January 10, 2025/United Capital Research
Anglophone West Africa (WAEMU)
Nigeria
• IMTO inflows rise 63.7% in nine months – CBN
The CBN reported a 63.70% increase in international money transfer operator (IMTO) inflows during the first nine months of 2024. inflows rose from $2.33bn recorded during the same period in 2023 to $3.82bn in 2024.
Read More
• FX reserves hit $40.8bn one month after Eurobond
Nigeria’s foreign exchange reserves surged by $591.78mn in the month following the government’s $2.20bn Eurobond auction on 02-Dec-2024. The reserves increased from $40.29bn on 02-Dec-2024 to $40.88bn on 03-Jan-2025. This represents a m/m growth of 1.47% and highlights the positive impact of the Eurobond proceeds on the nation’s external reserves.
Read More
• Forex allocations for fuel imports rise to $1.25bn
The Central Bank of Nigeria (CBN) has released a total sum of $1.25bn to oil sector operators for the importation of petroleum products and other related items into the country between January and September 2024. The $1.25bn is 40.00% higher than the $891.00mn released by the apex bank to dealers during the same period in 2023. The CBN also indicated that 19 sectors and services seeking to do importation and other forex-related activities received $18.78bn forex allocation within the same period.
Read More
• Eight states vote N424bn for debt servicing
Eight states are to pay a combined N424.28bn in debt service and to borrow N1.21tn over the next two years, with financial commitments slated for 2025 and 2026. According to the states’ medium-term fiscal frameworks, the eight states in review are Abia, Adamawa, Bauchi, Borno, Kebbi, Osun, Benue, and Kano and they are projected to experience varying debt service and borrowing trends.
Read More
• Chinese bank supports Kano-Kaduna railway with $254m loan
The China Development Bank has announced the approval of a $254.76mn (€245mn) loan to support the Kano-Kaduna railway project in Nigeria providing financial support for the smooth progress of the project. In addition to easing transportation, the project is expected to spur economic growth by fostering the development of industries along its corridor.
Read More
Ghana
• Ghana inflation rises for fourth straight month in December
Ghana’s consumer inflation opens new tab rose for a fourth month in a row in December, to 23.8% year on year from 23.0% in November, the statistics service said on Wednesday. Government statistician Samuel Kobina Annim told a news conference that the latest increase was driven by higher food prices. “The rate of inflation… is the third highest in the last 13 months and highest in the last eight months,” Annim said.
Read More
• Ghana cocoa purchases slump as election delays payments, financing
Cocoa purchases in Ghana slumped in December due to election-related payment delays from the state marketing board and squeezed exporter financing, farmers and buyers told Reuters, voicing concern that the delays could fuel smuggling. Cocoa prices have hit record highs over the past year because of poor crops in the world’s two biggest producers, Ivory Coast and Ghana. While West Africa has seen some rebound this 2024/25 crop season, markets still expect potential supply disruptions.
Read More
• T-bills auction: Gov’t records 25.58 per cent oversubscription
The government has achieved another oversubscription in its latest short-term debt issuance, reflecting strong investor confidence. According to the Bank of Ghana’s auction results, the government mobilized GHS 5.4 billion from its recent Treasury bill issuance, exceeding its target of GHS 4.3 billion by GHS 1.04 billion, representing a 25.58% oversubscription. Investor interest was highest in the 91-day Treasury bill, which accounted for GHS 3.5 billion in bids. The government also accepted GHS 604 million from the 182-day bill and GHS 1.2 billion from the 364-day bill.
Read More
Francophone West Africa (WAEMU)
Ivory Coast
• Ivory Coast: Investment bank KeysFinance Partners covets financial intermediary role
The investment bank is hoping to involve itself in government bond issues and company listings on the West African regional stock exchange in Abidjan.
Read More
• Ivory Coast president signals he would like to run for fourth term
Ivory Coast President Alassane Ouattara said on Thursday he would like to continue serving his country as president but emphasised that his party had not yet made a formal decision on its candidate for this year’s election.
Read More
• Explosive fertiliser in Ivory Coast harbour nothing to fear, officials say
Port authorities in Ivory Coast have dismissed safety fears about a moored boat loaded with 20,000 tonnes of ammonium nitrate, which is the same compound that caused a catastrophic blast in Lebanon four years ago. Ammonium nitrate is commonly used as an agricultural fertiliser, but is also potentially explosive.
Read More
East Africa
Kenya
• Kenya Railways to Hold Meeting on Proposed Design for Nairobi Metropolitan Rail Service
Kenya Railways Corporation has invited stakeholders for a consultative meeting on the Kenya Urban Mobility Improvement Project (KUMIP) The KUMIP is a KSh 86 billion ongoing project to upgrade the Nairobi Commuter Rail network and improve urban mobility within the Nairobi metropolitan area Key project components include feasibility studies, engineering designs, transit-oriented development (TOD) plans, and the acquisition of modern trainsets.
Read More
• Kenya’s Economic Growth Declines as William Ruto Cuts Road Construction by 69 Per Cent.
The Kenya National Bureau of Statistics (KNBS) revealed reduced growth in most sectors of the economy in the third quarter of 2024 During the period under review, construction activities contracted by 2%, while mining and quarrying registered a contraction of 11.1% Road agencies in the country constructed just 1,037km of roads in the first two financial years of the Kenya Kwanza Alliance government.
Read More
• Nairobi Securities Exchange Lifts Suspension on Kenya Airways Stocks, Trading Resumes.
The Nairobi Securities Exchange (NSE) has announced the lifting of the suspension on the trading of Kenya Airways PLC shares effective on January 5, 2025. According to a public notice issued by the NSE, the suspension was removed following Kenya Airways’ recent success in recording a profit after tax. These developments have been pivotal in restoring confidence in the company and its stock.
Read More
Rwanda
• Azerbaijan, Rwanda explore opportunities for cooperation.
Elnur Aliyev, Azerbaijan’s First Deputy Minister of Economy, met with a delegation led by Juliana Muganza, Deputy Chief Executive Officer (CEO) of the Rwanda Development Board (RDB). During the meeting, Elnur Aliyev informed the Rwandan delegation about Azerbaijan’s successful experience accumulated in the social sphere, as well as the ongoing reforms in this area. He highlighted the significance of enhancing the legal framework to support developing ties..
Read More
• Rwanda’s Horticulture Exports Rise By 29 Percent.
Rwanda’s horticulture exports increased by 29.1 per cent to reach slightly over $75 million (approx. Rwf104 billion) in 2023/2024, up from $58.16 million in the previous fiscal year, shows a new report. Specifically, the annual report for 2023/24 published on Monday, January 6 by the Ministry of Agriculture and Animal Resources, indicated that vegetable exports saw a revenue increase of more than 22 per cent, while fruit exports experienced an impressive growth of nearly 61 per cent.
Read More
• Rwanda’s Industry Output Up By 14.7 Percent in 2024.
Rwanda’s industrial production increased by 14.7 per cent in November 2024 compared to the same period the previous year, according to the latest industrial index by the National Institute of Statistics Rwanda (NISR). The Industrial Production Index is a statistical instrument used to monitor the monthly trends in the output of industrial activities. This includes the goods produced by factories and other industrial businesses in Rwanda.
Read More
Tanzania
• Tanzania keeps lending rate at 6 percent for fourth quarter in a row.
Tanzania has maintained its Central Bank Rate (CBR) at 6% for a 4th successive quarter as it anticipates more liquidity and inflation control in the domestic economy during 2025. Emmanuel Tutuba, Governor of the Bank of Tanzania (BoT), said on Wednesday that the decision to keep the CBR unchanged for Q1-2025 was aligned to the Central Bank’s aima of ensuring financial market stability for smooth implementation of its monetary policies.
Read More
• Tanzania’s central bank upbeat on 2025 economic outlook.
The Bank of Tanzania (BoT) has projected a positive economic outlook for 2025, with both Mainland Tanzania and Zanzibar expected to experience swift growth. Mainland Tanzania’s economy is projected to expand by approximately 6%, while Zanzibar’s growth is forecast to reach 6.8%.
Read More
Uganda
• Uganda officially becomes BRICS partner.
The nations officially joined on January 1, 2025 with Uganda as the only African country among them. Nine of thirteen nations accepted the invitation to be part of the Global South Bloc. Uganda, the only African country, Belarus, Bolivia, Cuba, Indonesia, Malaysia, Thailand, Kazakhstan as well as Uzbekistan are now officially partner members from the first day of 2025.
Read More
Southern Africa
Angola
• Angola’s faster February oil sales signals better demand in Asia
The pace of sales for February-loading Angolan oil is faster than the last couple of months, with only 20-30% of next month’s supplies still seeking buyers. Only five-to-eight cargoes of Angolan crude for next month are still for sale out of 29 scheduled lots, according to traders specializing in West African oil, who asked not to be identified discussing private information. That’s a better selling pace than the last couple of months, they said.
Read More
South Africa
• South African factory sector contracts for second consecutive month in December, Absa PMI shows
South African manufacturing activity fell for the second month in a row in December, a local purchasing managers’ index (PMI) survey showed, as demand declined. The seasonally-adjusted PMI sponsored by South African bank Absa slipped to 46.2 points in December 2024 from 48.1 points in November, remaining below the 50-point mark that separates expansion from contraction of manufacturing output in Africa’s most industrialised economy. The manufacturing sector experienced a volatile 2024, with this second consecutive monthly decline in December reversing the upward momentum seen in September and October.
Read More
• South Africa Business Activity Contracts in December
The S&P Global South Africa PMI declined to 49.9 in December 2024, down from 50.9 in the previous month, pointing to the first decline in business activity in four months. New orders failed to grow amid muted demand conditions, prompting businesses to reduce their output levels for the first time since August. At the same time, job numbers were held largely stable after the first rise in six months in November. On a positive note, supply chain pressures eased, encouraging firms to purchase additional inputs.
Read More
• Infrastructure takes centre stage in South Africa
Infrastructure development is set to take centre stage in South Africa’s economic recovery as a host of high-priority projects across energy, water, and transport sectors are targeted for completion by 2025. Infrastructure South Africa’s construction book holds estimated R158.54bn in investment, these initiatives aim to stimulate economic activity, create jobs, and address service delivery challenges. South Africa’s energy sector is undergoing a critical transformation to combat persistent electricity shortages.
Read More
Namibia
• Namibia Inflation Rate Quickens to 3-Month High
Namibia’s annual inflation rate rose to 3.4% in December 2024, after holding steady at 3% for the previous two months, marking the highest reading since September. The upward pressure came from food and non-alcoholic beverages and hotels, cafes and restaurants. Additionally, deflation slowed for transport. Meanwhile, prices edged lower for alcoholic beverages and tobacco, clothing and footwear, furnishings, household equipment and routine household maintenance, health, and miscellaneous goods and services. On a monthly basis, consumer prices slightly eased to 0.2% in December 2024 from 0.3% in the preceding month.
Read More
• Shell writes down Namibia oil discovery in blow to country
Shell will write down around $400 million over an oil discovery offshore Namibia that it deemed commercially unviable in a blow to the southern African country’s efforts to become a crude producer. Shell noted that discovered oil and gas resources in offshore block PEL39 in Namibia “cannot currently be confirmed for commercial development.” Shell and its partners QatarEnergy and Namibia’s national oil company first discovered hydrocarbon in block PEL39 in 2022, which together with another discovery TotalEnergies made in a nearby block sparked huge global interest in the southern African country which has no oil and gas production.
Read More
Zambia
• Zambian private sector shows signs of recovery in Dec – PMI
Zambia’s Purchasing Managers’ Index (PMI) rose to 50.8 in December 2024, up from 49.2 in November, marking the fastest improvement in business conditions since July 2023 and ending a 12-month decline. The recovery was driven by increased new orders, modest job creation, and a slight rise in input purchases. Stabilised electricity supplies and improved customer confidence boosted new business growth to its highest level since May 2023. However, output remained constrained by reduced working hours and the lingering effects of load shedding.
Read More
• Zambia Records Net Inflow of US$ 658.1 Million
Zambia recorded a net inflow of US$ 658.1 million in private-sector foreign investments in 2023, recovering from a US$ 190.9. million outflows in 2022. The rebound was driven by foreign direct investment in mining, manufacturing, and retail, showcasing improved investor confidence and economic recovery.
Read More
Zimbabwe
• Tobacco export revenues surge 13% to US$1.3bn
Zimbabwe’s tobacco export earnings jumped 13% to US$1.3bn by the end of December 2024, up from US$1.23bn in the same period the previous year, driven by firming global prices and rising demand. This marks the second consecutive year that the country’s tobacco exports have exceeded the US$1bn threshold. The global shortage of tobacco, exacerbated by El Niño-induced droughts, has created heightened demand and pushed prices higher.
Read More
• Zimbabwe’s ZiG Set for More Pain After 43% Plunge, Business Body Says
Zimbabwean companies should brace for further exchange-rate volatility this year following a shock devaluation of the nation’s bullion-backed currency in September, a local commerce group said. The ZiG, short for Zimbabwe Gold and the nation’s sixth attempt at a stable currency since 2009, fell 43% against the dollar on Sept. 27 to narrow the gap between the official and parallel-market rates. The move hit consumers’ disposable incomes, fanned inflation and crimped businesses’ profits.
Read More
Central Africa
Cameroon
• CEMAC Zone: BEAC’s Chance to Reshape Its Monetary Policy for Growth
Following the extraordinary summit of Heads of State in Yaoundé, many had hoped for bold initiatives aimed at strengthening the economy of the CEMAC zone. While the Bank of Central African States (BEAC) opted to maintain its current interest rates, the decision marks the beginning of a crucial discussion on how to take more targeted actions that address the specific needs of the region’s countries.
Read More
• Douala Port: RTC Plans to Acquire Five New Cranes for Expanding Terminal
The Container Terminal Authority (RTC) at the Port Authority of Douala (PAD) plans to acquire five new cranes. Cyrus Ngo’o, Director General of PAD, announced this on January 2, 2025, during a visit to the container terminal.
Read More
• Cameroon Offers Tax Exemptions to Boost Electric Vehicle Sales
The Cameroonian government is offering tax exemptions on electric vehicles to boost sales. Effective January 1, these vehicles are exempt from excise duties, which previously had an import rate of 12.5%. A 50% reduction in the taxable value of newly imported electric vehicles, motorcycles, their batteries, and charging stations will also be applied for the next 24 months, according to a document from the General Tax Directorate (DGI) of the Ministry of Finance.
Read More
• Cameroon Govt Allocates CFA103bn to Rehabilitate 172 km of Roads
The Ministry of Public Works has announced the companies selected to rehabilitate three road sections in the Far North region of Cameroon. The total cost of the project is CFA102.9 billion.
Read More
• Afriland First Bank Secures CFA37.5bn IFC Loan to Support Small Businesses
On January 2, 2025, the International Finance Corporation (IFC), the private sector arm of the World Bank, approved a $60 million loan (CFA37.5 billion) for Afriland First Bank, Cameroon’s leading bank. The funding aims to boost long-term loans for local small and medium-sized enterprises (SMEs). According to Cameroonian authorities, SMEs make up over 99% of the national economy.
Read More
