Tag Archives: Economy
Economy: Latest News
Peter Pedroncelli, 6:07 pm AFKI Original
The internet continues to be a driver of business and economies the world over, and the internet contribution to GDP is an interesting barometer of growth. Africa’s average internet contribution to GDP was only 1.1 percent in 2012, or about half the level seen in other emerging economies. This has positive implications for the potential growth of e-commerce and internet-based businesses on the continent.
Reuters, 1:01 am
Gordhan is leading a team to London, Boston and New York provide an update on the most recent South African developments, “engage constructively with investors and share the government’s thinking behind its’ latest policy proposals.” Investors are concerned about rising political tensions in the ruling ANC, which is due to vote this year to replace President Jacob Zuma as ANC leader. For investors, Gordhan is the face of stability. Talk that Zuma might fire him has rattled financial markets.
Global Risk Insights, 11:42 am
There has been no internet access for Cameroon’s English-speaking regions for 58 days. Many banks and ATMs are closed, plunging the regional economy into chaos. Local businesses are losing foreign contracts. Anglophone Cameroon is home to Cameroon’s growing tech scene and five of the country’s seven seaports. The internet blackout is forcing Nigerians working in the Cameroonian tech sector to return home. It may play a decisive role in the upcoming 2018 elections when President Biya seeks another term.
Peter Pedroncelli, 2:15 am AFKI Original
The African continent is home to some of the fastest growing economies on the planet, with numerous nations on the continent among the top 10 best performing economies globally. The best performing economies in Africa have benefited from government policies and structural reforms, which have resulted in strong inclusive growth. According to the International Monetary Fund’s (IMF) World Economic Outlook for 2016, a long list of African economies were in line to achieve positive growth above 3% for the year 2016.
Staff, 5:36 pm
Poor power supply is partly to blame for the Nigerian government’s inability to build a robust auto industry. That leaves vehicle imports as one of the only ways to meet local demand. Nigeria’s auto market is worth over $4 billion a year, but it does not translate into anything meaningful, a stakeholder said. Starting in 2015, stiff new tariffs were levied on new and used Nigerian vehicle imports. Imports fell more than 50 percent.
Kurt Davis Jr., 8:15 am AFKI Original
Mozambique had a tough 2016. The country is unable to pay its debt until gas revenues are available after 2021. Public debt is expected to be near 130 percent of GDP by the end of 2016. The IMF continues to help Mozambique negotiate with creditors – a bright spot considering the IMF suspended aid to the country in April after evidence of $2 billion in hidden loans came to light. This “hidden debt” by state-owned firms has destroyed creditors’ trust in Mozambique.
Dana Sanchez, 11:42 am
With 13.5M people, Guangzhou, China, is one of the most populous metropolitan areas on Earth, and it’s though to have Asia’s largest African population. Formerly known as Canton, the city was home at one point to up to 200,000 Africans, although that number has been disputed. One trend seems undisputed. The African population in Guangzhou is shrinking. Africans are leaving for greener pastures elsewhere in Asia.
Dana Sanchez, 3:56 pm
Donald Trump’s election could not have been better news for the economic and political ambitions of China. Suddenly, all roads lead to China from Africa, Europe, most of Asia and most of South America. African manufacturers could profit from China’s growing power, but that may have more to do with rising labor costs in China than it has to do with retreating U.S.-Africa trade. Manufacturing salaries are rising fast in China, which is starting to outsource production to other countries. China has become a victim of its own success.
Dana Sanchez, 11:00 pm
A year ago, the national airline of the United Arab Emirates was flying high on increased business activity between Africa and Asia. It had 27 African destinations and plans to link to almost every African market. Africa accounted for 10 percent of Emirates global passengers and revenue. Now Emirates is cutting back flights to Nigeria and more countries could have routes cut as economic challenges such as fuel scarcity and unfavorable exchange rates hurt profits.
Dana Sanchez, 6:28 pm
Ibrahim got rich on telecommunications, but he has invested millions in good governance. “Power corrupts absolutely,” Ibrahim said. He called for more international outrage over stolen elections. “People are learning how to steal elections because that looks less brutal than saying ‘I’m president for life,'” he said. “There is a limit to how long they can go on stealing elections. More and more of these elections are being subject to the harsh light of … social media.”
- Real Estate