Markets: Latest News
Dana Sanchez, 12:57 pm
More than 70 percent of the world don’t have a street address, and sub-Saharan Africa leads. About 200 million people live in slums — home to the informal economy that is creating jobs. Big box stores like Cape Town-based clothing retailer Foschini Group are tapping in to the economic buying power of informal settlements. They’re coming up with innovative solutions to deliver e-commerce purchases to people who don’t have addresses.
Kevin Mwanza, 9:39 am
The South African Rand edged Mexico’s Peso as the world’s most politically volatile currency, driven by political events in Africa’s biggest economy that have pit President Jacob Zuma and his Finance Minister, Pravin Gordhan. Investors have used Peso’s fluctuations to rate Donald Trump’s chances of being elected the president of United States of America in an election set for early Wednesday morning.
Kevin Mwanza, 6:26 am
The textiles and garments industry in Lesotho, exported at least $330 million worth of products to the U.S. last year, making it the country’s largest private-sector employer as the nation reaps big from the African and Growth and Opportunity Act (AGOA). The tiny Southern African nation is one of the African nations benefiting from the trade pact signed in 2000, allowing at least 6,000 products from 38 sub-Saharan African to enter the U.S. market duty free.
Kevin Mwanza, 6:07 am
The Nigerian Senate rejected President Muhammadu Buhari’s proposal to borrow $30 billion to fund development projects in the next two years, dealing a major blow to the government’s efforts to stimulate growth in its economy. The 109-member house threw out the plan on Tuesday last week, without debating it because the presidency did not give details to justify the borrowing.
Kevin Mwanza, 5:52 am
The Egyptian pound was devalued massively on Thursday to 13 pounds against the U.S. dollar after the country’s central bank adopted a floating unit policy in an attempt to stabilize the economy, which has been hurt by a shortage of greenbacks. The Egyptian pound shed a third of its value after the move to unpeg it from the 8.8 per dollar set in March. It has since plummeted more than 50 percent.
Kevin Mwanza, 7:19 am
Liberia, one of the poorest nations in sub-Saharan Africa needs $1.3 billion to revive its economy, two years after an Ebola epidemic that ravaged the nation and plunged its economy into recession. The West African nation is targeting a diversification in its economy to reduce over-reliance on iron ore and rubber, its biggest foreign exchange earners that fell at the peak of the Ebola outbreak in 2014.
Dana Sanchez, 4:17 pm
Nigeria is threatening to shut down supermarkets selling genetically modified foods, and it has ordered South African grocery giant Shoprite and others to withdraw all GM food from their shelves until they get permits from the Nigerian government. “We are very serious about this,’’ a government spokesman said. Harmful effects of eating GM foods have been proved mostly without scientific basis. The potential harm from pesticides, however, is a different story. The same companies that make and sell GM plants make and sell chemicals to treat them.
Dana Sanchez, 11:12 am
Africa’s largest lender, Johannesburg-based Standard Bank this year made $2 billion in loan commitments to Chinese-owned development projects in Africa, and it plans to help Chinese entrepreneurs seek African investment opportunities in areas such as retail. Access to credit remains a challenge for many Africans. Standard Bank says its opportunities lie in working “on the yuan’s internationalization and helping Chinese companies transform from … contractors to investors.”
Kevin Mwanza, 3:32 am
Zimbabwean president, Robert Mugabe issued a presidential decree to amend the Reserve Bank Act of Zimbabwe (RBZ) Act, paving way for the use of bond notes in efforts to ease a cash shortage that has hit the struggling African economy since March. The presidential decree passed on Monday did not however set timelines for the introduction of the bond notes, which will be used as legal tender.
Kurt Davis Jr., 3:41 pm AFKI Original
Sub-Saharan African banks are late to the party. More than 75% of Africans lack access to traditional banking. Fintech offerings with the most potential are the ones that address the unbanked and underserved. Addressing Africa’s poor is impactful and a money maker, but it’s also time-consuming — something to consider if you want a quick return. Africans may be quick to try a mobile app or technology but end users are not always quick adopters. Here are five sub-Saharan markets with the most opportunities in fintech.
- Real Estate