<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3334" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/02/SJQO2OZKNVN5PJDPJPMPHI2LVU.avif" alt="" class="wp-image-582446"/><figcaption class="wp-element-caption">Members of the United Nations Organization Stabilization Mission in the Democratic Republic of the Congo (MONUSCO) ride on a pickup truck as they secure the evacuation of non-essential UN staff, following the fight between M23 rebels and the Armed Forces of the Democratic Republic of the Congo (FARDC), in Goma, North Kivu province, Democratic Republic of Congo, January 25, 2025. REUTERS/Arlette Bashiz</figcaption></figure>



NAIROBI, Feb 4 (Reuters) &#8211; Uganda has deployed more than 1,000 extra soldiers into east Congo in the last week near an area where the Kinshasa government is fighting M23 rebels, four diplomatic and U.N. sources said, heightening fears of a regional escalation.



Residents said they were moving towards the conflict zone.



The Rwandan-backed M23 recently captured regional capital Goma in an anarchic and mineral-rich part of Democratic Republic of Congo where wars in 1996-1997 and 1998-2003 drew in outside nations and killed millions, mostly from hunger and disease.



The extra Ugandan deployment north of Goma would raise its numbers there &#8211; officially to back Congo President Felix Tshisekedi&#8217;s army against another rebel force &#8211; to about 4,000-5,000, according to U.N. sources.



Rwanda also has troops operating in east Congo.



Uganda has been helping Congo fight the Islamist Allied Defence Forces since 2021, and the new deployment of between 1,000-2,000 troops was under that auspice in a push called Operation Shujaa, the sources said.



In a region of complex and often-shifting alliances, U.N. experts say Uganda has also backed the ethnic Tutsi-led M23, which is the latest in a string of Rwanda-backed rebellions to take up arms in the name of Congo&#8217;s Tutsis.



Residents in the town of Butembo told Reuters they had seen columns of Ugandan soldiers heading south towards the front line with the M23 since the weekend.



Ugandan army spokesperson Felix Kulayigye denied a major new deployment, saying its forces had changed their &#8220;posture to offensive defence&#8221;, without giving further details.



Congo&#8217;s Communications Minister Patrick Muyaya did not respond when asked if more troops had arrived, but stressed the priority of Ugandan soldiers in the area was to fight the ADF though combat against M23 and Rwandan soldiers was also possible.



&#8220;There&#8217;s still a lot of suspicion about Uganda, a lot of suspicion about what&#8217;s generally happening with the M23,&#8221; he told Reuters.



<h2 class="wp-block-heading" id="h-uganda-s-surge">UGANDA&#8217;S &#8216;SURGE&#8217;</h2>



Corneille Nangaa, head of the Alliance Fleuve Congo, an umbrella organisation that includes the M23 fighters, told Reuters that Uganda provided no support but nor did he expect hostility.



Uganda denies U.N. reports that it has helped train some M23 fighters and given the group a rear base to move men and arms.



Having seized much of North Kivu province, M23 rebels have been consolidating their hold on Goma and moving on Bukavu, a town some 200 km (125 miles) to the south. After meeting resistance from Congolese and Burundian forces, they have said they do not plan to take the city.



Uganda and Rwanda have both entered east Congo in the past in the name of protecting their borders but faced accusations of looting natural resources, especially gold.



Zobel Behalal, a senior expert at the Global Initiative Against Transnational Organized Crime think tank, said eastern Congo is as important for Uganda&#8217;s economy as it is for Rwanda&#8217;s, and the country would do what it needed to protect its interests.



&#8220;The surge is preparation for this,&#8221; he said, referring to Uganda&#8217;s efforts to ensure that it managed any spreading conflict so that it continued to benefit from wealth and trade over their shared border.



Uganda has been helping Tshisekedi&#8217;s army hunt down the Islamic State-allied ADF which originated in Uganda but has been based in Congo since the late 1990s. Ground and air attacks have disrupted ADF operations and forced them to flee strongholds.



Adding to concerns over Uganda&#8217;s potentially ambiguous position, Muhoozi Kainerugaba, the influential son of Uganda&#8217;s president and head of the military, has been publicly supportive of Rwanda&#8217;s President Paul Kagame and his government.



In 2022, he referred to M23 as &#8220;brothers of ours&#8221; fighting for the rights of Tutsis in Congo.



(Reporting by David Lewis in Nairobi, Sonia Rolley in Paris, Elias Biryabarema in Kampala, Ange Kasongo in Kinshasa;Editing by Andrew Cawthorne)

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Uganda sends 1,000 more soldiers to east Congo near M23 conflict, sources say

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4372" height="2922" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/KEDTHZFAYBM77J7WBYLECY5O4E.avif" alt="" class="wp-image-580466"/><figcaption class="wp-element-caption">Members of the M23 rebel group gather at their position amid fighting between them and the Armed Forces of the Democratic Republic of the Congo (FARDC), in Goma, eastern Democratic Republic of the Congo, January 29, 2025. REUTERS/Stringer</figcaption></figure>



LONDON, Jan 30 (Reuters) &#8211; Britain has warned Rwanda that its involvement in an escalating conflict in the Democratic Republic of Congo could jeopardise the over $1 billion of aid it receives every year.



Rwanda-backed M23 rebels captured Goma, a city of 2 million people in the DRC, on Monday, ignoring widespread calls for them to halt their offensive and enact a ceasefire. They extended their advance on Wednesday.



Rwandan forces backed up M23 in Goma, according to Congo, the United States and other Western powers. Rwanda has denied its involvement.



British foreign minister David Lammy told parliament on Tuesday Rwanda received over 1 billion dollars in global aid every year, including around 32 million pounds ($39.80 million) of bilateral UK assistance but &#8220;all of that is under threat when you attack your neighbours&#8221;.



&#8220;We in this House are clear that we cannot have countries challenging the territorial integrity of other countries,&#8221; Lammy said. &#8220;Just as we will not tolerate it in the continent of Europe, we cannot tolerate it wherever in the world it happens.&#8221;



&#8220;We have to be clear about that,&#8221; Lammy added.



This week&#8217;s events represent the gravest escalation of the decades-old conflict in eastern Congo since 2012. The hostilities are rooted in the spillover of Rwanda&#8217;s 1994 genocide into Congo and the struggle for control of Congo&#8217;s lucrative minerals.



($1 = 0.8040 pounds)



(Reporting by Catarina Demony; Editing by Saad Sayeed)

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UK warns Rwanda of threat to aid over its involvement in DRC conflict

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="504" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/23WCRTIR7NLJLLNGJAAE2KWBSQ-820x504.jpg" alt="" class="wp-image-577142" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/23WCRTIR7NLJLLNGJAAE2KWBSQ-820x504.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/23WCRTIR7NLJLLNGJAAE2KWBSQ-300x185.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/23WCRTIR7NLJLLNGJAAE2KWBSQ-146x90.jpg 146w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/23WCRTIR7NLJLLNGJAAE2KWBSQ-768x472.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/23WCRTIR7NLJLLNGJAAE2KWBSQ-1536x945.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/23WCRTIR7NLJLLNGJAAE2KWBSQ-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Protesters throw stones during a &#8220;national shutdown&#8221; against the election outcome, at Luis Cabral township in Maputo, Mozambique, November 7, 2024. REUTERS/Siphiwe Sibeko</figcaption></figure>



Jan 21 (Reuters)&nbsp;&#8211;&nbsp;Mozambique&#8217;s largest port, Maputo, reported a 1% decline in volumes in 2024 mainly due to post-election protests that forced border closures and road blockages, the port operator said on Tuesday.



The southeast African country was rocked by opposition protests after a disputed Oct. 9 vote won by Daniel Chapo and his Frelimo party, which has governed Mozambique since 1975. The unrest has left more than 300 people dead following a crackdown by security forces.



Maputo port volumes for 2024 dipped to 30.9 million metric tons, from a record 31.2 million metric tons in 2023, the Maputo Port Development Company (MPDC) said in a statement.



&#8220;The slight decrease in total volumes &#8230; was primarily due to the post-electoral protests and road blockages in the Maputo corridor, including border closure for several days and conditioned border and road operations for more than a month consolidated,&#8221; MPDC said.



The rail corridor from South Africa to Mozambique was also affected by the protests and blockages, paired with a derailment in October and November, which shut the line for a month, MPDC added.



The Maputo port is handling growing volumes mainly driven by commodity exporters increasingly sending cargo through Mozambique to get around logistics bottlenecks in South Africa. Goods handled include coal, chrome, copper, and grains such as maize and wheat.



The MPDC is a consortium including multinational logistics firm DP World, South Africa&#8217;s Grindrod Ltd, and Mozambique&#8217;s state-owned rail operator Caminhos de Ferro de Moçambique.



The consortium, first granted the Maputo port concession in 2003, was last year granted an extension to 2058. The port is also set to be expanded to handle 58 million tons of cargo, from 37 million tons currently.



(Reporting by Nelson Banya; Editing by Mark Potter)

Mozambique opposition party leads national shutdown against election outcome

Mozambique’s Maputo port volumes dip after post-election unrest

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="473" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LYNXMPED4U1W6-820x473.jpg" alt="" class="wp-image-575323" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LYNXMPED4U1W6-820x473.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LYNXMPED4U1W6-300x173.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LYNXMPED4U1W6-156x90.jpg 156w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LYNXMPED4U1W6-768x443.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LYNXMPED4U1W6-1536x886.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LYNXMPED4U1W6-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A train launched to operate on the Standard Gauge Railway (SGR) line constructed by the China Road and Bridge Corporation (CRBC) and financed by Chinese government arrives at the Nairobi Terminus on the outskirts of Nairobi, Kenya May 31, 2017. REUTERS/Thomas Mukoya</figcaption></figure>



NAIROBI/ABU DHABI, Jan 15 (Reuters)&nbsp;&#8211;&nbsp;Kenya has started discussions with the United Arab Emirates to secure financing to complete a regional railway, President William Ruto said, after China cut infrastructure funding to the project.



The railway connecting the Kenyan port of Mombasa with landlocked neighbours, as part of China&#8217;s Belt and Road Initiative, ended in the Rift Valley in 2019, 468 kilometres (290 miles) short of the border with Uganda, after Beijing withdrew support.



&#8220;We are exploring a partnership agreement with the United Arab Emirates to extend the Standard Gauge Railway to connect Kenya, Uganda and South Sudan,&#8221; Ruto said on X late on Tuesday, after meeting UAE officials in Abu Dhabi.



Both sides will carry out a feasibility study on the extension of the railway, he said, &#8220;due to its capacity to foster regional integration and promote trade&#8221;.



Ruto&#8217;s office did not respond to Reuters&#8217; request for more details.



Ruto, who took over in September 2022, has pursued closer ties with the UAE, and Kenya is also finalising a $1.5 billion commercial loan from the UAE for budget support.



The East African nation and the UAE signed a comprehensive economic partnership agreement on Tuesday, aiming to boost trade volumes by removing barriers, simplifying customs processes and promoting investments.



&#8220;Kenya is going to be a gateway for sure for East Africa,&#8221; Thani Al Zeyoudi, the UAE&#8217;s minister of trade, told Reuters on Tuesday.



Trade between Kenya and the UAE has more than doubled over the last decade, Ruto&#8217;s office said. The UAE is the sixth biggest export market for Kenyan goods, and its second biggest source of imports.



The value of the trade stood at 445 billion shillings ($3.44 billion) in 2023, with the UAE buying agricultural products, while Kenya gets petroleum products, machinery and chemicals.



The UAE&#8217;s Abu Dhabi National Oil Company (ADNOC) and Emirates National Oil Company were among three Gulf firms Ruto&#8217;s government picked in 2023 to supply Kenya with oil on longer credit terms, in a shift from an open tender system.



($1 = 129.2500 Kenyan shillings)



(Reporting by Duncan Miriri in Nairobi and Rachna Uppal in Abu Dhabi; Editing by Barbara Lewis)

A train launched to operate on the SGR line constructed by the CRBC and financed by Chinese government arrives at the Nairobi Terminus in Nairobi

Kenya turns to the UAE for railway funds after China cut financing

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="3694" height="2271" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/J5PMZMRCRFI65GQ2B62NYABQDM.avif" alt="" class="wp-image-574712"/><figcaption class="wp-element-caption">The Standard Chartered bank logo is seen at their headquarters in London, Britain, July 26, 2022. REUTERS/Peter Nicholls/File Photo</figcaption></figure>



LONDON, Jan 11 (Reuters)&nbsp;&#8211;&nbsp;Zambia&#8217;s Securities and Exchange Commission (SEC) has sanctioned Standard Chartered for mis-selling a Chinese property company&#8217;s bonds to one of the bank&#8217;s local wealth clients at the height of the Asian country&#8217;s real-estate crisis, according to a source.



The source familiar with the matter told Reuters that the UK-headquartered bank, which is currently looking to sell its wealth and retail banking businesses in Zambia, was facing &#8220;enforcement action&#8221; for two breaches of SEC rules following a months-long investigation.



The first was that it had failed to disclose &#8220;material information&#8221; about the bonds it sold in March 2022. Those bonds, issued by state-backed Chinese developer Sino-Ocean, defaulted just over a year later and are now, like many in the sector, almost worthless.



In addition, the SEC found Standard Chartered had also used &#8220;exclusionary&#8221; contract clauses, which meant the client held all responsibility for the risks, which goes against Zambia&#8217;s securities rules.



In a statement to Reuters, Standard Chartered said: &#8220;We respect the outcome of the Securities Exchange Commission in Zambia, however, in accordance with appropriate local procedures we will respectfully be exercising our right to appeal.&#8221;



&#8220;We are fully aware of this matter, and we are reviewing the necessary details to clarify the situation. It is our priority at the Bank to ensure compliance with regulatory standards across all of our markets.&#8221;



The SEC, which started its investigation of the case in April, said it was not able to comment on the matter when asked by Reuters. Under Zambia&#8217;s Securities Act, Standard Chartered now has 30 days to lodge its appeal.



Zambia&#8217;s SEC has the power to fine, or publicly or privately &#8220;censure or reprimand&#8221; lenders, although it can&#8217;t formally order them to compensate customers for mis-selling.



Reuters wasn&#8217;t able to establish what penalty the regulator is planning to impose on Standard Chartered.



The lender announced in November it was looking to sell its Zambian wealth and retail banking businesses alongside those in nearby Botswana and Uganda.



It has operated in Zambia for nearly 120 years making it the country&#8217;s oldest bank.



It is currently reducing its overall footprint in Africa, however, having also sold its Tanzania business and subsidiaries in Angola, Cameroon, The Gambia, and Sierra Leone in the last couple of years.



(Additional reporting by Chris Mfula in Lusaka. Editing by Elisa Martinuzzi and Mark Potter)

J5PMZMRCRFI65GQ2B62NYABQDM

Zambia’s SEC sanctions Standard Chartered over China property bond mis-selling, source says

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="407" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_TA2USGDCXBOXJAPYDCXGGP66XA.jpg" alt="" class="wp-image-573372" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_TA2USGDCXBOXJAPYDCXGGP66XA.jpg 640w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_TA2USGDCXBOXJAPYDCXGGP66XA-300x191.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_TA2USGDCXBOXJAPYDCXGGP66XA-142x90.jpg 142w" sizes="auto, (max-width: 640px) 100vw, 640px" /><figcaption class="wp-element-caption">A general picture shows the skyline of Tanzania&#8217;s port city of Dar es Salaam, File. REUTERS/Andrew Emmanuel</figcaption></figure>



DAR ES SALAAM, Jan 8 (Reuters)&nbsp;&#8211;&nbsp;Tanzania&#8217;s central bank left its key interest rate&nbsp;TZINTR=ECI&nbsp;unchanged at 6% on Wednesday, holding it steady for a&nbsp;third consecutive&nbsp;policy meeting, with an aim of keeping inflation below its target.



When it launched the rate in January 2024, the bank set it at 5.50%. The bank targets inflation of 5%, and consumer inflation has stayed comfortably below that figure.



Inflation is forecast to stay around the range of 3.1% and 4% in the first quarter, Bank of Tanzania Governor Emmanuel Tutuba said in a statement.



Tanzania&#8217;s economy is forecast to grow by about 6% this year from an estimated 5.4% in 2024, its finance minister and central bank governor said in November in a letter to the International Monetary Fund.



The economy is forecast to grow 5.7% year-on-year in the first quarter, Tutuba said.



(Reporting by Nuzulack Dausen; Writing by George Obulutsa; Editing by Bernadette Baum)

https___cloudfront-us-east-2.images.arcpublishing.com_reuters_TA2USGDCXBOXJAPYDCXGGP66XA

Tanzania central bank holds key interest rate unchanged for a third time

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="397" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/KE6WLMXLLRKUPODPWLRXZ6RVSI.avif" alt="" class="wp-image-573024"/><figcaption class="wp-element-caption">A motorist drives on the controlled section during the construction of the Nairobi Expressway, undertaken by the China Road and Bridge Corporation (CRBC) on a public-private partnership (PPP) basis, along Uhuru highway in Nairobi, Kenya August 5, 2021. REUTERS/Thomas Mukoya/File photo</figcaption></figure>



NAIROBI, Jan 7 (Reuters)&nbsp;&#8211;&nbsp;Kenya&#8217;s economic growth slowed in the third quarter of 2024 from the same period a year earlier due to underperformance in most sectors of the economy, the statistics office said on Tuesday.



The economy&nbsp;KEGDPQ=ECI&nbsp;grew 4.0% year-on-year from 6.0% in the same quarter the previous year, the Kenya National Bureau of Statistics said in a statement.



&#8220;The decelerated growth was largely due to a general decline in growth in most sectors of the economy. The growth was constrained by contractions in construction and mining and quarrying activities,&#8221; the statistics office said.



Construction activities contracted 2.0% while mining and



quarrying shrank 11.1%, the office said.



Growth in agriculture, forestry and fishing, transportation and storage activities, financial and insurance activities, real estate activities, wholesale and retail activities and accommodation and food service activities helped cushion the economy from slowing further, the statistics office said.



Nationwide protests against proposed tax increases at the end of the second quarter resulted in disruptions and incidents of violence in major towns.



President William Ruto subsequently scrapped the tax measures, but demonstrations persisted into the third quarter, with protesters calling for better governance, an end to corruption and better service delivery.



The World Bank has downgraded Kenya&#8217;s economic growth estimate for 2024 to 4.7%, from an initial 5.0%, citing the impact of floods, anti-government protests and faltering fiscal consolidation efforts.



The finance ministry has estimated that the economy expanded 5.2% in 2024 and projects growth of 5.4% in 2025. The economy grew 5.6% in 2023.



(Reporting by George Obulutsa and Hereward Holland; Editing by Ed Osmond and Jacqueline Wong)

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Kenya’s Q3 GDP growth slows on weak construction, mining sectors

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-1255804869-820x547.jpg" alt="" class="wp-image-559648" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-1255804869-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-1255804869-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-1255804869-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-1255804869-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-1255804869-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-1255804869-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">The Bank of Uganda, Uganda&#8217;s central bank, in Kampala, Uganda, on Wednesday, May 17, 2023. Uganda estimates that it will need $28.1 billion to adapt to the effects of climate change and cut emissions until the end of the decade. Photographer: Katumba Badru Sultan/Bloomberg via Getty Images</figcaption></figure>



KAMPALA, Jan 6 (Reuters)&nbsp;&#8211;&nbsp;The Bank of Uganda (BoU) said on Monday it would change&nbsp;the release of its&nbsp;benchmark policy rate from every two months to quarterly, starting this year.



Interest rate meetings by the central bank&#8217;s Monetary Policy Committee (MPC) will now be conducted in February, May, August, and November, the bank said in a statement.



&#8220;This change allows the MPC to conduct more comprehensive economic analysis, leveraging additional data to enhance forecasting accuracy and build upon its established track record of effective policy decisions,&#8221;&nbsp;the&nbsp;BoU said.



At its last meeting in December, the bank left the benchmark rate unchanged at 9.75%, saying risks to the inflation outlook were balanced.



(Reporting by Elias Biryabarema, Editing by Bhargav Acharya and Kevin Liffey)

Katumba Badru Sultan/Bloomberg

Uganda’s central bank changes policy rate meetings to quarterly

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3038" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/LGH7TDQ2DNN3FKFRGO2SVYRP34.avif" alt="" class="wp-image-572751"/><figcaption class="wp-element-caption">A view shows the Nairobi Expressway undertaken by the China Road and Bridge Corporation (CRBC) on a public-private partnership (PPP) basis, in Nairobi, Kenya May 8, 2022. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, Jan 6 (Reuters)&nbsp;&#8211;&nbsp;Kenya&#8217;s private sector activity expanded very slightly in December, with growth slowing a little from a month earlier but remaining supported by increased customer sales, a survey showed on Monday.



The Stanbic Bank Kenya Purchasing Managers&#8217; Index (PMI) dipped to 50.6 in December from 50.9 a month earlier. Readings above 50.0 signal an expansion in activity.



&#8220;Positively, this is the first quarter of expansion in output since (the fourth quarter of 2021), suggesting that the private sector is showing signs of turning around with new orders and employment also in expansionary territory,&#8221; said Christopher Legilisho, an economist at Stanbic Bank.



The economy is estimated to have grown 5.2% in 2024 and projected to expand 5.4% in 2025, the finance ministry says. The economy grew 5.6% in 2023.



(Reporting by George Obulutsa; Editing by Hugh Lawson)

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Kenya private sector activity expands at slower pace in December, PMI shows

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2588" height="1697" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GIP2AWDTGVOW3LFUFHTPXIMOFQ.avif" alt="" class="wp-image-572733"/><figcaption class="wp-element-caption">A reflection from the windows show Kenya Airways planes parked at terminal within the Jomo Kenyatta International Airport near Nairobi, Kenya March 7, 2023. REUTERS/Thomas Mukoya/File photo</figcaption></figure>



NAIROBI, Jan 6 (Reuters) &#8211; Nairobi Securities Exchange has lifted a suspension on trading shares of national carrier Kenya Airways, the bourse said on Monday.



&#8220;The suspension on the trading of Kenya Airways PLC shares was lifted following the company’s recent performance which saw the company record a profit after tax and the withdrawal of the



National Aviation Management Bill 2020,&#8221; the bourse said in a statement.



Kenya Airways&#8217; shares were suspended from trading in 2020, when at the time the government had announced plans to renationalise the airline. The plan did not take off.



One of Africa&#8217;s three biggest carriers, Kenya Airways slid into insolvency in 2018 after an expansion drive left it with hundreds of millions of dollars in debt.



On its last day of trade on March 2, 2020, the stock closed at 3.83 shillings a share.



It posted an operating profit of 10.53 billion shillings ($80.38 million) in 2023, the first since 2017.



(Reporting by George Obulutsa; Editing by Tom Hogue and Kim Coghill)

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Nairobi Securities Exchange allows Kenya Airways shares to trade again

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/GettyImages-2186808593-820x547.jpg" alt="" class="wp-image-569805" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/GettyImages-2186808593-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/GettyImages-2186808593-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/GettyImages-2186808593-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/GettyImages-2186808593-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/GettyImages-2186808593-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/GettyImages-2186808593-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Military police patrol the streets following protests in Maputo, Mozambique, on Thursday, Nov. 28, 2024. The continued disruption following election results disputes is hitting the already strained state finances with annual inflation in Mozambique edged up to 2.7% in October. Photographer: Kang-Chun Cheng/Bloomberg via Getty Images</figcaption></figure>



CAPE TOWN, Dec 26 (Reuters) &#8211; South African petrochemical company Sasol has reduced natural gas production at its central processing facility in Temane, Mozambique, to ensure the safety of its staff and assets amid widespread post-election unrest, its spokesperson said.



South Africa receives the bulk of its gas imports via the Rompco pipeline that links onshore gas fields in Mozambique to Sasol&#8217;s Secunda industrial complex in Mpumalanga province, before being piped onwards to clients in Gauteng and KwaZulu-Natal regions.



&#8220;We have informed various gas users and our customers that we are not able to supply gas at full production rates to maintain stability of the gas value chain infrastructure and pipeline network,&#8221; Alex Anderson, a Sasol spokesperson said late on Wednesday.



Mozambique has been wracked by unrest following a disputed election in October that saw ruling party candidate Daniel Chapo elected as president.



The unrest has already affected the operations of foreign companies including the Australian mining firm South32 and led to the temporary closure of the main border crossing with neighbouring South Africa.



Civil unrest escalated when the Constitutional Council on Monday confirmed long-ruling party Frelimo&#8217;s victory.



On Tuesday, at least 21 people were killed in the unrest which on Wednesday spread to some prisons and saw 33 people killed.



Western observers said the election was not free and fair, saying there were irregularities in the tabulation process and a lack of transparency in the election period.



&#8220;The situation around the central processing facility is calm and there has been no security or perimeter breach,&#8221; Anderson said, adding that the safety of staff, service providers and communities was their main priority.



(Reporting by Wendell Roelf; Editing by Olivia Kumwenda-Mtambo, Alexandra Hudson)

Mozambique Sees Renewed Election Unrest Raising Inflationary Risks

Sasol reduces gas output at Mozambique plant due to unrest

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4653" height="3100" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/AD5EWZPFCVLJ3MS7VAUAZFF3SA.avif" alt="" class="wp-image-567761"/><figcaption class="wp-element-caption">A sign adorns the building where Australian miner South32 has their office in Perth, Western Australia, November 19, 2015. REUTERS/David Gray/File Photo</figcaption></figure>



Dec 19 (Reuters) &#8211; Australian miner South32 said on Thursday it expects to rebuild alumina stocks in the coming days if trucking conditions remain favourable at the Mozal Aluminium smelter in Mozambique after operational disruptions at the site due to post-election civil unrest.



Earlier this month, the company retracted its output prediction for its Mozal Aluminium smelter in Mozambique, following protests by opposition supporters after a disputed election result in October, which led to increasing violence in the country.



According to South32, which owns 63.7% of the Mozal Aluminium smelter, the disturbances caused road closures that have made it more difficult to get raw materials to the smelter.



&#8220;Over the past few days, road blockages have largely cleared and we have been able to safely transport alumina from port to Mozal Aluminium,&#8221; South32 said.



The company adds that while the situation in Mozambique has improved, any escalation in civil unrest, which is likely after the election results by the Mozambique Constitutional Council on Dec. 23, can potentially impact trucking activity and operations at Mozal.



(Reporting by Adwitiya Srivastava in Bengaluru; Editing by Alan Barona)

AD5EWZPFCVLJ3MS7VAUAZFF3SA

South32 expects to start rebuilding at Mozambique project after post-election hit

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3303" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SIJQKYZGPNOYTMR2KBTSYHWFOE.avif" alt="" class="wp-image-567387"/><figcaption class="wp-element-caption">General view of buildings in the capital, Maputo, Mozambique, September 1, 2019. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



CAPE TOWN, Dec 18 (Reuters)&nbsp;&#8211;&nbsp;Mozambique&#8217;s 2024 economic growth is likely to be revised down from a previous forecast of 4.3% due to post-election civil unrest and the impact of Cyclone Chido, a senior International Monetary Fund (IMF) official said.



In October, Daniel Chapo, the candidate of Mozambique&#8217;s ruling party Frelimo, was declared winner of the presidential election that opposition parties say was marred by voting irregularities.



The disputed election results sparked protests from opposition supporters and there has been more violence since. The unrest has affected business operations, including for mining companies, and has at times led to the closure of key trade corridors.



Mozambique&#8217;s Constitutional Council is expected to rule on the validity of the election count on Dec. 23, an outcome civil society organisations and analysts fear may trigger more violence and economic disruption if Frelimo&#8217;s victory is upheld.



&#8220;Growth went from 4.5% in the second quarter to 3.7% in the third quarter, before the protests started,&#8221; Olamide Harrison, the IMF&#8217;s Mozambique resident representative, told Reuters.



&#8220;In the context of protests, and natural disasters, we expect a further slowdown in the fourth quarter followed by a modest rebound in 2025,&#8221; he said.



Harrison said the IMF deeply regretted the loss of lives during the protests, adding that it was a &#8220;difficult situation&#8221; the lender was closely monitoring.



Cyclone Chido, which made landfall in northern Mozambique over the weekend killing at least 34 people, has also dampened growth prospects, he said.



Harrison said negotiations for a three-year credit facility programme between the IMF and Mozambican authorities will resume once a political transition is complete.



&#8220;We wait until the new government is in place and then we resume negotiations,&#8221; he said of a process typically followed when there is a political transition during an ongoing IMF lending arrangement.



(Reporting by Wendell Roelf; Editing by Olivia Kumwenda-Mtambo and Angus MacSwan)

SIJQKYZGPNOYTMR2KBTSYHWFOE

Mozambique’s post-election unrest to hit economic growth, says IMF official

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4564" height="2776" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/7ASWQJJB7FJFVDHIOUFPVXUYDA.avif" alt="" class="wp-image-567383"/><figcaption class="wp-element-caption">A technician works on the cables of a high voltage electricity transmission pylon from the Kiambere hydroelectric dam in Embakasi district of Nairobi, Kenya January 12, 2022. REUTERS/Monicah Mwangi/File Photo</figcaption></figure>



NAIROBI, Dec 18 (Reuters) &#8211; Kenya suffered a widespread power outage on Wednesday that affected most of the country, with electricity supply restored about six hours later, the nation&#8217;s leading power utility Kenya Power said.



The cause of the outage in East Africa&#8217;s largest economy, which was first reported at 1:28 a.m. local time (1028 GMT), has yet to be determined, Kenya Power said in a post on social media platform X.



As of 7:35 a.m. local time (0435 GMT), power had been restored in the areas where it had gone off, the company said.



Wednesday&#8217;s outage was the latest in a series of recurring power outages the country has faced over the past year.



Kenya Power supplies power to more than 9.6 million customers in Kenya, according to its website.



The blackout has significantly reduced internet connectivity across the country, said Netblocks, a global observatory that monitors internet access.



The outage also affected neighbouring Tanzania, the observatory added in a post on X.



(Writing by Bate Felix and George Obulutsa; Editing by Nicholas Yong and Abinaya Vijayaraghavan)

7ASWQJJB7FJFVDHIOUFPVXUYDA

Power supply restored after major outage hits Kenya, affects internet access

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/OJZAWNCDYNP53FRARPVL4BQUAI-820x547.jpg" alt="" class="wp-image-567071" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/OJZAWNCDYNP53FRARPVL4BQUAI-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/OJZAWNCDYNP53FRARPVL4BQUAI-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/OJZAWNCDYNP53FRARPVL4BQUAI-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/OJZAWNCDYNP53FRARPVL4BQUAI-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/OJZAWNCDYNP53FRARPVL4BQUAI-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/OJZAWNCDYNP53FRARPVL4BQUAI-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: Ethiopia&#8217;s Parliament members listen to Prime Minister Abiy Ahmed, as he addresses them on the current situation of the country, at the Parliament Building in Addis Ababa, Ethiopia, October 31, 2024. REUTERS/Tiksa Negeri/File Photo</figcaption></figure>



ADDIS ABABA, Dec 17 (Reuters)&nbsp;&#8211;&nbsp;Ethiopia&#8217;s parliament passed long-planned legislation on Tuesday allowing foreign banks to operate in the Horn of Africa country, part of government efforts to attract more overseas investment.



The country has been gradually opening up its tightly controlled economy, which is one of Sub-Saharan Africa&#8217;s biggest, since Prime Minister Abiy Ahmed took over in 2018.



However, a two-year civil war, slow progress with reforms and a foreign exchange crunch have deterred investors.



In June, the cabinet approved the draft law, which allows foreign banks to establish subsidiaries, open branches or representative offices, and buy shares in local banks.



Ownership of local banks by foreign strategic investors will be capped at 40%, a copy of the law seen by Reuters showed.



Ethiopia&#8217;s banking sector is currently dominated by state-owned Commercial Bank of Ethiopia.



Parliament overwhelmingly backed the banking law, although a handful of opposition lawmakers expressed concern that local banks would not be able to compete with foreign competitors.



The governor of Ethiopia&#8217;s central bank, Mamo Mihretu, said competition would instead strengthen local lenders.



Ethiopia, with more than 120 million people, is one of the most populous on the African continent and has long been in the sights of foreign investors after being shut off for decades.



It secured an International Monetary Fund support programme in July, hours after it followed one of the Fund&#8217;s key recommendations and floated its birr currency.



Other reforms linked to the negotiations for an IMF programme included the adoption of an interest rate-based monetary policy regime.



(Reporting by Dawit Endeshaw; Writing by Elias Biryabarema; Editing by Alexander Winning and Alexander Smith)

FILE PHOTO: Ethiopia’s Prime Minister Abiy Ahmed addresses the Parliament members

Ethiopia passes law allowing foreign banks to operate

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1080" height="720" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/3ZBREFEEMBMVNIDF57IIH75RYU.avif" alt="" class="wp-image-565676"/><figcaption class="wp-element-caption">FIA President Mohammed Ben Sulayem talks to Rwanda&#8217;s President Paul Kagame during the FIA General Assembly at the Kigali Convention Center, in Kigali, Rwanda December 13, 2024. REUTERS/Jean Bizimana</figcaption></figure>



KIGALI, Dec 13 (Reuters)&nbsp;&#8211;&nbsp;Rwandan president Paul Kagame announced his country&#8217;s bid for a Formula One race on Friday, ahead of an awards ceremony in the capital Kigali that will hand the champion&#8217;s trophy to Max Verstappen for a fourth year in a row.



Formula One has not raced in Africa since the last South African Grand Prix was held at Kyalami, north of Johannesburg, in 1993.



&#8220;I am happy to formally announce that Rwanda is bidding to bring the thrill of racing back to Africa by hosting a Formula One Grand Prix,&#8221; Kagame said in an opening address to the governing FIA&#8217;s General Assembly.



&#8220;A big thank you to (Formula One chief executive) Stefano (Domenicali) and the entire team at F1, for the good progress in our discussions so far.



&#8220;I assure you that we are approaching this opportunity with the seriousness and commitment which it deserves. Together we will build something we can all be proud of.&#8221;



Domenicali said in August that Rwanda wanted to host a race at a permanent circuit.



Media reports say the track, to be designed by a company run by Austrian former F1 racer Alexander Wurz, would be&nbsp;near a new international airport under construction at Bugesera some 40km from Kigali.



Seven-times world champion Lewis Hamilton also said in August that the time was right for a race in Africa.



&#8220;The time&#8217;s 100% right. We can&#8217;t be adding races in other locations and continue to ignore Africa, which the rest of the world just takes from. No one gives anything to Africa,&#8221; said the Briton.



&#8220;I think having a Grand Prix there will really be able to highlight just how great the place is and bring in tourism and all sorts of things. Why are we not on that continent?&#8221;



The FIA is holding its general assemblies in Africa for the first time and the FIA&#8217;s Emirati President Mohammed Ben Sulayem and Rwanda&#8217;s Sports Minister Richard Nyirihishema met earlier in Kigali.



&#8220;To be here in Rwanda for such an important moment in the FIA’s calendar is a testament to the strength of this nation, in particular its growing influence in motorsport,&#8221; said Ben Sulayem.



&#8220;We are aligned on our values and shared goals across key sectors such as innovation, sustainability, and road safety, and I look forward to our continued partnership. The future of motorsport in Africa is bright.&#8221;



Verstappen is also carrying out &#8216;work of public interest&#8217; in Rwanda as punishment for swearing in a Singapore Grand Prix press conference in October.



The activity involves an Affordable Cross Car built locally in Rwanda from blueprints provided by the&nbsp;FIA.



Kagame has won praise from Western and regional leaders for helping to end the 1994 genocide in Rwanda and rebuilding the country into an attractive destination for investment and aid.



But he also stands accused of a brutal crackdown on critics at home, and supporting the M23 rebel group in neighbouring Democratic Republic of Congo, who rights groups say are guilty of killings, rapes and other apparent war crimes.



He has repeatedly denied the allegations.



(Writing by Alan Baldwin in London, additional reporting by Hereward Holland in Nairobi, editing by Christian Radnedge)

3ZBREFEEMBMVNIDF57IIH75RYU

Rwandan president announces bid for F1 race

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="485" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-820x485.jpg" alt="" class="wp-image-565145" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-820x485.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-300x178.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-152x90.jpg 152w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-768x455.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-1536x909.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SZDJDME5EFNDPN4BZJHAQQVVFM-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: Somali women gather to march against the Ethiopia-Somaliland port deal at the Yarisow stadium in Mogadishu, Somalia January 3, 2024. REUTERS/Feisal Omar/File Photo</figcaption></figure>



ANKARA, Dec 11 (Reuters)&nbsp;&#8211;&nbsp;Somalia and Ethiopia&nbsp;said they would&nbsp;work together to resolve a dispute over Addis Ababa&#8217;s plan to build a port in the breakaway region of Somaliland, which had drawn in regional powers and threatened to further destabilise the Horn of Africa.



The two countries&#8217; leaders said they had agreed to find commercial arrangements to allow landlocked Ethiopia &#8220;reliable, secure and sustainable access to and from the sea&#8221; after talks on Wednesday mediated by Turkish President Tayyip Erdogan.



The meeting was their first since January when Ethiopia said it would lease a port in Somalia&#8217;s breakaway northern region of Somaliland in exchange for recognising the area&#8217;s independence.



Mogadishu rejected the deal and threatened to expel Ethiopian troops who were stationed in Somalia to fight Islamist insurgents.



Somalia opposes international recognition of Somaliland, which has governed itself and enjoyed comparative peace and stability since declaring independence in 1991.



In a joint statement released late on Wednesday, Somalia and Ethiopia said they had agreed to start technical negotiations by the end of February next year, and to conclude them within four months.



They did not go into detail.



&#8220;This joint declaration focuses on the future, not the past,&#8221; Erdogan said at a press conference in Ankara afterwards.



Somalia&#8217;s President Hassan Sheikh Mohamud said he was ready to work with Ethiopia, while Ethiopian Prime Minister Abiy Ahmed welcomed Turkish efforts to resolve the dispute.



The spat has drawn Somalia closer to Egypt, which has quarrelled with Ethiopia for years over Addis Ababa&#8217;s construction of a vast hydro dam on the Nile River, and to Eritrea, another of Ethiopia&#8217;s longtime foes.



Turkey has close ties with both Ethiopia and Somalia, training Somalia&#8217;s security forces and supplying development assistance in return for a foothold on a key global shipping route.



(Reporting by Hereward Holland, Ezgi Erkoyun, Huseyin Hayatsever, Abdi Sheikh, Dawit Endeshaw and Tuvan Gumrukcu; Writing by Hereward Holland; Editing by Keith Weir and Kate Mayberry)

East Africa

Uganda sends 1,000 more soldiers to east Congo near M23 conflict, sources say

UK warns Rwanda of threat to aid over its involvement in DRC conflict

Mozambique’s Maputo port volumes dip after post-election unrest

Kenya turns to the UAE for railway funds after China cut financing

Zambia’s SEC sanctions Standard Chartered over China property bond mis-selling, source says

Tanzania central bank holds key interest rate unchanged for a third time

Kenya’s Q3 GDP growth slows on weak construction, mining sectors

Uganda’s central bank changes policy rate meetings to quarterly

Kenya private sector activity expands at slower pace in December, PMI shows

Nairobi Securities Exchange allows Kenya Airways shares to trade again

Sasol reduces gas output at Mozambique plant due to unrest

South32 expects to start rebuilding at Mozambique project after post-election hit

Mozambique’s post-election unrest to hit economic growth, says IMF official

Power supply restored after major outage hits Kenya, affects internet access

Ethiopia passes law allowing foreign banks to operate

Rwandan president announces bid for F1 race

Somalia, Ethiopia agree to work together to resolve Somaliland port dispute

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East Africa

Uganda sends 1,000 more soldiers to east Congo near M23 conflict, sources say

UK warns Rwanda of threat to aid over its involvement in DRC conflict

Mozambique’s Maputo port volumes dip after post-election unrest

Kenya turns to the UAE for railway funds after China cut financing

Zambia’s SEC sanctions Standard Chartered over China property bond mis-selling, source says

Tanzania central bank holds key interest rate unchanged for a third time

Kenya’s Q3 GDP growth slows on weak construction, mining sectors

Uganda’s central bank changes policy rate meetings to quarterly

Kenya private sector activity expands at slower pace in December, PMI shows

Nairobi Securities Exchange allows Kenya Airways shares to trade again

Sasol reduces gas output at Mozambique plant due to unrest

South32 expects to start rebuilding at Mozambique project after post-election hit

Mozambique’s post-election unrest to hit economic growth, says IMF official

Power supply restored after major outage hits Kenya, affects internet access

Ethiopia passes law allowing foreign banks to operate

Rwandan president announces bid for F1 race

Somalia, Ethiopia agree to work together to resolve Somaliland port dispute

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