BUSINESS - The African Mirror

Oct

27

2023

S.Africa’s Transnet seeks government bailout as debt mounts

BUSINESS

SOUTH Africa's state-owned logistics company Transnet has requested an unspecified cash injection from the government as it seeks to reduce debt and return to profitability, it said on Thursday. "Transnet has requested that national Treasury provide an equity injection to support the recovery plan implementation needed to reduce debt and meet required financial ratios for debt capital market participation," Transnet acting CFO Hlengiwe Makhathini told a media briefing. Board chairman Andile Sangqu said Transnet would be unable to carry out its turnaround plan, which seeks to restore freight volumes and return the company to profitability over the next 18 months…

Oct

26

2023

By The African Mirror

Nigeria aims to cut number of taxes to fewer than 10

BUSINESS

NIGEIA is aiming to reduce the number of taxes levied by federal and state governments from more than 60 to fewer than 10, the head of a tax reform committee said, part of changes to make it easier to conduct business and to boost revenues. Africa's biggest economy, Nigeria, has a tax-to-GDP ratio of 10.8%, one of the world's lowest, forcing the government to rely on borrowing to fund its national budget. Investors often cite Nigeria's many taxes and multiple revenue collection agencies for adding to the cost of doing business and discouraging investment. Taiwo Oyedele, President Bola Tinubu's advisor…

Oct

26

2023

By ELIAS BIRYABAREMA

Airtel Uganda doubles bonus shares ahead of IPO close

BUSINESS

AIRTEL Uganda said it has doubled the amount of bonus shares for potential investors, to boost participation in its initial public offering (IPO) set to close on Friday. Bonus offers will be doubled for investors across all categories, Airtel said in a statement issued late on Tuesday. The firm launched its share sale on August 29 and set the share price at 100 Ugandan shillings. It had initially announced bonus shares of various sizes ranging from 1-37 for different categories of investors. Airtel is selling 20% of its equity in a move aimed at raising 800 billion Ugandan shillings ($213…

Oct

26

2023

By BRIAN BENZA

Botswana’s ODC halts diamond sales as industry seeks to reduce glut

BUSINESS

BOTSWANA'S state-owned Okavango Diamond Company (ODC) has temporarily halted its rough stone sales as part of an industry-wide drive to reduce the glut of inventory caused by lower global demand for jewellery, its managing director Mmetla Masire said. ODC, which reported a record $1.1 billion in revenue in 2022, holds 10 auctions a year to sell its 25% allocation of production from Debswana Diamond Company, a joint venture between Anglo American's De Beers and Botswana, in terms of the partners' gem sales agreement. Debswana produced about 24 million carats last year, with ODC getting an allocation of about 6 million carats.…

Oct

25

2023

By FLORENCE TAN and MUYU XU

Ghana looks to market more oil and gas blocks

BUSINESS

GHANA is looking to boost its oil and gas production by selling more exploration rights, aiming to avoid leaving valuable fossil fuels in the ground and generate revenue to fund its energy transition, a Ghanaian official said. The West African country is suffering its worst economic crisis in generations and has been seeking investors from countries such as the United States, China and India for its oil and gas sectors. "For any investor to look at a temporary hiccup as a basis for decisions in Ghana I think would be making a mistake," said Andrew Kofi Egyapa Mercer, deputy minister…

Oct

25

2023

By The African Mirror

Morocco signs $282 mln financing agreements with African Development Bank

BUSINESS

MOROCCO has signed three financing agreements with the African Development Bank worth more than 2.9 billion dirhams ($281.96 million), Morocco state news agency (MAP) reported. The first agreement would finance a health infrastructure program with about $126.4 million, while another agreement would support a social coverage program with approximately $155.6 million. The third agreement is for financing an emergency assistance project following the deadliest earthquake in the country's recent history in September, with $1 million.

Oct

25

2023

By The African Mirror

Botswana appoints Dekop as new central bank governor

BUSINESS

BOTSWANA President Mokgweetsi Masisi appointed Cornelius Dekop as the new central bank governor with immediate effect, his government said in a statement. He replaces Moses Pelaelo, who had served as the governor of the Bank of Botswana since 2016. The statement by the Botswana government's communications department did not provide a reason for Pelaelo's departure three days before an interest rate decision.

Oct

24

2023

By CHIJIOKE OHUOCHA

Nigeria expects $10 bln in forex inflows in weeks

BUSINESS

NIGERIA expects $10 billion in foreign currency inflows in the next few weeks to ease liquidity in a foreign exchange market that has cramped growth in Africa's biggest economy, finance minister Wale Edun said. The West African country has faced chronic dollar shortages after foreign investors exited local assets during a period of low oil prices. Since then, investors have yet to return and the central bank has not yet settled outstanding demand for dollars from foreign investors seeking to repatriate funds or airlines seeking to send money from ticket sales abroad. As a result of the shortages, some businesses…

Oct

24

2023

By KOPANO GUMBI

South African central bank deputy governor Naidoo asks to resign

BUSINESS

KUBEN Naidoo, one of the deputy governors of South Africa's central bank, has asked to resign from his position, President Cyril Ramaphosa's spokesperson said. Spokesperson Vincent Magwenya said whether the president would accept Naidoo's resignation or any date of his departure, was "still under consideration". Naidoo is one of five members of the SARB's Monetary Policy Committee that decides on interest rates and an analyst said his departure, if accepted, may change the voting dynamics of the committee. "There is an impression that he is a little more dovish than the other members of the MPC," said Azar Jammine, chief…

Oct

21

2023

By BONFACE ORUCHO, BIRD STORY AGENCY

African women CEOs in tech startups are narrowing the funding gap

BUSINESS

FUNDING to female-led tech startups in Africa is surging, defying previous regressive trends. According to Africa: The Big Deal's latest Q3 2023 report, woman-led startups now command 19% of total equity funding—the highest since Q1 2021. This marks the fourth consecutive quarter of growth, according to the Africa startup database and insights provider, and is a substantial increase from a year ago, when the amount was only 4% in Q4 2022, increasing to 7% in Q1 2023, 12% in Q2, and now 19%. The 19% share stands as the second-highest share since 2019, trailing only Q1 2021's, 25%, recorded at…