Friday, October 08, 2021/ 12:00PM / United Capital Research /
Header Image Credit: Umaizi
Anglophone West Africa
- The President of
Nigeria, Muhammadu Buhari, is expected to present the budget estimates for the
2022 fiscal year to a joint session of the National Assembly on Thursday. He
disclosed that he sought to make changes in the recently passed Medium Term
Expenditure Framework/Fiscal Strategy Paper (MTEF/FSP).
- According to the Debt
Management Office, Nigeria spent N1.5tn on debt servicing payments in H1-2021.
In Q1-2021, the county spent N1.0tn on both domestic and external debt
servicing, while a total of N444.5bn was spent in Q2-2021.
- The World Bank has
approved $11.5bn in lending to Western and Central African countries (Nigeria inclusive)
for 98 operations, including $500.0m in IBRD commitments and $11.0bn in IDA
commitments. The World Bank has projected that the Nigerian economy will grow
by 2.4% in 2021. This is a revised figure from the bank's earlier projection of
1.8% in Jan-2021. The projected growth is expected to be driven by the service
- According to the data released by
the Nigeria Inter-Bank Settlement System (NIBSS), the value of e-payment
transactions in Nigeria rose by 6.4% to N24.1tn in Sep-2021 from N22.6tn in
- Ghana's GDP grew by 3.9% y/y in Q2-2021,
in real terms. This compares favourably to the 3.1% y/y growth recorded in
Q1-2021, and the 5.7% y/y contraction recorded in Q2-2020. Growth was driven by
the non-oil sector (+5.2% y/y) as the oil sector contracted by 10.8% y/y.
- The Vice President of the United States
of America, Kamala Harris, has assured the President of the Republic of Ghana,
Nana Addo Dankwa Akufo-Addo, that the United States will soon donate some 1.3
million Pfizer vaccines to Ghana.
- Ghana's House of Parliament will resume
sittings on Tue. Oct. 26th, 2021, after several weeks of being on
recess. The 2022 budget is also expected to be read during the sitting on Nov.
15, 2021, by the Finance Minister, Ken Ofori-Atta.
Francophone West Africa
- Senegal's economy is expected to grow by
5.5% in 2022 and the budget is expected to be 5.1 trillion CFA francs. However,
the Fiscal deficit for 2022 is expected at 4.8% compared with 5.4%.
- In 2021 due to the impact of the
coronavirus pandemic. Senegal aims to maintain a fiscal deficit of 3% from
- According to a statement released by
the government, Ivory Coast's oil production dropped by 16.5% y/y to 4.4m
barrels in H1-2021 due to depletion of operating wells and shutdown of
- Guaranty Trust Bank Kenya has secured a
$15.0m (Sh1.6bn) loan from the International Finance Corporation (IFC) for
onward lending to Small and Medium-Sized Enterprises (SMEs). The loan is part
of the IFC's COVID-19 crisis response program, which funds financial
institutions in emerging markets.
- Kenya is aiming to cut electricity bills
by c.33.0% starting in Dec-2021 in order to boost demand and preserve Kenya
Power, the country's beleaguered utility company, from collapse.
- Ethiopia's annual inflation rate
increased for a fifth consecutive month to 34.8% in Sep-2021, its highest
level since Feb-2012.
- The government has said it will
focus on reducing inflation and stabilizing the country's macroeconomic
- Tanzania's President Samia Suluhu
Hassan on Tuesday ordered a reduction of taxes imposed on fuel totalling
Tsh102.0bn ($44.2m) annually.
- Airtel Tanzania has partnered with
Tanzania Rural and Urban Roads Agency (TARURA) to enable motorists to pay
parking fees via Airtel Money
- MTN Uganda has announced plans to offer one-fifth of its stock to East African investors in an Initial Public Offering (IPO) on the Ugandan bourse.
- According to Uganda's Capital Markets Authority (CMA), MTN's listing is expected to double the size of the Uganda Securities Exchange (USE).
- According to South African Revenue
Service (SARS), South Africa's trade balance rose to R42.4bn in Aug-2021 as
exports, driven by commodity prices, continue to outshine imports. Exports rose
by 9.7% m/m to R158.9bn while imports rose by 8.0% m/m to R8.68bn over the same
period. Imports remain low due to sluggish local demand.
- The Absa Purchasing Mangers' Index (PMI)
declined to 56.8 points in Sep-2021 from 57.9 points in Aug-2021. The business
activity index shed 4.7 points to 53.8 points while new sales orders fell to
59.2 points from 60.9 points in the previous month.
- According to the National Association of
Automobile Manufacturers of South Africa (NAAMSA), the country's new-vehicle
sales increased for the second straight month in Sep-2021. On an annual basis,
total units sold were 15.8% higher compared to the same period last year. On a
monthly basis, new vehicle sales increased by 4.0% m/m in Sep-2021 to reach
43,130 units from 29.5% in Aug-2021.
- The National Union of Metalworkers of
South Africa (NUMSA) declared its intention to embark on an indefinite strike.
As a result, thousands of workers in South Africa's steel industry stopped work
on October 5 in support of the call for industrial action.
In a statement released by the Minister
of Economy and Planning, Mario Caetano Joao, the Angolan government forecasts
the economy will expand 2.4% in 2022 compared to 0.2% growth this year.
Also, the oil sector is expected to
expand 2.4% while the non-sector is forecasted to grow by 3.1% boosted by
agriculture and commerce.
- According to the Bank of Namibia, the
country's current account deficit narrowed N$3.1bn in Q2-2021 from N$3.8bn in
Q1-2021. Namibia's goods trade deficit narrowed to N$6.3bn in the quarter under
review from a deficit of N$3.8bn in Q1-2021.
to the Namibian Statistics Agency, China regained its spot at the top as the
country's largest exports for the month of Aug-2021. China's market share of
Namibia's export stood at 29.6% ahead of South Africa's 17.9% of total export.
The composition of the export basket mainly comprised of copper, precious
stones (diamonds), non-monetary gold, uranium ores and concentrates of base metals.
- The government of Zambia announced in a statement
that the country owed $5.8bn to Chinese creditors in H1-2021. Notably,
$4.3bn is owed by the central government, $1.3bn by state-owned
enterprises via facilities guaranteed by the government and $140.0m via
facilities not guaranteed by the government.