<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="539" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_LQYVQFTJKJOBTAMUPSCIIBML5U-820x539.jpg" alt="" class="wp-image-556157" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_LQYVQFTJKJOBTAMUPSCIIBML5U-820x539.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_LQYVQFTJKJOBTAMUPSCIIBML5U-300x197.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_LQYVQFTJKJOBTAMUPSCIIBML5U-137x90.jpg 137w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_LQYVQFTJKJOBTAMUPSCIIBML5U-768x505.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_LQYVQFTJKJOBTAMUPSCIIBML5U-1536x1010.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_LQYVQFTJKJOBTAMUPSCIIBML5U-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A man holds a Ghanaian five cedi note in Accra July 3, 2007. REUTERS/Luc Gnago</figcaption></figure>



ACCRA, Nov 19 (Reuters)&nbsp;&#8211;&nbsp;Ghana is clamping down on private pension fund managers who want to invest in offshore assets on concerns it could worsen pressure on its cedi currency, three industry sources told Reuters.



After pension reforms in 2010, workers&#8217; retirement contributions in the world&#8217;s number two cocoa producer enjoyed strong growth, buoyed by a tiered scheme that allow private firms to manage some contributions.



Assets under management by the pension fund industry were 78.2 billion Ghanaian cedis ($4.93 billion) in June, of which over 73% were managed by 39 private fund management firms.



Ghana&#8217;s state-run pension fund handles tier one contributions towards employees&#8217; monthly retirement benefits, which are mandatory, while private firms manage tiers two and three &#8211; mandatory and voluntary contributions respectively &#8211; for lump-sum payment at or before retirement.



The majority of contributions are invested in Ghanaian assets, including Ghana government Eurobonds. However, private fund managers have been eager to explore offshore investment opportunities following the restructuring of 31 billion cedis of their holdings under a local debt rework.



Ghanaian laws permit private fund managers to invest up to 5% of total assets abroad, approximately 2.8 billion of current assets under management, though firms and authorities differ on the necessity of prior approval.



Some fund managers invested in offshore assets earlier this year, the sources, two in the private pension firms and one at the finance ministry said, but were stopped by the regulator, the national pensions regulatory authority (NPRA).



&#8220;They (NPRA) threatened to sanction us but we didn&#8217;t find any basis in law,&#8221; one of the source at a fund management company told Reuters.



&#8220;We have not exited but we can&#8217;t invest more (offshore). It&#8217;s a very strange development,&#8221; said the source who asked not to be named, adding that they had $5 million in offshore assets.



John Kwaning Mbroh, head of NPRA, told Reuters that &#8220;there&#8217;s no resistance&#8221; to investing pension assets offshore but the regulator needed approval from the government before signing off.



Mbroh said discussions were taking place to streamline the rules and clarify how to value offshore investments for contributors and fund managers, although he did not know when they would conclude.



<h2 class="wp-block-heading" id="h-protecting-liquidity">&#8216;PROTECTING LIQUIDITY&#8217;</h2>



Ghana is concluding a challenging debt-restructuring process under the G20&#8217;s Common Framework initiative, having defaulted on most of its $30 billion international debt in 2022.



Despite Ghana&#8217;s economic recovery, the cedi currency has depreciated 25% against the U.S. dollar year-to-date, having already fallen around 17% in 2023.



The source at the finance ministry, who also requested anonymity, said the ministry was concerned about the need to &#8220;balance the effects&#8221; of investing pension funds abroad on domestic liquidity and value appreciation to fund managers.



&#8220;The ministry won&#8217;t say &#8216;no&#8217; but it&#8217;s about how do we protect the economy, the liquidity,&#8221; the source said.



Private pension management firms in Ghana argue that authorities are overly cautious, pointing out that local mutual funds and African pension funds invest offshore without similar concerns.



They contend the current policy, given high inflation and cedi depreciation, limits value creation and mutes gains.



They also say it is contradictory to allow foreign pension funds to invest in Ghana&#8217;s market while preventing local funds from investing abroad.



&#8220;The world over, pension funds chase value but they want us to chase inflation,&#8221; an executive of one of the top five fund managers said, adding that investing 5% of their assets abroad doesn&#8217;t even move the needle.



($1 = 15.8800 Ghanian cedi)



(Reporting by Maxwell Akalaare Adombila; Editing by Bate Felix and Christina Fincher)

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Ghana blocks pension funds from offshore investment on currency concerns, sources say

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/108064788-1731985547539-gettyimages-2184866467-HK_FINANCE_SUMMIT-820x461.jpeg" alt="" class="wp-image-556053" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/108064788-1731985547539-gettyimages-2184866467-HK_FINANCE_SUMMIT-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/108064788-1731985547539-gettyimages-2184866467-HK_FINANCE_SUMMIT-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/108064788-1731985547539-gettyimages-2184866467-HK_FINANCE_SUMMIT-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/108064788-1731985547539-gettyimages-2184866467-HK_FINANCE_SUMMIT-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/108064788-1731985547539-gettyimages-2184866467-HK_FINANCE_SUMMIT-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/108064788-1731985547539-gettyimages-2184866467-HK_FINANCE_SUMMIT.jpeg 1858w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">He Lifeng, China’s vice premier, during the Global Financial Leaders’ Investment Summit in Hong Kong, China, on Tuesday, Nov. 19, 2024.  Paul Yeung | Bloomberg | Getty Images</figcaption></figure>



Chinese Vice Premier He Lifeng on Tuesday vowed to boost Hong Kong’s competitiveness by investing in the city’s innovation and delivering supportive financial policies.



Speaking at the third Global Financial Leaders Investment Summit, hosted by the Hong Kong Monetary Authority, He reiterated Beijing’s commitment to “explore and implement” measures aimed at building Hong Kong as an “international financial center.” That’s according to CNBC’s translation of his spoken Mandarin.



Beijing’s stimulus measures have already “benefited” Hong Kong, said He, who oversees a key economic and financial policymaking body. “The upward trajectory of the economy is more certain.”



To strengthen its financial industry, Hong Kong needs to leverage measures from mainland China as well as its global connections, Li Yunze, minister of China’s National Financial Regulatory Administration, said in a panel following He’s speech.



Almost 80% of mainland businesses that seek an offshore listing would go to Hong Kong, Li said, stressing the city’s future “has always been intertwined with” China.



During the same panel, Wu Qing, head of China’s securities regulator, said that Hong Kong will continue pursuing policies that attract more foreign investment.



Some of the world’s largest banks have moved to scale back operations and cut jobs in Hong Kong and mainland China amid a prolonged dearth in listing and deal-making activities.



An exodus of capital made the city’s Hang Seng the worst-performing major index last year, marking fourth straight years of decline. And Hong Kong’s stock market saw proceeds from initial public listings (IPOs) and follow-on share sales shrink 16% in the first six months this year, compared to a year ago, according to LSEG data.



Still, operators of Hong Kong’s stock exchange have pointed to signs of pickup in the third quarter as Beijing unveiled a raft of stimulus measures to bolster its flagging economy.



Vice premier He, a close confidant of President Xi Jinping, has been tasked with tackling China’s government debt crisis and protracted property downturn, which have strained the regions financial stability and stunted economic growth momentum.



Earlier this month, Chinese authorities took further steps to attract foreign investment, including lowering the capital threshold for foreign investors holding a non-controlling stake in an enterprise. Under the new regulations, foreign individuals are now allowed to invest in publicly-listed companies.



PBOC governor Pan Gongsheng also said in a meeting on Nov. 7 that that China would continue to implement accommodative monetary policy and bolster ties between domestic and foreign financial markets. Representatives from 11 foreign institutions including HSBC, Standard Chartered and Citigroup attended that meeting, according to a statement.

108064788-1731985547539-gettyimages-2184866467-HK_FINANCE_SUMMIT

China’s vice premier vows to boost Hong Kong competitiveness, says stimulus push has ‘benefited’ the city

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="568" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/03/F6D7PI4SJVK4DG7HSVQSJ637XA-1-820x568.jpg" alt="" class="wp-image-469791" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/03/F6D7PI4SJVK4DG7HSVQSJ637XA-1-820x568.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/F6D7PI4SJVK4DG7HSVQSJ637XA-1-300x208.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/F6D7PI4SJVK4DG7HSVQSJ637XA-1-130x90.jpg 130w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/F6D7PI4SJVK4DG7HSVQSJ637XA-1-768x532.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/F6D7PI4SJVK4DG7HSVQSJ637XA-1-1536x1065.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/F6D7PI4SJVK4DG7HSVQSJ637XA-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A man walks past an MTN logo outside the company&#8217;s headquarters in Johannesburg, South Africa, March 13, 2023. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



JOHANNESBURG, Nov 18 (Reuters) &#8211; Africa&#8217;s biggest mobile operator MTN is exploring partnerships with low-Earth-orbit (LEO) satellite providers to bring internet connection to rural and remote customers in particular, Group CEO Ralph Mupita said on Monday.



Satellite-internet has become an alternative connectivity solution across Africa with the popularity of providers such as Starlink, operated by Elon Musk&#8217;s SpaceX.



LEO satellites provide high-speed internet even in areas where terrestrial telecommunications infrastructure such as fibre and mobile broadband is difficult and expensive to deploy.



&#8220;To keep customers and businesses connected at all times, we&#8217;re going to have to embrace satellite as an additional technology form,&#8221; Mupita said in a media call.



He said South Africa-based MTN was carrying out proof of concepts with a number of LEO satellite operators for possible partnerships.



&#8220;We are exploring several, and actually some of them we&#8217;re happy to be resellers through our enterprise business to some of our customers in specific countries,&#8221; Mupita said.



MTN is not alone in seeking out partnership agreements. Smaller rival Cell C is doing the same.



South Africa&#8217;s biggest operator Vodacom, majority owned by Britain&#8217;s Vodafone, announced a partnership with Amazon&#8217;s Project Kuiper LEO satellite last year.



&#8220;We&#8217;re very aware of the challenges of having to compete as a fixed and wireless operator with LEO satellites over time, so we&#8217;re arranging ourselves to be able to sure proof our businesses in our key markets,&#8221; Mupita said.



Starlink operates in several African countries but has faced regulatory challenges in others, including South Africa, and resistance from state telecoms companies.



South African regulator ICASA is currently working on the regulatory and licensing framework for satellite-internet providers to provide clear rules for operators.



&#8220;LEO operators should be treated the same as terrestrial operators such as ourselves, subjected to the same regulatory requirements whether it&#8217;s around data privacy, data transport, localization and access to spectrum,&#8221; Mupita said.



&#8220;Our ask is that there just be a level playing ground.&#8221;



(Reporting by Nqobile Dludla; Editing by Joe Bavier and Mark Potter)

FILE PHOTO: MTN downgrades medium-term margin target for South Africa on power outages

South Africa’s MTN exploring partnerships with satellite-internet providers

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3334" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/YVDA4CPNEBJLPBBXUIV6MNSDKQ.avif" alt="" class="wp-image-555754"/><figcaption class="wp-element-caption">Community members watch as Senzo Mchunu, South African police minister, inspects outside the mineshaft where it is estimated that hundreds of illegal miners are believed to be hiding underground, after police cut off food and water as part of police operations against illegal miners, in Stilfontein, South Africa, November 15, 2024. REUTERS/Ihsaan Haffejee</figcaption></figure>



JOHANNESBURG, Nov 18 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s President Cyril Ramaphosa said on Monday lives should not be put at risk in a standoff between police and hundreds of illegal miners stuck underground in a disused mine shaft and the miners should be recovered safely.



The police have blocked miners&#8217; supplies of food and water to force them out and arrest them for illegally entering the abandoned mine in North West province in search of leftover gold &#8211; an issue that has plagued South Africa for decades.



More than 1,000 illegal miners have resurfaced in recent weeks but police said last week that hundreds could still be underground. Local residents and human rights groups have criticized authorities for blocking their supplies.



In a weekly newsletter, Ramaphosa said the situation was precarious and could potentially turn volatile.



&#8220;The Stilfontein mine is a crime scene where the offence of illegal mining is being committed. It is standard police practice everywhere to secure a crime scene and to block off escape routes that enable criminals to evade arrest,&#8221; he said.



Ramaphosa urged the police to respect the miners&#8217; rights and not put their lives at risk and said his government would work with the mining industry on the issue of illegal mining.



&#8220;The police will carry out their duties and responsibilities to bring the illegal miners to the surface safely,&#8221; he said.



Illegal mining has thrived in South Africa through small-time pilfering and organised criminal networks, costing the economy billions of rands in lost income and royalties.



It was unclear if those still in the mine were unwilling or unable to get out. Public broadcaster SABC said that volunteers had brought 12 miners to the surface since last Wednesday.



(Reporting by Bhargav Acharya; Editing by Nellie Peyton and Ros Russell)

YVDA4CPNEBJLPBBXUIV6MNSDKQ

South Africa’s Ramaphosa calls for safe recovery of illegal miners stuck underground

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3426" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/BTRQXB5RABIYHGXVOZJLIBY25A.avif" alt="" class="wp-image-555721"/><figcaption class="wp-element-caption">Workers are seen at a branch of South Africa&#8217;s mobile operator, Telkom, in Johannesburg, South Africa, November 21,2023. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



JOHANNESBURG, Nov 18 (Reuters) &#8211; South Africa&#8217;s Telkom has suspended plans to sell part of its fibre business, CEO Serame Taukobong said on Monday, as the fixed broadband service helped drive the company&#8217;s half-year income.



Shares in Telkom, majority-owned by the government, were up 5.48% at 1327 GMT, after it reported that half-year adjusted headline earnings per share grew by 57.5%.



This was after excluding 160 million rand ($8.85 million) restructuring costs and a 618 million rand cost of switching its Telkom Retirement Fund from a defined benefit to a defined contribution funding arrangement.



Telkom &#8211; which owns a big chunk of the fast growing home and business fibre market &#8211; last year wanted to list the business separately or sell a minority stake in it to unlock more value but now wants to keep it.



&#8220;We have suspended any discussions or investigations into partnerships for Openserve,&#8221; Taukobong said during a results call. &#8220;We stayed very firm on our decisions as an infrastructure company and I think you&#8217;re seeing the results there.&#8221;



He added that Openserve would remain a core and critical part of the group&#8217;s strategy.



Telkom has been investing in migrating customers away from copper-based technology to faster and &#8220;next-generation network&#8221; (NGN) offerings such as fibre and long-term evolution &#8211; a 4G wireless standard &#8211; as customers seek faster internet services for richer content.



NGN revenue now contributes 80.9% to operating revenue, up from 74.4% in the previous period, offsetting the impact of the group&#8217;s decision to ditch legacy services.



($1 = 18.1434 rand)



(Reporting by Sfundo Parakozov; Editing by Nelson Banya and Emelia Sithole-Matarise)

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South Africa’s Telkom rethinks sale of fibre unit stake

<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/HG6EHCDQEBPQXLK6KJZYFZJP4U-820x547.jpg" alt="" class="wp-image-555669" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/HG6EHCDQEBPQXLK6KJZYFZJP4U-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/HG6EHCDQEBPQXLK6KJZYFZJP4U-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/HG6EHCDQEBPQXLK6KJZYFZJP4U-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/HG6EHCDQEBPQXLK6KJZYFZJP4U-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/HG6EHCDQEBPQXLK6KJZYFZJP4U-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/HG6EHCDQEBPQXLK6KJZYFZJP4U-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A man prepares to cast his vote during the early legislative election, at a polling station in Parcelle, suburb of Dakar, Senegal, November 17, 2024. REUTERS/Zohra Bensemra</figcaption></figure>



DAKAR, Nov 18 (Reuters) &#8211; A likely absolute majority for President Bassirou Diomaye Faye&#8217;s Pastef party in Senegal&#8217;s legislative election would empower him to pursue his ambitious 25-year agenda, though his first challenge will be coming up with a budget amid a fiscal crisis.



Faye sought a clear parliamentary majority in Sunday&#8217;s vote to implement the reform agenda that helped sweep him to power in a landslide election victory in March.



But analysts say creating a budget catering both to his voters&#8217; needs and to the International Monetary Fund (IMF), with which his government is currently in talks, will be challenging.



Former president Macky Sall, who headed an opposition coalition, on Monday congratulated Pastef on its win. Former prime minister Amadou Ba, who ran against Faye in the presidential election, also conceded defeat, as did other opposition leaders.



Senegal&#8217;s sovereign debt rose in price on Monday, Tradeweb data showed, while most other African nations&#8217; bonds lost ground. The yield on its 2033 dollar bond was down about 10 basis points by 1145 GMT at 9.28%.



&#8220;If confirmed by the electoral bodies, Pastef&#8217;s victory could give a free hand in passing budgets and implementing its programmatic reforms,&#8221; said Wendyam Lankoande, a consultant at Africa Practice.



But, he noted, voters are &#8220;looking for quick solutions to unemployment, rising cost of living, and limited reach of public services in remote rural areas in the hinterland&#8221;.



In September, a government audit revealed that Senegal&#8217;s debt and budget deficit were much wider than the previous administration had reported. A $1.9 billion IMF programme agreed in June 2023 has been on hold since.



Negotiations with the IMF to restart disbursements could last until mid-2025.



&#8220;We see Pastef&#8217;s majority as a positive development as it clears the path for President Faye and (Prime Minister Ousmane) Sonko to begin work on a budget for 2025 that aligns broadly with IMF requirements,&#8221; said Leeuwner Esterhuysen, senior economist at Oxford Economics Africa.



&#8220;That said, some of these requirements won&#8217;t necessarily go down well with Senegalese citizens.&#8221;



He said the Fund was likely to show some leniency, as it appears to have good relations with the new administration.



&#8220;We think the government may be able to delay the implementation of harsh measures such as removing VAT exemptions on farming inputs or increasing household electricity prices, while energy subsidies will be phased out gradually to limit the impact on consumers,&#8221; Esterhuysen said.



(Additional reporting by Libby George; Editing by Kevin Liffey)

Senegal holds early legislative election

Senegal’s president faces budget challenge after likely parliamentary win

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="518" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/H4D76FPFLJJOFKKB6PZX3XGHFQ-1-820x518.jpg" alt="" class="wp-image-554697" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/H4D76FPFLJJOFKKB6PZX3XGHFQ-1-820x518.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/H4D76FPFLJJOFKKB6PZX3XGHFQ-1-300x190.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/H4D76FPFLJJOFKKB6PZX3XGHFQ-1-142x90.jpg 142w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/H4D76FPFLJJOFKKB6PZX3XGHFQ-1-768x485.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/H4D76FPFLJJOFKKB6PZX3XGHFQ-1-1536x971.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/H4D76FPFLJJOFKKB6PZX3XGHFQ-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A Starlink satellite internet system is set up on a caravan truck of a tourist, parked in a street in Ronda, Spain February 12, 2024. REUTERS/Jon Nazca/FILE PHOTO</figcaption></figure>



CAPE TOWN, Nov 15 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s information and communications technology sector needs policy and regulatory changes to keep up with emerging technologies, the chair of the country&#8217;s communications regulator told Reuters.



Technological advances such as satellite internet and artificial intelligence are forcing governments and regulators worldwide to revamp their oversight of the industry.



Mothibi Ramusi, the new chair of the Independent Communications Authority of South Africa, or ICASA, told Reuters one of his priorities was to ensure the regulator adapted to change.



The regulator is working on finalising its five-year strategy plan, which will guide its priorities going forward.



&#8220;As we have it right now, our legislative frameworks are still a barrier to leapfrog into the future,&#8221; he said on the sidelines of Africa Tech conference on Thursday.



&#8220;The first priority to get things right is we need to revamp the entire ICT framework. The policy needs to be reviewed, the ICASA Act and other associated acts, like the Electronic Communication Transaction Act.&#8221;



South Africa is yet to sign into law proposed amendments to the Electronic Communications Act, which have been in discussion for years. The bill, among other things, proposes new regulations for mobile virtual networks and allows spectrum sharing.



The regulator has also initiated an inquiry into the licensing framework for satellite-internet providers to provide clear rules for potential operators in the country, amid the growing demand for Starlink, operated by Elon Musk&#8217;s SpaceX.



Submissions for comments were closed this week and ICASA will analyse the inputs and begin public consultations before finalising the appropriate licensing framework, Ramusi said.



&#8220;We are mindful that whilst you&#8217;re talking infrastructure expansion, there are other areas where you might not be able to connect people with what you call terrestrial infrastructure,&#8221; Ramusi said.



&#8220;So satellite becomes another infrastructure layer that we need because you need rapid deployment. In South Africa, we are embracing that.&#8221;



South Africa was one of the first few African countries where Starlink wanted to launch its satellite internet but is hindered by the country&#8217;s regulations, which require foreign-owned companies to sell a 30% stake to historically disadvantaged groups in order to operate in country.



(Reporting by Nqobile Dludla; Editing by Christina Fincher)

A Starlink satellite internet system is set up on a caravan truck of a tourist, parked in a street in Ronda

New tech requires rulebook revamp, says S.Africa’s communications regulator

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1920" height="1245" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/2J47EZ5UQBJOFPUZZQP3HAKCPE.avif" alt="" class="wp-image-554692"/><figcaption class="wp-element-caption">Protesters run from police during a &#8220;national shutdown&#8221; against the election outcome, at Luis Cabral township in Maputo, Mozambique, November 7. REUTERS/Siphiwe Sibeko</figcaption></figure>



MAPUTO, Nov 15 (Thomson Reuters Foundation)&nbsp;&#8211;&nbsp;Uber driver Rofino Fiel said the post-election protests that have convulsed Mozambique for weeks have been disastrous not only because of the running battles on the streets of Maputo &#8211; internet shutdowns are bleeding his business dry.



Like many working in small and medium-sized businesses, often in the informal sector, successive blackouts have cost him dear and there is little relief in sight as the protests over allegations of vote-rigging look set to continue.



&#8220;This is too much. We are having a very negative experience and per week it costs us a loss of 8,000 meticais ($126),&#8221; the 25-year-old told the Thomson Reuters Foundation.



&#8220;Our activity has come to a complete halt.&#8221;



Protests have escalated since election authorities said the Frelimo party had won the Oct. 9 vote with a landslide victory, extending its 49-year rule. More than 56% of Mozambique&#8217;s 17 million eligible voters abstained.



The results have been widely disputed, fuelling clashes between the police and protesters which rights groups and local hospitals say have killed at least 30 people. Many young people supported independent candidate Venancio Mondlane, who says the vote was rigged and has encouraged demonstrations.



Amnesty International has condemned the government&#8217;s &#8220;violent and widespread crackdown on human rights&#8221;, saying it is the worst suppression of protests in the country in years.



Civil society groups and international observers said the vote did not meet democratic standards, and the Constitutional Council has requested clarification from the electoral commission on discrepancies in the vote count.



Digital rights groups say that there have been at least five mobile internet shutdowns since Oct. 25, alongside social media shutdowns lasting several hours.



According to the constitution, the government can force mobile phone operators to shut down internet services in cases of national emergency but the government has not declared the current unrest a national emergency.



The #KeepItOn coalition, a global network of over 334 human rights organisations working to end internet shutdowns, urged Mozambique&#8217;s authorities to end the increasing use of shutdowns.



&#8220;Mozambican authorities&#8217; regular practice of shutting down the internet around elections and in times of political unrest must not be allowed to continue,&#8221; the coalition said in a statement on Nov. 7.



Mateus Magala, minister of transport and communications, said the recurrent internet restrictions were aimed at preventing the destruction of the country.



&#8220;When we see violations that jeopardise the integrity of all Mozambicans in the nation we have to act as such, so that our means of communication are not used for the destruction of the country,&#8221; he said on Sunday.



For Edson Chiado, who manages a real estate business in the centre of Maputo, the shutdowns are hurting his livelihood.



&#8220;I need the internet to work and make sales and, as it is, many things are at a standstill,&#8221; said the 34-year-old,&nbsp;who has worked in the property sector for 10 years.



&#8220;You always have to separate the internet, which is key to our economic life, from political matters.&#8221;



LOST CLIENTS



The shutdowns have affected a wide range of professionals from financial market operators, or traders, to website programmers, who generally work remotely.



A trader who asked to remain anonymous due to safety concerns said the internet outages had cost him as much as $100 dollars a day in recent weeks.



Americo Marime, owner of a tech start-up that does network analysis, management systems programming, and web page monitoring, said there were days when he was unable to meet deadlines and ended up losing some clients.



He said some of the web pages he monitors also suffered routine failures and he was unable to fix them.



&#8220;Even clients, some of whom are outside Mozambique, couldn&#8217;t contact me to report the problem &#8230; So, in short, the internet blockage stopped programmers&#8217; work,&#8221; said Marime.



Some people have tried to use Virtual Private Networks (VPN) or free WiFi to keep their businesses going but connection was very slow and there are only three places in Maputo where free WiFi is available.



Celio Lazaro, an activist who works on social justice and economic inclusion, said mobile phone operators should be held criminally responsible &#8220;for contributing to the limitation of citizens&#8217; rights&#8221;, as well as jeopardising the livelihoods of those who depend on the internet to work.



The country&#8217;s three mobile phone operators &#8211; South Africa&#8217;s Vodacom, and Mozambique&#8217;s Tmcel and Movitel &#8211; have sent messages to users saying the outages were beyond their control. When contacted by the Thomson Reuters Foundation, Vodacom and Movitel declined to comment while Tmcel did not immediately reply to a request for a comment.



&#8220;This (the blocking of the internet) is not helping to end the protests, but rather is intensifying popular dissatisfaction,&#8221; Lazaro told journalists on Monday during a press conference in Beira, in central Mozambique.



Even as internet services are gradually being restored, Mondlane has called for a new round of demonstrations across the country, meaning there could be more economic pain in a country where around 65% of the population live in poverty.



The president of the Confederation of Economic Associations of Mozambique, Agostinho Vuma, said he was aware of the negative impact that the internet shutdowns were having on small businesses.



&#8220;There&#8217;s nothing we can do about it, but the situation does affect us,&#8221; he said.



($1 = 63.2700 meticais)



(Reporting by Samuel Come; Editing by Clar Ni Chonghaile and Ana Nicolaci da Costa.&nbsp;

2J47EZ5UQBJOFPUZZQP3HAKCPE

Internet cuts after Mozambique’s disputed vote hit businesses

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="448" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/7F4RVUNBANMQVOB43MHCRSGWA4.avif" alt="" class="wp-image-554652"/><figcaption class="wp-element-caption">A climate activist holds a placard as people call for climate justice resistance against oil and gas corporations and to end fossil fuels outside the Cape Town International Convention Centre during the Southern Africa Oil and Gas Conference in Cape Town, South Africa , September 13, 2023. REUTERS/Esa Alexander/File Photo</figcaption></figure>



JOHANNESBURG, Nov 15 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s revised carbon tax aims to balance the rival demands of climate activists and polluters by lowering tax-free allowances while letting companies make greater use of offsets, the Treasury&#8217;s acting tax chief said on Friday.



The changes, to come into effect in 2026, will help South Africa meet climate commitments but give &#8216;hard-to-abate&#8217; sectors more flexibility, said Chris Axelson, Acting Head of Tax and Financial Sector Policy at the Treasury.



South Africa is one of the world&#8217;s top 15 greenhouse gas emitters and the only country in Africa with a carbon tax.



&#8220;It definitely is a change to the previous structure (in which)…the offsets were quite a small percentage,&#8221; Axelson told Reuters in a videocall interview.



At COP29 talks in Azerbaijan, developing countries pressured their richer counterparts for up to $1 trillion in climate finance to help nations historically least responsible for the crisis to shift to greener energy and adapt.



A Treasury policy paper released on Wednesday shows the offset allowance for combustion emissions going up to 25%, from 10%, after 2026. But this is counterbalanced by slashing tax-free allowances from 60% currently to half in 2026, and by a further 2.5 percentage points annually until 2030.



South Africa enacted its carbon tax in May 2019 after nearly a decade of shelving it over objections from mining companies, steelmakers and state-owned power utility, Eskom. Since then, industry has complained the tax is too onerous while climate activists decry it as too generous.



&#8220;We&#8217;re in a place where they&#8217;re all shouting at us,&#8221; Axelson said. &#8220;We&#8217;re trying to find that balance &#8230; We don&#8217;t want one side to say, &#8216;well, you&#8217;re hurting us too much&#8217; and the other side to say, &#8216;well, you aren&#8217;t doing enough&#8217;.&#8221;



The proposal also replaces a 3.5 cent per kilowatt levy on non-renewable power with the carbon tax, which Axelson said would encourage Eskom &#8211; whose overreliance on coal has made South Africa a bigger emitter than Britain or France &#8211; to use renewables but &#8220;but without the potential of passing on costs to the consumers.&#8221;



(Reporting by Tim Cocks; Editing by Christina Fincher)

7F4RVUNBANMQVOB43MHCRSGWA4

South Africa’s revised carbon tax to be harsher but with more offsets, Treasury says

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="427" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/7KVHJR6UA5PHZGXNL4DBLFNXXE.avif" alt="" class="wp-image-554607"/><figcaption class="wp-element-caption">People buy and sell vegetables at Mile 12 International Market in Lagos, Nigeria May 13, 2022. REUTERS/Temilade Adelaja/File photo</figcaption></figure>



ABUJA, Nov 15 (Reuters) &#8211; Nigeria&#8217;s inflation rate rose for the second straight month in October, advancing to 33.88% in annual terms NGCPIY=ECI from 32.70% in September mainly due to higher food prices, official data showed on Friday.



Inflation quickened sharply in the second half of last year after President Bola Tinubu devalued the country&#8217;s naira currency&nbsp;NGN=D1&nbsp;and cut subsidies to try to lift economic growth and shore up public finances.



It started to ease in July this year as the impact of the naira devaluation began to fade, but a series of petrol price increases and severe flooding that has wiped out crops again spurred price pressures, exacerbating the worst cost-of-living crisis in decades in Africa&#8217;s most populous nation.



A report by the National Bureau of Statistics said food inflation reached 39.16% year-on-year in October from 37.77% the previous month&nbsp;NGFINF=ECI, caused by price rises for staples such as rice, maize, bread, potatoes and cooking oil.



Torrential rain and floods in 29 of Nigeria&#8217;s 36 states this year have destroyed more than 1.5 million hectares of cropland, making millions go hungry and causing mass displacement.



The central bank has hiked interest rates five times this year to try to get inflation under control. It is due to announce its final rate decision&nbsp;NGCBIR=ECI&nbsp;of the year on Nov. 26.



(Reporting by Chijioke Ohuocha; Additional reporting by Mohd Edrees in Bengaluru; Editing by Alexander Winning)

7KVHJR6UA5PHZGXNL4DBLFNXXE

Nigeria inflation rises for second month, spurred by food

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="548" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/XITIO74YJBM5XNTYYV6EQSSGSY-2-820x548.jpg" alt="" class="wp-image-554521" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/XITIO74YJBM5XNTYYV6EQSSGSY-2-820x548.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/XITIO74YJBM5XNTYYV6EQSSGSY-2-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/XITIO74YJBM5XNTYYV6EQSSGSY-2-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/XITIO74YJBM5XNTYYV6EQSSGSY-2-768x514.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/XITIO74YJBM5XNTYYV6EQSSGSY-2-1536x1027.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/XITIO74YJBM5XNTYYV6EQSSGSY-2-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">South African bank notes featuring an image of former South African President Nelson Mandela are displayed at an office in Johannesburg, file. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, Nov 15 (Reuters)&nbsp;&#8211;&nbsp;The rand eased early on Friday, extending a week of losses following Donald Trump&#8217;s U.S. election win, and ahead of S&amp;P Global&#8217;s scheduled review of South Africa&#8217;s sovereign credit rating.



At 0705 GMT, the rand traded at 18.28 against the U.S. dollar&nbsp;ZAR=D3, about 0.2% weaker than its previous close.



The rand has endured five sessions of losses as the dollar rallied after Trump&#8217;s victory, while markets fretted over potential policies by the president-elect, which could include tariffs and tax cuts.



Investors will on Friday look to S&amp;P Global&#8217;s scheduled review of South Africa&#8217;s sovereign credit rating.



Analysts expect Africa&#8217;s most industrialised economy to remain three notches into sub-investment grade at &#8216;BB-&#8216;, with a stable outlook.



On the Johannesburg stock market, the blue-chip Top-40 index&nbsp;.JTOPI&nbsp;was flat.



South Africa&#8217;s benchmark 2030 government bond&nbsp;ZAR2030=&nbsp;was little changed in early deals, with the yield at 9.155%.



(Reporting by Tannur Anders; Editing by Kirsten Donovan)

New South African bank notes featuring an image of former South African President Nelson Mandela are displayed at an office in Johannesburg

South African rand extends losses; S&P rating review due

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="429" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_UBA56WNMY5LWDEZ67BOH74TT2U-820x429.jpg" alt="" class="wp-image-554238" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_UBA56WNMY5LWDEZ67BOH74TT2U-820x429.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_UBA56WNMY5LWDEZ67BOH74TT2U-300x157.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_UBA56WNMY5LWDEZ67BOH74TT2U-160x84.jpg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_UBA56WNMY5LWDEZ67BOH74TT2U-768x402.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_UBA56WNMY5LWDEZ67BOH74TT2U-1536x804.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/https___cloudfront-us-east-2.images.arcpublishing.com_reuters_UBA56WNMY5LWDEZ67BOH74TT2U.jpg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">The head of Nigeria&#8217;s state oil company NNPC, Mele Kyari, speaks during an interview with Reuters in Abuja, Nigeria August 7, 2019. REUTERS/Afolabi Sotunde/File Photo</figcaption></figure>



ABUJA, Nov 14 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s state oil firm NNPC said on Thursday it had increased oil production to 1.8 million barrels per day (bpd), with the possibility of getting to two million bpd by year-end.



Oil production at Africa&#8217;s top crude exporter was estimated at 1.3 million bpd in October, according to producer group OPEC&#8217;s latest report. Nigeria often counts condensate production of around 250,000 bpd as part of its production.



The NNPC said the increase was a result of collaborative efforts with its joint venture operators and its partners on production-sharing contracts, alongside security agencies and the government.



&#8220;The team has done a great job in driving this project of not just production recovery but also escalating production to expected levels that are in the short and long terms acceptable to our shareholders,&#8221; NNPC CEO Mele Kyari told a press briefing.



Nigeria has been battling crude theft in its Niger Delta production region, sabotage, and local unrest, which has hampered output growth.



In June, NNPC set up a &#8216;war room&#8217; to coordinate efforts of oil partners, the government and private security personnel to stem crude theft. Since then, several vessels used in stealing crude have been destroyed and some illegal refiners arrested.



Kyari said the interventions across every segment of the production chain, supported by rigorous pipeline monitoring from security agencies, had been critical to the recovery.



(Reporting by Camillus Eboh in Abuja and Isaac Anyaogu in Lagos. Writing by Chijioke Ohuocha. Editing by Tomasz Janowski and Mark Potter)

https___cloudfront-us-east-2.images.arcpublishing.com_reuters_UBA56WNMY5LWDEZ67BOH74TT2U

Nigeria lifts oil production to 1.8 mln barrels per day

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4032" height="1960" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/NB4Q7CHLRFODVLN7TXTDGJIBOY-1.avif" alt="" class="wp-image-554153"/><figcaption class="wp-element-caption">Homes are submerged in water after a massive flood in N&#8217;djamena, Chad, October 14, 2022. REUTERS/Mahamat Ramadane/File Photo</figcaption></figure>



N&#8217;DJAMENA, Nov 14 (Reuters)&nbsp;&#8211;&nbsp;The deputy director of Chad&#8217;s National Meteorological Agency waggled his finger up and down to demonstrate how a motionless humidity gauge at the agency&#8217;s headquarters should have been working.



The broken hygrothermograph was among the dustblown outdoor equipment in the capital N&#8217;Djamena that is meant to help the agency known as ANAM to track weather patterns.



The situation in Chad is replicated across much of Africa, a continent sorely lacking the reliable forecasts that are a keystone of disaster management as climate change makes extreme weather more frequent.



At COP29 climate talks on Wednesday, U.N. Secretary-General Antonio Guterres called for urgent action to overcome a shortage of data and funding. The aim is to meet a target for universal protection by end-2027 from early warning systems to help preparation for extreme weather events.



For Chad, that appears a particularly ambitious goal.



Around 80% of the devices at the agency&#8217;s site in N&#8217;Djamena are not operational, Deputy Director Hamid Abakar Souleymane told Reuters in October, as Chad battled another season of devastating floods.



&#8220;The reliability of weather information depends on the resources invested in producing it,&#8221; he said, describing a relentless push for more funding and trained personnel.



Africa, a continent of 1.5 billion people, has the world’s least developed weather and climate observation network with fewer stations operating to global basic standards than Germany, according to the World Meteorological Organization.



&#8220;There are many declared stations that exist or may not exist. In fact, many of them are not sharing data,&#8221; said Albert Fischer, director of the WMO Integrated Global Observing System division.



As of the third quarter of 2024, only two out of 53 African WMO countries were compliant with basic requirements for ground-level observation stations, Fischer said.



Being unprepared has deadly consequences. Floods not only happen more often across Africa than in Europe and North America combined, but they kill four times more people on average due to a lack of preparedness and warnings, a 2023 article in the journal Nature said.



<h2 class="wp-block-heading" id="h-no-one-warned-us">&#8220;NO ONE WARNED US&#8221;</h2>



Good weather data alone is not enough, as evidenced by deadly floods in October in Spain when some local authorities were blamed for failing to raise the alarm in time.



Chad&#8217;s plight nevertheless shows the scale of what can happen when disaster strikes one of the most vulnerable and data-poor regions on earth.



Heavier-than-usual seasonal rains in parts of West and Central Africa drove rivers to break their banks in recent months, leading to floods in every one of Chad&#8217;s provinces with 1.9 million people affected, over 570 killed, and 72,000 heads of cattle swept away.



&#8220;Everywhere is flooded. We have lost our fields of sorrel, beans, and grain. Everything is destroyed now because no one warned us of such a catastrophe,&#8221; mother-of-four Josiane Allasra said, speaking at a makeshift camp for displaced people on the outskirts of N&#8217;Djamena in late October.



&#8220;We&#8217;re hungry and we have nowhere to shelter our children.&#8221;



ANAM did not have the resources to track the worsening conditions as the disaster unfolded across a country the size of France and Spain combined.



&#8220;We have significantly less than we need. We need stations and we need funding,&#8221; Souleymane said during a tour of ANAM&#8217;s N&#8217;Djamena facilities, where stacks of old weather data spilled out over the floor of the archive and packaged equipment gathered dust.



A 2023 review of Chad&#8217;s hydromet capacity, found that it had just two trained forecasters, making round-the-clock forecasting and warning impossible.



The agency also lacks the financial and technical means to maintain a network of new automatic weather stations from the U.N. Development Programme, which anyway only covered the south and centre of the country, the report said.



&#8220;There&#8217;s a lot of wasted investment and infrastructure that is scattered &#8230; around Africa,&#8221; said Ana Heureux, programme management officer at a U.N. fund that supports countries like Chad to close their vast data gaps.



Under a five-year programme, the Systematic Observations Financing Facility (SOFF) plans to help Chad upgrade or launch 34 weather stations to global observation standards. Chad currently has one surface-land weather station.



To avoid a situation in which authorities find themselves with technology they do not have the expertise and funds to maintain, SOFF&#8217;s strategy includes making use of advisers from developed countries. Once up-and-running, countries will continue to receive SOFF support provided they share their data internationally, Heureux said.



&#8220;Finally, we have one fund that&#8217;s really dedicated to long-term support,&#8221; said the WMO&#8217;s Fischer.



Since mid-2022, SOFF has supported 23 African countries. However, its own funding outlook is uncertain. Since 2020, it has raised $94 million out of a target of $200 million by 2025.



There &#8220;has been a bit of a challenging fundraising donor environment, with everything happening in the world,&#8221; said Heureux, adding that SOFF hoped to close the gap including via a big fundraising push at COP29.



(Editing by Barbara Lewis)

NB4Q7CHLRFODVLN7TXTDGJIBOY

Africa has world’s least developed weather observation network

<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/UP2NUJ3FC5MHFCYLXSKRKTCMZA-820x547.jpg" alt="" class="wp-image-554111" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/UP2NUJ3FC5MHFCYLXSKRKTCMZA-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/UP2NUJ3FC5MHFCYLXSKRKTCMZA-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/UP2NUJ3FC5MHFCYLXSKRKTCMZA-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/UP2NUJ3FC5MHFCYLXSKRKTCMZA-768x513.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/UP2NUJ3FC5MHFCYLXSKRKTCMZA-1536x1025.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/UP2NUJ3FC5MHFCYLXSKRKTCMZA-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A supporter of Senegal&#8217;s Prime Minister and the head of the ruling Pastef party Ousmane Sonko reacts as he attends a campaign rally for the upcoming early legislative election, in Guediawaye on the outskirts of Dakar, Senegal, November 13, 2024. REUTERS/Zohra Bensemra</figcaption></figure>



DAKAR, Nov 14 (Reuters)&nbsp;&#8211;&nbsp;Senegal will vote in legislative elections on Sunday that will determine whether the new president and government can gain control over the national assembly and push through their agenda for reforms.



The high stakes in the election are threatening to spark renewed unrest following a period of calm. The run-up to the presidential election in March saw some of the worst violence in the country&#8217;s recent history.



Campaigning has grown heated in recent days and comes at a precarious time for the new government, which is navigating a spiraling fiscal crisis that could undermine its ability to deliver on promises to boost the economy and create jobs.



Prime Minister Ousmane Sonko, known for his fiery rhetoric, said this week that his supporters had come under attack and urged them to take revenge. He has also warned that restraint should not be mistaken for weakness.



&#8220;Let them not say that we&#8217;ve changed and that since we came, everyone can do as they please,&#8221; he said on Tuesday evening. &#8220;We could have used our strength, but we didn&#8217;t.&#8221;



Top priorities for Senegalese voters are jobs and the economy, as inflation has squeezed livelihoods and the nation&#8217;s growing youth population struggle to find employment.



More than 7 million registered voters will have the chance to vote for candidates for the 165 seat-assembly, choosing between 41 registered parties or other entities. Polls open at 8 a.m. (0800 GMT) and close at 6 p.m.



&#8220;We want a lower cost of living, affordable water, electricity, and transport, so everyone can work and live decently,&#8221; said Cheikh Diagne, a street seller in downtown Dakar.



Babacar Ndiaye, research director at the think-tank WATHI, said that Senegalese have historically voted in favour of the president during previous parliamentary elections.



&#8220;When they choose a president, they then give that president the means to work and govern,&#8221; he said. &#8220;Every time a president has won, he has in due course also gained an absolute majority in the National Assembly.&#8221;



The West African country is plunging towards a debt crisis after the new government said it had discovered the budget deficit was much wider than reported by the previous government. A $1.9 billion IMF programme is on hold while the government audit is reviewed.



The main threat to the ruling party Pastef&#8217;s ambitions is the unexpected alliance of two opposition parties, including the Republic party (APR) headed by the former Prime Minister Macky Sall.



The race also includes two smaller opposition coalitions. The one led by Dakar&#8217;s mayor, Barthelemy Dias, has clashed with supporters of Pastef.



Mariam Wane Ly, a former parliamentarian and trailblazer for women in politics in Senegal, said the campaign period had given leaders a chance to explain their agendas and she expected Pastef to win the majority it is seeking.



&#8220;I think it&#8217;s going to make up for all the unhappiness,&#8221; she said.



(Additional reporting by Portia Crowe; Editing by Alex Richardson)

Campaign rally for the early legislative elections in Dakar

Senegal heads to the polls amid fiscal crisis, threat of unrest

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="540" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/YPMFQQSS3NLHLJL3LP32C774LE-1-820x540.jpg" alt="" class="wp-image-486141" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/YPMFQQSS3NLHLJL3LP32C774LE-1-820x540.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/YPMFQQSS3NLHLJL3LP32C774LE-1-300x198.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/YPMFQQSS3NLHLJL3LP32C774LE-1-137x90.jpg 137w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/YPMFQQSS3NLHLJL3LP32C774LE-1-768x506.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/YPMFQQSS3NLHLJL3LP32C774LE-1-1536x1012.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/YPMFQQSS3NLHLJL3LP32C774LE-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A shopper walks past a Vodacom shop in Johannesburg, file. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



CAPE TOWN, (Reuters) &#8211; South Africa&#8217;s biggest mobile operator Vodacom is looking at taking a new low-price phone that uses the cloud to offer smartphone-style features to other African markets, an executive said on Wednesday.



Mobile internet penetration in sub-Saharan Africa was just 27% at the end of 2023, with millions struggling to access services because smartphones are too expensive or network coverage unavailable, according to the GSMA industry body.



The South African unit of Vodacom, majority-owned by Britain&#8217;s Vodafone, recently launched a cloud-based smart feature phone, which is manufactured by South African mobile phone firm Mobicel. Vodacom is a reseller.



Vodacom introduced it as a way to reduce the cost of smartphone access and to accelerate migrating customers from legacy 2G and 3G networks to modern 4G networks as South Africa starts phasing out these older networks.



&#8220;We have sold roughly a bit less than 100,000 devices in South Africa,&#8221; Davide Tacchino, managing executive for terminals at Vodacom South Africa, told Reuters at the Africa Tech conference, adding that the company was seeing interest from customers and distributors.



&#8220;At this stage, it&#8217;s South Africa, but we are evaluating to expand in the other markets.&#8221;



The phone, retailing at 199 rand ($11), leverages the power of cloud computing to deliver a range of features typically associated with entry smartphones at a more affordable cost.



It comes with popular applications such as YouTube, TikTok and Facebook, all accessed via the cloud, giving users a &#8220;smartphone lite&#8221; experience.



Mobile operators are racing to shift their customers to 4G and 5G networks as South Africa has proposed gradually phasing out and shutting down older networks by the end of 2027.



As well as introducing more affordable devices, operators are offering pre-paid device financing options, but they have also asked the government to cut taxes on smartphones.



South Africa&#8217;s Communications Minister Solly Malatsi told Reuters on Tuesday that he had held encouraging preliminary talks with the Treasury about his proposals to cut those taxes.



($1 = 18.1781 rand)



(Reporting by Nqobile Dludla. Editing by Mark Potter)

FILE PHOTO: A shopper walks past a Vodacom shop in Johannesburg

S.Africa’s Vodacom eyes taking cloud-based phone to other African markets

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-820x547.jpg" alt="" class="wp-image-529685" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/09/TE3RFSDQENJTFFYC6SW6PIPCBE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: The International Monetary Fund (IMF) headquarters building is seen ahead of the IMF/World Bank spring meetings in Washington, U.S., April 8, 2019. REUTERS/Yuri Gripas/File Photo</figcaption></figure>



NAIROBI, Nov 13 (Reuters) &#8211; The International Monetary Fund should sell 4% of its gold to help offer debt relief to low income countries devastated by climate-related catastrophes, a study said as climate financing dominates early talks at the COP29 summit.



From the Caribbean to Africa, low income countries have turned to the IMF in recent years for support in the face of shocks like the COVID-19 pandemic, driving up repayments to the lender of last resort in subsequent years.



Although the IMF has a facility known as Catastrophe Containment Relief Trust (CCRT), this only covers 30 poor countries and has just $103 million available, said researchers from the Boston University Global Development Centre.



The CCRT is used to pay off an eligible member state&#8217;s loans to the IMF for up to two years, providing immediate relief and allowing those funds to be targeted at other priorities.



&#8220;Many climate-vulnerable countries have been unable to access the CCRT as its eligibility criteria fails to account for climate vulnerability &#8230; and funding is severely limited,&#8221; the researchers said in a report.



The solution lies in selling some of the IMF&#8217;s 90.5 million ounces of gold reserves, the report said, taking advantage of elevated prices to boost the fund and cover more countries.



Selling 4% of the IMF&#8217;s gold would generate $9.52 billion, the study said, covering debt relief for 86 countries.



&#8220;With current gold prices exceeding $2,600 per ounce, selling a small fraction of gold has the potential to generate significant revenues and easily replenish the CCRT,&#8221; it said.



Gold was trading at $2,606.42 per ounce on Wednesday.



IMF gold reserve sales are rare. The last was in 2009/10, when it offloaded an eighth of its reserves, which was triggered by the need to boost its lending capacity.



At its inception in 1944, member states used to pay their IMF quotas with gold, the research report said, meaning it accumulated reserves at a historical cost of just $45 per ounce.



Repayments of IMF loans are taking a bigger chunk of annual debt servicing costs for vulnerable economies, the report said.



The Indian Ocean island of Madagascar will pay $106 million to the IMF next year, a quarter of its debt service, rising to $158 million and 41% in 2026, the report added.



Mozambique will also experience an increase in repayments to the IMF during a similar period, the researchers found.



Any sale of IMF gold would require support from the bulk of its executive board members, and for member states to pledge to channel their share of the proceeds to the CCRT, they said.



&#8220;Replenishing the CCRT should be considered a high priority because, in contrast to other IMF lending programs, the CCRT comes with no conditionality,&#8221; they concluded.



(Reporting by Duncan Miriri; Editing by Alexander Smith)

FILE PHOTO: The International Monetary Fund (IMF) headquarters building is seen ahead of the IMF/World Bank spring meetings in Washington

IMF urged to cash in on gold price to help poor countries hit by climate change

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="546" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-452758655-820x546.jpg" alt="" class="wp-image-553742" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-452758655-820x546.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-452758655-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-452758655-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-452758655-768x511.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-452758655-1536x1022.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/11/GettyImages-452758655-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">JOHANNESBURG, SOUTH AFRICA &#8211; DECEMBER 01: Danny Jordaan (SAFA president) during the arrival of the FIFA World Cup Trophy at Lanseria Airport on December 01, 2013 in Johannesburg, South Africa. (Photo by Lee Warren/Gallo images)</figcaption></figure>



JOHANNESBURG, Nov 13 (Reuters)&nbsp;&#8211;&nbsp;South African Football Association (SAFA) President Danny Jordaan was arrested on Wednesday over allegations he used the organisation&#8217;s money for his own purposes, according to local media reports.



Jordaan, who was a leading figure in bringing the 2010 World Cup to South Africa, had tried to interdict his imminent arrest on Tuesday, but the Johannesburg High Court is only scheduled to hear his submission on Thursday.



The arrest stems from a raid by police on the SAFA offices in March, after which police spokesperson Katlego Mogale said the allegations are that &#8220;between 2014 and 2018, the president of SAFA used the organisation&#8217;s resources for his personal gain, including hiring a private security company for his personal protection and a public relations company, without authorisation from the SAFA board.&#8221;



Jordaan, 73, and his reported co-accused, SAFA chief financial officer Gronie Hluyo and businessman Trevor Neethling, are due to appear in court later on Wednesday.



Neither Jordaan nor SAFA responded to a request for comment from Reuters, but in his affidavit to court seeking to block his arrest, he denies any wrongdoing.



(Reporting by Nick Said; Editing by Christian Radnedge)

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Africa has world’s least developed weather observation network

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S.Africa’s Vodacom eyes taking cloud-based phone to other African markets

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