<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="570" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/P6ORFY5TKVJHVLDLKUU7XJIJNQ-820x570.jpg" alt="" class="wp-image-544813" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/P6ORFY5TKVJHVLDLKUU7XJIJNQ-820x570.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/P6ORFY5TKVJHVLDLKUU7XJIJNQ-300x209.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/P6ORFY5TKVJHVLDLKUU7XJIJNQ-129x90.jpg 129w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/P6ORFY5TKVJHVLDLKUU7XJIJNQ-768x534.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/P6ORFY5TKVJHVLDLKUU7XJIJNQ-1536x1068.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/P6ORFY5TKVJHVLDLKUU7XJIJNQ-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: South Africa&#8217;s Finance Minister Enoch Godongwana speaks during his 2024 budget speech in Cape Town, South Africa, February 21, 2024. REUTERS/Esa Alexander/File Photo</figcaption></figure>



JOHANNESBURG, Oct 21 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s mid-term budget review later this month is expected to show healthier public finances, but economists say it might be too early to loosen the purse strings.



Finance minister Enoch Godongwana is expected to present his first medium-term budget policy statement under South Africa&#8217;s new unity government on Oct. 30, setting out spending plans for the next three years.



Economists see potential for an improved budget outlook due to anticipated reductions in government expenditure and lower interest payments on debt, buoyed by currency appreciation.



Sentiment has been boosted by the government&#8217;s early success in fostering political stability as well as the end of crippling power cuts.



South Africa&#8217;s budget deficit for the 2024/25 fiscal year stood at 3.3% of GDP as of August, according to National Treasury data, lower than the same period last year. In February, the treasury forecast a deficit of 4.5% of GDP for the year.



Andrew Matheny, Managing Director of Economics Research at Goldman Sachs, said that the treasury was likely to meet that target.



&#8220;We don&#8217;t see much of a risk of overspending and exceeding the spending plans that they laid out on the revenue side,&#8221; said Matheny.



Although revenue collection has undershot the target so far, a decrease in expenditure coupled with the transfer of the first tranche of funds from the gold and foreign exchange account has reduced borrowing requirements, economists said.



Despite the wiggle room, there is no expectation the treasury will introduce any new spending initiatives outside of providing funding guidance on the government&#8217;s infrastructure investment programme and any above-inflation public sector wage increases for 2025.



President Cyril Ramaphosa pledged in July to revive the economy by turning the country &#8220;into a construction site&#8221;.



&#8220;The focus will probably be on job creation, things like the infrastructure development program, really pushing money into things that can get the economy going,&#8221; said Maarten Ackerman, chief economist at local financial firm, Citadel,



South Africa&#8217;s GDP growth is seen at 1.1% this year, according to the central bank. The bank believes growth could accelerate to 3.5% in the medium term with appropriate reforms.



(Reporting by Kopano Gumbi; Editing by Olivia Kumwenda-Mtambo and Christina Fincher)

South Africa’s Finance Minister Godongwana presents 2024 budget in Cape Town

South Africa’s budget to show healthier finances but discipline still needed, economists say

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="571" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/A5HRSRY5RNLW3IWBNWBNJO42SE-820x571.jpg" alt="" class="wp-image-544781" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/A5HRSRY5RNLW3IWBNWBNJO42SE-820x571.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/A5HRSRY5RNLW3IWBNWBNJO42SE-300x209.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/A5HRSRY5RNLW3IWBNWBNJO42SE-129x90.jpg 129w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/A5HRSRY5RNLW3IWBNWBNJO42SE-768x535.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/A5HRSRY5RNLW3IWBNWBNJO42SE-1536x1070.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/A5HRSRY5RNLW3IWBNWBNJO42SE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Protesters clash with police during a nationwide strike called by Mozambique presidential candidate Venancio Mondlane to protest the provisional results of an October 9 election, in Maputo, Mozambique, October 21, 2024. REUTERS/Siphiwe Sibeko</figcaption></figure>



MAPUTO, Oct 21 (Reuters) &#8211; Mozambique police on Monday fired teargas and bullets at protesters in the capital Maputo who had gathered at the scene where two opposition party figures were shot dead on Saturday after a disputed election.



A Reuters witness saw some police officers firing handguns while dispersing the crowd.



Adriano Nuvunga, director of Mozambique&#8217;s Centre for Democracy and Human Rights, said that two journalists and a security guard were hit by bullets but not seriously wounded.



A police spokesperson could not immediately be reached for comment.



The full results of Mozambique&#8217;s Oct. 9 national election are expected this week, with early results showing that the ruling party Frelimo is set for another win. Opposition candidates say the poll was rigged.



Frelimo has ruled the southern African country since 1975 and has been accused of electoral fraud by opposition leaders, civil society and election observers, which it denies.



Mozambique&#8217;s electoral commission has declined to comment on accusations of fraud. U.S.-based observers said the poll did not meet international standards for democratic elections, noting reports of vote buying, intimidation, inflated voter rolls and other issues.



&#8220;The police are turning this into a violent protest because they are firing at us. We are here to demand that the truth about the election is upheld,&#8221; said protester Vladimir Manhique, a 32-year-old car mechanic.



&#8220;This is a way to demonstrate that enough is enough. This regime must fall,&#8221; he said.



Several hundred people took part in the protest, with some burning red Frelimo flags in the street and throwing rocks.



Mozambican police have used live ammunition at political protests in the past, including last year, when they defended the use of force as necessary to suppress violence.



Independent presidential candidate Venancio Mondlane said that a national strike on Monday had been well observed and told the protesters to go home after the clashes with police.



Many businesses were closed in Maputo and downtown streets were quiet.



(Reporting by Manuel Mucari, Siphiwe Sibeko, Siyabonga Sishi; Additional reporting and writing by Nellie Peyton; Editing by Ros Russell and Alison Williams)

Nationwide strike in Mozambique

Mozambique police clash with opposition protesters after disputed election

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="502" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QZUAQ2INZBKLHG5LACEZIIRYGE-820x502.jpg" alt="" class="wp-image-544761" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QZUAQ2INZBKLHG5LACEZIIRYGE-820x502.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QZUAQ2INZBKLHG5LACEZIIRYGE-300x184.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QZUAQ2INZBKLHG5LACEZIIRYGE-147x90.jpg 147w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QZUAQ2INZBKLHG5LACEZIIRYGE-768x470.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QZUAQ2INZBKLHG5LACEZIIRYGE-1536x940.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QZUAQ2INZBKLHG5LACEZIIRYGE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILED PHOTO: A 3D printed natural gas pipeline is placed in front of displayed ExxonMobil logo in this illustration taken February 8, 2022. REUTERS/Dado Ruvic/Illustration</figcaption></figure>



ABUJA, Oct 21 (Reuters) &#8211; Nigeria has approved the sale of Exxon Mobil Corp&#8217;s onshore assets to Seplat Energy, the chief executive officer of the country&#8217;s upstream regulator said on Monday, more than two years after the $1.28 billion deal was first agreed.



The sale had been under scrutiny as it awaited regulatory approval since it was first announced in February 2022.



President Bola Tinubu said on Oct. 1 the deal would receive ministerial approval in a matter of days after getting clearance from the regulator.



Nigerian Upstream Petroleum Regulatory Commission (NUPRC) CEO Gbenga Komolafe said on Monday at an event in the capital Abuja that the ministerial approval had been granted.



Under the deal, Seplat will own 40% of four oil mining leases and associated infrastructure, including the Qua Iboe export terminal, and 51% of Bonny River natural gas liquids recovery plant previously owned by Mobil Producing Nigeria Unlimited, Exxon&#8217;s local unit.



Oil majors operating in Nigeria &#8211; Africa&#8217;s largest oil exporter &#8211; have been retreating from onshore operations hampered by theft and sabotage, opting to focus future investments on newer and more lucrative deep offshore fields.



In July the NUPRC approved the sale of onshore assets by Eni&#8217;s local unit to Oando and another from Equinor to new entrant Project Odinmim.



The regulator offered in May faster approvals for pending asset sales by oil majors if they took responsibility for oil spills and compensated impacted communities rather than wait for authorities to apportion liability.



(Reporting by Isaac Anyaogu, Ope Adetayo and Camillus Eboh; Writing by Isaac Anyaogu and Bhargav Acharya;Editing by Alexander Winning and Emelia Sithole-Matarise)

Illustration shows ExxonMobil logo and natural gas pipeline

Nigeria approves Exxon-Seplat deal after more than two years

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-820x547.jpg" alt="" class="wp-image-422955" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Uganda shillings. Uganda. (Photo by: Godong/Universal Images Group via Getty Images)</figcaption></figure>



KAMPALA, Oct 21 (Reuters) &#8211; The Ugandan shilling was broadly stable on Monday, with a small bias on the firming side as some inflows of hard currency from charities and remittances provided support, traders said.



At 0828 GMT, commercial banks quoted the shilling at 3,760/3,770, compared to Friday&#8217;s close of 3,662/3,672.



(Reporting by Elias Biryabarema; Editing by Bhargav Acharya)

GettyImages-924883576-1

Ugandan shilling broadly stable on healthy flows

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/istockphoto-1076949610-612x612-1-2.jpg" alt="" class="wp-image-524623" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/istockphoto-1076949610-612x612-1-2.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/istockphoto-1076949610-612x612-1-2-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/istockphoto-1076949610-612x612-1-2-135x90.jpg 135w" sizes="auto, (max-width: 612px) 100vw, 612px" /></figure>



JOHANNESBURG, Oct 21 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic events, equity and currency market moves may affect South African markets on Monday.



<h2 class="wp-block-heading" id="h-economic-events">ECONOMIC EVENTS</h2>



Foreigners&#8217; trading in South African bonds and equities



South African Treasury bill auction



<h2 class="wp-block-heading" id="h-south-african-markets">SOUTH AFRICAN MARKETS</h2>



South Africa&#8217;s rand firmed against a weaker dollar on Friday, ahead of a domestic inflation reading next week which could provide clues on the central bank&#8217;s rate-cutting path.



On the Johannesburg Stock Exchange, the blue-chip Top-40 index last traded about 0.5% higher.



<h2 class="wp-block-heading" id="h-global-markets">GLOBAL MARKETS</h2>



Asia shares dipped in and out of positive territory on Monday, under pressure from weakness in Hong Kong stocks, but bitcoin scaled a three-month peak as &#8220;Trump trades&#8221; continued to ramp up.



<h2 class="wp-block-heading" id="h-wall-street">WALL STREET</h2>



The Dow Jones Industrial Average and S&amp;P 500 chalked up record closing highs on Friday, with the Nasdaq also in positive territory, as markets were boosted by an earnings-driven jump in Netflix shares and broader gains across technology stocks.



<h2 class="wp-block-heading" id="h-gold">GOLD</h2>



Gold rose to a fresh high on Monday, extending its blazing rally amid uncertainties surrounding the U.S. election, simmering Middle East tensions and rate cuts by major central banks, while silver scaled a near 12-year peak.



&#8211; &#8211; &#8211; &#8211;



Some of the main stories out in the South African press:



<h2 class="wp-block-heading" id="h-business-day">BUSINESS DAY</h2>



&#8211; Economists warn Eskom tariffs should be a red flag



&#8211; Budget cuts leave health department unable to fill critical posts



<h2 class="wp-block-heading" id="h-fin-24">FIN 24</h2>



&#8211; Standard Bank hunts for SA sales as it leverages Liberty&#8217;s impressive data, 2 000 advisors



&#8211; SA competition watchdog says &#8216;all tools&#8217; should be considered to deal with Temu, Shein



(Compiled by Bhargav Acharya)

istockphoto-1076949610-612×612-1

South African Markets – Factors to watch on Oct 21

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="357" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg" alt="" class="wp-image-400669" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1-300x175.jpg 300w" sizes="auto, (max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">World map with charts and graphs as symbols of global finance</figcaption></figure>



NAIROBI, Oct 21 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Monday.



<h2 class="wp-block-heading" id="h-global-markets">GLOBAL MARKETS</h2>



Asia shares dipped in and out of positive territory on Monday, under pressure from weakness in Chinese stocks, but bitcoin scaled a three-month peak as &#8220;Trump trades&#8221; continued to ramp up. 



<h2 class="wp-block-heading" id="h-world-oil-prices">WORLD OIL PRICES</h2>



Oil prices steadied in early trading on Monday, following a more than 7% drop last week on worries about demand in China, the world&#8217;s top oil importer, and an easing of concerns about potential supply disruptions in the Middle East. 



<h2 class="wp-block-heading" id="h-south-africa-markets">SOUTH AFRICA MARKETS</h2>



South Africa&#8217;s rand firmed against a weaker dollar on Friday, ahead of a domestic inflation reading next week which could provide clues on the central bank&#8217;s rate-cutting path. 



<h2 class="wp-block-heading" id="h-kenya-markets">KENYA MARKETS</h2>



The Kenyan shilling was unchanged against the dollar on Friday and will likely remain at the same levels in the next week, one foreign exchange trader said. 



<h2 class="wp-block-heading" id="h-kenya-politics">KENYA POLITICS</h2>



Kenyan President William Ruto chose Interior Minister Kithure Kindiki as his new deputy on Friday, but a court blocked his appointment until it hears a case next week challenging the impeachment of Kindiki&#8217;s predecessor.



<h2 class="wp-block-heading" id="h-tanzania-electricity">TANZANIA ELECTRICITY</h2>



Tanzania is building a grid interconnector with Zambia to help assist in mitigating a drought-driven power crisis, Tanzania&#8217;s deputy prime minister said at the Singapore International Energy Week conference on Monday. 



<h2 class="wp-block-heading" id="h-ethiopia-imf">ETHIOPIA-IMF</h2>



The executive board of the International Monetary Fund approved the first review of Ethiopia&#8217;s $3.4 billion lending programme, the fund said on Friday, paving the way for a $340.7 million disbursement. 



((Compiled by Nairobi Newsroom))

World map with charts and graphs as symbols of global finance

African Markets – Factors to watch on Oct 21

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2022/08/GettyImages-1242420790-820x547.jpg" alt="" class="wp-image-419241" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2022/08/GettyImages-1242420790-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2022/08/GettyImages-1242420790-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2022/08/GettyImages-1242420790-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2022/08/GettyImages-1242420790-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2022/08/GettyImages-1242420790-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2022/08/GettyImages-1242420790-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Electricity pylon is seen near from the Tihange Nuclear Power Station on August 10, 2022, in Tihange, Belgium. As the European Union prepares for the drastic reduction of Russian gas imports, some users are concerned about the risk of heating and electricity cuts next winter. (Photo by Thierry Monasse/Getty Images)</figcaption></figure>



SINGAPORE, Oct 21 (Reuters) &#8211; Tanzania is building a grid interconnector with Zambia to help assist in mitigating a drought-driven power crisis, Tanzania&#8217;s deputy prime minister said at the Singapore International Energy Week conference on Monday.



&#8220;We have some interconnectors with our neighbours, Rwanda, Burundi, Kenya and now we are pulling up an interconnector with Zambia, which will help us to assist our neighbour in Zambia who is facing a deadly drought,&#8221; said Doto Biteko, who is also the energy minister.



&#8220;Tanzania being a member of the Eastern African Power Pool &#8230; we have a bigger market where whenever we have access to electricity, we can sell to our neighbouring countries.&#8221;



The development of the grid interconnector will take 36 months, with work having begun last month, he&nbsp;added&nbsp;on the sidelines of the conference.



Kenya, Tanzania and Zambia said in 2014 that they will spend $1.4 billion to link their power grids by 2018 and create a regional power pool for trading electricity.



On the $42 billion development of Tanzania LNG, a liquefied natural gas export plant, Biteko said the government is in negotiations with the project&#8217;s partners and operators to finalise the host government agreement, but did not give a timeline for when negotiations will be completed.



Tanzania LNG was delayed by proposed government changes to a financial agreement reached last year. A government spokesperson said the proposed amendment to the Host Government Agreement intends to ensure that both sides benefit fairly in the whole deal.



Equinor and Shell are joint operators while Exxon Mobil, Pavilion Energy, Medco Energi and Tanzania&#8217;s national oil company TPDC are partners.



(Reporting by Emily Chow, Sudarshan Varadhan and Trixie Yap; Editing by Sonali Paul and Stephen Coates)

Tihange Nuclear Power Station

Tanzania building grid interconnector with Zambia to help mitigate power crisis

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="960" height="503" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/WY6G22MR2FISHBZ2DHXCZR57HY.avif" alt="" class="wp-image-543693"/><figcaption class="wp-element-caption">World Bank President Ajay Banga looks on during an interview with Reuters in Washington, U.S., October 15, 2024. REUTERS/Nathan Howard/File Photo</figcaption></figure>



WASHINGTON, Oct 17 (Reuters)&nbsp;&#8211;&nbsp;World Bank President Ajay Banga said on Thursday that bilateral&nbsp;and Paris Club commercial&nbsp;creditors need to provide more debt forgiveness to&nbsp;poor&nbsp;debt-distressed countries, and that the development lender was working on ways to ease service costs to improve development outcomes.



Banga, speaking to reporters ahead of World Bank and International Monetary Fund annual meetings&nbsp;next week, said the bank has already answered calls for its share of debt relief in restructurings by providing billions of dollars in additional grants and deeply discounted loans to debtor countries.



Some $16 billion to $17 billion has gone to Zambia, Chad, Ethiopia and Ghana during their slow and painful debt restructuring processes.



&#8220;Effectively, what we&#8217;re doing is giving them the lifeline they need, whether you do it as a debt forgiveness or you give them a grant,&#8221; Banga said. &#8220;Debt forgiveness is required, but not from us. It&#8217;s required from those creditors. That&#8217;s the issue we&#8217;re trying to work our way through.&#8221;



Banga did not specifically mention China, which has been among the largest creditors to debt-distressed countries and has been slow to agree to reductions in debt principal.



Banga said that the World Bank was working with several countries on potential ways to re-profile debt to reduce servicing costs &#8220;and take the distance and put it into development, life, education, what you would call a debt-for- development swap.&#8221;



(Reporting by David Lawder; Editing by Chizu Nomiyama and Mark Porter)

WY6G22MR2FISHBZ2DHXCZR57HY

World Bank’s Banga says more bilateral, commercial debt forgiveness needed

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="535" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/KML3HCF5HJLBBDJ6K7HOADXYCI-820x535.jpg" alt="" class="wp-image-543676" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/KML3HCF5HJLBBDJ6K7HOADXYCI-820x535.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/KML3HCF5HJLBBDJ6K7HOADXYCI-300x196.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/KML3HCF5HJLBBDJ6K7HOADXYCI-138x90.jpg 138w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/KML3HCF5HJLBBDJ6K7HOADXYCI-768x501.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/KML3HCF5HJLBBDJ6K7HOADXYCI-1536x1002.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/KML3HCF5HJLBBDJ6K7HOADXYCI-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A general view of the city of Pretoria November 24, 2009. Pretoria is one of the nine South African cities hosting the FIFA 2010 Soccer World Cup. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



JOHANNESBURG, Oct 18 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s government said on Friday that it had asked Taiwan to relocate its de facto embassy out of the capital Pretoria, while Taiwan accused it of bowing to pressure from China.



South Africa rejected this characterization and said the move was standard diplomatic practice, given that it severed political and diplomatic ties with Taiwan in 1997.



The Taipei Liaison Office in Pretoria will be rebranded as a Trade Office and moved to commercial capital Johannesburg, said South Africa&#8217;s Department of International Relations and Cooperation.



&#8220;Relocating what will be rebranded as Trade Offices both in Taipei and in Johannesburg&#8230; will be a true reflection of the non-political and non-diplomatic nature of the relationship between the Republic of South Africa and Taiwan,&#8221; it said in a statement, adding it had given the office six months to move.



China is South Africa&#8217;s largest trading partner globally and one with which it is looking to expand cooperation in areas such as renewable energy.



Taiwan&#8217;s Foreign Ministry said that warming relations between South Africa and China were posing a challenge for its own friendly relationship with South Africa.



&#8220;If the South African government still insists on submitting to China and changing the status quo&#8230; the Ministry of Foreign Affairs will&#8230; study and formulate all possible responses in order to safeguard the sovereignty and dignity of our country,&#8221; it said in a statement.



Taiwan, which China claims as its own territory with no right to state-to-state relations, has formal ties with only a dozen countries, almost all small, less developed nations.



Taiwan&#8217;s government rejects China&#8217;s sovereignty claims and says Beijing has no right to represent or speak for the island on the international stage



China welcomed the move.



&#8220;We appreciate South Africa&#8217;s correct decision to relocate the Taipei Liaison Office in South Africa out of Pretoria, the administrative capital,&#8221; said China&#8217;s Foreign ministry spokeswoman Mao Ning.



(Reporting by Nellie Peyton; Additional reporting by Joe Cash in Beijing and Ben Blanchard in Taipei; Editing by Olivia Kumwenda-Mtambo, William Maclean)

FILE PHOTO: A general view of the city of Pretoria

South Africa asks Taiwan to move its de facto embassy from Pretoria

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="545" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QDD6H7MOFZI2NGIGHSUVQUYPO4-820x545.jpg" alt="" class="wp-image-543673" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QDD6H7MOFZI2NGIGHSUVQUYPO4-820x545.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QDD6H7MOFZI2NGIGHSUVQUYPO4-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QDD6H7MOFZI2NGIGHSUVQUYPO4-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QDD6H7MOFZI2NGIGHSUVQUYPO4-768x511.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QDD6H7MOFZI2NGIGHSUVQUYPO4-1536x1022.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/QDD6H7MOFZI2NGIGHSUVQUYPO4-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A view shows banners with the logo of the annual BRICS summit near the Kazan Kremlin and the Kul Sharif Mosque in Kazan, Russia October 17, 2024. REUTERS/Alexey Nasyrov</figcaption></figure>



MOSCOW, Oct 18 (Reuters)&nbsp;&#8211;&nbsp;The BRICS group will generate most of the global economic growth in the coming years thanks to its size and relatively fast growth compared with that of&nbsp;developed Western&nbsp;nations, Russian President Vladimir Putin said on Friday.



Putin hopes to build up BRICS &#8211; which has expanded to include Egypt, Ethiopia, Iran and the United Arab Emirates as well as Brazil, Russia, India, China and South Africa &#8211; as a powerful counterweight to the West in global politics and trade.



The Kremlin leader is due to host a BRICS summit in the Russian city of Kazan on Oct. 22-24.



&#8220;The countries in our association are essentially the drivers of global economic growth. In the foreseeable future, BRICS will generate the main increase in global GDP,&#8221; Putin told officials and businessmen at BRICS business forum in Moscow.



&#8220;The economic growth of BRICS members will increasingly depend less on external influence or interference. This is essentially economic sovereignty,&#8221; Putin added.



Next week&#8217;s summit is being presented by Moscow as evidence that Western efforts to isolate Russia over its actions in Ukraine have failed.



Russia wants other countries to work with it to overhaul the global financial system and end the dominance of the U.S. dollar.



China, India and the UAE confirmed on Friday that their leaders&nbsp;would&nbsp;attend&nbsp;the&nbsp;summit&nbsp;in Kazan.



Putin cited some of the&nbsp;initiatives&nbsp;that Russia has previously outlined ahead of the summit, including a joint cross-border payments system and a reinsurance company.



He called on the New Development Bank, the BRICS&#8217; only functioning multilateral development institution, to invest in technology and infrastructure across the countries of the Global South.



&#8220;As a development institution, the bank already serves as an alternative to many Western financial mechanisms, and we will naturally continue to develop it,&#8221; Putin said. He called for more investment in e-commerce and artificial intelligence.



Putin sought to promote Russia&#8217;s new transport megaprojects such as the Arctic Sea Route and the North-to-South corridor, linking Russia to the Gulf and Indian Ocean through the Caspian Sea and Iran.



&#8220;It is the key to increasing freight transportation between the Eurasian and African continents,&#8221; he said.



(Reporting by Oksana Kobzeva and Gleb Bryanski; Editing by Gareth Jones)

Views of Kazan ahead of BRICS summit

Putin says BRICS will generate most of global economic growth

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="516" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/FO56H564QVM6RG7MOECTHHGML4-820x516.jpg" alt="" class="wp-image-543609" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/FO56H564QVM6RG7MOECTHHGML4-820x516.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/FO56H564QVM6RG7MOECTHHGML4-300x189.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/FO56H564QVM6RG7MOECTHHGML4-143x90.jpg 143w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/FO56H564QVM6RG7MOECTHHGML4-768x483.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/FO56H564QVM6RG7MOECTHHGML4-1536x967.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/FO56H564QVM6RG7MOECTHHGML4-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: Kenya&#8217;s Cabinet Secretary of the Ministry of Interior and National Administration Kithure Kindiki speaks during a joint press conference, with British Minister of State for Security Tom Tugendhat during his visit, in Nairobi, Kenya May 10, 2023. REUTERS/Monicah Mwangi/File Photo</figcaption></figure>



NAIROBI, Oct 18 (Reuters) &#8211; Kenyan President William Ruto chose Interior Minister Kithure Kindiki as his new deputy on Friday, but a court blocked his appointment until it hears a case next week challenging the impeachment of Kindiki&#8217;s predecessor.



The high court&#8217;s intervention came after lawmakers had already approved Kindiki&#8217;s appointment on Friday. It extends a period of political turmoil in the East African country that started with mass protests against unpopular tax hikes in June.



The Senate vote on Thursday to uphold impeachment charges against Ruto&#8217;s previous deputy, Rigathi Gachagua, marked the first time that a Kenyan deputy president had been removed from office by impeachment.



In an order, the high court in the capital Nairobi said Kindiki&#8217;s appointment as deputy president and the Senate&#8217;s resolution upholding impeachment charges against Gachagua were suspended until Oct. 24, when a bench of judges appointed by the chief justice will debate the issue.



A second court order said Kindiki cannot assume office until the case is heard.



Gachagua was impeached on five out of 11 charges including gross violation of the constitution and stirring ethnic hatred &#8211; accusations that he denied and dismissed as politically motivated.



Kindiki was a top contender to be Ruto&#8217;s running mate during the 2022 election and was appointed interior minister shortly after the president took office in September that year.



The interior ministry includes oversight of the police. Rights groups have accused the police of using excessive force during the nationwide protests earlier this year that called for the withdrawal of a now-shelved finance law and reforms to tackle corruption.



During an appearance before parliament in September, Kindiki said police acted within the law and that the government did not engage in extrajudicial killings or abductions.



Gachagua helped Ruto secure a large block of votes from the populous central Kenya region during the 2022 election. But in recent months, he has spoken of being sidelined, amid widespread reports in local media signalling a rift with Ruto as political alliances shifted.



Gachagua, who was hospitalised and absent during the Senate vote to dismiss him, filed a petition on Friday seeking to stop Ruto from naming his replacement pending a judicial hearing, a court filing showed.



The 59-year-old politician has filed or is a party to several cases challenging the impeachment process.



(Reporting by George Obulutsa and Humphrey Malalo; Writing by Bhargav Acharya;Editing by Alexander Winning, Ammu Kannampilly, Andrew Heavens and Angus MacSwan, William Maclean)

Kenya’s Cabinet Secretary of the Ministry of Interior and National Administration Kithure Kindiki addresses a press conference in Nairobi

Kenyan court blocks deputy president appointment hours after Ruto picks ally

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="429" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E-820x429.jpg" alt="" class="wp-image-519304" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E-820x429.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E-300x157.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E-160x84.jpg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E-768x402.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E-1536x804.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E.jpg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A teller counts Kenya shilling notes inside the cashier&#8217;s booth at a forex exchange bureau in Kenya&#8217;s capital Nairobi, April 20, 2016. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Oct 18 (Reuters) &#8211; The Kenyan shilling was unchanged against the dollar on Friday and will likely remain at the same levels in the next week, one foreign exchange trader said.



The East African currency traded at 128.50/129.50 against the dollar at 0700 GMT, LSEG data showed, the same as Thursday&#8217;s closing rate.



The shilling has remained in the same range for several months.



(Reporting by Sonia Rao; Editing by George Obulutsa)

LYEEWJTJKRPK3GJPCKWFP3EK7E

Kenyan shilling unchanged versus dollar

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="507" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-820x507.jpg" alt="" class="wp-image-533970" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-820x507.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-300x186.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-145x90.jpg 145w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-768x475.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-1536x950.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/RAND-DOLLAR-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">South African bank notes featuring images of former South African President Nelson Mandela (R) are displayed next to the American dollar notes in this photo illustration in Johannesburg August 13 2014. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



JOHANNESBURG, Oct 18 (Reuters) &#8211; South Africa&#8217;s rand firmed in early trade on Friday, paring some losses from Thursday, ahead of a domestic inflation reading next week which could provide clues on the central bank&#8217;s rate cutting path.



At 0630 GMT, the rand traded at 17.60 against the dollar, about 0.4% stronger than its previous close.



The dollar last traded about 0.2% softer against a basket of currencies.



&#8220;Yesterday’s blow-out raises the possibility that the phase of ZAR weakness has now completed, and that the local unit could make a stronger recovery as we close out the week,&#8221; ETM Analytics wrote in a research note.



Next week, domestic investors will look to September&#8217;s consumer inflation figures which could provide clues on the South African Reserve Bank&#8217;s interest rate path.



The central bank cut its main lending rate for the first time in more than four years in September, a day after data showed headline inflation fell just below 4.5%, the middle of the central bank&#8217;s target range.



On Thursday, South Africa&#8217;s central bank governor Lesetja Kganyago said the country could move to a lower inflation target at little cost.



&#8220;One of the requirements for a stable currency is low inflation; therefore, any talk of lowering the inflation target should be mildly supportive of the ZAR,&#8221; ETM Analytics wrote.



South Africa&#8217;s benchmark 2030 government bond was little changed in early deals.



(Reporting by Tannur Anders; Editing by Hugh Lawson)

Photo illustration of South African bank notes displayed next to the American dollar notes in Johannesburg

South African rand firms, inflation print next week

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="582" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/LQD5WORV4BLVHCY3KRQMJIJ75A-820x582.jpg" alt="" class="wp-image-543602" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/LQD5WORV4BLVHCY3KRQMJIJ75A-820x582.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/LQD5WORV4BLVHCY3KRQMJIJ75A-300x213.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/LQD5WORV4BLVHCY3KRQMJIJ75A-127x90.jpg 127w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/LQD5WORV4BLVHCY3KRQMJIJ75A-768x545.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/LQD5WORV4BLVHCY3KRQMJIJ75A-1536x1091.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/LQD5WORV4BLVHCY3KRQMJIJ75A-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A worker holds a parcel next to a logo of South Africa&#8217;s last mile delivery and click and collect company Pargo, at a store in Sandton, South Africa, October 17, 2024. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, Oct 18 (Reuters)&nbsp;&#8211;&nbsp;South African click-and-collect company Pargo is exploring an expansion into the rest of Africa, its CEO said in an interview, betting on e-commerce growth on the continent.



Africa is forecast to surpass half a billion e-commerce users by 2025, having shown a steady 17% compound annual growth rate of online consumers in the market, according to the International Trade Administration, a U.S. government agency.



This growth is driven by increasing internet penetration, smartphone adoption and the growing use of digital financial services, especially mobile money.



&#8220;We&#8217;re looking at an expansion strategy to move into multiple markets. We&#8217;re already operational in Egypt as a second country, but we are quite seriously looking at, in the future, building a network across Africa,&#8221; Pargo CEO and co-founder Lars Veul told Reuters.



He said the options would span the main economies in Africa.



&#8220;We don&#8217;t know exactly yet. So, it&#8217;s more about the countries where e-commerce is booming or expected to boom.&#8221;



The expansion will also be driven by following its existing clients into countries where they operate outside of South Africa, Veul added.



Veul, a Dutch citizen who moved to Cape Town in 2012 from Amsterdam to help set up online marketplace Groupon in South Africa, said he co-founded the company in 2015 after realising last-mile delivery was a serious challenge for e-commerce businesses on the continent.



The firm has more than 4,000 pick-up points located at retail stores across South Africa, including township &#8220;spaza&#8221; shops, which are informal stores that dot township corners.



Pargo has partnered with major listed telecoms, banks and retailers including U.S. e-commerce giant Amazon, which launched in South Africa in May this year. Amazon&#8217;s customers order online and then collect their parcels at Pargo&#8217;s pick-up points.



Click-and-collect allows shoppers to avoid delivery costs and the agony of waiting for the delivery. It also lowers costs for last-mile delivery companies, who grapple with fuel expenses, product returns and difficulty in delivering to townships and rural areas.



(Reporting by Nqobile Dludla; Editing by Jamie Freed)

Amazon South Africa’s click and collect partner Pargo eyes Africa expansion

South African click-and-collect firm Pargo considers foray into rest of Africa

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/istockphoto-1076949610-612x612-1-2.jpg" alt="" class="wp-image-524623" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/istockphoto-1076949610-612x612-1-2.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/istockphoto-1076949610-612x612-1-2-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/istockphoto-1076949610-612x612-1-2-135x90.jpg 135w" sizes="auto, (max-width: 612px) 100vw, 612px" /></figure>



JOHANNESBURG, Oct 18 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic event, equity and currency market moves may affect South African markets on Friday.



<h2 class="wp-block-heading" id="h-economic-events">ECONOMIC EVENTS</h2>



South Africa&#8217;s government will hold its weekly auction of inflation-linked bonds.



<h2 class="wp-block-heading" id="h-south-african-markets">SOUTH AFRICAN MARKETS</h2>



South Africa&#8217;s rand slipped against a stronger dollar on Thursday, after data showed U.S. retail sales rose more than expected, signalling a resilient economy.



On the stock market, the Top-40 index closed 0.34% higher.



<h2 class="wp-block-heading" id="h-global-markets">GLOBAL MARKETS</h2>



China stocks rose on Friday as the central bank officially launched a swap facility aimed at boosting the equity market, although shares elsewhere in Asia were mixed in the wake of data confirming a slowdown in the world&#8217;s second-largest economy.



<h2 class="wp-block-heading" id="h-wall-street">WALL STREET</h2>



The Dow Jones Industrial Average advanced on Thursday to its fourth record close in the last five sessions, as stronger-than-expected monthly retail sales indicated a robust U.S. consumer and TSMC&#8217;s upbeat forecast buoyed chipmakers&#8217; stocks.



<h2 class="wp-block-heading" id="h-gold">GOLD</h2>



Gold breached the $2,700-per-ounce level on Friday for the first time ever, as U.S. election jitters and simmering Middle East tensions boosted safe-haven demand, while a looser monetary policy environment also added fuel to the rally.



&#8211; &#8211; &#8211; &#8211;



Some of the main stories out in the South African press:



<h2 class="wp-block-heading" id="h-business-day">BUSINESS DAY</h2>



&#8211; JSE’s largest investor on hunt for new CEO



&#8211; Kganyago calls for more ambitious inflation target



&#8211; Ramaphosa commits to supporting SA motor industry



(Compiled by Tannur Anders)

South African Markets – Factors to watch on Oct 18

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="357" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg" alt="" class="wp-image-400669" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1-300x175.jpg 300w" sizes="auto, (max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">World map with charts and graphs as symbols of global finance</figcaption></figure>



NAIROBI, Oct 18 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Friday.



<h2 class="wp-block-heading" id="h-global-markets">GLOBAL MARKETS</h2>



China stocks rose on Friday as the central bank officially launched a swap facility aimed at boosting the equity market, although shares elsewhere in Asia were mixed in the wake of data confirming a slowdown in the world&#8217;s second-largest economy.



<h2 class="wp-block-heading" id="h-world-oil-prices">WORLD OIL PRICES</h2>



Crude oil futures steadied on Friday after strong U.S. retail sales data, but Chinese economic indicators remained mixed and prices were headed for their biggest weekly loss in more than a month on concerns about demand.



<h2 class="wp-block-heading" id="h-south-africa-markets">SOUTH AFRICA MARKETS</h2>



South Africa&#8217;s rand slipped against a stronger dollar on Thursday, after data showed U.S. retail sales rose more than expected, signalling a resilient U.S. economy.



<h2 class="wp-block-heading" id="h-africa-currencies">AFRICA CURRENCIES</h2>



The Kenyan and Ugandan currencies are expected to be stable against the dollar in the next week to Thursday, while Nigeria&#8217;s, Ghana&#8217;s and Zambia&#8217;s could be under pressure, traders said.



<h2 class="wp-block-heading" id="h-nigeria-economy">NIGERIA ECONOMY</h2>



Nigeria is beginning to reap the benefits of significant policy reforms following a near fiscal crisis in 2020, but must stay the course, the World Bank said on Thursday.



<h2 class="wp-block-heading" id="h-kenya-markets">KENYA MARKETS</h2>



The Kenyan shilling was steady against the dollar on Thursday as diaspora dollar inflows matched importer demand, one trader said.



<h2 class="wp-block-heading" id="h-kenya-politics">KENYA POLITICS</h2>



Kenya&#8217;s senate voted to dismiss Deputy President Rigathi Gachagua from office by impeachment on five out of 11 charges levelled against him on Thursday, in an unprecedented move that risks pushing the country towards a political crisis.



<h2 class="wp-block-heading" id="h-tanzania-economy">TANZANIA ECONOMY</h2>



The International Monetary Fund reached a staff-level agreement with Tanzania on a review that will make about $265.8 million available to the African country, the IMF said in a statement on Thursday.



((Compiled by Nairobi Newsroom))

African Markets – Factors to watch on Oct 18

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="429" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/Z5ZCDEUALVJB3FKZTMZRN6CCHI-1-820x429.jpg" alt="" class="wp-image-543581" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/10/Z5ZCDEUALVJB3FKZTMZRN6CCHI-1-820x429.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/Z5ZCDEUALVJB3FKZTMZRN6CCHI-1-300x157.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/Z5ZCDEUALVJB3FKZTMZRN6CCHI-1-160x84.jpg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/Z5ZCDEUALVJB3FKZTMZRN6CCHI-1-768x402.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/Z5ZCDEUALVJB3FKZTMZRN6CCHI-1-1536x804.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/10/Z5ZCDEUALVJB3FKZTMZRN6CCHI-1.jpg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Kenya&#8217;s Deputy President Rigathi Gachagua speaks during a press conference, ahead of lawmakers&#8217; vote over his impeachment motion at his residence in Karen, Nairobi Kenya, October 7, 2024. REUTERS/Monicah Mwangi/File Photo</figcaption></figure>



NAIROBI, Oct 17 (Reuters)&nbsp;&#8211;&nbsp;Kenya&#8217;s senate voted to dismiss Deputy President Rigathi Gachagua from office by impeachment on five out of 11 charges levelled against him on Thursday, in an unprecedented move that risks pushing the country towards a political crisis.



The National Assembly voted last week to impeach Gachagua, who helped President William Ruto win an election two years ago but has been assailed by allies of the president over alleged disloyalty and a series of provocative public comments.



Fifty-four out of 67 senators voted to dismiss Gachagua on the first count of &#8220;gross violation of the constitution&#8221;, more than the two-thirds majority required under the law, making him the first Kenyan president or deputy president forced from office by impeachment.



&#8220;Accordingly, His Excellency Rigathi Gachagua&#8230; ceases to hold office,&#8221; said Senate Speaker Amason Kingi.



The process, however, is unlikely to stop there. Gachagua has filed several petitions challenging the push to oust him, and the chief justice has appointed a panel of three judges to examine them.



Gachagua, who has denied the allegations, had been&nbsp;due to defend himself against&nbsp;the charges in&nbsp;the Senate on Thursday afternoon&nbsp;ahead of the vote.



When he failed to show up, his lawyer&nbsp;Paul Muite said the deputy president had been hospitalised with intense chest pains, urging the Senate to pause proceedings for a couple of days.



But the senate declined to do so, prompting Gachagua&#8217;s legal team to leave the chambers in protest.



Dan Gikonyo, a doctor treating Gachagua, told reporters the deputy president was admitted to a Nairobi hospital with heart trouble on Thursday afternoon, but was now stable and would likely have to remain in hospital for 24-72 hours.



Some senators questioned the decision to proceed with the vote, despite Gachagua&#8217;s absence.



&#8220;We are to try a man in hospital because the only crime that Rigathi Gachagua has committed is a political crime, so he has to be removed out of the way, whatever it will take,&#8221; said Senator John Methu.



But Senator Moses Otieno Kajwang defended the move to impeach Gachagua, saying, &#8220;we must drain the swamp&#8221;.



<h2 class="wp-block-heading" id="h-risks-for-ruto">RISKS FOR RUTO</h2>



Ruto, who has fallen out with Gachagua in recent months, has not commented on the proceedings, but could face a public backlash following the impeachment, political analysts said.



Many Kenyans view the impeachment process as politically motivated, and a distraction from the aftermath of the deadly anti-tax protests in June and July that exposed deep discontent with government policies and alleged corruption.



The hearings, which have involved in-depth scrutiny of Gachagua&#8217;s finances, could boomerang back at Ruto, said Karuti Kanyinga, a professor at the University of Nairobi&#8217;s Institute for Development Studies.



&#8220;We are going to hear people demanding that the same thing that has been done on Gachagua be done to the president,&#8221; Kanyinga said.



Gachagua, who has&nbsp;previously called the impeachment process a political lynching based on&nbsp;falsehoods, had&nbsp;been due to respond to a litany of accusations laid out on Wednesday by lawmaker Mwengi Mutuse, who accusedhim of inciting ethnic hatred.



Mutuse also accused Gachagua of acquiring properties worth over $40 million since becoming deputy president, despite reporting a net worth of only around $6 million&nbsp;before entering office.



Elisha Ongoya, a member of Gachagua&#8217;s legal team, said the allegations lacked evidence and were based on speculation.



(Reporting by Hereward Holland, Ammu Kannampilly, George Obulutsa and Sonia Rao; Editing by Christina Fincher, Ammu Kannampilly, Bernadette Baum, Bill Berkrot and Marguerita Choy)

Reuters

South Africa’s budget to show healthier finances but discipline still needed, economists say

Mozambique police clash with opposition protesters after disputed election

Nigeria approves Exxon-Seplat deal after more than two years

Ugandan shilling broadly stable on healthy flows

South African Markets – Factors to watch on Oct 21

African Markets – Factors to watch on Oct 21

Tanzania building grid interconnector with Zambia to help mitigate power crisis

World Bank’s Banga says more bilateral, commercial debt forgiveness needed

South Africa asks Taiwan to move its de facto embassy from Pretoria

Putin says BRICS will generate most of global economic growth

Kenyan court blocks deputy president appointment hours after Ruto picks ally

Kenyan shilling unchanged versus dollar

South African rand firms, inflation print next week

South African click-and-collect firm Pargo considers foray into rest of Africa

South African Markets – Factors to watch on Oct 18

African Markets – Factors to watch on Oct 18

Kenya senate votes to remove deputy president from office by impeachment

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Reuters

South Africa’s budget to show healthier finances but discipline still needed, economists say

Mozambique police clash with opposition protesters after disputed election

Nigeria approves Exxon-Seplat deal after more than two years

Ugandan shilling broadly stable on healthy flows

South African Markets – Factors to watch on Oct 21

African Markets – Factors to watch on Oct 21

Tanzania building grid interconnector with Zambia to help mitigate power crisis

World Bank’s Banga says more bilateral, commercial debt forgiveness needed

South Africa asks Taiwan to move its de facto embassy from Pretoria

Putin says BRICS will generate most of global economic growth

Kenyan court blocks deputy president appointment hours after Ruto picks ally

Kenyan shilling unchanged versus dollar

South African rand firms, inflation print next week

South African click-and-collect firm Pargo considers foray into rest of Africa

South African Markets – Factors to watch on Oct 18

African Markets – Factors to watch on Oct 18

Kenya senate votes to remove deputy president from office by impeachment

News Tips

Advertise With Us

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