familiar with the brand, had a positive impression of it and was ready to buy it if it was available. “She was already using most of our consumer categories; we were really surprised,” Ms. Imir Yokus said.

After decades of ignoring the region multinational companies are turning to Africa as one of the emerging engines of consumer growth. By some estimates, Africa already has as many middle-class consumers as China or India. And most of them are buying mobile phones and televisions, own cars or houses, and use the Internet.

A recent study by the African Development Bank concluded that 34 per cent of Africans can be categorized as middle-class consumers. In absolute numbers, the study counted 313 million middle-class Africans in 2010, compared with just 111 million in 1980.

Within the continent, the middle classes are expanding far beyond their traditional strongholds in South Africa, the richest country in Africa, or Nigeria, the most populous. Ethiopia is one example of the new markets being identified. Despite its reputation for poverty, Ethiopia is the second-most populous nation in sub-Saharan Africa, with more than 80 million people, and there is money among its consumers and government clients.

“I think the Chinese discovered this potential before everyone else,” Ms. Imir Yokus told a seminar at the Johannesburg Stock Exchange on Wednesday. “There’s so much Chinese investment going on in Ethiopia right now. They dominate the direct investment.”

She estimates that about 20 to 25 per cent of households in sub-Saharan Africa now have enough discretionary income to spend on consumer goods. By 2020, she predicted, this will rise to about 50 per cent of households, creating far more opportunities for corporations such as Procter & Gamble.

“We’re really putting Africa at the top of our agenda,” she said. “China and India are not new news any more. Africa is more on our agenda.”

Anna Jones, area head for southern Africa for MasterCard Inc., said her company’s research suggests that Africa’s economic growth is the third-fastest in the world today, behind only China and India. And consumer confidence is growing. On a scale of zero to 100, consumer optimism ranked at 87 in Kenya and 94 in Nigeria, she said.

“If you want to know where your next billion consumers are coming from, they are coming from here,” she told the seminar.

Africa’s younger generation is becoming a key source of innovation among African consumers, especially in mobile-phone banking and other cashless transactions, Ms. Jones said. As in Japan after the Second World War, consumers in Africa are forced to be innovative, allowing them to leapfrog ahead to the most modern technology, she said.

For companies such as MasterCard, the potential in Africa is enormous. While only half of European transactions are conducted with cash, more than 90 per cent of African transactions are done with cash, meaning the credit card companies have big opportunities for growth, Ms. Jones said.

http://www.theglobeandmail.com/report-on-business/international-news/african-and-mideast/multinationals-target-potential-of-africas-middle-class/article2052435/

Kifayat13

June 10th, 2011, 07:52 PM

Western consumerism is about to hit Africa straight square on the ass.

SAFfireGOld

June 22nd, 2011, 08:27 PM

Travel agents partner AKWAABA for Abuja BANTABA

Thursday, 16 June 2011 00:00

National Association of Nigerian Travel Agents (NANTA), one of the biggest travel associations in Nigeria, and the umbrella body of travel agencies, is partnering with the organiser of Abuja Bantaba to make the event a success.
Abuja Bantaba is a-day event that will host a mini exhibition, match travel buyers with sellers, as well as reduce the cost of individual marketing in Abuja and the north, drawing in more buyers by using greater powers of attraction and by combining the marketing power of all sellers.

NANTA will be bringing its members to the event as both sellers and buyers. According to Tinuke Nwakohu, NANTA national publicity secretary, NANTA will participate in both BANTABA and AKWAABA, as the events provide a local opportunity for players in the travel trade to network and work together, as travel markets are the lifeblood of travel business globally and cannot be different in Nigeria. Ikechi Uko, who represented the organiser, said: “Having NANTA as a partner completes the circle, as our event has partnership with global associations. And having a credible national group like NANTA completes the circle for us. We are excited to tap into their goodwill and expertise.”

As a prelude to AKWAABA 2011, and due to the absence of a credible face-to-face marketing platform in Abuja and northern Nigeria for travel business, Akwaaba African Travel Market (Aftm) is organising a road show in Abuja to reach more stakeholders within Abuja and northern Nigeria.Aftm brings face-to-face marketing to Africa in an event that holds at Abuja Sheraton Hotels, one of the leading hotels in Abuja. Already, leading hotel chains in Africa, airlines, and other travel and tourism promoters have booked for the event.

Protea Hotels, Intercontinental Hotels, Movenpick, Legacy Hotels, Golden Beach Hotels and the Starwood have all booked for the event. Meanwhile, the African Travel Market, which holds between October 21 and 23, 2011, in Lagos, is also in top gear.

http://www.businessdayonline.com/NG/index.php/travel/aviation/23111-travel-agents-partner-akwaaba-for-abuja-bantaba

hsark

July 5th, 2011, 01:36 PM

Western consumerism is about to hit Africa straight square on the ass.

yup just like it did with china and india

3bg-izi

September 1st, 2011, 11:20 PM

Renaissance Plans More Africa Investments as Assets Climb Above $1 Billion

Renaissance Group, the Russian emerging-markets group of investment companies, plans to make more investments in Africa as the value of its assets in the world’s poorest continent climbs to more than $1 billion, Chief Executive Officer Stephen Jennings said.

“We’ll invest several more billions in the coming years,” he said in a telephone interview from Lagos, Nigeria’s commercial capital, where Renaissance organized an Africa investment conference. “The continent will deliver the fastest growth in the world, faster than Asia has ever done.”

The International Monetary Fund estimates sub-Saharan Africa’s economy will expand 5.5 percent this year and 5.9 percent in 2012, and that seven of the world’s 10 fastest- growing economies in the next five years will be in the region.

By 2015, 221 million African consumers will advance from destitution to basic-needs status, making from $1,000 to $5,000 a year, according to a McKinsey & Co. analysis of data from IHS Global Insight, a subsidiary of Englewood, Colorado-based data provider IHS Inc.

“We responded to the facts at a time a lot of people were blinded by history and prejudice,” Jennings said of his group’s decision to start operations in Africa in 2006. “At the time we came the fiscal situation had improved across the continent.”

Asian Investors

Renaissance is extending its investments in the continent to several areas, including real-estate and infrastructure projects, said Clifford Sacks, the chief executive officer for Africa. These will include “urban renewal” projects similar to Tatu City, a $5 billion residential complex near Kenya’s capital, Nairobi, that was funded by the investment group and houses 62,000 people.

“The reason we are doing this is that not many banks can do it,” Sacks said. “It’s a long-term, capital-intensive business.”

Renaissance has six operational offices and more than 120 people in Africa.

The quality of African assets is increasingly attracting investors from Asia, Sacks said. Renaissance recently advised an Asian investor to put $750 million in a formerly state-owned steel mill in Zimbabwe.

Asian investors are “comfortable with the African risk, which is becoming better understood,” he said.

http://www.bloomberg.com/news/2011-05-19/renaissance-capital-plans-more-investments-in-africa-ceo-jennings-says.html

èđđeůx

September 14th, 2011, 04:27 PM

Ghanaian Economy May Grow 20% on Oil, Gold and Cocoa, World Bank Says
Bloomberg (http://www.bloomberg.com/news/2011-09-14/ghana-economy-may-grow-20-on-oil-exports-gold-and-cocoa-world-bank-says.html)

Ghana’s economy may expand by 20 percent this year as the start of oil production for export, along with high prices for cocoa and gold, boost revenue, according to the World Bank.

“First-quarter growth was 23 percent and oil, gold and cocoa have since enjoyed very high prices on the international market,” Dante Mossi, senior operations officer of the World Bank’s office in the West African nation, said in an interview in Accra, the capital, on Sept. 9. “The trend will follow.”

The Washington-based lender’s forecast is higher than its earlier projection of 14 percent, which was made in June and was in line with the Finance Ministry’s own 14.4 percent estimate announced in July.

Ghana became Africa’s newest oil exporter in December, when production began at the offshore Jubilee oil field, which is operated by U.K.-based Tullow Oil Plc (TLW), the explorer with the most licenses in Africa. Gold reached a record $1,921.15 an ounce on Sept. 6 amid uncertainty over the global economic recovery and traded at $1,832.18 an ounce by 10:56 a.m. in London today. Cocoa for December delivery rose for a second day, adding 7 pounds ($11.05), or 0.4 percent, to 1,857 on the NYSE Liffe in London.

hsark

September 14th, 2011, 04:40 PM

http://www.bloomberg.com/news/2011-05-19/renaissance-capital-plans-more-investments-in-africa-ceo-jennings-says.html

think these guys are also behind roma park in zambia ,ground breaking was in march if u'm not mistaken
http://img691.imageshack.us/img691/5840/picture15uo.png

Montrealers

September 16th, 2011, 06:37 PM

Public medical insurance deficit stands at LE12 billion

Dr. Abdel Rahman al-Saqqa, president of the Medical Insurance Authority, on Wednesday said the authority suffers a deficit of LE12 billion, explaining that the total budget is LE4 billion, while it should be LE16 billion for the authority to be able to provide a proper service.

Saqqa warned that the authority would not be able to sustain medical services for more than three months should all subscribers depend on it 100 percent, explaining that many subscribers prefer to pay for their medical care at private hospitals, as they provide better services.

Saqqa suggested that the government offset the deficit by paying 3 percent of the subscription instalments normally paid by pensioners, another 3 percent of those paid by widows, and contribute LE12 towards subscriptions paid on behalf of each pre-school child.

For his part, Dr. Abdel Hamid Abaza, assistant health minister for technical affairs, said the final version of the new medical insurance draft law would be completed by mid-October.

Translated from the Arabic Edition

http://www.almasryalyoum.com/en/node/495730

Egypt’s stocks fall for 2nd day
Egypt's benchmark stock index fell for a second consecutive day Monday, as the country's military rulers showed growing impatience with protests that have gripped the country since the ouster of former President Hosni Mubarak.

The 1.75 percent decline in the Egyptian Exchange's EGX30 index reflected mounting unease by investors over the political situation in the country. Protesters stormed the Israeli embassy in Cairo over the weekend, trashing the diplomatic mission before the military stepped in and dispersed the demonstration. The unrest pushed the index down around 1.2 percent on Sunday.

The incident cast a pall on already tense relations between Israel and Egypt, but also had the country's new military rulers vowing to use the tough, much-hated emergency laws imposed during Mubarak's regime. The military had promised to lift those measures.

http://www.almasryalyoum.com/en/node/495004

a_bondima

December 28th, 2011, 03:22 AM

by Jean-Paul Pougala, translated from French by Therese Boua

In Cameroon, women are becoming farmers and growing cotton. Where previously the men preferred the women not to become cotton farmers, many communities now see the benefits of an increased income and an improved relationship between men and women.
The past 12 months were very intense on the African continent. Some important elections stirred up a whole lot of interests. Those interests reached far outside African borders for the simple fact that the outcome of each one of these elections defines the new frontiers of the shared zones of influence that are being renegotiated between the old powers of the world, the Western powers, and the new power, China. In quoting the ranking seen in Ukraine, one can freely state that in Côte d’Ivoire, in Zambia and in Liberia, the pro-Westerner won. In Cameroon and in the Democratic Republic of Congo, it is the pro-China candidate who won.
Since African nations won independence about 50 years ago, in the logic of the cold war, African countries were all under one of two banners, pro-Western or pro-Soviet Union. With the fall of the Berlin wall in 1989 and the consequent end of the Cold War era, all Africa became, either willingly or by force, pro-Western.

The International Monetary Fund (IMF) and the World Bank in tandem took power in Africa, deciding entirely or partially the economic, financial, social and even the judicial politics of most African countries. As a result of 20-30 years of that kind of power in Africa, there is not in existence a single country that succeeded, thanks to their revenues coming straight from Washington, D.C. This brought about dissidence and rebellion from some countries against the neoliberal IMF-World Bank, with one commonality: When it fails, only African leaders take the blame. They are re-baptized for the circumstance “African dictators” in order to divert attention from the real authorship of the failure: Western neoliberalism. This tragicomedy continues to this day, since the same recipes are being prescribed to Greece, Portugal and Italy, recipes that failed in Africa 20 years ago.

When IMF-World Bank policies fail, only African leaders take the blame. They are re-baptized for the circumstance “African dictators” in order to divert attention from the real authorship of the failure: Western neoliberalism.
These African dissidents looked elsewhere, eastward toward China. There are not many, because they have to have courage to brave tremendous Western pressure, which pressure may well end up in coup-d’états maneuvered through rebels who never explain how and by whom they are financed. This is the context in which electoral rendezvous are held on the African continent, where the only true social project is to find out if countries will be content with the status quo, with the same old known misery of 50 years in the hands of the West, or will they take a leap into the unknown by choosing China, in the hope of emerging with her, not really knowing where we are all going to land?

Today, I will examine two African countries that made opposite choices: first, the Ivory Coast, which decided to stay as before under Western control and, second, the Cameroon, which chose to leap into the unknown with China.

Which one of these two countries made the right choice? To answer this question, I am restraining myself from passing judgment on the value of either of their elections. I’m not about to recreate history here. I will only review the events from a purely geostrategic angle.

Cameroon and Côte d’Ivoire are two African countries in which elections took place recently. The common point of these two elections is that the two world giants, China and the West, threw their full support behind their selective choice. In Côte d’Ivoire, we may or may not agree on the methods used, but every modern citizen was able to watch, live, the induction of an African administration by both France and the United States of America. It is not wrong to assert that the power in place was pro-Western.

Cameroonian cotton workers rest on top of a truckload of cotton. International Business Times reports that cotton production rose 47 percent last year. – Photo: Reuters
In Cameroon, President Paul Biya has been the “darling” of Beijing. The city has become the only official destination for Biya and his ministers outside of Cameroon’s geographical borders for these past couple of years. At the last congress of the RDPC (Rassemblement démocratique du Peuple Camerounais or, in English, Cameroon People’s Democratic Movement, CPDM), Biya’s political party, French President Sarkozy’s UMP (Union pour un Mouvement Populaire or, in English, Union for a Popular Movement, UPM) was not invited as usual.
In his place instead, China’s Communist Party was invited and was designated as “the best friend” of Cameroon.

In addition, the results of the presidential election in Cameroon were announced by Beijing and not Yaoundé (the capital of Cameroon) four hours before the results were proclaimed by Cameroon’s Supreme Court. This brings us to say, without fear of being wrong, that Cameroon’s position is pro-China. This is the reason why President Obama’s America could only throw in the towel as a sign of giving up in front of the displayed support of China in what had been timorously called the “post-election crisis of Cameroon.” American Ambassador Jackson’s accusations against the electoral process only had the effect of “a barking dog while the caravan continues its merry way.”

With these maneuvers, Beijing had already made it clear that Cameroon was not Côte d’Ivoire. This was not a random decision in Beijing to choose the date of Oct. 8, 2011, one day before the election, for the joint ceremony between President Biya and the Chinese representative to place the foundation stone of Kribi’s deep water construction site and make an initial payment of $1 billion as a real challenge to Westerners who themselves are in deep financial crisis. Cameroon’s electoral authorities approved of this act by sanctifying the next day the election of President Biya with 78 percent. This is far different from the mismanagement of the situation in Côte d’Ivoire by the West a few months earlier.

Who, Cameroon or Côte D’Ivoire, made the right choice?
While it is still too early to speak on Cameroon, we can already draw the first conclusions in the case of Côte d’Ivoire, realizing that the situation today is far worse than what prevailed during the crisis under President Laurent Gbagbo. The IMF has put forward a figure of negative 7.5 percent growth in the country for 2011, making the Ivory Coast the only country in recession in the entire African continent, that is to say, worse than Somalia, where even without a stable government, there will be 1 percent growth for 2011, which means somewhat positive growth. The same sources inform us of underperformance by the Ivorian economy; the state owes the tidy sum of nearly 1,000 billion CFA francs (currency guaranteed by the French treasury) to companies. And the entire 2012 budget that just passed will be financed from abroad.

A new hospital in the village of Gaschiga, Cameroon. Some of the surge in cotton production will be used in the many new hospitals China is helping to build in Cameroon.
Let us take randomly a common date in the two countries, Nov. 23, 2011. What is the main news in Côte d’Ivoire? The spokesman for European Commission President Jose Manuel Durao Barrosoo announces that President Alassane Ouattara Dramane is in Brussels where he will be meeting throughout the day. European Trade and Export Commissioner Karel de Gucht is to speak on Ivorian cocoa exports to European Union nations.
In the meantime, in Cameroon, Martin Yankwa, general inspector of the Cameroon’s Ministry of Industry, Mines and Technological Development, is announcing the signing of an agreement with the Chinese government to set up a factory, the Sitraco, worth 1.6 billion FCFA in Douala (Cameroon’s largest city, with a population of 3 million) for the processing of 40 percent of all the cotton from Cameroon to supply the many hospitals that China is also building across Cameroon with medical supplies such as pads and rolls of cotton gauze.

In the first case, this is yet another visit to the West since taking power last May 2011. The first visit was at the G8 summit, in Deauville, France, where his friend Sarkozy had a great desire to celebrate the military victory of his presidency but had forgotten to inform his protégé, President Ouattara, that he was in a financial storm himself, with three major banks that had just lost at the stock market nearly 40 percent of their value, plummeting further the following day to 65 percent for the biggest one.

There was the July 27, 2011, visit to Washington to ask for money. Unfortunately again, no one remembered to tell Ouattara that President Obama was in a quarrel with the new Republican majority in Congress that would not grant him (Obama) an extension for new debt, and suddenly, several African presidents, who seemed in the White House like schoolboys in the principal’s office, in the pictures published by the White House of the meeting, have the bitter looks on their faces, as if they were attending a funeral.

How to read these two events?
In Côte d’Ivoire

Victims of the massacre in Douékoué, Ivory Coast
The Ivorian approach is wrong, in my opinion, because cocoa and coffee should simply be eradicated in the African continent. This is the only certain way to end the dark days of colonial submission and humiliation, with Africa’s economy so dependent on the cultivation of certain plants that even major financial newspapers in the West continue at the end of 2011 to rank them as “colonial products. More than 50 years after independence, an African leader is still going to Europe to negotiate trade in a colonial product; that is to say to voluntarily continue to grow this product, which corresponds to the vision and interests of European colonial Africa. It’s a political mistake, and even more an historical and economic one, because no country on the face of the earth has ever been enriched by continuing the production of a colonial product. Even Brazil was forced to renounce its position as the world’s leading coffee producer to produce meat and is now exporting to Europe because it is 100 times more profitable, and the production is weekly, not annual.”
In my opinion, cocoa and coffee should simply be eradicated in the African continent. This is the only certain way to end the dark days of colonial submission and humiliation, with Africa’s economy so dependent on the cultivation of certain plants that even major financial newspapers in the West continue at the end of 2011 to rank them as colonial products.
Former President Laurent Gbagbo had a choice: to turn to Africa in order for his country to move from a colonial economy to something else, the repositioning of Côte d’Ivoire to abandon the colonial products such as coffee and cocoa for strategic profitable sectors such as petrochemicals, which is 100 percent African. To achieve this, it is Ivorian experts who advise and develop infrastructure for this migration concept, including Equatorial Guinea, Angola etc.

In Cameroon

The approach in Cameroon should be encouraged, because the decision to establish a cotton processing plant in Cameroon has two advantages: First, because the real added value of an agricultural product resides in its transformation into a finished product and, second, because production to satisfy a national need helps to boost local demand and establish a virtuous circle of wealth creation. It is expected that within the next 10 years, Cameroon will move from being a cotton importer country to a cotton exporting one, satisfying the country’s cotton demand in hospitals and also being able to satisfy the African market.

It is expected that within the next 10 years, Cameroon will move from being a cotton importer country to a cotton exporting one, satisfying the country’s cotton demand in hospitals and also being able to satisfy the African market.
What the leaders of Cameroon understood is Laurent Gbagbo’ vision, which is that from now on, it is in Africa that we must seek wealth. Sitraco is the tree hiding the forest’s vast health development project’s business in Cameroon, which will attract patients not only from neighboring countries but from much further. Through its hospitals, Cameroon wants to retrieve the lucrative medical evacuation bonanza to France from French-speaking African countries, in particular for very specific specialties: cardiovascular, trauma, neurosurgical, ontological and ophthalmological.

From now on, it is in Africa that we must seek wealth.
According to incredible figures provided by Burkina Faso Minister of Health Bedouma Alain Yoda, the government of a small and poor country like Burkina Faso pays to France to evacuate about 50 patients a year a whopping 900 million FCFA (1,372,000 euros) annually. This information was made public by the Burkina Faso daily newspaper, The Country, in its edition of Sept. 19, 2007. In Yaoundé, we want some of that cake. History does not tell us yet if Paris is very happy with the activism of this new unexpected competitor.

A history teacher and union organizer before his election in 2000, President Laurent Gbagbo championed the liberation of the Ivorian economy from French domination. French military intervention led to his ouster, and French soldiers were among the forces that stormed his residence and captured him and his wife in the pre-dawn hours of April 12 as they slept. Observes Dr. Kwame Osei, writing in Modern Ghana April 13, “The capture of Laurent Gbagbo by White French mercenaries brings the essence of White imperialism against Afrikan liberation to the fore.” – Video frame: AFP
Another area in which the leaders of Yaoundé are looking for trouble with President Sarkozy of France is in training and education. One can easily imagine the scene inside the Etoudi Palace, home of the president of Cameroon, where the host takes a pen and calculator to see how much cash is generated each year from African students who flock to Europe. A real jackpot! And all productive reflections had to be on catching some of that! Once again, thanks to the Chinese partnership, public and private universities are now coming out of the ground like mushrooms.
Cameroon, enjoying the privileged position of being the only bilingual (French and English) country on the African continent, is not only trying to prevent Cameroonians from leaving their country but is also trying to attract other African students. While the host of the Elysee (home of the French president) counts on the stigmatization of African students to boost his poll numbers, one can bet that removing such an excuse will be seen as a crime. Since the month of May 2011, a decree has surfaced to summon African students to leave France the day after their graduation.

What to do once one realizes the mistake in choosing alliances?
Today, the development of Africa is a matter of decisive choice in the geostrategic position of each country. The alliance with the West, on the verge of bankruptcy, seems suicidal to me as a choice, because the result is known in advance: misery guaranteed as the main course and debts for dessert. The Libyan leader Qaddafi is an example of the suicidal choice. He chose the alliance with the West, snubbing China or Russia. He let his Secret Service be controlled by the CIA, which later would be fatal to him. His Secret Service, by becoming American, ensured he would no longer be safe anywhere on Libyan soil.

In the wild, mammals look for powerful and strong males to mate and provide offspring in order to guarantee the future, because the weak are often bitter and generate other weaknesses that leave little to no chance for the race to survive for a long time and do not portend any future. Right now, the West is this weakened animal and for that reason is more dangerous to itself and to its allies. Its weakness makes it bitter. A day will come when the West will understand that it will no longer be saved from its deep financial and social crisis by Côte d’Ivoire and only then will they realize that they do not need President Ouattara.

When that day comes, coinciding with the awareness of putting the best interests of Ivoirians first, it will whistle the end of the cultivation of colonial cocoa. On that day, Ouattara will be renamed “African dictator” and there is no need to be a magician in order to predict that on that day all NGOs will come out, rising up from everywhere to explain how he is wicked and how he enriched himself on the backs of his own people. Another African will be found quickly to replace Ouattara that day and we, the African people, will be there to support him with all our strength, exactly as we did for the Libyan leader, because the African tradition requires us never to abandon one of our own, no matter what.

Niccolo Machiavelli (1469-1527) – did he not say: “To predict the future, we must know the past, for the events of this world at all times have links to the times that preceded them. Created by men animated by the same passions, these events must necessarily have the same results?”

How many of us will respond “present” in support of President Ouattara when his hour of disgrace arrives? What history will remember him beyond the inglorious page he wrote with his famous “international community”? Only Ouattara and his team will be able to answer these questions, through the actions and decisions they will make using their brains to avoid insisting on recipes that have already shown their limits.

Ivory Coast election contenders President Laurent Gbagbo (left) and Alassane Quattara share a laugh on election eve, Nov. 27, 2010, in Abidjan. - Photo: Thierry Gouegnon, Reuters
The worst is not to make mistakes, but to persist in making them. And the wisest move for him, in my opinion, will be to have the courage and strength to go against those who put him in power and to free his brother Laurent Gbagbo. He then will have left the treacherous Africa and the “governors’” club to enter into the courageous Africa in defense of African human dignity.
We are different from Europeans. The builders of the European Union resorted to a catalog of conditions to be met before entering the EU, and countries like Turkey, since 1962, have continuously failed to satisfy these conditions. In Africa we have privileged other values than money. That is why there has never been any catalog of conditions for accession to the Organization of African Unity (OAU) yesterday and to the African Union (AU) today and tomorrow in the United States of Africa, under construction.

What unites us is primarily the fight against the humiliation that the West has wanted to impose on us since the dawn of time. The International Criminal Tribunal is not clear evidence of the animosity against human dignity in Africa? How to explain that with the 3 million deaths in Cambodia, a genocide perpetrated by the “Khmer Rouge,” the special court is deliberating on Cambodian soil? The common denominator of the African people is anti-colonialism. It even was the basis for the foundation of the OAU.

What unites us is primarily the fight against the humiliation that the West has wanted to impose on us since the dawn of time.
And we will not build the United States of Africa without involving everyone, without realizing the harmful ability of those who want to arm us, those who want to divide us in order to drive our heads of state from power, and kill them. We are extremely outraged by these acts of barbarism, and if those who have power are not aware of this, we must be outraged twice as much.

Conclusion
The decline of the West is paradoxically an opportunity for Africa, provided that we are aware of the importance of the place we can occupy in this new era with the redistribution of seats. The West cannot help us because it cannot help itself. President Obama visited Ghana and presented that country as a successful Western ally, but the truth is bitter. Ghana, for its growth, turned to China and received 10 billion American dollars, provided by China alone, an amount that no Western country is capable of offering.

The West cannot help us because it cannot help itself.
As of Nov. 23, 2011, for the first time, even Germany, Europe’s most virtuous and richest country, could not borrow money on the markets. Their operators are the first to bet on their inexorable downward spiral.

Professor Jean-Paul Pougala, author of this essay, teaches two courses at the Geneva School of Diplomacy: Sociology and the Evolution of Political Thinking from Confucius to Bobbio. Here he is (above and below) with some of his students. The prestigious school’s “purpose is to prepare future world leaders for their roles on the world stage to advance peace and human rights.”
In the 21st century, this is the end of the United Nations and the triumph of continent-states. I do not look forward to the beginning of prosperity in my country, Cameroon, as long as the economy of another African country, such as Côte d’Ivoire, is lowered, because we need to be together, all of us, to have the necessary strength to resist aggressors in order to build the basis for a stable continental economy.
To do so, we need alliances; we need to count our friends, our true friends. For now, the best friend of Africa is China and we should all be outraged when Europe goes to Beijing to talk about Africa, about us, without us. Have we not sufficiently outgrown adolescence in the eyes of the West?

I do not look forward to the beginning of prosperity in my country, Cameroon, as long as the economy of another African country, such as Côte d’Ivoire, is lowered, because we need to be together, all of us, to have the necessary strength to resist aggressors in order to build the basis for a stable continental economy.
Other African heads of state, such as Laurent Gbagbo, will be further humiliated by them, and some others, such as Qaddafi, will be killed. But the worst thing that an African can do is to be a participant in any way in these acts, to be an accomplice, directly or indirectly, in these acts against his own, against all of us. Because when any African is demeaned, it is all of us who are demeaned. When any African is humiliated, it is all of us who are humiliated. And when any African is insulted as “scum,” it is all of us who are insulted as “scum.” When any African is killed, it is us all who are killed. Defending one another is to defend oneself today, is to defend our children tomorrow. And to choose our alliances, we must first identify against whom we have to defend ourselves.

Jean-Paul Pougala is a Cameroonian author and director of the Institute of Geo-Strategic Studies and professor of sociology and geo-politics at the Geneva School of Diplomacy, Switzerland. He describes his most successful book, “In fuga dalle tenebre” (“Escaping from Darkness”), which is used by about 300 secondary schools in Italy, as “an autobiography of the life of an African on four continents, starting from my childhood in very deep poverty in Africa then breaking the invisible chains of modern slavery through knowledge hunting.” His email is pougala@gmail.com and website is www.pougala.org. Translator Therese Boua is based in North Carolina.

MARK_S

January 9th, 2012, 04:28 PM

Tanzania ranked 7 "highly" among 45 favorable tourist destinations in the World. www.thecitizen.co.tz/news (http://www.thecitizen.co.tz/news/-/18652-tanzania-ranked-highly-as-tourist-destination)

:cheers:

bantugbro

January 18th, 2012, 12:32 PM

Uhuru na Umoja

January 19th, 2012, 01:34 PM

Ophir Energy kicks off Tanzanian drilling
By Darshini Shah | Tue, 03/01/2012 - 11:13

Ophir Energy (OPHR) kicked off 2012 with a start to its drilling programme in Tanzania, with plans to drill "at least nine wells" across its whole portfolio during the year.

Drilling will commence with the Jodari-1 and Mzia-1 (previously named 1W) wells, both located in Block 1. The company said that "for efficiency reasons", the Mzia-1 top hole section will be drilled first, before moving to Jodari-1. After Jodari-1 has been completely drilled, the bottom portion of Mzia-1 will be worked on.

The Mzia-1 well spudded in 1,500 metres of water on 1 January 2012, with drilling of the top hole section expected to take seven to 10 days. The Jodari-1 well will spud in a water depth of 1,155 metres and drill to total depth of about 4,600 metres subsea in an estimated 40 days.

"Jodari is modelled by Ophir to contain mean resources of 2.2 trillion cubic feet in the stacked targets," the company said in a statement.

Ophir currently holds 40% of Blocks 1, 3 and 4 in Tanzania, with the remaining 60% owned by BG Group (BG.), which has full operatorship.

Other assets

Tanzania is also home to Ophir's East Pande 3D seismic programme, which commenced mobilisation on 30 December. The 2,200 square kilometre 3D seismic programme, in which Ophir holds 70% of the East Pande licence, is expected to take 40 days to complete and is designed to mature prospects for possible drilling late in 2012.

With regard to the Equatorial Guinea rig contract, Ophir expects to "imminently" conclude negotiations to secure a rig for a three to four-well drilling programme in the extended Block R, in which Ophir holds an 80% interest. The programme is expected to start in late March and is estimated to take approximately 60 days.

Last but not least, the Mbeli and Ntsina 3D seismic programme in Gabon, in which Ophir holds 50%, commenced mobilisation on 26 December. The 2,100 square kilometre 3D seismic programme is expected to take 42 days to complete.

Looking for more on the oil explorer? Find out what David Buik said about Ophir in his stock picks for 2012.
http://www.iii.co.uk/articles/22532/ophir-energy-kicks-tanzanian-drilling

:cheers:

deathstalker

January 21st, 2012, 04:31 AM

I got a question, is Africa open for online investments? Forex markets?

Ulpia-Serdica

January 21st, 2012, 06:48 AM

I got a question, is Africa open for online investments? Forex markets?

If you live in the US or EU, there are plenty of online brokerage and online trading platforms through which you could use to invest directly in African equities (mainly South African), although for smaller markets such as African stock exchanges, you need to call the broker to make the transactions. For instance, I use to use HSBC InvestDirect for my investments before swtitching, if I remember correctly I had access to JSE but only through phone calls, pretty sure it was the only available African stock exchange.

Usually it is difficult to invest on African stock markets directly if you are living outside of the country. There are still some regulations that ultimately cause problems and most of them don't have enough liquidity for small investors. Best way is to invest in ETFs and some rare ADRs here and there.

deathstalker

January 21st, 2012, 07:26 AM

Oh i see... Is it legal on this page to share what I am up to as of now, I have a program I am part of that is indefinitely sustainable.

Have you heard of Justbeenpaid sir? Alot has already earned in this pogram and thought I want to share this to you guys. This has been trending alot.

I'll PM you sir for the info just in case. =)

Or click my siggy below.

Ulpia-Serdica

January 21st, 2012, 07:49 AM

No offense, but I am not a fan of online promotion of such "money making" websites. But thanks for the offer I guess.

deathstalker

January 21st, 2012, 07:56 AM

None taken sir... thank you.

Wust El Balad

February 21st, 2012, 06:37 PM

Iran plans US$5 bln worth of investments in Egypt

Experts said a number of joint projects between Egypt and Iran would bring in Iranian investments worth US$5 billion to Egypt, after 30 years of sour relations between the two countries.

Al-Sayed al-Aqeeli, the director of the Arab Company for Industry and Investment and the solicitor general of the Iran Garment Holding Company in the Middle East, which includes major Iranian companies, said Egypt agreed to allow US$5 billion worth of Iranian investments.

In a statement published by Al-Ahram Newspaper’s website, Aqeeli said that Egypt had agreed to allow Iranian investors into the country to work on economic activities that will create at least 6,000 jobs.

Aqeeli said that during a meeting with Industry Ministry officials on Sunday, they agreed to reopen a number of auto companies, allow the purchase of assets and settlement of distressed Egyptian companies' debts, and rehabilitate factories that had been closed down.

He pointed out that a number of meetings would be held with the Ministry of Aviation to discuss resuming direct flights between the two countries, and to consider the use of the Cairo International Airport as a "transit" stop for Iranian passengers travelling from Iran and heading to the US, Africa and Asia. He said that some 2 million passengers travel this route annually and that it would bring in huge revenue.

Aqeeli said approval was given for projects in Beni Suef, Minya and Sohag on an area of 3 million square meters. The projects include the establishment of automobile assembly and manufacturing companies, flour mills that would generate one million tons of wheat annually, and liquefied petroleum gas cylinder production and packaging companies that would produce at least 10 million cylinders per month.

:cheers:

SUNS 25

February 23rd, 2012, 04:26 AM

interesting news for Egypt.

Kangaroo MZ

February 24th, 2012, 12:29 AM

Natural gas discoveries in East Africa lately :banana:

Shell’s Cove Bid Starts Race for East African Gas Fields: Energy
February 23, 2012, 2:31 PM EST

Feb. 23 (Bloomberg) -- Royal Dutch Shell Plc’s $1.6 billion bid for Cove Energy Plc starts a race to develop natural-gas fields off Mozambique’s Indian Ocean coast that may hold more than Norway’s entire reserves.

Winning Cove would give Shell an 8.5 percent stake in a block where Anadarko Petroleum Corp. has found 30 trillion cubic feet of gas. Italy’s Eni SpA has discovered even more in a neighboring area. Together, there’s sufficient fuel for the development of two $20 billion liquefied natural gas plants to supply customers in Asia, according to Deutsche Bank AG.

“We’re a natural partner in that project,” Shell Chief Executive Officer Peter Voser said in an interview in The Hague yesterday. “We are the global leader in LNG, so this is an interesting province for us to actually further grow.”

East Africa’s fields offer a fresh source of gas supply for China and India, the world’s fastest-growing major economies. Demand for LNG in Asia is rising at almost 20 percent a year, outstripping the pace of production growth, according to Sanford C. Bernstein & Co. Prices in the region reached a record in November.

Shell won’t be the last company looking for a way into Mozambique. India’s Oil & Natural Gas Corp. was among Asian producers considering a bid for Cove and a counter-offer remains possible. At the same time, Eni and Anadarko have both said they’re willing to sell stakes in their discoveries.

“This move from Shell leaves other European majors behind,” said Alejandro Demichelis, a London-based analyst at Bank of America Corp., adding that BP Plc and Total SA are likely to want a role in Mozambique.

‘Assessing Opportunities’

Shell, Exxon Mobil Corp. and BP, which had also considered a Cove bid, according to London’s Sunday Times, are the biggest LNG producers among international oil companies.

Shell itself isn’t likely to settle for Cove’s 8.5 percent stake in Anadarko’s Rovuma fields and said yesterday it’s “assessing opportunities” to expand in Mozambique.

The Anglo-Dutch company so far had a limited presence in east African exploration. Since 2002, it has been negotiating four exploration licenses off of Zanzibar and Pemba islands, part of the semi-autonomous nation on an archipelago in the Indian Ocean. Shell had also drilled a dry well with Petroleo Brasileiro SA in Tanzania last year.

Cove is “too small for a company the size of Shell with ambitions and expertise in operating large scale LNG developments,” Demichelis said.

Northern Neighbor

London-based Cove jumped 26 percent to 194 pence in London trading yesterday after Shell offered 195 pence a share, or 992 million pounds ($1.6 billion). While Cove said yesterday it expects the board to recommend the offer, formal sales process for the company will continue.

The offer boosted the price of other U.K. drillers in east Africa. Ophir Energy Plc, which is looking for partners for its drilling campaign off Tanzania, climbed 7.3 percent and Afren Plc gained 5.9 percent.

Tanzania, Mozambique’s northern neighbor, also has the potential to support LNG projects. BG Group Plc has already found about 4 trillion cubic feet of gas there and Ophir CEO Nick Cooper said last month the geology that yielded Mozambique’s discoveries may extend across the border. Cove also has exploration rights.

East African LNG projects will compete with gas from Australia, where Shell, Chevron Corp. and other companies plan to invest about $250 billion in export projects to supply Asia. One of the attractions of East African gas is that projects will be relatively cheap, Bernstein analyst Oswald Clint said.

Gas Production

“We estimate that East African projects are likely to be significantly cheaper than Australian developments,” Clint said. Through Cove, Shell is also “adding in attractive frontier exploration acreage in Kenya and Tanzania,” he said.

Mozambique, a $24 billion-a-year economy that ranks 213 of 227 countries in the world for per capita income, has no significant natural-gas production.

The global gas market will be driven by demand from China, where LNG imports will more than double by 2015 to 30 million tons a year, trailing only Japan as a buyer by 2020, according to Bernstein. The average price of Japan’s LNG imports rose to a record $16.96 a million British thermal units in November, Japan LNG Corp. data show.

Anadarko’s Rovuma discoveries and Eni’s neighboring Mamba find, where the Rome-based company has found 40 trillion feet of gas so far, together contain 70 trillion cubic feet. Norway’s reserves in 2010 were 72 trillion feet, according to the BP Statistical Review of World Energy. Both companies plan more appraisal wells.

CEO Paolo Scaroni said Eni’s willing to sell part of the field. Anadarko, which has no track record in LNG, may also dispose of part of its Mozambique holding, Chuck Meloy, a senior vice president of worldwide operations, said Dec. 6.

“We’re talking about a phenomenal amount of gas to be discovered yet in East Africa,” said Ashwin Punde, a managing director for energy investment banking at Bank of America. Shell’s bid is a “classic example of a big company swallowing a minnow.”

--With assistance from Brian Swint in London. Editors: Will Kennedy, Todd White

To contact the reporters on this story: Eduard Gismatullin in London at egismatullin@bloomberg.net; Fred Pals in Amsterdam at fpals@bloomberg.net

To contact the editor responsible for this story: Will Kennedy at wkennedy3@bloomberg.net
LINK (http://www.businessweek.com/news/2012-02-23/shell-s-cove-bid-starts-race-for-east-african-gas-fields-energy.html)