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Anglophone West Africa
- According to a report from the
World Bank, remittances into Nigeria declined by 21.7% y/y in 2020 to $16.8bn,
from $21.5bn in 2019. Nigeria's remittance collection of $16.8bn represents
40.0% of the entire sum of $42.0bn collected in the Sub-Saharan Africa (SSA)
region. Meanwhile, total remittances into SSA region declined 12.5% y/y. The
decline in remittance collections reflects the impact of the pandemic on the
earnings of Africans living abroad.
- During the week, the National
Bureau of Statistics released data on Company Income Tax (CIT) collections for
Q1-2021. According to the report, total CIT collections rose 32.8% q/q and
32.8% y/y to N392.8bn from N295.7bn in Q4-2020 and N295.7bn in Q1-2020. The
strong growth in CIT collections is impressive, indicating sustained rebound in
- According to officials of the
Federal Ministry of Mines and Steel Development, concerted efforts have been
directed towards exploiting Nigeria's mineral resources, as the government
focuses on diversification from crude oil. According to them, studies conducted
found huge deposits of gold in Zamfara and Osun while studies are being
conducted in other states. Also, efforts are being set in place to ensure these
resources are revenue generating.
- Excerpts from the personal
statement of one of the Monetary Policy Committee's members stated that 83.0%
of banking sector creditors were able to access credit at less than 15.0% in
- The Presidential Economic
Advisory Council (PEAC) has faulted certain provisions in the Petroleum
Industry Bill (PIB). Some of the components of the bill which it faulted
includes the recommendation that the Federal Government should own 100.0%
shares in the Nigerian National Petroleum Corporation (NNPC) Limited. According
to the PEAC, the ideal scenario will be for the NNPC to be set for an initial
public offering so that the company can raise its own capital. It also
recommends the appointment of more independent directors on the board to
improve corporate governance.
- Furthermore, the PEAC recommended
that only one regulator should be set up to regulate the oil & gas
industry. The bill currently provides for two regulators, one to oversee
upstream activities and another to oversee midstream and downstream activities.
According to them, the single regulator can have different departments to
coordinate activities of separate segments of the value chain in a synergized
- The Transmission Company of
Nigeria (TCN) confirmed that the national electricity transmission grid suffered
its second collapse in six months.
- Ghana's annual consumer inflation fell to a 13-month low in Apr-2021,
down to 8.5% from 10.3% in Mar-2021, closer to the middle of the BOG's
inflation target range (6.0% - 10.0%). Driving the decline in inflation, annual
food inflation which kept headline inflation above 10.0% for a long period
slowed to 6.5% in Apr-2021 from 10.8% in Mar-2021.
- However, outlook for inflation in the short term sees some near term pressures
as new tax measures that took effect on May 1 and rising oil prices (feeding
higher fuel cost) could exert upward pressure on inflation.
- Reports claim the prolonged dry season in Ghana has weighed on power
generation from the country's hydropower plants. The resultant electricity
shortages have hampered economic activities through periodic outages and
- According to IHS Markit, Ghana's Purchasing Manager's Index (PMI) for
April indicated an expansion in private sector activities for the ninth
consecutive month. Despite the sustained momentum, Covid-19 related
restrictions continue to weigh business conditions within the country.
Francophone West Africa (WAEMU)
- Ivory Coast Prime Minister
Patrick Achi has been admitted into hospital following post-surgery
- Following the news, the average
yields on Ivorian Eurobonds grew by 6bps to close at 5.25%.
- The Head of Ivory Coast's Cocoa
& Chocolate industry regulator told Reuters it asked cocoa and chocolate
companies in Ivory Coast and Ghana to pay more in premiums to support farmers' wages.
- Ivory Coast and Ghana, which
together produce about two-thirds of the world's cocoa, introduced a $400 per
tonne premium this season termed the Living Income Differential (LID) to
increase wages for farmers, many of whom live in poverty.
- United States Trade and
Development Agency (USTDA) has allocated a grant of just under $1.0m to fund
feasibility studies for large-scale battery storage projects in Mozambique and
- The Ethiopian Roads Authority
(ERA) has announced that it will soon start the construction of the Adama Awash
Road, which is expected to be part of Ethiopia's fourth expressway.
- In the first nine months of the
current Ethiopian budget year, Ethiopian insurance companies collected 11.3bn
birr in insurance premiums, an increase of c.21.0% y/y.
- The Nairobi Securities Exchange
(NSE) launched its Unquoted Securities Platform (USP). The USP facilitates the
trading, clearing and settlement of securities of unlisted companies in Kenya.
- The Institute of Pension
Management (IPM) and the School of Pension and Retirement Studies (SPRS)
announced a partnership to offer financial literacy training, to individuals
and corporates with a focus on pension matters. The program intends to train at
least 10,000 people over 3 years.
- Kenya has suspended all
commercial and cargo flights to and from Somalia with effect from 11th May 2021
until at least 9th August 2021, with the exemption of flights from Somalia to
other destinations which pass through the Kenyan airspace.
- Uber Technologies Inc. has raised
fares in Kenya (and Nigeria) in response to agitations from drivers for a
higher share of commissions to compensate for increased operational costs, particularly
- KCB Group announced plans to
spend a total of KSh6.0bn to acquire two banks in Rwanda and Tanzania from
London-listed Atlas Mara limited.
- The Nairobi Securities
Exchange-listed firm had earlier estimated it would acquire a 62.0% stake in
Banque Populaire du Rwanda Plc (BPR) and a 100.0% ownership in African Banking
Corporation Tanzania Limited at a cost of $40.0m (KSh4.2bn).
- The Tanzanian Minister of
Agriculture announced that the government will invest Sh10.6bn in the 2021/22
financial year to increase production of seed crops, including those used in
edible oil production.
- NMB Bank Plc has partnered with
Metropolitan Life Tanzania and Sanlam Life to launch two new insurance
products. The move is intended to raise insurance penetration in Tanzania, which
is currently estimated at c.0.6%.
- Statistics South Africa disclosed
that South Africa's mining output surged 21.3% y/y in Mar-2021, compared to a
revised contraction of 2.3% in Feb -2021.
- Following the sacking of its
General Secretary, the ruling party, African National Congress (ANC), has
appointed Jessie Duarte as the party's new general secretary after suspending
Ace Magashule, following allegations of corruption.
- Manufacturing and FMCG giant
Tiger Brands posted a 55.0% y/y increase in profit.
- South Africa's Rand rose to a
16-month high against the US dollar on Monday after Moody's left its sovereign
ratings unchanged. An improving political environment and the global market
risk-on sentiment provided further support.
- Lastly, the South African Reserve
Bank (SARB) is set to keep repo rates unchanged in May-2021 following a Reuters
poll of 25 economists. Inflation forecasts were firmly behind most analysts' "HOLD" forecasts, indicating inflation is yet to reach a concerning level. SA's
inflation forecasts were comfortably inside the SARB's target range of 3.0% -
- The Zambian Minister of Health
Jonas Chanda has disclosed that China has offered Zambia its Sinopharm Covid-19
vaccines as a contribution towards the nation's vaccination program. This
follows as the World Health Organization (WHO) recently approved China's
Sinopharm vaccine as safe and effective for emergency use.
- Zambia's finance ministry said
that it had reached a broad agreement with the International Monetary Fund
(IMF) on macroeconomic parameters, fiscal targets, and policy objectives during
talks to secure a lending programme.
- In a bid to attract increased
private investment, the Zimbabwean government has reformed its cannabis
cultivation law. It has eliminated requirement for private investors to be in
co-ownership with the government to cultivate cannabis. Investors can now own
100.0% of their investments and locate their facilities anywhere in the country
- Zimbabwe's government and
commercial farmer's union of Zimbabwe have signed amendments to a deal allowing
the state to delay compensating former white producers evicted from their land
two decades ago.
- In the past week, Angola's
Ministry of Health disclosed it had approved Sputnik single-dose vaccine in a
bid to boost its vaccination program.
- According to the Instiituto
Nacional de Estatistica, Luanda Consumer Price Index rose by 27.7% in Apr-2021.
Central Africa (CEMAC & Congo DRC)
- Maviance Plc, a Cameroon-based
fintech has announced the closing of its $3.0m investment round from the
Pan-African digital payments hub, MFS Africa, with the paymentâ€™s hub coming on
as a strategic investor. The funds will be used to expand the companyâ€™s
footprints across Cameroon and drive expansion into other Central African
Economic Region (CEEMAC) countries.
- According to data compiled by the
National Cocoa and Coffee Board (ONCC), price of robusta coffee now trades at
multi-month highs of between XAF525.0/kg - XAF575.0/kg in May-2021 from
XAF300.0/kg in May-2020. The surge in price has been driven by limited supply
given farmers substituted production of robusta coffee with food crops deemed
more profitable in the face of declining robusta coffee prices in 2020.
According to data from
International Energy Agency (IEA), crude oil production in Gabon grew to
190,000b/d in Apr-2021, from 180,000b/d in Mar-2021.
Francophone West Africa (WAEMU)
- Uhuru Investment Partners (Uhuru), a
small-business focused private equity group, announced the completion of its
fundraising for Uhuru Growth Fund I (Ugf), which raised $113.0m.
a logistics group, announced that FCfA22.0bn would be invested in various major
projects in Yopougon, San Pedro, and in the growth of Abidjan's lagoon
transport activity for bulk goods.
- According to the Commercial Bank of
Ethiopia (CBE), demand for digital banking services in Ethiopia has increased.
The CBE president attributed the increase to efforts aimed at encouraging
digital banking amid the disruption caused by the Covid-19 pandemic.
Lema, Crop Production Director at the Ministry of Agriculture, stated that the
Ethiopian government would continue to import wheat until irrigation
development projects substitute the country's wheat imports over the next three
- The Stanbic Bank's Kenya Purchasing
Managerâ€™s Index (PMI) for Apr2021 plunged to 41.5 from 50.6 in Mar-2021.
Notably, this is the lowest reading since May-2020, showing that Kenya's
private sector activity during the month of April dropped to its weakest level
in 11 months.
- The decline is due to travel limits and
extended curfews implemented in five counties at the end of March.
- International Finance Corporation (IFC) has
announced plans to lend $25.0m (KSh2.7bn) to Stellar Warehousing and Logistics
Limited, a Real Estate development firm in Kenya.
- According to a Mastercard research,
cryptocurrency adoption in Kenya is increasing, in line with consumer demand
for novel, quick, and flexible digital experiences.
- Uber Technologies announced the launch of
electric 'BodaBodas' and bicycles for drivers on UberBoda, Uber Connect, and
Uber Eats in Kenya. Uber estimates that the electric micro-mobility vehicles
will provide 45.0% reduction in operating cost for drivers.
- Goodwell Investments, an impact investment
firm, has unveiled a $60.0m fund targeted at fast-growing, scalable small and
medium-sized enterprises (SMEs) in Africa.
- According to the Uganda Bureau of
Statistics, consumer prices in Uganda rose 2.1% y/y in April, down from 2.7%
y/y in March. Notably, the inflation rate has slowed for the first time in
- I&M Holdings is said to have
completed the acquisition of c.90.0% of Orient Bank, a Ugandan commercial bank.
- Tanzania and Kenya have reached
an agreement to remove cross-border trade barriers that have hampered the free
movement of people and goods between the two countries. The decision was
reached during bilateral talks between President Uhuru Kenyatta and Tanzanian
President Samia Suluhu Hassan on her maiden visit to Kenya on May 4, 2021.
- Tanzania hopes to complete a $30
billion liquefied natural gas (LNG) project within six months, after President
Samia Suluhu called for the resumption of talks that had been stalled for more
than a year.
- Payment giant, Paystack has expanded into
South Africa, seven months after acquisition by Stripe.
all regulatory procedures, Grobank Limited has been officially renamed Access
Bank South Africa Limited. The deal was finalised after Access Bank's
acquisition of controlling shares in the former Grobank Limited, South Africa.
Secretary-General of South Africa's African National Congress (ANC), Ace
Magashule, has refused to comply with his suspension after being charged with
- Ace Magashule
denies the charges and said that he had instead suspended President Cyril
- Following news reports that a
lack of capital had halted production in one of its Konkola Copper Mine, the
state-appointed provisional liquidator of the copper mine refuted the claims,
stating that the mine has not been temporarily or permanently shut.
- Zambia held a treasury bills
auction where the Zambian government sold Zk380.4m, ZK127.5m, ZK116.3m and
Zk968.6m, across four different tenors , which closed at the 14.0%,16.0%, 20%
and 25.7%, for the 91-day, 182-day, 243-day and 364-day respectively.
- According to Fidelity partners
and refiners, a unit of the Zimbabwe Central Bank, Zimbabweâ€™s gold deliveries
fell 25.0% y/y to 5,362.4kg in the first four months of the year.
- Zimbabwe plans to list a $250.0m
Infrastructure Development Bank of Zimbabwe bond on its local exchange.
- The bond listing would be the
first listing of the Zimbabwe government in 20 years. Proceeds from the capital
raise will be used for the expansion and upgrade of the main highway that links
the country to its largest trading partner.
- Namibia sold N$550.0m($38.0m) of
bills due May 2022. Investors' appetite was strong as the offer was
oversubscribed by 2.6x.
- Telecoms Namibia's broadband
subscriptions grew by 14.0%, whilst revenue grew by 7.0% y/y in 2020.
- According to the Namibia
Statistics Agency (NSA), Namibia total merchandise trade increased to N$15.7bn
in March, a 4.4% increase from N$15.1bn in February.
- Consultancy firm, Fitch, projects
Angola growing 1.7% in 2021 and 3.3% in 2022. Furthermore, Fitch is projecting
inflation to moderate to 19.7% and 14.2% in 2021 and 2022. The average
inflation in 2020 was estimated at 22.7%.
- In the past week, Total and the
Angolan National Oil, Gas and Biofuels Agency announced the start of phase two
of its existing Oazfor Floating Production Storage and Offloading (FPSO)
project. The project includes the drilling of nine wells and is expected to
have a production output of 40,000 bpd by mid-2022.
Central Africa (CEMAC & Congo DRC)
- The National Institute of
Statistics (INS) announced a rebasing of the country's GDP numbers. The
rebasing exercise now takes 2016 as the base year as against the use of 2005
- Following the rebasing exercise,
actual GDP growth for 2020 now prints at 3.6% compared to the prior 0.8%
economic growth. Furthermore, the country's debt-to-GDP ratio now prints at
43.7% compared to 46.9% at the end of 2020.
- In more data-related news, the
INS announced that Consumer Price Index (CPI) for Douala, the nation's economic
capital, grew by 0.2% in Mar-2021, higher than the 0.1% recorded in Jan-2021
- According to loading plans
compiled by Bloomberg, Gabon plans to increase exports of its rabi blend crude
to 63,000 b/d in Jun-2021, making it the highest export level of the blend
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