BUSINESS - The African Mirror

Jan

12

2024

IMF ‘optimistic’ Ghana will reach official creditor debt deal soon

BUSINESS

THE International Monetary Fund said that it was "optimistic" that Ghana and its official bilateral creditors would reach a debt restructuring deal soon, paving the way for another $600 million IMF loan payment to the country. Discussions between Ghanaian authorities and the Official Creditor Committee, co-chaired by China and France, are showing "promising progress", the IMF's Resident Representative for Ghana, Leandro Medina, said. "We are optimistic that an agreement will be reached soon, allowing to swiftly present the first ECF (Extended Credit Facility) programme review to our Executive Board," he said via email. The West African nation defaulted on most…

Jan

11

2024

By The African Mirror

Nigeria cenbank sacks boards of three lenders for regulatory failures

BUSINESS

NIGERIA'S central bank has sacked the boards and management of three lenders for non-compliance with banking regulations and corporate governance failures, it said. The affected lenders are privately held Union Bank, Keystone Bank and Polaris Bank, each of which had come under government control in the past. The move by Central Bank Governor Olayemi Cardoso comes as the sector gears up for an expected regulatory-induced capital hike which the governor has said is needed to support Nigeria's economic growth ambitions. "The Central Bank of Nigeria (CBN) has dissolved the Board and Management of Union Bank, Keystone Bank and Polaris Bank,"…

Jan

10

2024

By The African Mirror

IMF approves disbursement of $60.7 million to Mozambique

BUSINESS

THE International Monetary Fund's executive board has completed the third review of Mozambique's three-year loan program, allowing for an immediate disbursement to Maputo of about $60.7 million, the fund said. The review brings total disbursements under the $456 million Extended Credit Facility program approved in 2022 to about $273 million, the IMF said late on Monday. "Program performance has been satisfactory," it said in a statement, adding that inflationary pressures had declined sharply and the economic recovery is accelerating. The three-year arrangement is expected to support economic recovery and policies to reduce public debt and financing vulnerabilities, while creating space…

Jan

09

2024

By NYASHA CHINGONO

Zimbabwe gold output declines 15% amid electricity, forex shortages

BUSINESS

ZIMBABWE produced 30 metric tons of gold in 2023, 15% less than the previous year, official data showed, as electricity cuts and currency volatility impacted output. The southern African country was once among the top gold producers on the continent but has fallen far behind regional peers Ghana, Mali, Burkina Faso, Guinea and Tanzania as an extended economic crisis kept investors away. Zimbabwe remains largely under-explored and its operating mines struggle to raise capital due to concerns over government policy and property rights, especially after the seizure of white-owned farms at the turn of the century. Output plunged to a…

Jan

09

2024

By The African Mirror

Nigeria’s central bank pays nearly $2 billion towards FX backlog

BUSINESS

NIGERIA'S central bank has paid nearly $2 billion in outstanding foreign exchange forwards in the last three months in a bid to clear a backlog of dollars, a spokesperson has said, but forex shortages continue to hobble the country's naira currency. Africa's biggest economy has nearly $7 billion in forex forwards that have matured, a major concern for investors, but the Central Bank of Nigeria (CBN) has promised to pay up to boost confidence in the foreign exchange market. "In the past three months, the CBN has also redeemed outstanding forward liabilities amounting to almost USD 2 billion," acting spokesperson…

Jan

07

2024

By LISA BAERTLEIN

War, weather put ocean shippers on notice for rough seas in 2024

BUSINESS

RECENT hostilities in the Red Sea have thrown global shippers of vital goods for a loop - but it is hardly the only issue big carriers face as 2024 kicks off. Giants like Maersk say the industry, which handles 90% of global trade, faces the possibility of significant disruptions, from ongoing wars to droughts affecting key routes like the Panama Canal. Complex vessel schedules are likely to be knocked out of sync for giant container ships, fuel tankers and other commodity hauliers throughout the year. That will increase delays and raise costs for retailers like Walmart, IKEA and Amazon, as well…

Jan

06

2024

By The African Mirror

Nigeria’s Port Harcourt oil refinery to complete test run this month

BUSINESS

NIGERIAN state-owned oil firm NNPC Ltd will complete test runs at the Port Harcourt refinery in the south this month, in a major step towards resuming operations five years after the plant was shut, the company said. "Testing will conclude shortly, ensuring the refinery's efficient operation. That phase will be completed this month," NNPC spokesperson Femi Soneye said. The refinery, which is undergoing an upgrade, will begin by processing 60,000 barrels per day, and NNPC expects to operate at the full capacity of 210,000 barrels per day later this year. Port Harcourt is among Nigerian state-owned refineries that have been…

Jan

06

2024

By The African Mirror

South African power plan points to need for massive plant build

BUSINESS

SOUTH Africa needs a massive power plant construction programme to ensure adequate electricity supply up to 2050, a government planning document released for public comment showed. Africa's most industrialised economy has suffered power cuts for more than a decade which have held back growth, reaching record levels last year lasting up to 10 hours a day. The latest iteration of the government's Integrated Resource Plan (IRP) analysed different options to close the power shortfall over the period up to 2030, and the period from 2031 to 2050. Up to 2030, the plan said the deployment of "dispatchable" power generation options…

Jan

06

2024

By The African Mirror

Egypt agrees with AD Ports to develop Red Sea tourism terminals

BUSINESS

EGYPT initialed an agreement with Abu Dhabi's AD Ports Group to develop, operate and maintain terminals for passengers and cruise lines at the Red Sea ports of Hurghada, Safaga and Sharm El Sheikh, its transport ministry said. The contract will also commit AD Ports Group to develop yacht and cruise ship tourism in Egypt, the ministry statement said. "This contract will contribute to operating cruise lines between Zayed Port and Safaga, Hurghada and Sharm El-Sheikh and, later, Arabian Gulf ports, Aqaba and Europe and Asia," the statement added, without giving the value or duration of the contract. Egypt last week signed…

Jan

05

2024

By The African Mirror

TotalEnergies hires former Benin PM to assess E.Africa land purchases

BUSINESS

FRANCE'S TotalEnergies has hired former prime minister of Benin Lionel Zinsou to assess land purchases in Uganda and Tanzania as part of the Tilenga oil and East African Crude Oil Pipeline (EACOP) projects. Activist groups, led by Friends of the Earth France, are suing TotalEnergies over the projects, accusing it of failing to protect local people and the environment. TotalEnergies rejects the allegations. TotalEnergies said on Thursday that as the land acquisition process draws to a close, Zinsou will evaluate the procedures used, the conditions for consultation, the compensation and relocation of people affected, and grievance handling. Zinsou's consulting firm…