February 28, 2025/United Capital Update

Anglophone West Africa (WAEMU)
Nigeria

• Nigeria’s GDP growth hits 3.84% in Q4 2024, driven by services sector

Nigeria’s economy grew by 3.84% y/y in real terms in Q4-2024, marking an improvement from 3.46% recorded in both the same period of 2023 and the preceding quarter. The growth was largely driven by the Services sector, which expanded by 5.37% and contributed 57.38% to the country’s total GDP.
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• CBN projects 4.17% GDP growth for 2025 amid declining Inflation

The Central Bank of Nigeria (CBN) has projected a 4.17% Gross Domestic Product (GDP) growth for 2025, attributing this positive outlook to fiscal and monetary reforms aimed at stabilizing the economy.
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• Nigeria’s W’Bank debt may hit $9.2bn as FG eyes six loans

The Federal Government is set to secure six new loans totalling $2.23bn from the World Bank in 2025. The planned loans cover key sectors such as digital infrastructure, healthcare, education, nutrition, and community resilience. This will bring Nigeria’s total approved loans to $9.25bn over three years.
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• Nigeria’s net domestic credit drops to N99.4 trillion in January 2025 – CBN

Nigeria’s net domestic credit declined to N99.41tn in Jan-2025, reflecting a significant contraction from N115.58tn recorded in Nov-2024. The data further revealed that net domestic credit in Jan-2024 stood at N99.99tn, while in Nov-2023, it was N85.35tn, underscoring the fluctuations in domestic lending within the past year.
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• Concerns as forex reserves drop $2.3bn amid naira gains

Nigeria’s foreign reserves are down by $2.34bn since hitting a $40.92bn high on Jan-06. As of Monday 24 Feb-2025, the reserves stood at $38.58bn despite the naira strengthening by 2.60% since the beginning of the year.
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Ghana

• Govt reconstitutes BoG board

The President, John Dramani Mahama, in consultation with the Council of State, has appointed a 12 members board of the Bank of Ghana (BoG). The 12- member board, chaired by the governor of BoG, Dr Johnson Pandit Kwesi Asiama, is expected to provide strategic leadership and policy direction for the Bank of Ghana, ensuring stability in the country’s financial sector and fostering economic growth.
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• IFC-World Bank to invest $600m in govt’s job creation agenda

The International Finance Corporation (IFC) of the World Bank has announced plans to invest approximately 600 million dollars into Ghana’s private sector to create job opportunities and enhance economic growth. The investment will focus on the garment industry and agro-processing sectors to support job creation and industrial development.
The Country Director of the IFC, Kyle Kelhofer, disclosed this during a courtesy call on the Majority Leader in Parliament.
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Francophone West Africa
Senegal

• Senegal’s Credit Rating Cut by Moody’s on Weaker Public Finances

Senegal’s credit rating was cut by Moody’s Investors Service after a court of auditors established that the country’s finances during the final term of former president Macky Sall were weaker than previously documented. The nation’s long-term foreign-currency rating was lowered by two notches to B3, six steps below investment grade, Moody’s said in a statement. The outlook was set to negative after being placed on watch for a downgrade, it said.
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Ivory Coast

• Ivory Coast cocoa output to remain low amid challenging conditions

Ivory Coast’s cocoa production for the 2024/25 season is expected to remain at last season’s low levels due to poor weather and crop conditions, according to the agriculture minister. The decline in output from the world’s top cocoa producer, along with reduced production in Ghana, led to record-high international prices last year. The minister’s assessment gave an average expectation of 1.80 million metric tonnes for 2024/25 versus 1.76 million in 2023/24.
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• Ivory Coast customs seize 2,000 tons of falsely declared cocoa beans, sources say

Ivory Coast’s customs have seized around 2,000 metric tons of falsely declared cocoa beans worth around $19 million at its main port in Abidjan, two customs sources and one judicial source said. Cocoa, the main ingredient in chocolate, is usually smuggled over Ivory Coast’s western border to Guinea and Liberia where traffickers pay above the local farmgate price for the commodity. However, last week Ivorian customs discovered that a cocoa exporter had made a false declaration to pay less tax on the shipment at the port.
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East Africa
Kenya

• Kenya annual inflation rises for fourth month in a row

Kenya’s annual consumer inflation rose for the fourth month in a row to 3.5% in February from 3.3% in January, the statistics office said on Friday. Core inflation remained at 2.0% in February, unchanged from January, while non-core inflation rose to 8.2% in February from 7.1% the previous month, the Kenya National Bureau of Statistics said in a statement.
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• Kenyan Businesses Struggle With High Taxes, Rising Costs

Spenza Limited, a leading maize meal and animal feed milling company, has urged the government to introduce stimulus packages to ease the financial burden on enterprises. Speaking during a press briefing, Spenza Limited’s Commercial Director, Nahash Ndegwa, said surging raw material prices and higher importation costs have hurt the company’s competitiveness.
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• Govt moves to regulate market dominance in digital economy

The government has moved to regulate market dominance, particularly in the rapidly expanding digital economy, with the introduction of the Competition (Amendment) Bill, 2024. The Bill, spearheaded by the Competition Authority of Kenya (CAK), seeks to amend existing competition laws to reflect current realities.
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• Kenya’s coffee exports up 12pc in 2024

Kenya’s coffee exports in 2024 increased by 12 percent to 53,519 tonnes, according to an economic report released on Wednesday. The report from the Kenya National Bureau of Statistics (KNBS) said that this was a rise from 47,861 tonnes in 2023, with the exports boosted by increased shipments to destination markets.
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• KCB joins PAPSS to boost cross-border transactions in Africa

KCB Group has signed up for the Pan-African Payment and Settlement System (PAPSS), becoming the first bank in East Africa to integrate the platform into its operations. The move will enable KCB customers to enjoy faster settlements, lower currency conversion costs, and expanded market access across Africa, reinforcing the bank’s role in driving cross-border trade and financial integration.
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• Credit Bank unveils remittance service to boost rural access

Credit Bank Plc has launched the Sacco Cash Pickup Portal Remittance Service, a new initiative aimed at enhancing financial access for Kenyans in rural areas by simplifying overseas remittances.
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Rwanda

• EU parliament calls for end to Rwanda mineral pact over DRC conflict links

On Feb. 13, the European Parliament voted overwhelmingly to suspend a cooperation agreement with Rwanda on a trio of minerals critical to the clean energy transition, citing their links to the ongoing violence in the Democratic Republic of Congo. The so-called 3T minerals — tin, tungsten, tantalum — are mined in large volumes in the DRC’s eastern provinces of North and South Kivu. Since late January 2025, a rebel group known as M23, widely believed to be backed by Rwanda, has seized key parts of the region, including the two provincial capitals, Goma and Bukavu, with the mineral trade said to be fueling the violence, according to a December 2024 report by a U.N. expert group…
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• Rwanda slams UK sanctions over DR Congo violence

Rwanda has said international sanctions will reduce the likelihood of peace with M23 rebels in the Democratic Republic of the Congo (DRC), after the United Kingdom said it would pause some bilateral aid and impose other diplomatic sanctions on Kigali. “The punitive measures announced today by the UK government in response to the conflict in eastern DRC – where the UK has now clearly chosen a side – are regrettable,” Rwanda’s Ministry of Foreign Affairs said in a statement on Tuesday.
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• Security Council urges Rwanda to stop supporting M23 in eastern DR Congo

The UN Security Council unanimously adopted a resolution on Friday that strongly condemned the ongoing offensive by M23 rebels in the eastern Democratic Republic of the Congo (DRC). The Council demanded that the M23 immediately cease hostilities, withdraw from all areas that it controls, “and fully reverse the establishment of illegitimate parallel administrations in the DRC territory.”
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Tanzania

• Vodacom, Zanzibar partner to accelerate digital connectivity

Zanzibar Information and Communication Technology Infrastructure Agency director general Shukuru Awadhi Suleiman (left) and Vodacom network director Andrew Lupembe sign a partnership agreement aimed at increasing the company’s network capacity, coverage and dedicated internet in Zanzibar.
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• Tanzania gets new planning commission chief

Dr Fred Msemwa has been appointed as the Executive Secretary of the National Planning Commission, replacing Lawrence Mafuru, who passed recently passed away. The appointment was announced by Chief Secretary Ambassador Moses Kusiluka in a statement issued on behalf of President Samia Suluhu Hassan.
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• Tanzania ups clean cooking drive with subsidised gas cylinders

President Samia Suluhu Hassan on Thursday reaffirmed the government’s commitment to implementing policies and creating an enabling environment that will facilitate private sector participation in ensuring affordable access to clean cooking energy across Tanzania.
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Uganda

• Uganda, Rwanda Strengthen Cross-Border Security Cooperation

Uganda and Rwanda have reaffirmed their commitment to enhancing cross-border security cooperation, following the Third Uganda-Rwanda Cross-Border Security Meeting held in Mbarara, Uganda. The high-level discussions, which build on previous engagements in Kabale, Uganda (December 2023) and Nyagatare, Rwanda (May 2024), focused on border security, the movement of people and goods, and addressing shared threats affecting both nations.
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• Funding gap threatens Uganda’s strategy to improve quality of education

Uganda’s decision to extend schooling for pre-schoolers may have been intended to give children a better grasp of the basics. But the question of how to fund it is challenging. The Early Childhood Development (ECD) programme promises better learning outcomes for the country’s child population. But the authorities here are facing funding gaps to ensure that the estimated 13 million children benefit from it.
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South Africa
South Africa

• G20 Finance Ministers discuss revenue mobilisation in Africa amidst South Africa’s budgetary concerns.

Many African countries have tax-to-GDP ratios well below 15%, a threshold commonly seen as the limit for sustainable fiscal management, but there is good potential to improve revenue mobilisation without directly raising taxes, delegates heard at the G20 Finance Minister’s meeting in Cape Town.
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• Annual CPI picks up to 3.2% in January while food price inflation maintains downward trend.

South African inflation is subdued and food price rises are slowing, but the proposed VAT hike would throw a big spanner in the works.
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• South African Reserve Bank warns of economic shock amid VAT increase debates.

South African Reserve Bank (SARB) Governor, Lesetja Kganyago, has cautioned that the proposed 2 percentage points increase in the value-added tax (VAT) would be treated as an “economic shock”.
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• SA consumers could see 2% VAT hike proposal toppling steady inflation environment.

Data from Statistics South Africa (Stats SA) showed that the rate of headline consumer price inflation (CPI) rose for the third month from 3% in December 2024 to 3.2% in January 2025, the highest in four months, compared with market forecasts of 3.3%.
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Zambia

• Zambia Strengthens Ties with Egypt in Trade, Infrastructure, and Agriculture.

President Hakainde Hichilema has returned from a state visit to the Arab Republic of Egypt, where he met with President Abdel Fattah el-Sisi to strengthen economic cooperation and explore new opportunities for investment and trade between the two nations.
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• Zambia’s Suspension of 15% Export Duty on Precious Stones: Economic Impact and Expert Reactions.

The suspension of the 15% export duty on precious stones and metals in Zambia has elicited divergent views and reactions, with economic experts, business leaders, and political commentators analyzing its impact on Zambia’s gemstone industry, foreign investment, and local entrepreneurship.
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• IMF Staff Concludes Visit to Zambia.

An International Monetary Fund (IMF) staff team, led by Mercedes Vera Martin, visited Zambia during February 19-25, 2025, as part of the Fund’s ongoing engagement with the Zambian authorities and other stakeholders.
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Zimbabwe

• Economic stability on track as Zimbabwe’s inflation falls.

Zimbabwe’s economic growth agenda is on track, with February figures reflecting progress towards stable prices and increased consumer spending. According to data from the Zimbabwe National Statistics Agency, Zimbabwe Gold inflation for February dropped by 10% points to 0,5% with the United States Dollar inflation rate also falling by the average of the same margins.
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• Zimbabwe poised for economic growth, US Chamber of Commerce states at Victoria Falls Summit.

Zimbabwe is fast becoming a hub for investments, with the United States attesting to the country’s economic potential. Speaking on the sidelines of the ongoing three-day United States Exchange Alumni Summit in Victoria Falls, American Chamber of Commerce in Zimbabwe, James Oliver attributed the coming in of the new dispensation in the Southern African country as the turning point.
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• Zimbabwe govt moves to directly procure.

The Zimbabwean government intends to directly procure fuel for its own use and key economic sectors to lower costs and enhance competitiveness, Energy and Power Development Minister July Moyo has announced. Speaking at the National Competitiveness Commission (NCC) inaugural competitiveness summit in Bulawayo on Wednesday, Minister Moyo emphasized that the move would ensure a stable supply and affordability of fuel.
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Central Africa
Cameroon

• Cameroon’s Exports Fall in Q3 2024, Driven by Decline in Non-Oil Goods

Cameroon’s exports took a hit in the third quarter of 2024, with a 4.9% decline compared to the same period the previous year, according to the National Institute of Statistics (INS). In its latest quarterly national accounts report, published on February 25, the INS attributed this drop to a continued decline in non-crude oil exports, which fell by 6.5%. Exports of services also saw a downturn, dropping by 8.8% during the period. The INS noted that the prolonged contraction in goods exports was mainly driven by a drop in manufactured products, along with declines in the export of logs and sawn timber.
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• Cameroon’s Customs Revenue Reaches CFA95.33bn in January, Exceeding Target

Cameroon’s Customs Directorate (DGD) collected CFA95.33 billion in January 2025, slightly exceeding its target of CFA95.05 billion. This marks a 29% increase from the CFA73.89 billion collected in January 2024, a difference of more than CFA21 billion. “In year-over-year terms, revenue has increased by CFA21.44 billion in absolute value, representing a 29% rise,” the DGD noted in its Feb. 13 newsletter. Despite the strong overall performance, the Littoral I Customs sector, which contributes the most to Cameroon’s customs revenue, fell short of its target.
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• Kribi Gas Power Plant Resumes Operations After Debt Resolution

The gas-fired power plant in Kribi, located in southern Cameroon, resumed operations on Feb. 21 after being offline since September 2024. The shutdown followed a dispute over an outstanding debt of CFA137 billion owed to Globeleq, the independent power producer managing the Kribi (216 MW) and Dibamba (88 MW) plants. The debt was claimed from Eneo, Cameroon’s power utility. The Kribi plant’s 216 MW capacity is now back online, helping to balance the country’s energy supply and demand.
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Democratic Republic of Congo

• Congo weighs cobalt export quotas to revive prices amid supply glut

The Democratic Republic of Congo is considering introducing cobalt export quotas as the world’s biggest supplier of the battery metal seeks to curb oversupply and boost prices. Cobalt prices are languishing at historically low levels amid slackening demand from automakers and as mines ramp up production of copper, from which cobalt is extracted as a by-product, to capitalize on high prices. The plan to introduce limits has been discussed within the Congolese government but no final decision has been taken yet.
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• Congolese president urges US to buy raw materials from DR Congo, not Rwanda

Congolese President Felix Tshisekedi has urged the US to purchase strategic raw materials directly from the Democratic Republic of Congo (DRC), calling it the “true owner” of the resources, rather than Rwanda, which he accused of looting them through violence against the Congolese people. Tshisekedi extended the offer to the US first, stating that “what has been hidden and maintained for 30 years has just been revealed by the Trump administration,” presidential spokesperson Tina Salama said. She added that the proposal is also open to European nations and other buyers currently sourcing materials from Rwanda, warning that “receiving stolen goods will become increasingly complicated.”
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