
<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="800" height="529" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/U4ZO2CUGW5IUBMTRVQDPXQQ7R4.jpg" alt="" class="wp-image-518486" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/U4ZO2CUGW5IUBMTRVQDPXQQ7R4.jpg 800w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/U4ZO2CUGW5IUBMTRVQDPXQQ7R4-300x198.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/U4ZO2CUGW5IUBMTRVQDPXQQ7R4-136x90.jpg 136w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/U4ZO2CUGW5IUBMTRVQDPXQQ7R4-768x508.jpg 768w" sizes="auto, (max-width: 800px) 100vw, 800px" /><figcaption class="wp-element-caption">FILE PHOTO: Christian Musema, a laboratory nurse, takes a sample from a child declared a suspected case Mpox &#8211; an infectious disease caused by the monkeypox virus that spark-off a painful rash, enlarged lymph nodes and fever; at the the treatment centre in Munigi, following Mpox cases in Nyiragongo territory near Goma, North Kivu province, Democratic Republic of the Congo July 19, 2024. REUTERS/Arlette Bashizi/File Photo</figcaption></figure>



<p>LONDON, Aug 16 (Reuters) &#8211; The World Health Organization has declared that an outbreak of mpox, a viral infection that spreads through close contact, represents a global health emergency for the second time in two years.</p>



<p>Here&#8217;s what that means.</p>



<h2 class="wp-block-heading" id="h-what-is-mpox">WHAT IS MPOX?</h2>



<p>Mpox is a viral infection that causes flu-like symptoms and pus-filled lesions, and while usually mild, it can kill. Children, pregnant women and people with weakened immune systems, such as those with HIV, are all at higher risk of complications.</p>



<p>The WHO declared the recent outbreak of the disease a public health emergency after a new offshoot of the mpox virus, first identified in Democratic Republic of Congo, began spreading to other neighbouring countries.</p>



<p>Mpox transmits through close physical contact, including sexual contact, but there is no evidence that it spreads easily through the air.</p>



<p>The new offshoot has caused global alarm because it appears to spread more easily between people.</p>



<h2 class="wp-block-heading" id="h-what-is-a-global-health-emergency">WHAT IS A GLOBAL HEALTH EMERGENCY?</h2>



<p>A &#8220;public health emergency of international concern&#8221;, or PHEIC, is the WHO&#8217;s highest form of alert. It is announced when diseases are spreading in new or unusual ways, and is aimed at galvanising international co-operation and funding to tackle an outbreak.</p>



<p>The WHO&#8217;s declaration follows a similar label from the Africa Centres for Disease Control and Prevention earlier this week.</p>



<h2 class="wp-block-heading" id="h-why-is-mpox-an-emergency-again">WHY IS MPOX AN EMERGENCY AGAIN?</h2>



<p>Two years ago, the WHO declared mpox was an emergency when a form of the disease, clade IIb, began to spread globally, largely among men who have sex with men.</p>



<p>That outbreak was brought under control after behaviour change and safe sex practices, plus vaccines, helped people at risk protect themselves in many countries.</p>



<p>But mpox has been a public health problem in parts of Africa for decades. The first ever human case was in Congo in 1970, and it has had outbreaks ever since.</p>



<p>The current outbreak, Congo&#8217;s worst ever, has seen 27,000 cases and more than 1,100 deaths since January 2023, largely among children.</p>



<p>Two strains of mpox are now spreading in Congo &#8211; the endemic form of the virus, clade I, and a new offshoot called clade Ib, with the term &#8216;clade&#8217; referring to a form of the virus.</p>



<p>The new offshoot has now moved from eastern Congo to Rwanda, Uganda, Burundi and Kenya.</p>



<p>Sweden reported the first case of the new form, clade Ib, outside Africa on Thursday.</p>



<p>A WHO spokesperson said the case reiterated the need for partnership, and the agency continues to advise against travel restrictions to stop the spread of mpox.</p>



<p>Pakistan on Friday also confirmed a case of the mpox virus in a patient who had returned from a Gulf country, though it was unclear whether it was of the new variant or of the clade that has been spreading globally since 2022.</p>



<h2 class="wp-block-heading" id="h-what-happens-now">WHAT HAPPENS NOW?</h2>



<p>Scientists hope that the emergency declarations will speed up efforts to get more medical tools and funding to Congo to help the authorities there tackle the outbreak. Better surveillance is needed to study the virus and help stop the spread.</p>



<p>But in 2022, a WHO appeal for $34 million to fight mpox got no take-up from donors, and there was huge inequity in who had access to vaccine doses. African countries had no access to the two shots used in the global outbreak, made by Bavarian Nordic and KM Biologics.</p>



<p>Two years later that remains the case, although there are efforts to change that, the WHO said on Wednesday as it appealed for dose donations from countries with stockpiles.</p>



<p>Africa CDC said it has a plan to secure doses, without elaborating further, but stocks are currently limited.</p>



<h2 class="wp-block-heading" id="h-how-worried-should-i-be">HOW WORRIED SHOULD I BE?</h2>



<p>Fatality rates vary, and depend heavily on the healthcare available to the sickest patients. In Congo in this outbreak, the rate across both clade I and clade Ib has been around 4%. Clade II, which spread globally, was much less deadly.</p>



<p>However, mpox is not COVID-19. There are tools that are proven to work to stop the spread and help those at risk, and it does not spread as easily.</p>



<p>The challenge now, which the emergency declarations aim to highlight, is making sure those tools reach those who need them most, in Congo and neighbouring countries.</p>



<p>(Reporting by Jennifer Rigby; Editing by Crispian Balmer and Jan Harvey)</p>


Children at risk as mpox variant hits Congo displacement camps

Why is mpox an emergency again, and how worried should I be?


<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="521" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-820x521.jpg" alt="" class="wp-image-516586" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-820x521.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-300x191.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-142x90.jpg 142w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-768x488.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI-1536x976.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/RLVCCF47LVIWPJR4O2PPITYMVI.jpg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A teller handles U.S. dollar banknotes and Kenya shilling banknotes inside the cashier&#8217;s booth at a forex exchange bureau in downtown Nairobi, Kenya, February 16, 2024. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



<p>NAIROBI, Aug 16 (Reuters) &#8211; Kenya&#8217;s shilling was stable against the U.S. dollar on Friday, but traders said they expected it to come under pressure from foreign-currency demand from the manufacturing sector.</p>



<p>At 0900 GMT, commercial banks quoted the shilling at 128.50/129.50 to the dollar, the same level it closed on Thursday.</p>



<p>Foreign-currency inflows for a 50 billion Kenyan shilling infrastructure bond auction earlier this week have helped support the local unit in recent sessions.</p>



<p>&#8220;There&#8217;s a lot of (FX) demand kicking in,&#8221; one trader said. &#8220;What had lifted the shilling was the infrastructure bond (auction). Now the (market) fundamentals are coming back into play.&#8221;</p>



<p>(Reporting by Hereward Holland; Editing by Alexander Winning)</p>


RLVCCF47LVIWPJR4O2PPITYMVI

Kenyan shilling stable but traders see FX demand picking up


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1368" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/IGCSI2ZMYJNARJNQD2J6NFMHZE-1-scaled.jpg" alt="" class="wp-image-519644" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/IGCSI2ZMYJNARJNQD2J6NFMHZE-1-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/IGCSI2ZMYJNARJNQD2J6NFMHZE-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/IGCSI2ZMYJNARJNQD2J6NFMHZE-1-820x548.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/IGCSI2ZMYJNARJNQD2J6NFMHZE-1-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/IGCSI2ZMYJNARJNQD2J6NFMHZE-1-768x513.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/IGCSI2ZMYJNARJNQD2J6NFMHZE-1-1536x1026.jpg 1536w" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">FILE PHOTO: Nigeria Finance Minister Wale Edun is interviewed by Karin Strohecker, Reuters Chief Correspondent Emerging Markets, during the G20 Finance Ministers and Central Bank Governors&#8217; Meeting at the IMF and World Bank’s 2024 annual Spring Meetings in Washington, U.S., April 18, 2024. REUTERS/Ken Cedeno/File Photo</figcaption></figure>



<p>ABUJA, Aug 16 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s Finance Minister Wale Edun launched a $500 million dollar-denominated bond sale on the local market on Thursday, targeting domestic and foreign investors, the finance ministry said on Friday.</p>



<p>The ministry said in a statement that the move was part of plans to stabilise the naira currency by attracting dollars held by Nigerians abroad, as well as international investors who back reforms initiated by President Bola Tinubu.</p>



<p>Edun told Reuters in May that Nigeria would launch a diaspora bond in the third quarter. He said the bond would be issued locally but denominated in U.S. dollars.</p>



<p>While promoting the $500 million bond, Edun said on Thursday government revenue and expenditure had improved and interventions to reduce inflation were yielding results.</p>



<p>Nigeria&#8217;s headline inflation rate fell in July for the first time in well over a year, dipping to 33.40% in annual terms from 34.19% in June, data from the statistics agency showed on Thursday.</p>



<p>The ministry gave no details of the bond&#8217;s duration and when the sale will close.</p>



<p>Edun has considered plans for Nigeria to sell Eurobonds in the past. He said in the ministry&#8217;s statement that &#8220;the ratings system often does not favour the continent&#8221;. African issuers have faced challenges in international capital markets particularly with pricing for their debt.</p>



<p>In June, the World Bank approved a total of $2.25 billion loan for Nigeria to help stabilise its economy following reforms and to scale up support for the poor.</p>



<p>(Reporting by Camillus Eboh;Writing by Chijioke Ohuocha; Editing by Emelia Sithole-Matarise)</p>


FILE PHOTO: Nigeria Finance Minister Wale Edun is interviewed at the IMF and World Bank’s 2024 annual Spring Meetings in Washington

Nigeria launches $500 million dollar bond on local market


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-501467" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1-135x90.jpg 135w" sizes="auto, (max-width: 612px) 100vw, 612px" /></figure>



<p>JOHANNESBURG, Aug 16 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic events, equity and currency market moves may affect South African markets on Friday.</p>



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



<p>Inflation-linked bond auction</p>



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



<p>South Africa&#8217;s rand was not deterred by dollar gains on Thursday, firming after stronger-than-expected U.S. economic data and as markets look toward Federal Reserve comments at a meeting of global central bankers next week.</p>



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



<p>Asia shares were headed for a weekly gain on Friday and Japan&#8217;s Nikkei was poised for its best week in over four years as upbeat risk sentiment spilled over from Wall Street, while the dollar and U.S. Treasury yields held steady.</p>



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



<p>Wall Street&#8217;s main indexes closed higher on Thursday, with the Nasdaq rising more than 2% after July U.S. retail sales data signalled resilient consumer spending, allaying fears of an imminent recession in the world&#8217;s largest economy.</p>



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



<p>Gold prices steadied on Friday and were headed for a weekly gain on optimism about a U.S. interest rate cut, while traders wait for Federal Reserve Chairman Jerome Powell&#8217;s speech due next week for cues on the size of the cut.</p>



<p>&#8211; &#8211; &#8211; &#8211;</p>



<p>Some of the main stories out in the South African press:</p>



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



<p>&#8211; Lesetja Kganyago says monetary policy no panacea for inequality</p>



<p>&#8211; Now medical professionals say they will not sign Ramaphosa&#8217;s health compact</p>



<p>&#8211; Rand firms below R18/$ for the first time in a month</p>



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



<p>&#8211; Why Standard Bank is betting on insurance and investments in SA, Nigeria and Kenya</p>



<p>(Compiled by Alexander Winning)</p>


istockphoto-1076949610-612×612-1

South African Markets – Factors to watch on Aug 16


<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>



<p>Aug 16 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Friday.</p>



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



<p>Asia shares were headed for a weekly gain on Friday and Japan&#8217;s benchmark Nikkei was poised for its best week in over four years as upbeat risk sentiment spilled over from Wall Street, while the dollar and U.S. Treasury yields held broadly steady.</p>



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



<p>Oil prices edged lower in early Asian trading on Friday, but the market&#8217;s benchmarks were set for a second consecutive weekly gain after upbeat U.S. economic data eased investor worries about a potential recession in the top oil consuming nation.</p>



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



<p>The Kenyan and Ghanaian currencies are expected to be broadly stable in the next week to Thursday, while the Nigerian, Ugandan and Zambian currencies could fall, traders said.</p>



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



<p>South Africa&#8217;s rand was not deterred by dollar gains on Thursday, firming after stronger-than-expected U.S. economic data and as markets look toward Federal Reserve comments at a meeting of global central bankers next week, analysts said.</p>



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



<p>Kenya&#8217;s shilling was unchanged against the U.S. dollar on Thursday, despite a slight uptick in foreign exchange demand from fuel traders and manufacturers, traders said.</p>



<h2 class="wp-block-heading" id="h-africa-mpox">AFRICA MPOX</h2>



<p>Global health officials on Thursday confirmed an infection with a new strain of the mpox virus in Sweden and linked it to a growing outbreak in Africa, the first sign of its spread outside the continent a day after the World Health Organization declared the disease a global public health emergency.</p>



<h2 class="wp-block-heading" id="h-nigeria-pipeline">NIGERIA PIPELINE</h2>



<p>Nigeria and Equatorial Guinea have signed an agreement to establish and operate a gas pipeline, Nigerian presidential spokesperson Ajuri Ngelale said in a statement on Thursday.</p>



<p>((Compiled by Nairobi Newsroom))</p>


World map with charts and graphs as symbols of global finance

African Markets – Factors to watch on Aug 16


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1365" src="https://cms.cnbcafrica.com/wp-content/uploads/2022/11/GettyImages-1242149589-scaled.jpg" alt="" class="wp-image-420995" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2022/11/GettyImages-1242149589-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/GettyImages-1242149589-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/GettyImages-1242149589-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/GettyImages-1242149589-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/GettyImages-1242149589-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/GettyImages-1242149589-1536x1024.jpg 1536w" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">NAIROBI, KENYA &#8211; 2022/07/27: A Kenya Airways plane seen parked at the parking bay of the Jomo Kenyatta International Airport in Nairobi. (Photo by John Ochieng/SOPA Images/LightRocket via Getty Images)</figcaption></figure>



<p>NAIROBI, Aug 16 (Reuters)&nbsp;&#8211;&nbsp;The Kenya Airports Authority&nbsp;(KAA)&nbsp;said on Friday that it had contingency measures in place to prevent a strike by the country&#8217;s main aviation union that is set to begin on Aug. 19 from disrupting airport operations.</p>



<p>The Kenya Aviation Workers Union, which represents workers at airports and the national carrier Kenya Airways, said it would launch industrial action from Monday over a proposed deal with India&#8217;s Adani Airports Holdings to develop the country&#8217;s biggest airport in the capital Nairobi.</p>



<p>The union has said it thinks the Adani deal will lead to job losses and bring in non-Kenyan workers, and referred to it in a strike notice as the &#8220;intended sale&#8221; of Jomo Kenyatta International Airport.</p>



<p>Kenya&#8217;s government has said the airport is not for sale and that no decision had been made on whether to proceed with what it called a proposed public-private partnership to upgrade the East African travel hub.</p>



<p>&#8220;Discussions are ongoing between the Ministry of Roads and Transport, Ministry of Labour and Social Protection, KAA Management and Kenya Aviation Workers Union to reach an amicable agreement,&#8221; the airports authority said in a statement.</p>



<p>(Reporting by Humphrey Malalo; Writing by Hereward Holland; Editing by Alexander Winning)</p>


A Kenya Airways plane seen parked at the parking bay of the

Kenya Airports Authority says Aug. 19 strike won’t disrupt operations


<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/NXWKCDUVZNLTBAFY4YNDDH4KKA-820x547.jpg" alt="" class="wp-image-519326" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/NXWKCDUVZNLTBAFY4YNDDH4KKA-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/NXWKCDUVZNLTBAFY4YNDDH4KKA-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/NXWKCDUVZNLTBAFY4YNDDH4KKA-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/NXWKCDUVZNLTBAFY4YNDDH4KKA-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/NXWKCDUVZNLTBAFY4YNDDH4KKA-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/NXWKCDUVZNLTBAFY4YNDDH4KKA-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A woman receives a bag of food from the government during the distribution of food items by the government to cushion the high cost of living in Abuja, Nigeria, September 20, 2022. REUTERS/Afolabi Sotunde/File Photo</figcaption></figure>



<p>ABUJA, Aug 15 (Reuters) &#8211; Nigeria&#8217;s headline inflation rate fell in July for the first time in well over a year, dipping to 33.40% in annual terms from 34.19% in June, data from the statistics agency showed on Thursday.</p>



<p>Analysts had said June&#8217;s reading could mark the peak in inflation as currency devaluation effects start to fade.</p>



<p>July&#8217;s slowdown will bring some relief to frustrated Nigerians, who protested this month over cost-of-living pressures and governance issues in Africa&#8217;s most populous nation.</p>



<p>Price pressures have been stoked by President Bola Tinubu&#8217;s decision to remove a decades-old fuel subsidy, devalue the naira currency and hike electricity tariffs. The reforms are aimed at lifting economic growth and shoring up public finances but have sent inflation soaring, eroding people&#8217;s incomes.</p>



<p>The last month that annual inflation fell was December 2022.</p>



<p>The central bank has increased interest rates four times this year to try to get inflation under control, but after the last hike in July some analysts said that could be the final act in the bank&#8217;s hiking cycle.</p>



<p>The Central Bank of Nigeria&#8217;s next rate setting meeting is scheduled for late September.</p>



<p>A report by the National Bureau of Statistics on Thursday showed food and non-alcoholic beverages continued to be the biggest contributor to inflation in July.</p>



<p>Food inflation eased to 39.53% from 40.87% in June.</p>



<p>(Additional reporting by Shamsuddin Mohd; Editing by Alexander Winning and Tomasz Janowski)</p>


A woman receives a bag of food from the government during the distribution of food items by the government to cushion the high cost of living in Abuja

Nigeria inflation falls for first month in well over a year


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1920" height="1005" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E.jpg" alt="" class="wp-image-519304" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E.jpg 1920w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E-300x157.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/LYEEWJTJKRPK3GJPCKWFP3EK7E-820x429.jpg 820w, 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" sizes="auto, (max-width: 1920px) 100vw, 1920px" /><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>



<p>NAIROBI, Aug 15 (Reuters)&nbsp;&#8211;&nbsp;The Kenyan and Ghanaian currencies are expected to be broadly stable in the next week to Thursday, while the Nigerian, Ugandan and Zambian currencies could fall, traders said.</p>



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



<p>Kenya&#8217;s shilling has in recent weeks shrugged off major demonstrations which forced the government to abandon tax hikes and triggered credit rating downgrades. It is seen remaining relatively steady.</p>



<p>This week traders said foreign-currency inflows for a bond auction had played a role supporting the currency.</p>



<p>Commercial banks quoted the shilling at 128.50/129.50 per dollar on Thursday, compared with last Thursday&#8217;s closing rate of 128.75/129.75.</p>



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



<p>Nigeria&#8217;s naira could slip on the official market, unless the central bank intervenes to ease the pressure.</p>



<p>LSEG data showed the naira was quoted at 1,582 to the dollar on the official market, compared with around 1,580 a week ago. The unit changed hands at 1,595 naira to the dollar in street trading on Thursday.</p>



<p>The central bank injected dollars into the market last week, but pressure on the currency is building again.</p>



<p>&#8220;It&#8217;s most likely going to continue depreciating unless the central bank intervenes again,&#8221; one trader said.</p>



<h2 class="wp-block-heading" id="h-ghana">GHANA</h2>



<p>Ghana&#8217;s cedi is expected to remain steady on the back of improved dollar liquidity and a slowdown in demand on the interbank market.</p>



<p>LSEG data showed the cedi trading at 15.60 to the dollar, from 15.52 at last Thursday&#8217;s close.</p>



<p>&#8220;The cedi has posted marginal gains in recent sessions as FX liquidity has improved and corporate demand reduced,&#8221; said Sedem Dornoo, a senior trader at Absa Bank Ghana.</p>



<p>&#8220;In the coming week, we expect a relatively stable (dollar-cedi) pair, with bid-offer spreads narrowing as liquidity continues to improve,&#8221; he added.</p>



<h2 class="wp-block-heading" id="h-uganda">UGANDA</h2>



<p>Uganda&#8217;s shilling is seen trading with a weakening tone on an expected pick-up in dollar demand after mid-month tax payments.</p>



<p>Commercial banks quoted the shilling at 3,720/3,730 to the dollar, compared with last Thursday&#8217;s close of 3,725/3,735.</p>



<p>&#8220;Typically after mid-month taxes we see a surge in interest for dollars, I think that dynamic is likely to push the shilling on the lower side (weaker),&#8221; one trader said.</p>



<h2 class="wp-block-heading" id="h-zambia">ZAMBIA</h2>



<p>Zambia&#8217;s kwacha could post minor losses because of elevated dollar demand in the wake of a severe drought which has spurred imports.</p>



<p>On Thursday the kwacha was slightly weaker at 26.25 per dollar, from 26.05 a week ago.</p>



<p>&#8220;Dollar supply remains limited and demand continues to be high, putting pressure on the kwacha,&#8221; one trader said.</p>



<p>(Reporting by Hereward Holland, Chijioke Ohuocha, Christian Akorlie, Elias Biryabarema and Chris Mfula;Editing by Alexander Winning)</p>


LYEEWJTJKRPK3GJPCKWFP3EK7E

Kenya and Ghana currencies seen steady


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="800" height="559" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/DH62NRAIFZKMXEUDMGT2BNEGPY.jpg" alt="" class="wp-image-519182" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/DH62NRAIFZKMXEUDMGT2BNEGPY.jpg 800w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/DH62NRAIFZKMXEUDMGT2BNEGPY-300x210.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/DH62NRAIFZKMXEUDMGT2BNEGPY-129x90.jpg 129w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/DH62NRAIFZKMXEUDMGT2BNEGPY-768x537.jpg 768w" sizes="auto, (max-width: 800px) 100vw, 800px" /><figcaption class="wp-element-caption">A woman walks past a Standard Bank logo at the Investing in African Mining Indaba 2024 conference in Cape Town, South Africa February 7, 2024. REUTERS/Esa Alexander/File Photo</figcaption></figure>



<p>JOHANNESBURG, Aug 15 (Reuters) &#8211; Africa&#8217;s biggest lender by assets Standard Bank said on Thursday its half-year profit rose by 4%, with performance supported by franchise growth in its banking businesses and strong earnings growth in its insurance and asset management unit.</p>



<p>South Africa-based Standard Bank said headline earnings&nbsp;rose&nbsp;to 22 billion rand ($1.22 billion) in the six months ended June 30, up from 21.2 billion rand in the previous year.</p>



<p>Standard Bank, with operations in 20 sub-Saharan African countries, said further earnings growth was hindered by currency devaluations across its operations in the rest of Africa, which contributed 41% to group headline earnings.</p>



<p>Net interest income (NII) &#8211; the amount banks earn from loans minus what they pay on deposits- in its banking business grew by 7%.</p>



<p>Gross loans and advances grew by 3% to 1.7 trillion rand, as increased competition and higher interest rates negatively impacted demand and affordability, resulting in subdued growth in the bank&#8217;s retail portfolios.</p>



<p>This, however, &#8220;was more than offset by strong momentum in the corporate and sovereign lending portfolio&#8221; supported by projects in the energy and infrastructure sector.</p>



<p>Total provisions for credit impairments increased by 8% to 66.8 billion rand, while credit impairment charges decreased by 15% to 8 billion rand.</p>



<p>($1 = 18.0562 rand)</p>



<p>(Reporting by Nqobile Dludla; Editing by Kim Coghill and Toby Chopra)</p>


Investing in African Mining Indaba 2024 conference in Cape Town

South Africa’s Standard Bank posts 4% rise in half-year profit


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="425" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg" alt="" class="wp-image-498541" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg 720w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-300x177.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-152x90.jpg 152w" sizes="auto, (max-width: 720px) 100vw, 720px" /><figcaption class="wp-element-caption">Kenya shilling coins and notes are pictured inside a 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>



<p>NAIROBI, Aug 15 (Reuters) &#8211; Kenya&#8217;s shilling was unchanged against the U.S. dollar on Thursday, despite a slight uptick in foreign exchange demand from fuel traders and manufacturers, traders said.</p>



<p>At 0910 GMT, commercial banks quoted the shilling at 128.50/129.50 per dollar, the same level it closed on Wednesday.</p>



<p>The shilling has traded relatively evenly recently, shrugging off major protests which forced the government to abandon planned tax hikes and triggered credit rating downgrades.</p>



<p>(Reporting by Hereward Holland; Editing by Alexander Winning)</p>


ANCK25OQIFMHTJYACOM5XU5T24

Kenyan shilling flat despite slight uptick in dollar demand


<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/03/IQMT7SFA2RNQLAQHUEOA2VEMMQ-820x547.jpg" alt="" class="wp-image-423556" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/03/IQMT7SFA2RNQLAQHUEOA2VEMMQ-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/03/IQMT7SFA2RNQLAQHUEOA2VEMMQ-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/03/IQMT7SFA2RNQLAQHUEOA2VEMMQ-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2023/03/IQMT7SFA2RNQLAQHUEOA2VEMMQ-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/03/IQMT7SFA2RNQLAQHUEOA2VEMMQ-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2023/03/IQMT7SFA2RNQLAQHUEOA2VEMMQ-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Illustration photo shows a two-rand coin above a South African flag April 12, 2017.   REUTERS/Thomas White/Illustration</figcaption></figure>



<p>JOHANNESBURG, Aug 15 (Reuters) &#8211; South Africa&#8217;s rand was little changed in early trade on Thursday, pausing after the previous day&#8217;s modest gains on U.S. inflation data which strengthened expectations that interest rate cuts in the world&#8217;s biggest economy are near.</p>



<p>At 0655 GMT, the rand traded at 18.08 against the dollar, close to the level where it ended Wednesday&#8217;s session.</p>



<p>The rand closed up more than 0.1% against the U.S. currency on Wednesday, supported by upbeat domestic business confidence and retail sales figures in addition to the U.S. inflation data.</p>



<p>&#8220;With the bulk of the market-moving U.S. data now released, the dollar-rand market will lose some of that downside momentum. Technical support around current levels, given the several prior lows, will also make significant further rand appreciation more challenging,&#8221; ETM Analytics said in a research note.</p>



<p>No major South African data is due to be released on Thursday or Friday, so the rand is likely to move mainly on offshore factors.</p>



<p>South Africa&#8217;s benchmark 2030 government bond was marginally weaker in early deals, the yield up 2 basis points to 9.155%.</p>



<p>(Reporting by Alexander Winning; Editing by Shounak Dasgupta)</p>


Illustration photo of South African rand

South African rand pauses after modest gains on US data


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-501467" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/istockphoto-1076949610-612x612-1-135x90.jpg 135w" sizes="auto, (max-width: 612px) 100vw, 612px" /></figure>



<p>JOHANNESBURG, Aug 15 (Reuters)&nbsp;&#8211;&nbsp;The following company announcements, equity and currency market moves may affect South African markets on Thursday.</p>



<h2 class="wp-block-heading" id="h-companies">COMPANIES</h2>



<p>Standard Bank half-year results</p>



<p>Coal miner Exxaro Resources half-year results</p>



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



<p>South Africa&#8217;s rand gained on Wednesday after U.S. inflation data strengthened expectations that rate cuts in the world&#8217;s biggest economy are near.</p>



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



<p>Asian stocks were firm on Thursday while the dollar remained on the back foot after benign consumer inflation data overnight reinforced bets for the Federal Reserve to start cutting interest rates next month.</p>



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



<p>The S&amp;P 500 ended higher on Wednesday, stretching its winning streak to five sessions, as the latest inflation data reassured investors betting the Federal Reserve would start cutting U.S. interest rates next month.</p>



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



<p>Gold prices inched up on Thursday after a 1% decline in the previous session. </p>



<p>&#8211; &#8211; &#8211; &#8211;</p>



<p>Some of the main stories out in the South African press:</p>



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



<p>&#8211; Retail sales rise, but shoppers are still under pressure</p>



<p>&#8211; Energy committee shifts focus as Eskom keeps the lights on</p>



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



<p>&#8211; Presidency postpones signing of health compact over NHI</p>



<p>(Compiled by Alexander Winning)</p>


South African Markets – Factors to watch on Aug 15


<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>



<p>NAIROBI, Aug 15 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Thursday.</p>



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



<p>Nigeria&#8217;s statistics office is expected to release the latest inflation data.</p>



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



<p>Asian stocks were firm on Thursday while the dollar remained on the back foot amid lower U.S. Treasury yields after benign consumer inflation data overnight reinforced bets for the Federal Reserve to start cutting interest rates next month.</p>



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



<p>Oil prices rose on Thursday, supported by optimism potential U.S. interest rate cuts will boost economic activity and fuel consumption though concerns over slower global demand curbed gains.</p>



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



<p>South Africa&#8217;s rand firmed on Wednesday after U.S. inflation data strengthened expectations that rate cuts in the world&#8217;s biggest economy are near.</p>



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



<p>Kenya&#8217;s shilling was flat against the U.S. dollar on Wednesday, as foreign-currency inflows for a bond auction matched reduced dollar demand from manufacturers and fuel importers, traders said.</p>



<h2 class="wp-block-heading" id="h-africa-mpox">AFRICA MPOX</h2>



<p>The World Health Organization on Wednesday declared mpox a global public health emergency for the second time in two years, following an outbreak of the viral infection in Democratic Republic of Congo that has spread to neighbouring countries.</p>



<h2 class="wp-block-heading" id="h-burkina-faso-security">BURKINA FASO SECURITY</h2>



<p>Suspected jihadists ambushed a military convoy carrying more than 1,000 civilians in Burkina Faso last week, leading to civilian deaths and injuries, the regional governor said in a statement published on Wednesday, without providing a death toll.</p>



<h2 class="wp-block-heading" id="h-nigeria-politics">NIGERIA POLITICS</h2>



<p>Nigerian lawmakers on Wednesday withdrew a proposed law that would have imposed punishments of up to 10 years in jail for actions deemed subversive following a public outcry over fears that it was an attempt to crack down on dissent following a wave of anti-government protests.</p>



<h2 class="wp-block-heading" id="h-sudan-politics">SUDAN POLITICS</h2>



<p>A rebel group controlling Sudan&#8217;s Nuba Mountains and parts of Blue Nile state said on Wednesday that the local population was experiencing a hunger catastrophe.</p>



<h2 class="wp-block-heading" id="h-kenya-security">KENYA SECURITY</h2>



<p>Gunmen kidnapped two South Korean missionaries in northern Kenya, near the border of Ethiopia, on Monday evening while eight Kenyans were shot dead in a separate incident in the region, local officials said.</p>



<p>((Compiled by Nairobi Newsroom))</p>


African Markets – Factors to watch on Aug 15


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="800" height="534" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UWIKV4GDEJJVZLW6UE2OMJCQHA.jpg" alt="" class="wp-image-519143" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UWIKV4GDEJJVZLW6UE2OMJCQHA.jpg 800w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UWIKV4GDEJJVZLW6UE2OMJCQHA-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UWIKV4GDEJJVZLW6UE2OMJCQHA-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/UWIKV4GDEJJVZLW6UE2OMJCQHA-768x513.jpg 768w" sizes="auto, (max-width: 800px) 100vw, 800px" /><figcaption class="wp-element-caption">A general view of the cityscape of Addis Ababa, Ethiopia, April 24, 2024. REUTERS/Tiksa Negeri/File Photo</figcaption></figure>



<p>LONDON/NEW YORK, Aug 14 (Reuters)&nbsp;&#8211;&nbsp;A group of foreign holders of Ethiopia&#8217;s $1 billion international bond said on Wednesday it was disappointed with recent government comments regarding a possible 20% principal haircut on their holdings.</p>



<p>The group &#8220;does not view any such haircut as being consistent with its evaluation of Ethiopia&#8217;s economic fundamentals,&#8221; it said via email, calling the government&#8217;s recent public statements &#8220;incompatible with a good-faith approach to debt restructuring.&#8221;</p>



<p>The government did not respond to a request for comment.</p>



<p>The comments set the stage for tense restructuring negotiations in the wake of Ethiopia defaulting on its sole international bond in December and has made little headway since.</p>



<p>The country surprised bondholders by announcing plans earlier this month to reduce the bond principal to $800 million, indicating a 20% haircut, citing the need to match debt relief offered by official creditors.</p>



<p>The creditor group, which says it holds more than 40% of the bond, called for transparency and public disclosure of any assumptions made with the input of official bilateral creditors.</p>



<p>The East African country requested a debt&nbsp;rework in&nbsp;early 2021 under the G20 Common Framework restructuring process, but a two-year civil war, which ended in a truce in late 2022, delayed progress.</p>



<p>Ethiopia had secured an agreement with the International Monetary Fund for a new $3.4 billion financing program in July.</p>



<p>The government at the time said it planned to finalise the restructuring before the first review of its&nbsp;IMF programme.&nbsp;According to the&nbsp;Fund, initial reviews will be held on a quarterly basis.</p>



<p>The IMF did not respond to a request for comment.</p>



<p>Negotiating in&nbsp;good faith&nbsp;is key for the progress of any country&#8217;s IMF programme, which includes&nbsp;timely dialogue,&nbsp;information sharing and&nbsp;the opportunity for&nbsp;creditor input.</p>



<p>Ethiopia&#8217;s Eurobond slipped 0.3 cents in a sixth straight session of declines, being bid at 76.5 cents, Tradeweb data showed.</p>



<p>The security is held by major asset management firms, such as Eaton Vance, Morgan Stanley, Vanguard and BlackRock, according to EMAXX data.</p>



<p>The bond&nbsp;makes up a small part of Ethiopia&#8217;s external debt.</p>



<p>The IMF estimates that as of end-June, external debt stood at $28.9 billion, around half of which it owed to multilateral lenders such as the IMF, World Bank and African Development Bank.</p>



<p>Of the $12.4 billion owed to bilateral lenders, China accounts for $7.4 billion and Saudi Arabia just over $1 billion. Ethiopia&nbsp;owes under $2 billion to Paris Club rich creditor nations.</p>



<p>Ethiopia failed to reach an agreement in formal talks with investors late last year. Back then, the government proposed to swap the existing bond for a new $1 billion issue that would be paid off starting in 2028.</p>



<p>&#8220;There&#8217;s no formal proposal out there so we don&#8217;t know what the government intends,&#8221; said Kevin Daly, portfolio manager at abrdn, which holds the bond but is not part of the creditor group,&nbsp;adding&nbsp;a deal would probably be found between the previous government offer and the 20% haircut proposal.</p>



<p>Yvette Babb, portfolio manager at William Blair, said a swift debt rework should be possible, though Ethiopia&#8217;s apparent lack of desire to issue Eurobonds down the line might make for less urgency on the government side.</p>



<p>&#8220;This is not a very complex case &#8211; it&#8217;s a single bond, $1 billion, the IMF parameters are pretty clear. It&#8217;s really a matter of the willingness for all parties to get this done quickly.&#8221;</p>



<p>(Reporting by Libby George, Duncan Miriri, Rodrigo Campos and Karin Strohecker; Editing by Chizu Nomiyama, Jan Harvey, Richard Chang, Jonathan Oatis and Ana Nicolaci da Costa)</p>


A general view of the cityscape of Addis Ababa

Ethiopia bondholders disappointed by proposed bond haircut


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1365" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/GettyImages-2002633089-scaled.jpg" alt="" class="wp-image-518909" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/GettyImages-2002633089-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/GettyImages-2002633089-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/GettyImages-2002633089-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/GettyImages-2002633089-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/GettyImages-2002633089-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/GettyImages-2002633089-1536x1024.jpg 1536w" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">CAPE TOWN, SOUTH AFRICA &#8211; FEBRUARY 13: Ashor Sarupen, deputy chairperson of the DA Federal Council at the podium  during the 2024 State of the Nation Address (SONA) Debate at Cape Town City Hall on February 13, 2024 in Cape Town, South Africa. The National Assembly (NA) and the National Council of Provinces (NCOP) held joint sittings to debate the State of the Nation Address (SONA), which President Cyril Ramaphosa delivered at the Cape Town City Hall on February 8th. (Photo by Jeffrey Abrahams/Gallo Images via Getty Images)</figcaption></figure>



<p>PRETORIA, Aug 14 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s new government is committed to rapid reforms that could help push growth to at least 3.5% in the medium term and reduce unemployment, Deputy Finance Minister Ashor Sarupen said on Wednesday.</p>



<p>Growth in Africa&#8217;s most industrialised nation has been anaemic in the last decade owing partly to an energy crisis and challenges in the state-dominated logistics sector, while unemployment and inequality have risen. The economy grew 0.6% in 2023.</p>



<p>President Cyril Ramaphosa, whose African National Congress (ANC) was forced into a government of national unity after losing its parliamentary majority in May&#8217;s election, has repeatedly urged reforms to boost growth and jobs.</p>



<p>The official&nbsp;unemployment rate&nbsp;hit 33.5% in April-June of this year, not far off record highs.</p>



<p>Sarupen, of the free-market Democratic Alliance (DA), said the unity government acknowledged that reforms &#8220;need to happen with pace to get people into jobs&#8221;.</p>



<p>&#8220;There&#8217;s appetite for reform and that&#8217;s been heartening to see, and that&#8217;s made the transition also a little bit easier,&#8221; Sarupen told Reuters in an interview at his office in Pretoria.</p>



<p>South Africa&#8217;s GDP even shrank 0.1% in the first quarter from the previous one, though it was up 0.5% year-on-year.</p>



<p>&#8220;We&#8217;ve got to get growth in the medium term, so at the end of three years, maybe to the outer year &#8230; I think we&#8217;ve got to try to get that up to 3-1/2%,&#8221; Sarupen said.</p>



<p>Some political analysts had feared the divergence in ideology between the two biggest parties in the government &#8211; ANC and DA &#8211; would make it hard to agree how to revive the economy.</p>



<p>Sarupen, who shares the role of deputy finance minister with the ANC&#8217;s David Masondo, added that, while the government would maintain its fiscal path and discourage higher spending, he had a new appreciation for the constraints on the Treasury.</p>



<p>Two big contributors to government spending in recent years have been the public sector wage bill and a 350 rand ($19) per month grant introduced in 2020 to support those hardest hit by the COVID-19 pandemic.</p>



<p>Sarupen said he would support keeping the grant beyond 2026 and perhaps converting it to a basic income payment:</p>



<p>&#8220;For social stability, for social security, and if it can be accommodated within the fiscal envelope as it stands &#8230; I think it should stay in place.&#8221; </p>



<p>($1 = 18.0526 rand)</p>



<p>(Reporting by Kopano Gumbi; Editing by Olivia Kumwenda-Mtambo and Kevin Liffey)</p>


SONA Debate At Cape Town City Hall Day 01 In South Africa

South Africa’s government set on speedy reforms, says deputy minister


<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1365" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/FYWWSVJ7GZPUZHCREMBLZUUK6I-scaled.jpg" alt="" class="wp-image-518808" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/08/FYWWSVJ7GZPUZHCREMBLZUUK6I-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/FYWWSVJ7GZPUZHCREMBLZUUK6I-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/FYWWSVJ7GZPUZHCREMBLZUUK6I-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/FYWWSVJ7GZPUZHCREMBLZUUK6I-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/FYWWSVJ7GZPUZHCREMBLZUUK6I-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/08/FYWWSVJ7GZPUZHCREMBLZUUK6I-1536x1024.jpg 1536w" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">A view of the Bank of Zambia in Lusaka, Zambia February 23, 2024. REUTERS/Namukolo Siyumbwa/File Photo</figcaption></figure>



<p>LUSAKA, Aug 14 (Reuters)&nbsp;&#8211;&nbsp;Zambia&#8217;s central bank kept its benchmark lending rate unchanged on Wednesday, saying that although inflation remained high its stance was appropriate given the economic impact of a severe drought.</p>



<p>The decision to hold the Monetary Policy Rate at 13.50% follows six successive meetings at which it was raised. So far this year the Bank of Zambia has implemented a 100 basis point hike in May and a 150 basis point increase in February.</p>



<p>&#8220;While actual and projected inflation remain elevated relative to the 6%-8% target band, the committee judged that the current monetary policy stance is appropriate,&#8221; central bank Governor Denny Kalyalya told a news conference.</p>



<p>Inflation has been rising since the middle of last year, reaching 15.4% year on year in July, fuelled by a slide in the kwacha currency and the worst drought in the southern African region in decades.</p>



<p>The central bank now anticipates inflation will average 15.3% in 2024, up from the 13.7% forecast it gave at its last policy meeting in May.</p>



<p>Kalyalya said the completion of Zambia&#8217;s external debt restructuring and implementation of structural reforms remained critical to lower inflation.</p>



<p>Weighed down by delays in restructuring talks and limited foreign-currency inflows, the kwacha hit repeated record lows against the dollar from November to February and has been highly volatile since.</p>



<p>&#8220;In taking the decision to maintain the Policy Rate as opposed to raising it, the committee also took into account the impact on the stability of the financial system and growth, particularly in 2024, in the wake of the drought,&#8221; Governor Kalyalya said.</p>



<p>(Writing by Bhargav Acharya; Editing by Alexander Winning and David Holmes)</p>


FYWWSVJ7GZPUZHCREMBLZUUK6I

Zambia central bank holds key rate, citing impact of drought


<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-820x547.jpg" alt="" class="wp-image-510212" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A worker at a foreign exchange currency bureau counts 1000 Ugandan shilling banknotes in Kampala, Uganda, on Wednesday, Aug. 16, 2023. Uganda&#8217;s central bank said it stands ready to act if the World Bank&#8217;s decision to halt new funding over the country&#8217;s passage of anti-LGBTQ legislation impacts the currency further. Photographer: Luke Dray/Bloomberg via Getty Images</figcaption></figure>



<p>KAMPALA, Aug 14 (Reuters) &#8211; The Ugandan shilling traded stable on Wednesday, underpinned by a slowdown in appetite for hard currency from both merchandise importers and players in the interbank market, traders said.</p>



<p>At 0942 GMT commercial banks quoted the shilling at 3,725/3,735, same level as Tuesday&#8217;s close.</p>



<p>(Reporting by Elias Biryabarema; Editing by Hereward Holland)</p>


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Reuters

Why is mpox an emergency again, and how worried should I be?

Kenyan shilling stable but traders see FX demand picking up

Nigeria launches $500 million dollar bond on local market

South African Markets – Factors to watch on Aug 16

African Markets – Factors to watch on Aug 16

Kenya Airports Authority says Aug. 19 strike won’t disrupt operations

Nigeria inflation falls for first month in well over a year

Kenya and Ghana currencies seen steady

South Africa’s Standard Bank posts 4% rise in half-year profit

Kenyan shilling flat despite slight uptick in dollar demand

South African rand pauses after modest gains on US data

South African Markets – Factors to watch on Aug 15

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Ethiopia bondholders disappointed by proposed bond haircut

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Zambia central bank holds key rate, citing impact of drought

Ugandan shilling stable as demand thins out

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