<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1152" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-scaled.jpg" alt="" class="wp-image-400641" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-300x169.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-820x461.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-768x432.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/1x-1-2-1536x864.jpg 1536w" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">A collection of mixed denomination South African rand coins sit in an arranged photo in Johannesburg, South Africa, on Thursday, June 22, 2017. South Africas inflation rate rose for the first time this year in May after food-price growth quickened from the slowest pace since December 2015. Photographer: Waldo Swiegers/Bloomberg via Getty Images</figcaption></figure>



JOHANNESBURG, July 17 (Reuters)&nbsp;&#8211;&nbsp;The South African rand slipped against the dollar in early trade on Wednesday before the release of retail sales figures.



At 0625 GMT, the rand traded at 18.0725 against the dollar, about 0.2% weaker than its previous close.



Statistics South Africa will publish May retail sales data at 1100 GMT, shedding light on consumer spending patterns in one of Africa&#8217;s biggest economies.



Economists polled by Reuters predict retail sales will rise 0.7% year on year in May, after a 0.6% increase in April.



From 1200 GMT, mining and petroleum minister Gwede Mantashe will brief reporters on his plans for those sectors.



On Thursday investor attention will shift to an interest rate announcement by South Africa&#8217;s central bank and a speech in parliament by President Cyril Ramaphosa laying out priorities for the new coalition government.



(Reporting by Alexander Winning; Editing by Kim Coghill)

South African Economy As Inflation Rate Rises For First Time In 2017

South African rand slips before retail sales 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/2021/04/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-400697" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1-300x200.jpg 300w" sizes="auto, (max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">Double exposure of coin stack with city background and world map, financial graph, world map and global network business concept idea, element by NASA.</figcaption></figure>



JOHANNESBURG, July 17 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic events, equity and currency market moves may affect South African markets on Wednesday.



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



May retail sales data at 1100 GMT



Mining and petroleum minister briefs reporters on his department&#8217;s plans from 1200 GMT



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



The South African rand clawed back some losses on Tuesday, after tumbling on Monday, on rising expectations that the U.S. Federal Reserve will soon cut interest rates.



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



Gold hit a record and bonds rallied on Wednesday as markets prepared for global interest rates to fall, while stocks in Taiwan slipped after U.S. presidential candidate Donald Trump sounded lukewarm in his commitment to the island&#8217;s defence.



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



Wall Street stocks rose and the Dow Jones Industrial Average hit an all-time closing high on Tuesday after U.S. retail sales data supported the view that the Federal Reserve is approaching its easing cycle, reining in inflation while avoiding a recession.



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



Gold prices rose to an all-time peak on Wednesday, driven by mounting hopes of a U.S. interest rate cut in September after recent comments from Federal Reserve officials.



&#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; Bond rally since election gives fiscus a breather



&#8211; Presidential climate advisers propose way forward to streamline just transition financing



(Compiled by Alexander Winning)

istockphoto-1076949610-612×612-1

South African Markets – Factors to watch on July 17

<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>



July 17 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Wednesday.



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



Gold hit a record and bonds rallied on Wednesday as markets prepared for global interest rates to fall, while stocks in Taiwan slipped after U.S. presidential candidate Donald Trump sounded lukewarm in his commitment to the island&#8217;s defence.



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



Oil prices were steady on Wednesday, with global benchmark Brent hovering near the one-month low it hit in the prior session, as signs of weakening demand growth in China clashed with the prospect of declining U.S. oil stockpiles.



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



The South African rand clawed back some losses on Tuesday, after tumbling on Monday, on rising expectations that the U.S. Federal Reserve will soon cut interest rates.



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



Kenya&#8217;s shilling slid lower on Tuesday, with traders saying there was a shortage of dollars on the market.



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



At least one person was killed in renewed anti-government protests across Kenya on Tuesday, a Reuters reporter said, as police clashed with demonstrators demanding that President William Ruto step down.



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



A Nigerian court on Tuesday adjourned a money laundering trial against cryptocurrency exchange Binance and two of its executives to Oct. 11, after the court&#8217;s annual holiday that starts next week.



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



Ghana&#8217;s cocoa marketing board Cocobod made a 2.3 billion cedi ($149.84 million) profit in 2022/23, helped by the restructuring of its debt, the west Africa nation&#8217;s auditor general said in a report obtained by Reuters on Tuesday.



((Compiled by Nairobi Newsroom))

World map with charts and graphs as symbols of global finance

African Markets – Factors to watch on July 17

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1600" height="1067" src="https://cms.cnbcafrica.com/wp-content/uploads/2022/07/responsive_big_webp_g4HszNIBPcEQqWKXN36WnGfcOeIXBid9O1akAXmkSmE.webp" alt="" class="wp-image-418642" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2022/07/responsive_big_webp_g4HszNIBPcEQqWKXN36WnGfcOeIXBid9O1akAXmkSmE.webp 1600w, https://cms.cnbcafrica.com/wp-content/uploads/2022/07/responsive_big_webp_g4HszNIBPcEQqWKXN36WnGfcOeIXBid9O1akAXmkSmE-300x200.webp 300w, https://cms.cnbcafrica.com/wp-content/uploads/2022/07/responsive_big_webp_g4HszNIBPcEQqWKXN36WnGfcOeIXBid9O1akAXmkSmE-820x547.webp 820w, https://cms.cnbcafrica.com/wp-content/uploads/2022/07/responsive_big_webp_g4HszNIBPcEQqWKXN36WnGfcOeIXBid9O1akAXmkSmE-135x90.webp 135w, https://cms.cnbcafrica.com/wp-content/uploads/2022/07/responsive_big_webp_g4HszNIBPcEQqWKXN36WnGfcOeIXBid9O1akAXmkSmE-768x512.webp 768w, https://cms.cnbcafrica.com/wp-content/uploads/2022/07/responsive_big_webp_g4HszNIBPcEQqWKXN36WnGfcOeIXBid9O1akAXmkSmE-1536x1024.webp 1536w" sizes="auto, (max-width: 1600px) 100vw, 1600px" /><figcaption class="wp-element-caption">Africa’s abundant renewable energy sources could make it a global hub for producing low-carbon hydrogen
Image: Unsplash/Anastasia Palagutina</figcaption></figure>



JOHANNESBURG, July 17 (Thomson Reuters Foundation)&nbsp;&#8211;&nbsp;When Shireen Gouws heard about a new hotline advertised in the community centre where she works in the small town of Laingsburg in South Africa, she was quick to spread the word.



Finally, she thought, people could have their say about renewable projects in their area and make sure they were reaping the benefits of the transition to green energy.



The toll-free hotline, available in 11 official South African languages, was launched on July 9 after a year-long pilot in Laingsburg and the town of Sutherland, where people could call in with complaints, queries and suggestions related to the wind farms operating in the area.



&#8220;Usually companies come and go and there is no engagement with the community, maybe a meeting once in a while. (Now) the community can express themselves if they are happy or unhappy about something,&#8221; Gouws, who works as a clerk at the community centre, told the Thomson Reuters Foundation in a phone interview.



The ENGAGE! hotline was launched by South African sustainable consulting company Cultiver following a year-long pilot with Enel Green Power, a renewable power unit of Italy&#8217;s largest utility firm, Enel Group.



Enel Green runs the Karusa and Soetwater wind farms in Laingsburg and Sutherland. Cultiver has worked with Enel on community projects in the area since construction on the wind farms began in 2019, and the hotline offers a new way of engaging with the public.



Enel did not immediately reply to a request for comment.



Cultiver now offers the hotline platform to renewable energy, infrastructure and mining projects across southern Africa.



Cultiver&#8217;s aim is to ensure residents of remote towns where solar and wind farms are being installed are included in the dialogue about how these green projects can also benefit locals, said Fezeka Stuurman, the head of Cultiver.



ENGAGE! allows community members to put their grievances directly to project owners and local government, if relevant, to ensure their concerns are dealt with urgently and minimise the risk of social unrest, Stuurman added.



&#8220;We decided that we needed something for communities to reach us directly and in a way that would be dignified, private and insightful,&#8221; Stuurman told the Thomson Reuters Foundation.



As a result of the pilot project, Cultiver helped facilitate the drilling of boreholes for drought-stricken areas, the creation of a value-chain workshop for businesses interested in working with Enel, and the organisation of a registration event for small businesses to take part in procurement, Stuurman said.



Richard Halsey, a policy advisor on the South African team at the International Institute for Sustainable Development (IISD), praised the hotline&#8217;s free access and inclusivity for community members.



But the fact that it is funded by project owners could mean some renewable energy and mining companies or infrastructure developers may choose not to use the hotline as it is an additional, optional expense, he said.



Its effectiveness could also be limited as community members are only invited to engage once the project has started, rather than giving them an initial say in what kind of project they would like to see in their area, Halsey added.



&#8220;Effective communication across communities isn&#8217;t just a &#8216;nice to have&#8217; bonus for developers,&#8221; said Halsey.



&#8220;Real involvement and interaction can empower decision-making on both sides &#8230; smoothing the way towards clean energy deployment and helping avoid frustrating delays and opposition,&#8221; he said in emailed comments.



<h2 class="wp-block-heading" id="h-fighting-distrust">FIGHTING DISTRUST</h2>



South Africa is among the world&#8217;s top 15 greenhouse gas emitters &#8211; and the leading emitter in Africa. About 80% of its carbon emissions, and some 90,000 jobs, are linked to coal.



South Africa has secured $676 million in grants from rich nations to shift from coal to clean energy sources such as wind and solar power.



The country&#8217;s sweeping coastline, vast semi-desert and near all-year-round sun are seen by many renewable energy investors as offering impressive potential for solar and wind projects.



South Africa already has in place a 13-year-old programme that procures clean energy from independent power producers (IPPs) to feed into the national grid, while aiming to empower local communities by giving them some of the profits back.



IPP policy states that the power producers should prioritise socioeconomic development within a 50-km (31-mile) radius of the project site.



More than 6,000 megawatts of generation capacity, primarily from wind and solar, have already been granted to bidders under the IPP scheme, according to the U.S. International Trade Administration (ITA).



But research has shown that the money from these projects does not always trickle down to the surrounding communities, building a culture of mistrust when new projects move in.



The hotline is meant to combat this trend. It is advertised through pamphlets and community ambassadors from Cultiver, who talk directly to residents.



Gouws said community members told her that they used the hotline to understand how the wind farm would support the community, and to complain if the funding processes were not clear.



<h2 class="wp-block-heading" id="h-inform-and-be-informed">&#8216;INFORM AND BE INFORMED&#8217;</h2>



In the past year the platform, which is also available via WhatsApp, received more than 150 calls from residents of Sutherland and Laingsburg, which together are home to some 12,000 people.



Around 50% of the calls were about funding and financial support for community projects under the IPP policy, 20% were grievance-related, 20% focused on training and support for small businesses, and the rest were general inquiries, Cultiver said.



The response time for grievances is about 10-20 working days, depending on the complexity, Stuurman said.



&#8220;Communities called us directly saying &#8230; we need a counsellor, we need a school psychologist, we need a safe house,&#8221; Stuurman said.



A number of calls were about a contractor who was allegedly underpaying workers and failing to supply necessary protective equipment, she said. Following guidance received via the ENGAGE! platform, the workers submitted a collective petition and a new contractor was appointed.



Gouws said students, whose bursaries were being funded through Enel&#8217;s community profit-sharing schemes, used the hotline to follow up on payment delays, resolving the issue almost immediately.



The platform was a good start to allow &#8220;quieter voices to share concerns &#8230; to inform and be informed,&#8221; said Allistar Gibbons, the manager of community services in the Karoo Hoogland Municipality in the Northern Cape, where Sutherland is.



<h2 class="wp-block-heading" id="h-opportunity-to-learn">&#8216;OPPORTUNITY TO LEARN&#8217;</h2>



Community support also has a financial benefit, said Stuurman, who has witnessed protests and stoppages halt various projects she has worked on in the past decade.



&#8220;When you&#8217;re investing billions of rands into an asset, the immediate risk is around having that asset jeopardised in some shape or form,&#8221; she said.



South Africa&#8217;s economy was built on extractive mining industries, including coal, gold and diamonds, that made use of Black, migrant labour to enrich the white minority during colonial and apartheid years.



The renewable industry offers an opportunity to learn from past practices, said Holle Wlokas, co-founder of the Initiative for Social Performance in Renewable Energy (INSPIRE) non-profit.



Wlokas said ENGAGE! represented an &#8220;exciting opportunity&#8221; to keep investing in community relationships, both via the hotline and in person.



&#8220;We do see in the renewable sector, at times, community narratives comparing renewables with the mining industry,&#8221; said Wlokas in a phone interview.



&#8220;Quite a common saying is that the wind and solar projects steal the diamonds from the sky as the mining sector stole the diamonds out of the earth,&#8221; she said.



&#8220;And that experience of extraction and exploitation is an important one to listen very carefully to.&#8221;



(Reporting by Kim Harrisberg in Johannesburg. Editing by Clar Ni Chonghaile. The Thomson Reuters Foundation is the charitable arm of Thomson Reuters.)

responsive_big_webp_g4HszNIBPcEQqWKXN36WnGfcOeIXBid9O1akAXmkSmE

South African hotline gives locals a say on green energy projects

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/6A7M3AO7TJLVNGKEVN2F6TDGYE-820x547.jpg" alt="" class="wp-image-493882" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/6A7M3AO7TJLVNGKEVN2F6TDGYE-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/6A7M3AO7TJLVNGKEVN2F6TDGYE-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/6A7M3AO7TJLVNGKEVN2F6TDGYE-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/6A7M3AO7TJLVNGKEVN2F6TDGYE-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/6A7M3AO7TJLVNGKEVN2F6TDGYE-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/6A7M3AO7TJLVNGKEVN2F6TDGYE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">International Monetary Fund (IMF) logo is seen outside the headquarters building in Washington, U.S., as IMF Managing Director Christine Lagarde meets with Argentine Treasury Minister Nicolas Dujovne September 4, 2018. REUTERS/Yuri Gripas</figcaption></figure>



WASHINGTON, July 16 (Reuters) &#8211; The global economy is set for modest growth over the next two years amid cooling activity in the U.S., a bottoming-out in Europe and stronger consumption and exports for China, but risks to the path abound, the International Monetary Fund said on Tuesday.



The IMF warned in an update to its World Economic Outlook(WEO) that momentum in the fight against inflation is slowing, which could further delay an easing of interest rates and keep up strong dollar pressure on developing economies.



The IMF kept its 2024 global real gross domestic product growth forecast unchanged from April at 3.2% and raised its 2025 forecast by 0.1 percentage point to 3.3%. The forecasts fail to shift growth from the lackluster levels that IMF managing director Kristalina Georgieva has warned would lead to &#8220;the tepid twenties.&#8221;



But the revised outlook reflected some shifting sands among major economies, with the 2024 U.S. growth forecast reduced by 0.1 percentage point to 2.6%, reflecting slower-than-expected first-quarter consumption. The Fund&#8217;s 2025 U.S growth forecast was unchanged at 1.9%, a slowdown driven by a cooling labor market and moderating spending in response to tight monetary policy.



&#8220;Growth in major advanced economies is becoming more aligned as output gaps are closing,&#8221; IMF chief economist Pierre-Olivier Gourinchas said in a blog post accompanying the report, adding that the U.S. was showing increasing signs of cooling, while Europe was poised to pick up.



The IMF significantly hiked its China growth forecast to 5.0% &#8211; matching the Chinese government&#8217;s target for the year &#8211; from 4.6% in April due to a first-quarter rebound in private consumption and strong exports. The IMF also boosted its 2025 China growth forecast to 4.5% from 4.1% in April.



<h2 class="wp-block-heading" id="h-china-risks">CHINA RISKS</h2>



But China&#8217;s momentum may be sputtering, as Beijing on Monday reported second-quarter GDP growth of just 4.7%, significantly below forecasts amid weak consumer spending amid a protracted property downturn.



Gourinchas told Reuters in an interview that the new data poses a downside risk to the IMF forecast, as it signals weakness in consumer confidence and continuing problems in the property sector. To boost domestic consumption, China needs to fully resolve its property crisis, as real estate is the main asset for most Chinese households.



&#8220;When you&#8217;re looking at China, the weaker the domestic demand, the more growth is going to rely potentially on the external sector,&#8221; he said, inviting more trade tensions.



On a more positive note, the IMF slightly upgraded its 2024 eurozone growth forecast by 0.1 percentage point to 0.9%, leaving the bloc&#8217;s 2025 forecast unchanged at 1.5%.



The eurozone has &#8220;bottomed out&#8221; and saw stronger first-half services growth, while rising real wages will help power consumption next year and easing monetary policy will aid investment, the IMF said.



It cut Japan&#8217;s 2024 growth forecast to 0.7% from 0.9% in April due in part to supply disruptions from a major auto plant shutdown and weak private investment in the first quarter.



<h2 class="wp-block-heading" id="h-inflation-risks-remain">INFLATION RISKS REMAIN</h2>



The IMF warned of near-term upside risks to inflation as services prices remain elevated amid wage growth in the labor-intensive sector and said renewed trade and geopolitical tensions could stoke price pressures by increasing the cost of imported goods along the supply chain.



&#8220;The risk of elevated inflation has raised the prospects of higher-for-even-longer interest rates, which in turn increases external, fiscal and financial risks,&#8221; the IMF said in the report.



Gourinchas said that despite a fall in U.S. consumer prices last month, the Federal Reserve



can afford to wait



a bit longer to begin cutting rates to avoid any inflationary surprises.



<h2 class="wp-block-heading" id="h-protectionism-risks">PROTECTIONISM RISKS</h2>



The IMF also warned of potential swings in economic policy as a result of many elections this year that could have negative spillovers to the rest of the world.



&#8220;These potential shifts entail fiscal profligacy risks that will worsen debt dynamics, adversely affecting long-term yields and ratcheting up protectionism,&#8221; the Fund said.



The Fund did not name U.S. Republican Party candidate Donald Trump, who has proposed to impose a 10% tariff on all U.S. imports, nor Democratic President Joe Biden, who has sharply hiked tariffs on Chinese electric vehicles, batteries, solar panels and semiconductors.



But it said that higher tariffs and a scaling up of domestic industrial policy could create &#8220;damaging cross-border spillovers, as well as trigger retaliation, resulting in a costly race to the bottom.&#8221;



Instead, the IMF recommended that policymakers persevere with restoring price stability &#8211; easing monetary policy only gradually &#8211; replenish fiscal buffers drained during the pandemic and pursue policies that promote trade and increase productivity. 



(Reporting by David Lawder; Editing by Andrea Ricci and Dan Burns)

IMF logo is seen outside the headquarters building in Washington

IMF sees steady global growth, warns of slowing disinflation momentum

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="528" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/7OMLJWHVFZILBPXIQFVWFUYC2M-820x528.jpg" alt="" class="wp-image-508174" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/7OMLJWHVFZILBPXIQFVWFUYC2M-820x528.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/7OMLJWHVFZILBPXIQFVWFUYC2M-300x193.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/7OMLJWHVFZILBPXIQFVWFUYC2M-140x90.jpg 140w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/7OMLJWHVFZILBPXIQFVWFUYC2M-768x494.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/7OMLJWHVFZILBPXIQFVWFUYC2M-1536x988.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/7OMLJWHVFZILBPXIQFVWFUYC2M-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A protestor reacts during an anti-government demonstration following nationwide deadly riots over tax hikes and a controversial now-withdrawn finance bill in Kitengela, Kenya, July 16, 2024. REUTERS/Monicah Mwangi</figcaption></figure>



NAIROBI, July 16 (Reuters)&nbsp;&#8211;&nbsp;Police in Kenya fired tear gas on Tuesday to disperse hundreds of protesters aiming to keep pressure on President William Ruto after he made a series of concessions to demonstrators&#8217; demands.



Leading activists behind weeks of protests, initially sparked by proposed tax hikes, called for a &#8220;total shutdown&#8221; of the country on Tuesday.



The protests have created the biggest crisis of Ruto&#8217;s two years in power and have continued &#8211; albeit with a smaller turnout &#8211; even after the president withdrew $2.7 billion in tax hikes and fired nearly his entire cabinet.



Many demonstrators are demanding that Ruto step down, blaming him for misgovernance, corruption and the deaths of dozens of protesters during earlier anti-government rallies.



On Tuesday, police fired tear gas in Kitengela, a town on the southern outskirts of the capital Nairobi, where around 200 protesters burned tyres and chanted &#8220;Ruto must go&#8221; and &#8220;Stop killing us&#8221;, Reuters reporters said.



Riot police in Nairobi&#8217;s city centre also fired tear gas as a few dozen protesters chanted for Ruto to step down. Demonstrators in the coastal city of Mombasa marched waving palm fronds, footage from Kenyan media showed.



Ruto&#8217;s office had announced &#8220;multi-sectoral&#8221; talks for this week to address grievances raised by the protesters, but there was no sign they had begun. Most of the leading activists behind the protests have rejected the invitation, instead calling for immediate action on issues like corruption.



Ruto&#8217;s spokesperson did not immediately respond to a request for comment.



With Kenya spending over 30% of its revenues just paying the interest bills on its debt, Ruto has been caught between the demands of lenders to cut deficits and a hard-pressed population reeling from rising living costs.



The protests began peacefully but later turned violent. Some demonstrators briefly stormed parliament on June 25, and the police opened fire. More than 40 people have been killed in the protests, rights groups say.



Ruto on Monday accused the Ford Foundation, an American philanthropic organisation, of sponsoring those who had caused &#8220;violence and mayhem&#8221; in Kenya, without providing evidence.



The Ford Foundation rejected the allegation, saying it did not fund or sponsor the protests and has a strictly non-partisan policy for its grant-making.



(Additional reporting by Hereward Holland and Humphrey Malalo; Editing by Aaron Ross and Ros Russell)

Anti-government protests against the imposition of tax hikes by the government, in Kajiado

Kenya police fire tear gas as anti-government protesters burn tyres

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="549" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-820x549.jpg" alt="" class="wp-image-425202" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-820x549.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-134x90.jpg 134w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-768x514.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-1536x1028.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">South African Rand coins are seen in this photo illustration . REUTERS/Mike Hutchings</figcaption></figure>



JOHANNESBURG, July 16 (Reuters)&nbsp;&#8211;&nbsp;The South African rand clawed back some losses on Tuesday, after tumbling on Monday, on rising expectations that the U.S. Federal Reserve will soon cut interest rates.



At 0800 GMT, the rand traded at 18.1575 against the dollar, about 0.2% stronger than its previous close.



Federal Reserve Chair Jerome Powell said on Monday that recent U.S. inflation readings have somewhat added to confidence that the pace of price increases is sustainably returning to the Fed&#8217;s target, driving hopes that interest rate cuts are nearing.



The rand slipped more than 1% against the greenback on Monday as investor appetite for riskier assets waned globally after the assassination attempt on former U.S. President Donald Trump on Saturday.



Locally, investors will focus on the South African Reserve Bank&#8217;s (SARB) interest rate decision and President Cyril Ramaphosa&#8217;s opening address to parliament, both on Thursday.



A Reuters poll found that the SARB will leave its repo rate unchanged on Thursday, but cut rates by 25 basis points to 8.00% in September as inflation cools, earlier than a November move that was expected in a June survey.



&#8220;For now with no interest rate cut expected locally on Thursday, the rand will look at the international front for cues,&#8221; said Andre Cilliers, currency strategist at TreasuryONE.



On the Johannesburg Stock Exchange, the blue-chip Top-40 index was down around 1% in early trade.



South Africa&#8217;s benchmark 2030 government bond was stronger in early deals, as the yield fell 5.5 basis points to 9.52%.



(Reporting by Tannur Anders; Editing by Susan Fenton)

South African Rand coins are seen in this photo illustration

South African rand claws back losses as markets bet on US rate cuts soon

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1365" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-scaled.jpg" alt="" class="wp-image-422955" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/02/GettyImages-924883576-1-scaled.jpg 2048w, 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-924883576-1-820x547.jpg 820w, 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" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">Uganda shillings. Uganda. (Photo by: Godong/Universal Images Group via Getty Images)</figcaption></figure>



KAMPALA, July 16 (Reuters) &#8211; The Ugandan shilling was slightly firmer on Tuesday, underpinned by hard currency inflows from commodity exporters and offshore investors looking to participate in a treasury auction, traders said.



At 0853 GMT commercial banks quoted the shilling at 3,690/3,700, compared to Monday&#8217;s close of 3,693/3,703.



(Reporting by Elias Biryabarema; Editing by Hereward Holland)

GettyImages-924883576-1

Ugandan shilling firms on commodity inflows

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1366" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-880072092-scaled.jpg" alt="" class="wp-image-409717" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-880072092-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-880072092-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-880072092-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-880072092-120x80.jpg 120w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-880072092-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2021/07/GettyImages-880072092-1536x1024.jpg 1536w" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">Kenyan shilling banknotes and coins sit arranged at a market stall in Mombasa, Kenya, on Thursday, Nov. 23, 2017. The countrys Treasury has already cut this years growth target to 5 percent from 5.9 percent as the protracted election furor damped investment and a drought curbed farm output. Photographer: Luis Tato/Bloomberg via Getty Images</figcaption></figure>



NAIROBI, July 16 (Reuters) &#8211; Kenya&#8217;s shilling slid lower on Tuesday, with traders saying there was a shortage of dollars on the market.



At 0913 GMT, commercial banks quoted the shilling at 129.50/130.50 per dollar, compared with Monday&#8217;s closing rate of 128.50/129.50.



&#8220;There&#8217;s very muted demand, but even less supply of dollars,&#8221; one trader said.



(Reporting by Hereward Holland; Editing by Alexander Winning)

General Economy As Kenya Faces Bleak 2018 Outlook In Vote Aftermath

Kenyan shilling falls; traders cite dollar shortage

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-400697" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1-300x200.jpg 300w" sizes="auto, (max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">Double exposure of coin stack with city background and world map, financial graph, world map and global network business concept idea, element by NASA.</figcaption></figure>



JOHANNESBURG, July 16 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic events, equity and currency market moves may affect South African markets on Tuesday.



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



South Africa&#8217;s government holds its weekly auction of long-term bonds.



South Africa&#8217;s government and the World Bank hold a conference on building resilience to climate change.



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



The South African rand tumbled against the dollar on Monday, as the assassination attempt on former U.S. president Donald Trump this weekend dented appetite for riskier assets and spurred safe-haven demand globally.



On the Johannesburg Stock Exchange, the Top-40 index closed 0.65% stronger. The benchmark 2030 government bond was weaker, as the yield rose 10 basis points to 9.575%.



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



Asian shares fell on Tuesday as investors pondered the prospect of a Trump victory and what that would mean for China, while the dollar climbed for a second day even though dovish Fed comments fuelled bets of more U.S. rate cuts this year.



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



Wall Street closed higher on Monday, building on Friday&#8217;s rally as increasing expectations of a second Donald Trump presidency in the wake of a failed assassination attempt raised hopes of a looser regulatory environment.



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



Gold prices nudged higher on Tuesday as comments from Federal Reserve Chair Jerome Powell bolstered the case for a September rate cut, while investors awaited more U.S. economic data for further monetary policy cues.



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



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



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



&#8211; Two SA interest rate cuts may still come this year, says Bank of America



&#8211; SA has used only 25% of $8.5bn climate funding &#8211; but there are some green shoots



(Compiled by Tannur Anders)

South African Markets – Factors to watch on July 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>



July 16 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Tuesday.



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



Counting continues in Rwanda&#8217;s presidential election.



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



Asian shares fell on Tuesday as investors pondered the prospect of a Trump victory and what that would mean for China, while the dollar climbed for a second day even though dovish Fed comments fuelled bets of more U.S. rate cuts this year.



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



Oil prices slipped on Tuesday on worries about a slowing Chinese economy crimping demand, though a growing consensus that the U.S. Federal Reserve will begin cutting its key interest rate as soon as September limited declines.



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



The South African rand tumbled against the dollar on Monday, as the assassination attempt on former U.S. president Donald Trump this weekend dented appetite for riskier assets and spurred safe-haven demand globally.



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



Kenya&#8217;s shilling was unchanged against the dollar on Monday, LSEG data showed.



<h2 class="wp-block-heading" id="h-rwanda-election">RWANDA ELECTION</h2>



Rwandans lined up on Monday to elect their next president, with early results putting incumbent Paul Kagame in the lead in a vote widely expected to give him a fourth term and extend his near quarter century in charge of the East African country.



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



Trading houses face losses of at least $1 billion on cocoa derivatives after major producer Ghana failed to deliver beans this year, forcing traders to liquidate short positions in a rallying market, six industry sources told Reuters.



<h2 class="wp-block-heading" id="h-gambia-fgm">GAMBIA FGM</h2>



Gambia&#8217;s parliament on Monday rejected a bill that would have ended a ban on female genital mutilation, after lawmakers voted down all the clauses in the proposed law.



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



S&amp;P Global plans to wait until a scheduled review date on August 23 to decide whether to cut Kenya&#8217;s sovereign credit rating following deadly turmoil in the country that has seen tax hikes abandoned and the entire cabinet sacked.



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



South Africa&#8217;s Koeberg nuclear power plant will be allowed to run one of its two units for another 20 years, the country&#8217;s nuclear regulator said on Monday after lengthy deliberations.



<h2 class="wp-block-heading" id="h-somalia-security">SOMALIA SECURITY</h2>



A car bomb exploded outside a restaurant in Somalia&#8217;s capital Mogadishu on Sunday night, killing five and injuring 20 as patrons were watching the final of the Euro 2024 football tournament on TV, police said, blaming Islamist insurgents.



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



A suspected serial killer has been arrested in Kenya following the discovery of several bodies at a quarry in Nairobi, with police saying on Monday he had confessed to killing 42 women including his wife.



((Compiled by Nairobi Newsroom))

African Markets – Factors to watch on July 16

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="499" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/IDTPN2YDDJOW3KGSUBE2QDHZYU-820x499.jpg" alt="" class="wp-image-508090" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/IDTPN2YDDJOW3KGSUBE2QDHZYU-820x499.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/IDTPN2YDDJOW3KGSUBE2QDHZYU-300x183.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/IDTPN2YDDJOW3KGSUBE2QDHZYU-148x90.jpg 148w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/IDTPN2YDDJOW3KGSUBE2QDHZYU-768x468.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/IDTPN2YDDJOW3KGSUBE2QDHZYU-1536x936.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/IDTPN2YDDJOW3KGSUBE2QDHZYU-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Rwanda&#8217;s incumbent President and presidential candidate for the Rwandan Patriotic Front (RPF) Paul Kagame casts his ballot during the Presidential election at the SOS Kinyinya polling centre in Kigali, Rwanda July 15, 2024. REUTERS/Jean Bizimana</figcaption></figure>



KIGALI, (Reuters) &#8211; Rwandans lined up on Monday to elect their next president, with early results putting incumbent Paul Kagame in the lead in a vote widely expected to give him a fourth term and extend his near quarter century in charge of the East African country.



The two men standing against him &#8211; Frank Habineza from the Democratic Green Party and independent Philippe Mpayimana &#8211; said they were hoping to make some progress, but analysts and rights groups said Kagame&#8217;s overwhelming victory was all but certain.



Kagame, who got more than 93% of the vote at the last three elections, won praise from Western and regional leaders at the time for helping end the 1994 genocide in Rwanda. The U.S. State Department and others have also lauded the development of the economy.



Rwandans are also voting on Monday for members of the lower house of parliament and provisional results are expected by July 20. Polling stations were open until 3 p.m. (1300 GMT).



The overall voter turnout was 98% of the 9 million registered voters, Oda Gasinzigwa, chair of the National Electoral Commission, said in a statement on the national broadcaster later on Monday evening.



Of 78.94% of the votes counted at about 2017 GMT, Kagame was ahead with 99.15% of the votes, data from the commission showed.



Campaign groups, including Human Rights Watch, have accused authorities of cracking down on journalists, the opposition and civil society groups before the vote. Kagame has dismissed such accusations and described himself as the stability candidate.



His reelection could signal a measure of political stability for his corner of a fractured region, but also continued global scrutiny, given the accusations of abuses and of supporting rebels in neighbouring Democratic Republic of Congo &#8211; a charge he has also denied.



Earlier on Monday, at the Rwandexco polling centre in the capital Kigali, Barimukije Pheneas said he would vote for the 66-year-old incumbent.



&#8220;We voted smoothly without any crowding, and we are happy,&#8221; Pheneas said. &#8220;I voted for Paul Kagame because he has achieved a lot for us; he united us.&#8221;



Motorcycle taxi driver Karangwa Vedaste said the voting process was calm and peaceful, but declined to say who he had chosen.



&#8220;I voted for a leader I trust. The one I voted for is a secret in my heart. We will share it when he wins,&#8221; Vedaste said.



The electoral commission barred eight other candidates, including Kagame&#8217;s most vocal critics, from running, citing a range of reasons including missing and incomplete registration documents.



Democratic Green Party candidate Habineza, whose deputy was found dead and almost beheaded in the run-up to the 2010 vote, said there had been signs of progress.



&#8220;We toured the entire country, and wherever we went, people welcomed us warmly. They gave us gifts and assured us they would vote for us,&#8221; Habineza said after voting.



&#8220;We have to maintain this momentum and not regress,&#8221; he added.



&#8220;We are confident, each of us is confident, it&#8217;s half and half,&#8221; independent presidential candidate Mpayimana told journalists after casting his vote.



The U.S. State Department says on its website Rwanda has made &#8220;progress in developing national and local government institutions, economic development, maintaining security (and) promoting reconciliation&#8221;.



It also says it backs Rwanda efforts to &#8220;increase democratic participation (and) enhance respect for civil and political rights&#8221;.



(Writing by Elias Biryabarema and George Obulutsa; Editing by Ros Russell, Michael Perry, Andrew Heavens and Sandra Maler)

Rwanda President Paul Kagame votes during the presidential election in Kigali

Rwandans vote ‘smoothly’ in election; Kagame in early lead

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1365" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/5ZGRRFFQPNPITEWABJ6LCA2HG4-scaled.jpg" alt="" class="wp-image-507832" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/5ZGRRFFQPNPITEWABJ6LCA2HG4-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/5ZGRRFFQPNPITEWABJ6LCA2HG4-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/5ZGRRFFQPNPITEWABJ6LCA2HG4-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/5ZGRRFFQPNPITEWABJ6LCA2HG4-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/5ZGRRFFQPNPITEWABJ6LCA2HG4-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/5ZGRRFFQPNPITEWABJ6LCA2HG4-1536x1024.jpg 1536w" sizes="auto, (max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">A woman stands at the check out counter after shopping at Cherries Hypermarket in Abuja, Nigeria March 15, 2022. REUTERS/Afolabi Sotunde</figcaption></figure>



ABUJA, July 15 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s rate of inflation rose to a new 28-year high of 34.19% in annual terms in June, official data showed on Monday, but some analysts said it may have peaked as devaluation effects should start to fade from this month.



June&#8217;s data marked the 19th straight month that inflation had risen in Africa&#8217;s most populous nation, up from 33.95% in May.



It came roughly a week before the central bank is due to announce another interest rate decision, which will be closely watched after three hikes already this year.



Price pressures have been spurred by policies implemented by President Bola Tinubu, chiefly slashing petrol and electricity subsidies and devaluing the naira currency twice within a year.



The reforms have hurt the poor and left millions grappling with the worst cost-of-living crisis in decades.



Labour unions met with Tinubu last week to push for a new minimum wage after suspending an indefinite strike last month.



Data published by the National Bureau of Statistics on Monday showed food and non-alcoholic beverages continued to be the biggest contributor to inflation in June.



Food inflation rose to 40.87% from 40.66% the previous month.



Central Bank of Nigeria (CBN) Governor Olayemi Cardoso has said the bank will do whatever is necessary to tame inflation.



David Omojomolo, Africa economist at Capital Economics, said he believed inflation would soon start falling, probably from July, and drop below 30% by the end of the year.



&#8220;This, we think, will set the stage for the CBN to start thinking about interest rate cuts in the near future,&#8221; he wrote in a research note.



At its last monetary policy meeting in May, the central bank raised its key lending rate by 150 basis points to 26.25%. Its next rate decision is due on July 23.



(Additional reporting by MacDonald Dzirutwe in Lagos and Mohd Edrees in Bangalore;Editing by Alexander Winning and Bernadette Baum)

People shop at Cherries Hypermarket in Abuja

Nigeria’s inflation hit new 28-year high in June, may have peaked

<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/ESY6J5J7ABKT3L6B7A2M34W7YY-820x547.jpg" alt="" class="wp-image-507757" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ESY6J5J7ABKT3L6B7A2M34W7YY-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ESY6J5J7ABKT3L6B7A2M34W7YY-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ESY6J5J7ABKT3L6B7A2M34W7YY-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ESY6J5J7ABKT3L6B7A2M34W7YY-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ESY6J5J7ABKT3L6B7A2M34W7YY-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ESY6J5J7ABKT3L6B7A2M34W7YY-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">South Africa&#8217;s president Cyril Ramaphosa delivers the State of the Nation Address (SONA) to a joint sitting of the National Assembly and the National Council of Provinces in Cape Town, South Africa, February 10, 2022. Nic Bothma/Pool via REUTERS</figcaption></figure>



PRETORIA, July 15 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s President Cyril Ramaphosa warned other developing nations on Monday that future carbon taxes proposed by rich countries would damage their economies unless they act swiftly to ditch fossil fuels in favour of green energy.



Addressing a National Treasury and World Bank climate change conference in the capital Pretoria, Ramaphosa said the carbon intensity of South Africa&#8217;s economy, which relies heavily on burning coal to produce electricity, was unsustainable.



&#8220;For decades our reliance on coal &#8230; allowed us to produce electricity cheaply. But the world has changed and this dependency has come to pose significant risks,&#8221; he said, chiefly carbon taxes proposed by trading blocs like the European Union.



&#8220;Instruments like the European Union&#8217;s Carbon Border Adjustment Mechanism &#8230; (have) the potential to cause great damage to developing economies,&#8221; he said.



Data from think tank Ember shows South Africa was the most carbon-intensive major economy in 2022, producing 709 grams of carbon dioxide per kilowatt hour of energy generated.



That has put it in the world&#8217;s top 15 greenhouse gas emitters &#8211; above Turkey, Italy, France or Britain, according to watchdog Climate Transparency.



Ramaphosa highlighted the impact of storms last week around the city of Cape Town, which shut down the port and caused &#8220;caused devastation to homes, communities, businesses and infrastructure&#8221;, as an example of negative climate impacts.



&#8220;The countries of the Global South &#8230; feel the effects of climate change most, despite being least responsible historically for global emissions,&#8221; he said.



South Africa&#8217;s new energy minister vowed last week to accelerate the transition to renewable energy, in a shift in rhetoric from his predecessor, a defender of the coal business. Yet few details have emerged of how this will occur.



Western donors are offering billions of dollars in loans to fund the transition, but South African officials say they barely scratch the surface of the finance needed.



The country has some of the world&#8217;s best available sun and wind energy, yet years-long bureaucratic delays to granting licenses and policy uncertainty has turned off investors, and last year the government delayed decommissioning eight coal-fired power stations well into 2030, citing energy security.



(Reporting by Tim Cocks; additional reporting by Kopano Gumbi; Editing by Alison Williams)

South Africa’s Ramaphosa urges green energy to avoid carbon border tax

<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>



JOHANNESBURG, July 15 (Reuters) &#8211; The South African rand weakened against the dollar on Monday, as the assassination attempt on former U.S. president Donald Trump dented appetite for riskier assets and spurred safe-haven demand.



The risk-sensitive rand&#8217;s fall was in line with moves seen in Asian emerging market currencies, as investors bet the attack would boost Trump&#8217;s chances of winning November&#8217;s U.S. election.



At 0845 GMT, the rand traded at 18.0575 to the dollar, about 0.6% weaker than the level it closed last week.



Andre Cilliers, currency strategist at TreasuryONE, said in a research note that the rand was expected to take its cue from the major global drivers for now.



This week&#8217;s main domestic drivers will come on Thursday, when the South African Reserve Bank will announce its interest rate decision and President Cyril Ramaphosa will deliver an address to parliament on his coalition government&#8217;s priorities.



&#8220;The former will be assessed for clues on the impact of the rand&#8217;s recovery on monetary policy expectations and the timing of a (rate) cut. The latter will be the first indication of how well this government of national unity is functioning,&#8221; ETM Analytics said.



On the Johannesburg Stock Exchange the Top-40 index was down 0.5%. The benchmark 2030 government bond was also weaker, as the yield rose 4.5 basis points to 9.52%.



(Reporting by Alexander Winning; Editing by Andrew Heavens)

Illustration photo of South African rand

South African rand slips as attack on Trump dents risk appetite

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="576" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/UBA56WNMY5LWDEZ67BOH74TT2U-820x576.jpg" alt="" class="wp-image-507752" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/UBA56WNMY5LWDEZ67BOH74TT2U-820x576.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/UBA56WNMY5LWDEZ67BOH74TT2U-300x211.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/UBA56WNMY5LWDEZ67BOH74TT2U-128x90.jpg 128w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/UBA56WNMY5LWDEZ67BOH74TT2U-768x539.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/UBA56WNMY5LWDEZ67BOH74TT2U-1536x1078.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/UBA56WNMY5LWDEZ67BOH74TT2U-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">The head of Nigeria&#8217;s state oil company NNPC, Mele Kyari, speaks during an interview with Reuters in Abuja, Nigeria August 7, 2019. REUTERS/Afolabi Sotunde/File Photo</figcaption></figure>



LAGOS, July 15 (Reuters)&nbsp;&#8211;&nbsp;Nigerian state-owned oil firm NNPC shareholding in Dangote refinery has been whittled down to 7.2% from 20% after failing to pay the balance of funding owed, Aliko Dangote, the refinery&#8217;s owner told the BusinessDay newspaper.



NNPC, which is in talks over another oil-backed loan to boost its finances, agreed three years ago to buy shares for $2.7 billion in the 650,000 barrels per day refinery.



But Dangote told reporters during a briefing at the plant on the outskirts of Lagos on Sunday that NNPC failed to meet its part of the deal, the BusinessDay newspaper reported on Monday.



&#8220;NNPC no longer owns a 20% stake in the Dangote refinery. They were (meant) to pay their balance in June, but have yet to fulfil the obligations. Now, they only own a 7.2% stake in the refinery,&#8221; Dangote was quoted saying.



NNPC was not immediately available to comment.



The Dangote refinery has been struggling to secure enough crude supplies locally because Nigeria&#8217;s production is constrained by lack of investment, pipeline vandalism and crude theft.



That has forced the refinery to import U.S. crude to reach its full capacity next year.



Dangote said he expected the refinery and a fertiliser plant, which is in the same complex, to be listed on the Nigerian stock exchange in the first quarter of 2025.



A senior company executive said in May the refinery aimed for a dual listing on the London and Lagos bourses.



(Reporting by MacDonald Dzirutwe, Editing by Louise Heavens)

FILE PHOTO: The head of NNPC, Mele Kyari, speaks during an interview with Reuters in Abuja

Nigeria’s NNPC stake in Dangote refinery reduced over non-payment, CEO tells paper

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-400697" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1-300x200.jpg 300w" sizes="auto, (max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">Double exposure of coin stack with city background and world map, financial graph, world map and global network business concept idea, element by NASA.</figcaption></figure>



JOHANNESBURG, July 15 (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>



Treasury bill auction



Offshore trading in South African stocks and bonds



South Africa&#8217;s government and World Bank hold conference on building resilience to climate change



Nuclear regulator to announce decision on extending Koeberg operations



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



The South African rand extended its gains on Friday, as surprisingly soft U.S. inflation data spurred bets the Federal Reserve will cut interest rates in September.



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



U.S. Treasuries slipped and the dollar firmed on Monday as investors wagered the attack on U.S. presidential candidate Donald Trump made his victory more likely, while injecting a whole new level of political uncertainty into markets.



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



Wall Street closed higher on Friday, with the S&amp;P 500 and Dow Jones Industrial Average hitting intraday record highs, on bets that the U.S. Federal Reserve will cut interest rates in September, while big banks fell after reporting mixed results.



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



Gold prices dipped on Monday as the dollar held firm, while investors awaited economic data and comments from Federal Reserve officials for further cues on the trajectory of U.S. interest rates.



&#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; SA delegation to lobby against review of US relations



&#8211; Ramaphosa buoyant after cabinet lekgotla



&#8211; An outside chance of a rate cut, but market expects a hold



(Compiled by Alexander Winning)

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South African rand slips before retail sales data

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