Tag Archives: natural resources
natural resources: Latest News
Kurt Davis Jr., 3:21 pm AFKI Original
Fund managers have struggled in 2016 to raise capital for sub-Saharan Africa-focused natural resource funds. Here’s where having a $1 billion sub-Saharan Africa natural resources fund really helps. In 2017, expect more assets on the market at more reasonable prices. The focus will be on capital management. Expect a buyer’s market. Low M&A value will persist but expect a recovery in volume of deals. Transaction structures will become more complicated. Expect contingencies as buyers and sellers attempt to manage exposure to commodity price volatility.
Staff, 7:36 am
The opportunity and risk in Africa and frontier markets is the theme of the Morningstar magazine for December/January. Articles posit that investors will be searching to reallocate monies from slowing China to the next region of growth, and Africa is it with a massive, young population of 1.1 billion in a continent of 54 countries. The article notes that the average investor gets Africa exposure by owning South Africa stocks, since that country represents the most sophisticated economy, largely due to natural resources
Anna B. Wroblewska, 4:16 am AFKI Original
China is Africa’s largest trading partner, with nearly $200 billion in trade flows in 2013, and a major investor in the African landscape. Chinese direct investment reached $194 billion in 2013 and is growing at a rate of 114 percent per year.
Andrew Friedman, 3:11 am AFKI Original
In 2012 the Republic of Congo raised 73% of its GDP from natural resource rents. According to the World Bank, the vast majority of this revenue, 71% of the country’s GDP, comes from the country’s oil reserves. Nearly three quarters of the country’s revenue stream comes from finite natural resources, nearly all from the country’s oil reserves. This makes it the most reliant on both total natural resources and oil revenue in the world by far, 18% above second place Kuwait in total natural resources and 17% above the Gulf state in oil reliance.
D.A. Barber, 2:28 am AFKI Original
Initially there was a lot of exuberance over the big oil and gas finds in East Africa, but now the reality is setting in, along with the challenges. The discoveries are important regionally for their potential to hasten economic growth through investments in road, rail and other infrastructure. While individual countries pursue their own developments, the plan for the region as a whole is to better integrate its economies across borders to enable investor companies to compete and export natural resources.
Anna B. Wroblewska, 4:45 am AFKI Original
“Taken as a group,” the Africa Progress Panel’s 2013 progress report states, “The resource-rich countries have some of the world’s highest child mortality rates: 12 have in excess of 100 child deaths for every 1,000 live births.” That’s a 10 percent mortality rate. The report goes on to list the woes that citizens of resource-wealthy nations endure, including above-average maternal mortality rates, high levels of child malnutrition, and of course the inevitable environmental (and thus societal) impact of mining and extraction, including the loss of other natural resources.
Makula Dunbar, 6:22 pm
SMEs with natural resource foundations — as well as companies based on African markets — are increasingly flocking to list on the London Stock Exchange (LSE) in an effort to raise capital, a How We Made It In Africa report said. The continent’s minerals are being explored now more than ever. In 2013, initial public offerings (IPO) for companies supporting Africa’s gold, potash, oil, gas and other resources popped up on the LSE at over twice the rate of those in 2012.
Makula Dunbar, 10:54 am
Though Kenya is often spotlighted as East Africa’s technology and innovation leader, a recent world bank report reveals the nation’s economic growth doesn’t measure up to its East African neighbors
Makula Dunbar, 9:32 am
Seychelles has invited oil and gas companies to bid for exploration blocks, ending a two-year moratorium and introducing new rules for bidders after completing a review of laws regulating the sector.
Makula Dunbar, 12:30 pm
As inflation declines in Tanzania, the country is being encouraged to address infrastructure development and take advantage of natural gas as a source for power
- Real Estate