By: <a href="https://www.cnbc.com/elliot-smith/">Elliot Smith</a>



 KEY POINTS



<ul class="wp-block-list"><li>The Africa Centers for Disease Control and Prevention (Africa CDC) established the Africa Taskforce for Coronavirus (AFCOR) as early as February 5, before the continent had reported a single case.</li><li>South African President Cyril Ramaphosa on Monday announced the deployment of 10,000 field workers to conduct door-to-door screening and contact tracing.</li><li>The strength and speed of measures deployed by most African governments reflects concern about the potential damage the virus could inflict if allowed to proliferate in high-density urban areas.</li></ul>



As of Thursday morning, there were around 6,400 confirmed cases of the coronavirus in the whole of Africa, and governments across the continent are implementing robust measures in an effort to get out ahead of the pandemic.



However, experts are calling for a more coordinated continental response in order to avoid a profoundly damaging outbreak of the kind sweeping through Europe and the U.S. in recent weeks.



In cooperation with the African Union Commission (AUC) and the WHO, the Africa Centers for Disease Control and Prevention (Africa CDC) established the Africa Taskforce for Coronavirus (AFCOR) as early as February 5, before the continent had reported a single case.



The World Bank and the International Monetary Fund (IMF) have this week called for debt relief for IDA (International Development Association) countries, including 39 African nations, in order to enable them to focus on ”ﬁghting the pandemic and its economic and social consequences.”



<h2 class="wp-block-heading">National responses</h2>



On Monday, Nigeria, Africa’s largest economy, announced 14-day lockdowns of the states of Lagos, Abuja and Ogun and has deployed a 15 billion naira ($38.5 million) relief package to help mobilize public services to prevent the spread in areas with poor living conditions. As of Thursday morning, there were 174 confirmed cases in the country, according to data from Johns Hopkins University.



Ghana’s two most populous cities, Accra and Kumasi, also went into lockdown on Monday, while some form of restriction to movement or dusk-till-dawn curfew is in place in almost every country in the subcontinent. Ghana has confirmed 195 cases so far.



Just a day after recording its first three cases, Botswana announced a state of emergency and a lockdown of 28 days, starting at midnight on Thursday.



The small landlocked state of Lesotho, an enclave within South Africa, on Monday implemented a nationwide lockdown despite having zero reported cases so far. The only other states yet to confirm cases are South Sudan, Comoros, Malawi and Sao Tomé &amp; Principe, though experts have suggested that a lack of reporting capacity could be a factor here.



<figure class="wp-block-image"><img decoding="async" src="https://image.cnbcfm.com/api/v1/image/106451925-1584626497734gettyimages-1207623109.jpeg?v=1584626617&amp;w=678&amp;h=381" alt="GP 200319: Commuters make their way into the Nairobi Train Station."/><figcaption> NAIROBI, KENYA &#8211; 2020/03/18: Commuters make their way into the Nairobi Train Station as a security personnel stands on guard while wearing a face mask as a preventive measure against COVID-19. Kenya has so far recorded seven case of Coronavirus.Dennis Sigwe/SOPA Images </figcaption></figure>



South Africa remains by far the hardest hit, reporting more than 1,300 cases. The country is already under a&nbsp;<a href="https://www.cnbc.com/2020/03/24/south-africa-deploys-police-and-army-for-3-week-coronavirus-lockdown.html">three-week nationwide lockdown</a>, but President Cyril Ramaphosa on Monday announced the deployment of 10,000 field workers to conduct door-to-door screening and contact tracing.



However, Burundi and Sierra Leone both announced their first cases on Tuesday but have yet to deploy strict lockdown measures. Although restrictions are in place to control an inflow of people and cargo into Burundi, sporting events have continued unabated in the tiny Central African state. Meanwhile Tanzanian President John Magufuli has come under fire for refusing to shut down places of worship.



In many cases, lockdowns are being enforced by armed police and military personnel, which has led to instances of police brutality. On Tuesday, a 13-year-old boy was reportedly shot and killed by Kenyan police in the Mathare area of Nairobi. Videos have circulated this week of abuses of civilians by the South African National Defence Force, and police in Uganda have been accused of using their new powers to target LGBTQ people.



<h2 class="wp-block-heading">Coordinated governance</h2>



The strength and speed of measures deployed by most African governments reflects concern about the potential damage the virus could inflict if allowed to proliferate in high-density urban areas.



While demography is on the side of the subcontinent, with a median age of less than 20 and only 3% of the population aged 65 and above, nearly 43.0% of Africa’s population live in densely-packed urban areas, including in mega cities such as Lagos, where resources are already scarce or overburdened, and social distancing is not as readily attainable.



WHO Director-General Tedros Adhanom Ghebreyesus cautioned on Tuesday that the “developing world” will likely be hit hardest by the pandemic unless it can successfully contain the spread early on.



“At this critical moment in history, broad agreement on debt relief will be key to allowing nations with fragile health systems &amp; economies to channel their resources into saving lives,” Ghebreyesus, who is from Ethiopia, said in a tweet.



Sub-Saharan Africa undoubtedly learned from the Ebola outbreak in 2014 and subsequently formed the Africa CDC, while many nations established National Public Health Institutes. However, the region averaged around 2.1 physicians per 10,000 people between 2010 and 2018, the lowest in the world by some distance, according to WHO data aggregated by the Mo Ibrahim Foundation (MIF).



The MIF on Tuesday launched a report calling for coordinated governance, improved health structures and better data across the African subcontinent to mitigate this crisis.



<figure class="wp-block-image"><img decoding="async" src="https://image.cnbcfm.com/api/v1/image/106465856-1585511566900gettyimages-1208498757.jpeg?v=1585511618&amp;w=678&amp;h=381" alt="Coronavirus Emergency In Nigeria"/><figcaption> Commuters wearing a protective face masks walk on the street of Lagos, as a preventive measure against the spread of the new corona virus, COVIC-19, in Lagos, on March 26, 2020.NurPhoto </figcaption></figure>



“Sound and coordinated governance is needed across the continent,” the organization, founded by Sudanese-British businessman Mo Ibrahim, said in the research paper.



“Any pandemic requires by nature a general coordination of efforts across national and regional borders, and with multilateral actors and partners, even more so in a globalized world.”



But the report also addressed what the MIF termed the “elephant in the room” of a lack of data coverage across the continent.



“The lack of statistical capacity thus represents a major obstacle to obtaining quality health data in Africa, consequently making the production of evidence-based policy and responses to health challenges more difficult,” it said.

A security man administers sanitiser to a visitor to a state hospital in Lagos, on February 28, 2020. PIUS UTOMI EKPEI | AFP via Getty Images

Lockdowns, curfews and doorstep testing: Africa’s crackdown on the coronavirus

By Irmgard Erasmus – Senior Financial Economist



Acutely aware of Ethiopia’s vulnerability to the health and
economic repercussions of the Covid-19 pandemic, Prime Minister Abiy Ahmed
urged “collective leadership and coordinated responses” to overcome the
challenges posed by the unprecedented shock. 



The Ethiopian leader has taken a dominant position in the campaign
for comprehensive stimulus packages and debt relief for the African continent,
stressing that “we are not prepared to overcome the virus on our health systems
and the long-term impact on our economies”. 



Echoing this concern, a consortium of African ministers of finance
emphasised in a communique dated April 1 that “urgent need” exists “for fiscal
stimulus to contain the crisis”.



On April 1, G20 leaders indicated that they are preparing a
response package for Africa that will include debt relief and financial aid.
The response package will incorporate “recent demands from President Cyril
Ramaphosa of South Africa and Prime Minister Abiy Ahmed of Ethiopia”, according
to Politico. 



This also came after the United Nations Economic Commission for
Africa (UNECA) again requested the “urgent and immediate release” of a $100bn
support package to aid domestic response actions in the fight against the
health and economic implications of the Covid-19 pandemic. 



While the ministers welcomed the IMF and World Bank’s call for
official bilateral creditors to “provide breathing space” to African countries,
the consortium believes that “such relief should be extended to countries
across the region and by other creditors during this exceptional period”. 



A comprehensive $100bn support package for Africa will be
formalised for discussion and presentation at the World Bank and IMF’s
stakeholders’ initiatives on April 15.



For the public sector, disbursements will be utilised for the
servicing of public sector debt and interest payments, including on sovereign
bonds, in order to create “immediate fiscal space and liquidity” for
governments to focus their attention on domestic fiscal stimulus needs amid the
crisis. 



The consortium proposes that the $44bn disbursement be pooled into
a global special purpose vehicle (SPV) to be used for external debt service
“for effective management purposes till economic recovery takes hold and
agreement can be reached with creditors”. The ministers stressed that this
measure would guard against default by countries. 



The ministers requested the IMF to raise Special Drawing Rights
(SDRs) availability over the next two to three years. The consortium believes
that it would service the debt relief SPV facility and provide crucial
liquidity support.



Ethiopia has already rescheduled debt servicing agreements with
“some major creditors”, which will alleviate hard currency liquidity demands.
By September 2019, public external debt stock stood at $26.8bn, or half of
total outstanding public debt. 



Public external debt comprised a 60:40 split between central
government and state-owned enterprises, according to official records. 



Public external debt servicing costs amounted to $548.4m during Q1
FY 2019/20 (the fiscal year commences on July 8), of which $457.2m was due to
SOE debt servicing. 



Ethiopia has been among the most vocal of African nations to
request debt waivers or debt relief – while African finance ministers called
for a $100bn stimulus package, Prime Minister Abiy Ahmed urged G20 members to
provide $150bn under a proposed three-point action plan. The disbursal should
take the form of supplementary budgetary support, debt relief, and private
sector financing, according to the proposal. 



The prime minister furthermore urged G20 nations to support the
World Health Organisation (WHO) and Africa Centres for Disease Control and
Prevention (CDC) in strengthening public health delivery and emergency
preparedness.



Cognisant of the fragility of the private sector, especially as
small- and medium-sized enterprises account for over 70% of the private sector
in Africa, the consortium stressed that liquidity relief should be extended in
particular to service and tourism sectors. 



African finance ministers requested support from the G20, EU, and
all Development Finance institutions to support a proposal aimed at the
refinancing, rescheduling, and implementation of guarantee schemes and
liquidity facilities for the private sector. 



In particular, African airline companies require preservation and
protection “given their significant contribution to the GDP of Africa”.
Ethiopian Airlines suspended flights to 80 destinations in light of the
pandemic. 



Demand for local flights, which are ongoing, dropped by at least
50% already. The airline estimates that it will lose at least $190m due to the
pandemic. 



The Ethiopian government has ordered the central bank to release
Etb15bn ($460m) to private banks as it ramped up its fight against the economic
spillover effects of the Covid-19 pandemic. The liquidity injection will enable
the banking sector to extend debt relief and additional loan facilities to
customers. 



This came in addition to instructions to avail foreign currency to
importers, with priority given to importers of essential goods or the
manufacturing of essential goods. 



In March, the World Bank granted a $500m grant and loan facility
(split evenly) to Ethiopia in support of its reform programme. 



The prime minister voiced his gratitude to “the generosity of the
Ethiopian people” as local stakeholders contributed generously to the National
Resource Mobilisation Committee initiative.



NKC African Economics’ preliminary GDP forecast suggests that
Ethiopia will be hit particularly hard by coronavirus-related disruptions. 



Absent comprehensive external support, a sharp slump in private
sector demand and investment momentum threatens an unprecedented plunge in
economic growth this year to 1.1% – down from a pre-virus forecast of 7.1%. 



Crucially, the pandemic threatens to disrupt progress made under
the reform agenda towards policy overhaul, broad-based privatisation of state
assets, financial liberalisation, and the launch of a domestic bourse. 



An uncomfortable reliance on grant relief amid strained domestic
fiscal capacity threatens to bloom into full-blown crisis in the absence of
comprehensive external financial support.

Lion_of_Judah,_Addis_Ababa,_Ethiopia

Op-Ed: Ethiopia – Abiy leads African appeal for relief actions

Rwanda has ordered a two week extension
of the current lockdown.



The decision to extend the current two week lockdown initially declared on March 21 to contain the spread of the coronavirus was reached during an extraordinary cabinet meeting held via video conference on Wednesday.



The following is an official statement on behalf of the Rwandan government:



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="724" height="1024" src="https://www.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-1-724x1024.jpg" alt="" class="wp-image-366577" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-1-724x1024.jpg 724w, https://cms.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-1-212x300.jpg 212w, https://cms.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-1-696x984.jpg 696w, https://cms.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-1.jpg 764w" sizes="auto, (max-width: 724px) 100vw, 724px" /></figure>



<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="724" height="1024" src="https://www.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-2-724x1024.jpg" alt="" class="wp-image-366578" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-2-724x1024.jpg 724w, https://cms.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-2-212x300.jpg 212w, https://cms.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-2-696x984.jpg 696w, https://cms.cnbcafrica.com/wp-content/uploads/2020/04/Rwanda-2.jpg 764w" sizes="auto, (max-width: 724px) 100vw, 724px" /></figure>



For more coverage on COVID-19 visit: <a href="https://www.cnbcafrica.com/covid-19/">https://www.cnbcafrica.com/covid-19/</a>

Rwanda extends COVID-19 lockdown by two weeks

DAR ES SALAAM (Reuters) &#8211; Tanzania confirmed its first coronavirus death on Tuesday, health minister Ummy Mwalimu said in a statement. 



The 49-year-old Tanzanian male, who had pre-existing conditions, had been admitted to Mloganzila Hospital in Dar Es Salaam for treatment. Tanzania had 19 confirmed cases of coronavirus as of Monday. 



(Reporting by Nuzulack Dausen in Dar Es Salaam; Editing by Alex Richardson)



This article was first published on Reuters Africa <a href="https://af.reuters.com/article/topNews/idAFKBN21I1J3-OZATP">https://af.reuters.com/article/topNews/idAFKBN21I1J3-OZATP</a> and is republished with its permission.



For more coverage on COVID-19 visit: <a href="https://www.cnbcafrica.com/covid-19/">https://www.cnbcafrica.com/covid-19/</a>

Tanzania confirms first coronavirus death

By Dr Victor Oladokun, outgoing Director of Communication &amp; External Relations at the African Development Bank Group



Why
Africa Urgently Needs an Ubuntu Plan



Africa urgently needs a globally
coordinated Ubuntu Plan in response to COVID-19, a fiscal stimulus that
recognises our shared and connected humanity, as we find ourselves in the midst
of an unprecedented crisis.



The
world&#8217;s largest cities are eerily silent. One virus has disrupted the whole
world in a manner never seen before in history.



COVID-19,
a term that did not exist in our vocabulary a couple of months ago, has brought
virtually everything to a grinding halt. It&#8217;s a surreal almost cinematic scene.
Except that we are all living through it.&nbsp;




With governments balancing economies and
the welfare of their citizens, entire industries and institutional systems find
themselves fighting for survival in the midst of mandatory lockdowns. Food
supply chains, transportation networks, educational systems, governance and
judicial systems are either strained or barely functioning with medical
services being the worst hit.



Unlike
any other pandemic, COVID-19 will alter the way we live, work, and
socialise.&nbsp; The financial costs and the
economic devastation are already of epic proportions. This is why Africa in
particular urgently needs an Ubuntu Plan. A globally coordinated fiscal
stimulus plan that recognises our shared and connected humanity. 



The
case for an Ubuntu Plan



This
past week, America passed a 2 trillion Dollar stimulus package that will keep
markets operational, support Americans out of work, and help reduce Federal
Reserve lending rates. It is the largest bailout in the history of the United
States. European economies likewise have announced stimulus measures in excess
of 1 trillion Euros. Chinese factories are ramping up again, backed by a $344
billion stimulus package.



In
contrast, Africa&#8217;s economies are already buckling. Global demand for oil and
gas and commodity products &#8211; the mainstays of Africa&#8217;s leading economies &#8211; has
stalled. Revenues which were already overextended have dried up and small,
medium, and large enterprises are at risk of total collapse.



Last
Thursday, the United Nations Conference on Trade and Development (UNCTAD)
estimated that the pandemic could reduce the growth of the region&#8217;s gross
domestic product (GDP) from 3.2% to 1.8% in 2020. On 27th March, The Secretary
General of the UN Antonio Guterres said: “Africa is a continent with very
little capacity to respond and I am extremely worried that in those situations,
we might have millions of cases with millions of people dying”.



Lockdowns
are not equal



Even
though the United States, Europe and many parts of Asia are better suited
economically and infrastructurally to a lockdown, they are struggling to cope
with the burden of this sudden pandemic. A situation that will likely will be
worsened by the duration and unpredictability of the pandemic.



If
these societies are struggling, the impact on Africa is best imagined.



Prior
to the crisis, 41% of sub-Saharan Africa’s population lived on less than $1.90
a day which is very little to survive on. Seven out of ten persons (70%) in
Africa are in vulnerable and precarious forms of informal employment eking
their living on a daily basis. Lockdown, homeworking and teleconferencing is
therefore not an option. Family support systems from blue and white-collar
workers and the diaspora, are themselves under threat. Job losses will&nbsp; strain these critical informal support
systems to breaking points.



 In Africa, formal social safety nets rarely exist. Therefore, stockpiling food items for extended periods of isolation is out of consideration. Linked with this, Africa requires vast food supplies to meet the needs of the continent&#8217;s poorest who can barely afford a decent mmeal. 



Recent
cyclones, Kenneth and Idai, and a&nbsp;
plague of locusts, have already put considerable pressure on&nbsp; immediate food supplies for the continent.



Which
is why an Ubuntu Plan is now critical in order to cushion the harsh
social and economic impacts of the COVID-19 pandemic in Africa. Such a plan
would include a fiscal stimulus package, the development of critical
infrastructure and support for the continent&#8217;s most vulnerable populations. 



The
fact is that in the 21st century, clean water supplies and access to
electricity are the stuff of dreams for millions of Africans. Globally, almost
800 million people are without access to clean water. Of these, 40% live in
sub-Saharan Africa.&nbsp; The simple act of
hand washing which the pandemic requires for prevention is still not possible
for millions. Linked with this, less than 58% of Africa&#8217;s population has access
to modern healthcare facilities. 



A
race against time



Africa
and its partners have already been striving hard to tackle the challenge of
eradicating poverty with measures such as the UN’s Sustainable Development
Goals, and the African Development Bank&#8217;s High5 strategy. 



The
COVID-19 pandemic however shines the spotlight on Africa’s&nbsp; poor healthcare delivery systems and
facilities and its vast challenges. Africa has one of the highest population
densities in the world. For people living in tens of thousands of informal
settlements, the idea of social distancing is inconceivable. Millions of
vulnerable low-income people live in cramped communal houses and rooms and
in&nbsp; areas that lack basic amenities,
especially water and sanitation. 



In
the short term, to effectively combat COVID-19, we urgently need self-testing
kits, personal protective equipment (PPEs), makeshift living spaces and
hospitals, recovery units and inexpensive easy-to-operate ventilators. 



The
World Health Organisation (WHO) has already issued a ten-point strategy that
calls for the creation of corridors on the continent to facilitate emergency
deployments and material shipments.&nbsp; The
plan also calls on governments and the private sector to help increase
supplies, medical equipment and care, and to strengthen surveillance and public
awareness, in order to prevent&nbsp;
continent-wide community transmission.



In
the short window available, global cooperation is imperative.



&nbsp;The African Union&#8217;s Vision Agenda 2063 and
action plan states among other things, that “We are part of the global drive
through the United Nations and other multilateral organisations to find
multi-lateral approaches to humanity’s most pressing concerns including human
security and peace, the eradication of poverty, hunger and disease &#8230;”&nbsp; 



Rethinking
the future



In
the mid to long term, we must urgently rethink social life, urban and rural
planning and our budgetary priorities, if life is to be preserved. We must&nbsp; decongest informal settlements rapidly and in
their place&nbsp; develop&nbsp; affordable housing that is suitable for
isolation&nbsp; and quarantine, in the event
of future pandemics.



There
is no better time for a globally coordinated Ubuntu Plan. To stop the
global spread of COVID-19 and its global devastation, it must be stopped in
Africa. The world must pay attention and lend a helping hand by strengthening
global cooperation, now more than ever before.&nbsp;




Ubuntu
&#8211; The preservation of human dignity, health, lives and wellbeing, demands
nothing less.

Victor

Op-Ed: Victor Oladokun on why Africa urgently needs an Ubuntu Plan

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In a matter of months COVID-19 has changed how students are educated after numerous countries put forward strict measures and closed schools. Robert Stephanus Kleynhans, Director, SABIS International School Runda joined CNBC Africa to give insight on how the education system in Kenya is responding to these changes and if the new solutions for education could bring much needed innovation in the sector.

How COVID-19 is transforming the way students are educated

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Kenya recently put in place a partial lockdown to curb the spread of COVID-19 with a full shutdown likely to be imposed in light of increasing number of infections. Risk Expert, Caroline Gathii joins CNBC Africa to discuss the economic implications of this curfew.

The economic cost of Kenya’s COVID-19 curfew

African Development Bank President bids farewell to Victor Oladokun, Director of Communication



Abidjan, Cote d’Ivoire, 30 March 2020 &#8211;
Outgoing Director of Communication &amp; External Relations, Dr. Victor
Oladokun’s received commendation from President of the African Development
Bank, Dr Akinwumi Adesina, for his exceptional leadership.



Dr. Oladokun, who joined the Bank in 2017, is
a veteran communications expert, and leaves the Bank on reaching the mandatory
retirement age.



“Victor joined the Bank two and half years
ago, and has provided exceptional leadership on communication. He has led an
outstanding team. &nbsp;We have built a structure that is able to support us,
to get our news out globally and at the regional level and to make sure that
our member countries and shareholders are fully aware of what we are doing. We
never had that.”



The President praised the communication team
for their tremendous work in training local and regional African journalists to
help understand the Bank’s work and to report better on getting the message of
the Bank across African countries.



“I must say that the quality of the support
that the communication team has provided to the Bank for our Annual Meetings
has been simply remarkable. &nbsp;We have now reached a bar,” Adesina said,
adding that the Board of Directors commended Oladokun at their last meeting.



“I would like for all of us to thank Victor
Oladokun for being an outstanding professional, for being such a dedicated
staff, for being somebody who mentored and supported all of his staff. Victor,
as you leave the Bank, please go well. Our thoughts and blessings are with
you.”



Responding, Victor Oladokun said it was
&#8220;a singular honor&#8221; of his professional life to have worked at the
Bank. 



Addressing members of the communication team,
he said, “you are a stellar and innovative team that has always gone the extra
mile. Well done. &nbsp;I encourage you to continuing reaching for new heights
in the months and years ahead.”



Dr. Oladokun acknowledged President Adesina&#8217;s
visionary leadership and his role in helping re-shape the narrative of a new
and resurgent Africa.



To staff, he concluded, &#8220;As I leave the
bank, I take with me our shared memories, challenges, and successes. Thanks for
allowing me to be a part of this journey and for the excellent support you have
given me as your Director of Communication. I will forever be grateful.&#8221; 



Contact: Emeka Anuforo, Communication and
External Relations Department, African Development Bank, email: <a href="mailto:e.anuforo@afdb.org">e.anuforo@afdb.org</a>

AfDB President bids farewell to Victor Oladokun, Director of Communication

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Small and medium enterprises are some of the most affected in Kenya due to the on-going global COVID19 pandemic but to help cushion the economic blow, the government has introduced a series of stimulus measures, including reducing value-added tax and corporation tax but is this enough; CNBC Africa spoke to George Bodo, Director at Callstreet Research and Analytics LTD.

How Kenya plans to help its SMEs weather COVID-19 crisis

NKC African Economics expects the coronavirus-related knock to economic
growth in Africa’s three largest economies alone to shave off 1 ppt from the
continent’s GDP growth this year, from 3.8% to 2.8%. 



Preliminary estimates point towards the weakest continental growth
since the early 1990s.



The continent’s three largest economies, South Africa, Nigeria and
Egypt – together accounting for just under 60% of African GDP – will see a
significant weakening in economic growth this year. 



This slowdown in economic activity will permeate through the
continent as these countries are salient drivers behind economic growth in
their respective regions.&nbsp; 



In addition to the indirect effects stemming from weakness in the
largest economies, other African nations will also have to deal with a much
more volatile external economic environment. 



The collapse in tourism will weigh on economic growth in many
countries (particularly the island nations, Morocco, Egypt, and Tunisia), while
a reduction in both export demand and commodity prices will weaken fundamentals
in Africa’s more export-oriented economies (most notably the oil producing
nations).&nbsp; 



The escalation in the Covid-19 outbreak in Africa implies there is
a lot more at stake than foregone economic production. 



Most African countries will not be able to effectively implement
the severe restrictions on movement that we have seen globally. The
impracticality of implementing widespread self-quarantine in shantytowns or
informal settlements means that this will not be an option. Mismanagement of
the situation could lead to human costs far exceeding economic losses.



Tourism is a key forex generator and employment creator across the
continent. Severe travel restrictions, border closures and lockdowns in key
source markets will result in a collapse in tourism during the first half of
the year, at least. 



Domestic and intra-Africa tourism have been key drivers behind
growth in overall tourism in recent years, but as more Covid-19 cases are
confirmed on the continent we will see an increase in domestic travel
restrictions and regional border closures. 



The island nations will be hardest hit, but the mainland will feel
the effects in the North (particularly in Tunisia, Morocco and Egypt), South
(Namibia, Botswana), East (Tanzania, Rwanda, Kenya) and West (Côte d’Ivoire,
The Gambia, Cameroon). 



Low barriers to entry have led to tourism becoming a key source of
employment. The island nations in particular are dependent on tourism to
generate employment, most notably the Seychelles (where tourism accounts for
around 44% of formal employment), Cape Verde (39%) and Mauritius (19%). 



Tourism has also become a salient job creator on the African
mainland, and a slump in the sector could result in rapid job losses given the prevalence
of micro- and small-sized enterprises operating in the sector.&nbsp; 



The slowdown in global economic activity will translate into a
reduction in demand, while lower commodity prices will compound this negative
effect on exports. 



Africa’s energy exporters will struggle to come to terms with a
much more hostile external environment. Countries such as Nigeria, Angola and
Gabon are highly dependent on oil exports not only to generate forex but also
to fund government spending. 



Countries including Namibia, Zambia, Botswana and Mozambique are
dependent on mineral exports for the same reasons. 



Generally speaking, countries that have a GDP structure orientated
towards exports will feel the pain of a weaker external environment.



Lower international energy prices will have a detrimental impact
on the continent’s oil exporters, but many other countries stand to benefit. 



A reduction in the oil imports bill will have a favourable impact
on external balances while also containing consumer price inflation. Lower
inflation will support consumer spending at a time when a weak external
environment increases the importance of domestic consumption in driving overall
economic growth.&nbsp; 



The South African economy had already entered 2020 on a very
fragile footing before the dramatic external developments related to the
Covid-19 pandemic. NKC forecasts a 5% real GDP contraction this year. Domestic
policy uncertainty and supply-side constraints have now been accompanied by a
deterioration in global business sentiment and a drop in demand for South
African goods, all weighing on the country’s economic recovery prospects. 



In addition, the three-week long nationwide lockdown, which
commenced on March 27, will result in a collapse in consumer spending. The
outlook could deteriorate further if the lockdown is extended.&nbsp; 



The coronavirus has not as yet, as far as we know, taken
significant hold in Nigeria. However, the weaker external environment and more
specifically, the recent collapse in international oil prices, will have a
marked impact on the economy’s performance this year.



Lower oil prices will result in tighter FX liquidity, rising
inflation, falling investment, lower fiscal expenditure and easing consumption
growth. 



As a result, NKC has revised its growth projection sharply lower
to 1.2% this year, with risks still firmly stacked to the downside. 



A more severe domestic outbreak of Covid-19 would cause
significant disruption to daily economic activity, particularly when
considering the population density in the country’s biggest cities. 



Despite the Egyptian government’s efforts, the number of confirmed
Covid-19 cases continues to rise considerably. 



The president has urged all citizens to stay at home for a two-week
period and a night-time curfew has been declared, while the possibility of a
formal lockdown in some regions is also circulating in local media. 



The fiscal deficit is set to widen significantly over fiscal year
(FY) 2019/20 and FY 2020/21 following the announcement of a stimulus and
bail-out package to the value of approximately E£100bn. 



Government revenues already came in far below budget during the
first half of FY 2019/20 and will take a massive knock during the second half
of the fiscal year, which ends in June. 



Lower economic growth reflects weaker consumption, investment, and
exports. 



The recently announced fiscal stimulus measures, however, should
prevent a collapse in domestic demand. 



The economic impact of the coronavirus epidemic will be
considerable, but the human costs will be higher yet. 



As of end March South Africa remains the hardest-hit African
country from a confirmed-case perspective and the expected economic hardship
reflects this. 



However, South Africa is also arguably the best-placed country on
the continent to deal with the pandemic. While it does have a large
immuno-compromised population due to its struggles with HIV, the country might
be able to leverage its sophisticated private healthcare sector to supplement
inadequate public services. 



Most other African nations will not have this benefit. 



Confirmed Covid-19 cases will undoubtedly increase across the
continent in coming weeks, and timely and effective government responses will
be required to ensure that this does not become another African tragedy.



Jacques Nel – Head of Africa Macro



For more coverage on COVID-19 visit: <a href="https://www.cnbcafrica.com/covid-19/">https://www.cnbcafrica.com/covid-19/</a>

Clarification on COVID-19 “hotspots” as SA moves to level 3 lockdown

Op-Ed: African giants to stumble due to Covid-19 pandemic

Officials warn that although governments were trying to be
transparent and do the right thing, some slipped through the net.



By Chris Bishop



COVID-19 cases are occurring at the rate of 300-a-day in
sub-Saharan Africa and there are likely to be many more that the authorities
are missing, a World Health Organisation briefing on the continent admitted
Thursday. The good news is that experts are hard at work on creating a vaccine,
but this may take more than a year.



The WHO is working with governments across Africa to contain
the disease as it threatens to spread rapidly throughout the continent. Rwanda
and Angola have gone on lockdown in the last week and South Africa will follow
suit a midnight Thursday when businesses and shops – except those selling food
and medicine – will close across the country.&nbsp; 



The webinar briefing, moderated by the World Economic Forum
from Geneva, heard that a month ago just one country in Sub-Saharan Africa
reported an infection; just two weeks ago it was 10 and in the last three days
40 Sub-Saharan Africa countries said they had cases of COVID-19.&nbsp;&nbsp; 



“We have still a window, true it is narrowing every day, to
contain this disease. In half of the countries in Sub-Saharan Africa we still
have imported cases and we have identified that local spread is not
happening…We could contain this virus in many countries. What we are seeing is
draconian measures being put in place, like closing down places and stopping
flights, but these need to be following up by checking on people in quarantine
and making sure there is social distancing. We still have the opportunity to
stop it in some countries,” says Dr Matshidiso Moeti, the WHO Regional Director
for Africa, from her headquarters in Congo Brazzaville.&nbsp; 



South African born Moeti, a citizen of Botswana, said there
was strong political will to fight the outbreak with countries in Africa
ramping up their defences. When the first case was reported in Africa, she
said, only Senegal and South Africa had the laboratories to diagnose the
disease; now 40 countries had the wherewithal.



WHO officials also admitted, under questions from
journalists on the webinar, that small countries and island nations in
Sub-Saharan Africa were most at risk, along with countries suffering conflict
and population displacements, because their resources were thin. 



Officials also said that conditions in some parts of Africa
– where 50 or 60 people could be living the same property were not conducive to
the social distancing that is being seen as a main plank in the strategy to
fight the disease.



“I think this is something we will continue to think through
there is no easy answer to it. We have to think through the issue of our own
cultural leanings…This is something in which we have to work closely with our
community,” says Dr John Nkengasong, the director of the African Centres for
Disease Control for WHO.



Officials also admitted, when asked whether cases were being
underreported in Africa, that although governments were trying to be
transparent and do the right thing, some slipped through the net.



“There are cases out there that we don’t know,” admitted one
official.&nbsp;&nbsp;&nbsp; 



Scores of experts were working on a vaccine for COVID-19,
but it was likely to take a year to 18 months to perfect one for the market.



For now, quarantine and keep your distance.



For more coverage on COVID-19 visit: <a href="https://www.cnbcafrica.com/covid-19/">https://www.cnbcafrica.com/covid-19/</a>

International travel for South Africans is now allowed, this is how it will work

WHO: Sub-Saharan Africa reporting at least 300 COVID-19 cases a day

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Despite the COVID-19 pandemic, the Rwanda Stock Exchange has maintained an upward trend with secondary market activities increasing and the All Share Index up to 10.75 per cent. Pierre Celestin Rwabukumba, CEO of Rwanda Stock Exchange joins CNBC Africa for more.

Rwanda Stock Exchange remains steady despite COVID-19 pandemic

MAPUTO (Reuters) &#8211; Militant group Islamic State has claimed responsibility for an attack in northern Mozambique just south of the site of gas projects worth $60 billion being developed by the likes of Exxon Mobil and Total. 



Insurgents attacked the town of Mocimboa da Praia on Monday, briefly occupying some areas and its army barracks before being pushed out on Tuesday, Mozambique authorities and security analysts said. 



Islamic State claimed the attack through its Amaq news agency, which said dozens of soldiers and police officers had been killed or injured. The government has not provided a figure of dead or injured. 



“Military sources told Amaq that Islamic State fighters attacked five army and police barracks in the town,” the agency said in Tuesday’s report, adding that weapons, ammunition and other equipment had also been seized. 



Government spokesman Filimao Suaze said the retreating attackers had left a “trail of destruction and dead bodies”, and that security had been beefed up in the area. 



While Islamic State has claimed a spate of recent attacks in the northernmost province of Cabo Delgado, home to the gas developments following one of the biggest gas finds in a decade off its coast, Tuesday’s claim of responsibility is the first matched by rare official confirmation of an attack. 



The government does not acknowledge such claims, however. 



Mocimboa da Praia, 60 kilometres (37 miles) south of the gas projects, previously served as the main airport for international workers flying into the developments and its port is used for cargo deliveries. 



Exxon and Total did not immediately respond to emailed requests for comment sent outside usual business hours. 



NGOs say the government must do more to protect the mostly poor civilians in the area and step up transparency. 



“This violent escalation in Mocimboa da Praia is the culmination of a tragic failure by the Mozambican government to protect the people in this volatile area,” said Muleya Mwananyanda, rights group Amnesty’s deputy director for east and southern Africa.



“For almost three years, armed groups have been attacking villagers around Cabo Delgado, causing untold human suffering without being held accountable.” 



The organisation said about 350 people have been killed since 2017, but many estimate a much higher figure. More than 900 people have been reported killed, says a non-government body, the Armed Conflict Location and Event Data project. 



(Reporting by Manuel Mucari in Maputo and Emma Rumney in Johannesburg; Additional reporting by Nayera Abdallah in Cairo; Editing by Clarence Fernandez)



This article was first published on Reuters Africa <a href="https://af.reuters.com/article/topNews/idAFKBN21C0TY-OZATP">https://af.reuters.com/article/topNews/idAFKBN21C0TY-OZATP</a> and is republished with its permission.

Islamic State claims Mozambique attack close to gas projects

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Lockdowns, curfews and doorstep testing: Africa’s crackdown on the coronavirus

Op-Ed: Ethiopia – Abiy leads African appeal for relief actions

Rwanda extends COVID-19 lockdown by two weeks

Tanzania confirms first coronavirus death

Op-Ed: Victor Oladokun on why Africa urgently needs an Ubuntu Plan

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AfDB President bids farewell to Victor Oladokun, Director of Communication

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Op-Ed: African giants to stumble due to Covid-19 pandemic

WHO: Sub-Saharan Africa reporting at least 300 COVID-19 cases a day

How COVID-19 is impacting SMEs in Africa

How will Africa’s aviation industry survive COVID-19 crisis?

How to protect yourself from coronavirus related fraud and scams

Rwanda Stock Exchange remains steady despite COVID-19 pandemic

Islamic State claims Mozambique attack close to gas projects

Is this an opportunity for fintech companies to flourish despite COVID-19

News Tips

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East Africa

Lockdowns, curfews and doorstep testing: Africa’s crackdown on the coronavirus

Op-Ed: Ethiopia – Abiy leads African appeal for relief actions

Rwanda extends COVID-19 lockdown by two weeks

Tanzania confirms first coronavirus death

Op-Ed: Victor Oladokun on why Africa urgently needs an Ubuntu Plan

How COVID-19 is transforming the way students are educated

The economic cost of Kenya’s COVID-19 curfew

AfDB President bids farewell to Victor Oladokun, Director of Communication

How Kenya plans to help its SMEs weather COVID-19 crisis

Op-Ed: African giants to stumble due to Covid-19 pandemic

WHO: Sub-Saharan Africa reporting at least 300 COVID-19 cases a day

How COVID-19 is impacting SMEs in Africa

How will Africa’s aviation industry survive COVID-19 crisis?

How to protect yourself from coronavirus related fraud and scams

Rwanda Stock Exchange remains steady despite COVID-19 pandemic

Islamic State claims Mozambique attack close to gas projects

Is this an opportunity for fintech companies to flourish despite COVID-19

News Tips

Advertise With Us

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