1. device image_250121

Samsung Galaxy S25 series sets the standard of AI phone as a true AI companion

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108091148-1737632698027-gettyimages-2194666352-AFP_36VC8GV-820x461.jpeg" alt="" class="wp-image-577846" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108091148-1737632698027-gettyimages-2194666352-AFP_36VC8GV-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108091148-1737632698027-gettyimages-2194666352-AFP_36VC8GV-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108091148-1737632698027-gettyimages-2194666352-AFP_36VC8GV-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108091148-1737632698027-gettyimages-2194666352-AFP_36VC8GV-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108091148-1737632698027-gettyimages-2194666352-AFP_36VC8GV-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108091148-1737632698027-gettyimages-2194666352-AFP_36VC8GV.jpeg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">This photograph taken in Davos on January 22, 2025 shows the logo of the World Economic Forum (WEF) annual meeting. Fabrice Coffrini | Afp | Getty Images</figcaption></figure>



European business leaders have broadly sought to downplay concerns about the prospect of a transatlantic trade war at this week’s World Economic Forum in Davos.



U.S. President Donald Trump has repeatedly pledged to impose tariffs on goods imported from the European Union, prompting the bloc to warn that it stands ready to respond to additional duties “in a proportionate way.”



Speaking to reporters earlier in the week, the newly inaugurated U.S. president said the EU has been “very, very bad to us. So, they’re going to be in for tariffs. It’s the only way … you’re going to get fairness.”



His comments came as the Trump administration also considers imposing an additional 10% tariff on goods imported from China, potentially starting as early as next month.



For business leaders attending the annual WEF meeting in Switzerland, the reaction to Trump’s tariffs threats has been decidedly mixed.



JPMorgan Chase CEO Jamie Dimon on Wednesday said that the duties Trump is expected to slap on U.S. trading partners can be viewed positively, touting that people should “get over it.”



UBS CEO Sergio Ermotti, meanwhile, warned that interest rates were not likely to fall as fast, if U.S. tariffs stoke inflation.



Siemens CEO Roland Busch described the German industrial giant as “tariff-proof,” amid fears of a U.S.-EU trade war.



Asked about concerns over how the tariffs could impact his business, Busch said Siemens was a “global company” that already has a relatively large presence in the U.S.



“We are very much [serving] local to local, same for other regions, for China [and] for Europe,” Busch said.



Siemens chief executive cited the firm’s roughly $10 billion acquisition of U.S. engineering software firm Altair, saying the company has recently been expanding its U.S. footprint.



“On the other side, tariffs normally they increase inflation by definition, so it doesn’t really help. So, I think the idea would be what can we do, what kind of deals to make in order to really reduce the trade tariffs to the minimal level,” Busch told CNBC.



“Free trade and low tariffs, I think, is really a driver for growth,” he added.



<h2 class="wp-block-heading" id="h-tariffs-are-not-helping-global-trade"><a></a>‘Tariffs are not helping global trade’</h2>



The chief executive of Danish wind turbine manufacturer Vestas on Thursday said that the idea that tariffs will bring the world to a better place is “at least a new theory to many of us.”



Vestas’ Henrik Andersen also warned that additional duties on imported goods will likely create an inflation risk.



Asked about the prospect of trade tariffs in Europe and the souring regulatory environment for green energy in the U.S., Vestas’s CEO told CNBC: “I think to both, I will say, let sense prevail.”



SAP CEO Christian Klein on Thursday said that U.S. tariffs would not be helpful, underlining the importance for technology companies to make deals with global trade partners.



“I would say tariffs are not helping global trade. And when you look [at] the dependencies between Europe and the U.S., or the United States and China, I don’t believe that this is good,” Klein told CNBC.



SAP’s Klein said he’d been talking to several leaders in Davos about how SAP can support them with their supply chain and finance software.



“Because, you know, everyone is doing business in China. China, of course, also wants to continue to do business in the U.S. So, for technology, it’s now even more important to build these bridges, to build this resilient supply chains,” he added.

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‘Let sense prevail’: European CEOs still hope to avoid a U.S. trade war

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-1091184376-820x547.jpg" alt="" class="wp-image-577776" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-1091184376-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-1091184376-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-1091184376-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-1091184376-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-1091184376-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-1091184376-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">DAVOS, CANTON OF GRAUBüNDEN, SWITZERLAND &#8211; 2019/01/24: Cyril Ramaphosa, president of South Africa, attends a panel at the 2019 World Economic Forum which took place in Davos from January 22 to 25. (Photo by Thierry Falise/LightRocket via Getty Images)</figcaption></figure>



DAVOS, Switzerland, (Reuters) &#8211; South Africa&#8217;s President Cyril Ramaphosa said on Wednesday that he was not worried about the country&#8217;s relationship with the U.S. under President Donald Trump.



Ramaphosa said he spoke to Trump after his U.S. election victory and looked forward to working with his administration.



&#8220;I&#8217;m not worried about our relations. I spoke to him soon after he was elected, congratulated him, and we both said we are looking forward to continued dealings and engagements,&#8221; he told reporters on the sidelines of the World Economic Forum&#8217;s annual meeting in Davos, Switzerland.



South Africa currently holds the G20 presidency, after which the U.S. takes over.



Ramaphosa said South Africa would work with the U.S. to prepare it for its G20 presidency. 



(Reporting by Brad Haynes; Writing by Bhargav Acharya; Editing by Alexander Winning)

Cyril Ramaphosa, president of South Africa, attends a panel

South Africa not worried about relationship with US under Trump, Ramaphosa says

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090573-1737563583857-108090573-1737562015258-jM8zMyA-820x461.jpg" alt="" class="wp-image-577772" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090573-1737563583857-108090573-1737562015258-jM8zMyA-820x461.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090573-1737563583857-108090573-1737562015258-jM8zMyA-300x169.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090573-1737563583857-108090573-1737562015258-jM8zMyA-160x90.jpg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090573-1737563583857-108090573-1737562015258-jM8zMyA-768x432.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090573-1737563583857-108090573-1737562015258-jM8zMyA-1536x864.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090573-1737563583857-108090573-1737562015258-jM8zMyA.jpg 1600w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Photo: via CNBC</figcaption></figure>



JPMorgan Chase CEO Jamie Dimon on Wednesday called the U.S. stock market inflated and said he felt more cautious than others in the business world because of the risks from deficit spending, inflation and geopolitical upheaval.



“Asset prices are kind of inflated, by any measure. They are in the top 10% or 15%” of historical valuations, Dimon told CNBC’s Andrew Ross Sorkin at the World Economic Forum in Davos, Switzerland.



Dimon said that he was speaking specifically about the American stock market, which is in the midst of a multiyear bull run.



The S&amp;P 500 had back-to-back annual gains of more than 20% in 2023 and 2024, the first time that has happened in over 25 years. Last year, Dimon even called the shares of his own company expensive.



On Wednesday, Dimon also noted that parts of the bond market, like sovereign debt, are “at all-time highs.”



“So yeah, they’re elevated, and you need fairly good outcomes to justify those prices,” Dimon said. “Having pro-growth strategies helps make that happen, but there are negatives out there, and they can tend to surprise you.”



Dimon, 68, is one of the most respected voices in finance after he built JPMorgan into the biggest American bank by many measures, including assets and market valuation.



He has been sounding a note of caution since 2022, when he said a “hurricane” was heading for the U.S. economy. That storm, however, has yet to arrive as the U.S. exceeded expectations in recent years, and the election of Donald Trump in November boosted hopes around what a pro-growth administration will do.



“I do have a little more caution around a bunch of subjects,” Dimon said Wednesday. “What I’m a little cautious about is the deficit spending; it’s a global issue, not just an American issue,” he said. “And the related [question], ‘Will inflation go away?’ I’m not so sure.”



The rising tide of global conflict, including the Ukraine war, tension in the Middle East and growing threats from China has “just got me very concerned how it’s going to affect our world for the next 100 years,” Dimon said.



In the wide-ranging interview, Dimon voiced support for tariffs on imports to the U.S. if they bolster national security, and said that he and tech entrepreneur Elon Musk have smoothed over a previously contentious relationship. Dimon also said he had no intention to run for office in 2028.



Later Wednesday, Goldman Sachs CEO David Solomon acknowledged that stock market valuations were high, while indicating that they could be justified by enthusiasm over the impact of both artificial intelligence and Trump’s expected moves to relax regulation for American companies.



“It’s hard to dispute the fact that equity multiples are high,” Solomon said. “Markets look forward, and we are coming off of a very, very tough regulatory environment across all industries.”



If Trump administration officials allow more mergers to happen, boosting capital markets activities, it could boost GDP growth by a half percentage point, Solomon said.

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Jamie Dimon says the U.S. stock market is ‘kind of inflated’

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090638-1737563597359-1U8A1425-820x547.jpg" alt="" class="wp-image-577769" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090638-1737563597359-1U8A1425-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090638-1737563597359-1U8A1425-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090638-1737563597359-1U8A1425-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090638-1737563597359-1U8A1425-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090638-1737563597359-1U8A1425-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108090638-1737563597359-1U8A1425-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Rachel Reeves, UK Finance Minister, speaking on CNBC’s Squawk Box outside the World Economic Forum in Davos, Switzerland on Jan. 22, 2025. Gerry Miller | CNBC</figcaption></figure>



The U.K. is “not part of the problem” when it comes to “persistent” trade deficits that President Donald Trump wants to tackle, the country’s finance minister told CNBC Wednesday.



“I do understand that President [Donald] Trump is concerned about countries that are running large and persistent surpluses on the trade balance with the U.S. That’s not the case for the U.K.,” the U.K.’s Chancellor Rachel Reeves told CNBC’s Andrew Ross Sorkin.



“We are not part of the problem here. So we, the U.K., increased trade with President Trump last time he was in office,” she said, speaking to CNBC on the sidelines of the World Economic Forum in Davos, Switzerland.



President Trump is roundly irritated by the U.S.′ trade deficits with many of its partners, but trade with the U.K. has generally been more balanced, see-sawing between surplus and deficit in recent years.



The latest U.K. trade data shows that, in the second quarter of 2024, the U.K. had a trade surplus of £4.5 billion ($5.5 billion) with the U.S. in goods. In the second quarter of 2023, however, the U.K. had a trade in goods deficit with the U.S. of £2.3 billion.



As such, while China, Mexico, Canada and the EU are seen as the top targets for Trump’s trade tariffs, the U.K. might escape relatively unscathed, economists believe. Reeves expressed optimism over the outlook for U.K.-U.S. commerce.



“There is absolutely no reason why our two great nations, with such a strong and special relationship, can’t increase those flows of trade once again,” Reeves commented.



The U.K.’s finance minister is in Davos this week, trying to attract global investment into the British economy.



To achieve economic growth, she said, “we need more investment into the U.K. And so my message to U.S. investors and global investors too is: Britain is open for business, we want your investment.”



The trip comes after Reeves has come under sustained pressure since unveiling the Treasury’s spending and taxation plans last fall.



The package of measures presented in the ‘Autumn Budget’ centered on increasing the tax burden on British businesses and has drawn widespread criticism from industry leaders, who said the move would stifle investment, jobs and growth.



Recent data releases, including lower-than-expected growth data for November and higher-than-expected government borrowing costs in December, have also contributed to ongoing discomfort in the Treasury.



<h2 class="wp-block-heading" id="h-bond-turmoil"><a></a>Bond turmoil</h2>



The U.K. found itself in more hot water at the start of the year, as the interest rate that investors demanded to hold U.K. bonds — known as gilts — rose sharply, reflecting market jitters over the U.K’s economic prospects.



Reeves has held fast to her fiscal plans, saying that growing the U.K. economy is her top priority.



Commenting on recent gilt market turmoil, the minister said on Wednesday the country was “not immune to what happens in global markets.”



“What I would say, though, is that in the Budget that I set out in October, I put out the fiscal rules that this government will operate within. And those fiscal rules, to pay for day-to-day spending through tax receipts, and to get our debt down as a share of our GDP — those fiscal rules are the bedrock of economic and fiscal stability. They’re non-negotiable, and we will continue to meet them,” she said.



Donald Trump’s election last November represented another headache for the center-left Labour government, with a number of ministers, such as Foreign Minister David Lammy, making less-than-flattering comments about Trump in the past.



Unnatural bedfellows when it comes to political ideology, Prime Minister Keir Starmer, Reeves and the British establishment are looking to build good relations with the White House, particularly amid the potential threat of universal trade tariffs.



The Labour government has been targeted by Trump’s close ally Elon Musk in recent months, with the tech billionaire criticizing Prime Minister Starmer and Britain’s past investigations into child sexual exploitation.



Asked for her opinion on Musk’s interventions, Reeves said Musk was “entitled to his opinion, but he’s not one of the people who votes in the U.K. general election.”

108090638-1737563597359-1U8A1425

UK ‘not part of the problem’ when it comes to U.S. trade, Britain’s finance minister says

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194490572-1-820x547.jpg" alt="" class="wp-image-577584" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194490572-1-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194490572-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194490572-1-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194490572-1-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194490572-1-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194490572-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Ursula von der Leyen, president of European Commission, addresses the World Economic Forum (WEF) in Davos, Switzerland, on Tuesday, Jan. 21, 2025. The annual Davos gathering of political leaders, top executives and celebrities runs from January 20 to 24. Photographer: Stefan Wermuth/Bloomberg via Getty Images</figcaption></figure>



The European Union is “open for business” and keen on global partnerships, European Commission President Ursula von der Leyen said Tuesday, as the world braces for the trade protectionism of newly inaugurated U.S. President Donald Trump.



“Europe will seek cooperation, not just with longtime likeminded friends, but with any country we share interests with,” Von der Leyen said during her official address at the World Economic Forum in Davos, Switzerland. She suggested that, when it comes to challenges like climate change and artificial intelligence, countries must work together even amid a backdrop of “harsh competition.”



“Our message to the world is simple: if there are mutual benefits in sight, we are ready to engage with you. If you want to upgrade your clean tech industries, if you want to upscale your digital infrastructure, Europe is open for business,” Von der Leyen said.



The European Commission chief also noted that she saw growing interest from around the world to engage more with Europe, pointing to partnerships that the bloc has struck with Switzerland, Mexico and South American trade bloc Mercosur.



Europe is looking to boost cooperation with any countries open to collaboration, including partners like the U.S., Von der Leyen said, noting the close integration of the U.S. and EU economies. For example, she noted that many American workers are employed by European companies, and she also pointed to mutual supply chains and trade between the two countries.



“A lot is at stake for both sides,” she said. “Our first priority will be to engage early, discuss common interest and be ready to negotiate. We will be pragmatic, but we will always stand by our principles, we will protect our interests and uphold our values because that is the European way.”



Questions have risen over the future of the European Union’s trade relationship with historical ally Washington, after Trump threatened to impose tariffs on goods from the EU. The measures could significantly impact the bloc’s economies.



“While some in Europe may not like this new reality, we are ready to deal with it,” von der Leyen said.



German Chancellor Olaf Scholz meanwhile said that the U.S. remained Germany’s closest ally outside of Europe, adding that he would do everything he could for this to remain the case.



In his address at the World Economic Forum, Scholz on Tuesday said maintaining this relationship would be in the mutual interest of the U.S. and Germany and that close cooperation between the two was “indispensable for peace and security around the globe,” according to a WEF translation to English. He also said the country’s partnership was key for economic development.



Scholz disclosed that he has had “good first talks” with Trump, but noted that “at the same time, it is absolutely clear President Trump and his government will keep the world in suspense” with respect to various policy areas.



“We are able and will be dealing with this, without any excitement and indignation but also without fake cozying up and telling them what they want to hear,” Scholz said.



The European Commission’s Von der Leyen also that “we should strive for mutual benefits” when talking to the world’s second largest economy, China, with whom the bloc has previously been at odds with over trade and tariffs. Among other steps in their long-standing tit-for-tat economic measures, the EU has imposed duties on imported Chinese electric vehicles, while Beijing launched an anti-dumping investigation into brandy from the EU. China has also been on the receiving end of Trump’s trade threats.



“2025 marks 50 years of our union’s diplomatic relations with China. I see it as an opportunity to engage and deepen out relationship with China and where possible eve to expand out trade and investment ties. it is time to pursue a more balanced relationship with China,” Von der Leyen said.

Opening Day Of World Economic Forum (WEF) 2025

As Trump takes office, the European Union says it’s ready to do business with the world

Experts say high food prices are here to stay

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1908" height="1363" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/DPL3JG6BMVNRRNWVIDNA74R5A4.avif" alt="" class="wp-image-577510"/><figcaption class="wp-element-caption">Zimbabwe Finance Minister Mthuli Ncube arrives to present the 2020 National Budget at Parliament Building in Harare, Zimbabwe, November 14, 2019. REUTERS/Philimon Bulawayo/File Photo</figcaption></figure>



Jan 22 (Reuters)&nbsp;&#8211;&nbsp;Zimbabwe&#8217;s finance minister expressed concern on Wednesday that a U.S. withdrawal from the World Health Organization will lead to aid cuts to countries such as his that are most affected by HIV/AIDS.



President Donald Trump signed an executive order on the U.S. withdrawal after his inauguration to a second term on Monday.



Warning that a U.S. withdrawal could signal cuts in health aid to countries such as Zimbabwe, Finance Minister Mthuli Ncube said: &#8220;Any country with an HIV/AIDS challenge will be impacted.&#8221;



&#8220;This is a concern, a fear we are expressing,&#8221; Ncube told an online briefing from the Swiss resort of Davos, where was attending the World Economic Forum.



Zimbabwe receives over $200 million annually from the U.S. President&#8217;s Emergency Plan for AIDS Relief (PEPFAR), and the U.S government has given Zimbabwe over $1.7 billion since 2006 to strengthen health systems and support people living with HIV, according the U.S. embassy in Harare.



PEPFAR contributes nearly $90 million a year to support salaries and incentives for healthcare workers in Zimbabwe, in addition to funding HIV and viral load testing, prevention, cervical cancer screening and tuberculosis treatment.



Zimbabwe is struggling to fund its public health system, and the government introduced a sugar tax on beverages last year to help raise funds for cancer treatment. Another tax on fast foods was introduced this year.



&#8220;We need to scale up our funding for health. The earmarked taxes should be directed towards health as we build our capacity to fill the gap should any funding recede,&#8221; Ncube said.



(Reporting by Nyasha Chingono; Editing by Tannur Anders and Timothy Heritage)

DPL3JG6BMVNRRNWVIDNA74R5A4

Zimbabwe fears US withdrawal from WHO will hit HIV/AIDS programmes

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="461" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089710-1737466393786-gettyimages-1252137672-SPAIN_IBERDROLA-820x461.jpeg" alt="" class="wp-image-577480" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089710-1737466393786-gettyimages-1252137672-SPAIN_IBERDROLA-820x461.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089710-1737466393786-gettyimages-1252137672-SPAIN_IBERDROLA-300x169.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089710-1737466393786-gettyimages-1252137672-SPAIN_IBERDROLA-160x90.jpeg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089710-1737466393786-gettyimages-1252137672-SPAIN_IBERDROLA-768x432.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089710-1737466393786-gettyimages-1252137672-SPAIN_IBERDROLA-1536x864.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089710-1737466393786-gettyimages-1252137672-SPAIN_IBERDROLA.jpeg 1920w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A logo on the nacelle of a wind turbine at the Martin de la Jara wind farm, operated by Iberdrola SA, in the Martin de la Jara district of Sevilla, Spain, on Friday, April 21, 2023. Bloomberg | Bloomberg | Getty Images</figcaption></figure>



Renewable energy giants appear relatively sanguine about U.S. President Donald Trump’s anti-wind policies, describing the process of replacing fossil fuels with electrically powered products as “absolutely unstoppable.”



Trump, who promised a new “golden age” for America in his inaugural address on Monday, swiftly took aim at low-carbon energy initiatives.



In a standalone executive order, which had been widely expected, the president temporarily suspended new or renewed leases for offshore and onshore wind projects and halted the leasing of wind power projects on the outer continental shelf.



“We are not going to do the wind thing. Big ugly windmills, they ruin your neighborhood,” Trump told his supporters at the Capital One Area in Washington on Monday. He previously described wind turbines as an economic and environmental “disaster.”



The measures formed part of a much broader energy offensive designed to “unleash” already booming oil and gas production. This included declaring a national energy emergency, promoting fossil fuel drilling in Alaska and signing an executive order to withdraw the U.S. from the landmark Paris Agreement.



Joe Kaeser, chairman of the supervisory board of Siemens Energy, one of the world’s biggest renewables players, seemed unfazed by Trump’s sweeping energy agenda. In fact, Kaeser considered the policies a “slight plus” for the German energy technology group.



Shares of Siemens Energy jumped more than 8% on Wednesday morning, hitting a new 52-week high.



“We need to see what’s behind all the executive orders and the policies. So far, I believe there are many areas where actually Siemens Energy benefits a lot,” Kaeser told CNBC’s Dan Murphy at the World Economic Forum’s (WEF) annual meeting in Davos, Switzerland on Tuesday.



There will be uncertainty for low-carbon energy sectors, such as onshore and offshore wind, Kaeser said, before adding that Trump’s measures were unlikely to directly impact Siemens Energy. That’s partly because roughly 80% of the firm’s wind market is in Europe, Kaeser said.



“So, I believe that doesn’t move the needle. I’m much more worried about the European economies and how they deal with a very powerful nation, with a very powerful concept. We may or may not like it, because it’s got some nationalistic type of things, but if we look at it from the view of the American people, we better get something going,” Kaeser said.



Beyond onshore and offshore wind, Kaeser said Siemens Energy was well positioned to capitalize from a “booming” electrification market.



“Think about the data centers, artificial intelligence, we have waiting times now on large gas turbines. Actually, customers are coming and saying, hey can I make a reservation and I’ll pay you for a reservation? Just think about that. It hasn’t happened for a long time,” Kaeser said.



“I believe the electrification age has just begun. Whether that’s gas turbines or wind or solar or something else, we’ve got everything, and the customers decide in the end. And one thing I believe one should not underestimate, the White House is not buying much [but] the customer does,” he added.



<h2 class="wp-block-heading" id="h-very-very-optimistic"><a></a>‘Very, very optimistic’</h2>



Spanish renewable energy giant Iberdrola was similarly bullish about the road to full electrification, describing the transition away from fossil fuels as “absolutely unstoppable.”



“We are seeing that probably we are in the best moment for electrification,” Ignacio Galán, executive chairman of Iberdrola, told CNBC at WEF on Tuesday.



Galán cited soaring global demand for electrically powered data centers, low-emission vehicles as well as cooling and heating applications.



“All of those things require more electricity 24 hours a day. Our business in the United States is mostly in this area, which is networks … and the regulation depends on the state authority, so I think that is not really affected at all,” Galán said.



“Depending on the legislation, we will make more or less investment in another part of our business,” he added, referring to Trump’s energy policy.



“We are very, very optimistic about the United States and the future,” Galán said.



<h2 class="wp-block-heading"><a></a>Wind power woes</h2>



Shares of some European wind power giants fell shortly after Trump took aim at wind power plans.



Denmark’s Orsted, which recently announced a roughly $1.7 billion impairment charge on U.S. projects, dipped 4.4% on Wednesday morning, extending steep losses from the previous session.



The rapidly growing offshore wind sector has endured a torrid time in recent years, hampered by rising costs, supply chain disruption and higher interest rates.



Artem Abramov, head of new energies research at Rystad Energy, said Trump’s energy agenda essentially means the likelihood of any new offshore developments in the U.S. has fallen to zero — at least for now.



“The US currently has around 2.4 gigawatts (GW) of advanced-stage offshore wind developments that have reached final investment decision and are under construction, which are unlikely to be impacted by the order,” Abramov said in a research note published Tuesday.



“Moderate risk amid the unfavorable investment climate is present for 10.5 GW of projects which secured necessary permits but have not reached investment decisions,” Abramov said.



“The remaining 25 GW of early-stage projects are unlikely to see any progress under the current administration,” he added.



— CNBC’s Spencer Kimball contributed to this report.

108089710-1737466393786-gettyimages-1252137672-SPAIN_IBERDROLA

Renewable giants shrug off Trump’s anti-wind policies: ‘Electrification is absolutely unstoppable’

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="462" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108088946-1737375722728-Davos_Promenade_2025_AI_-_Pic_1-820x462.jpg" alt="" class="wp-image-577390" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108088946-1737375722728-Davos_Promenade_2025_AI_-_Pic_1-820x462.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108088946-1737375722728-Davos_Promenade_2025_AI_-_Pic_1-300x169.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108088946-1737375722728-Davos_Promenade_2025_AI_-_Pic_1-160x90.jpg 160w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108088946-1737375722728-Davos_Promenade_2025_AI_-_Pic_1-768x432.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108088946-1737375722728-Davos_Promenade_2025_AI_-_Pic_1-1536x865.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108088946-1737375722728-Davos_Promenade_2025_AI_-_Pic_1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Companies advertised their AI products on the Davos Promenade at the World Economic Forum 2025. Arjun Kharpal | CNBC</figcaption></figure>



The Davos Promenade in Switzerland is the focal point of the World Economic Forum’s annual meeting in the Swiss ski town.



Some of the world’s biggest companies take over cafes, shops and restaurants and build temporary meeting and event spaces for the week — and their branding often gives away what’s top of mind for business leaders.



It’s no surprise, then, that artificial intelligence dominated the space this year, given the boom in the technology, which has propelled firms to capitalize on AI interest — especially from businesses.



A poll from consultancy Accenture out on Monday revealed that 58% of execs expect generative AI solutions to be adopted at scale within the organization in 2025, up from just 37% in 2024. Generative AI is the technology that underpins applications like ChatGPT.



Several companies from Intel to Salesforce and Workday displayed AI-linked branding on the front of their spaces.



Showing on the promenade can often follow what’s happening in markets, with crypto companies have been out in force in the past. The explosion of AI branding kicked off at Davos in 2024, pushing aside crypto, at a time when ChatGPT was still gaining in popularity, while Nvidia’s stock continued to rally. Nvidia, whose chip systems are used to train huge AI models, is seen as a benchmark for investor appetite in artificial intelligence.



Advances in AI, as well as the dangers of rapidly-advancing systems, will be discussed during this year’s WEF. Artificial general intelligence — or AGI, describing AI systems that are smarter than humans — will be in focus, as well as current advances with AI agents.

108088946-1737375722728-Davos_Promenade_2025_AI_-_Pic_1

AI mania takes over Davos as the world’s biggest firms tout their offerings

Why U.S. Tech Companies Struggle To Replicate China’s WeChat ‘Super App’ Model

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194473623-820x547.jpg" alt="" class="wp-image-577169" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194473623-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194473623-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194473623-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194473623-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194473623-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/GettyImages-2194473623-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Lesetja Kganyago, governor of South Africa&#8217;s Reserve Bank, during a Bloomberg Television interview at the World Economic Forum (WEF) in Davos, Switzerland, on Tuesday, Jan. 21, 2025. The annual Davos gathering of political leaders, top executives and celebrities runs from January 20 to 24. Photographer: Hollie Adams/Bloomberg via Getty Images</figcaption></figure>



DAVOS, Switzerland, Jan 21 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s economic outlook is better this year than last, but the inflation picture is more muddied as risks abound, its central bank governor said on Tuesday.



South African Reserve Bank (SARB) Governor Lesetja Kganyago told Reuters in an interview at the World Economic Forum&#8217;s annual meeting in Davos, Switzerland, that growth in Africa&#8217;s most industrialised economy could be close to 2% in 2025, versus the 1.1% growth projected for 2024.



&#8220;Depending on who is forecasting, growth varies between 1.6% and 2% (this year). We think &#8230; it would be closer to 2% than closer to 1.6%,&#8221; he told the Reuters Global Markets Forum.



Kganyago cited the formation of a broad coalition government last year as one of the key enablers of faster growth.



&#8220;The structural reform agenda has gained momentum, and it has been given impetus by this Government of National Unity with a very clear focus on taking South Africa&#8217;s economic trajectory to the next level,&#8221; he said.



The coalition that emerged after the long-ruling African National Congress lost its parliamentary majority includes the business-friendly Democratic Alliance and a host of other smaller parties from across the political spectrum.



Investors are optimistic that reforms in key sectors such as electricity, freight rail and the visa system will accelerate and lift the annual growth rate beyond the meagre 1% it has averaged over the past decade.



Kganyago warned that South Africa&#8217;s inflation outlook could be muddied by factors including protectionist policies with the return of U.S. President Donald Trump to the White House.



With other risks including the rand exchange rate, the global oil price and local food prices, there are &#8220;too many moving parts&#8221; to have a clear view on price pressures, he said.



Annual consumer inflation was at 2.9% in November, below the SARB&#8217;s target range of 3%-6%, although it is expected to rise in December and this year average about 4.5%, the midpoint of the range which the bank aims for.



The SARB cut interest rates at its last two meetings of 2024, and many analysts expect a further cut at its first announcement of the year next Thursday.



(Reporting by Divya Chowdhury in Davos; Additional reporting and writing by Kopano Gumbi in Johannesburg; Editing by Alexander Winning and Alex Richardson)

South African growth outlook has improved but inflation risks abound, central bank says at Davos

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



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



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



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



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



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



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



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



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



(Reporting by Nelson Banya; Editing by Mark Potter)

Mozambique opposition party leads national shutdown against election outcome

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

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="800" height="601" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/G20-1.jpeg" alt="" class="wp-image-577126" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/G20-1.jpeg 800w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/G20-1-300x225.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/G20-1-120x90.jpeg 120w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/G20-1-768x577.jpeg 768w" sizes="auto, (max-width: 800px) 100vw, 800px" /></figure>



The global financial architecture is once again under scrutiny as calls for reform grow louder. For Africa, this conversation has never been more urgent. The continent faces a host of economic challenges—debt sustainability, limited access to credit, high borrowing costs, and inadequate financial infrastructure—issues that global economic disruptions have exacerbated.



As Africa pushes for greater inclusion in global financial reforms, most notably with the African Union&#8217;s recent membership in the G20 (now G21), it is clear that building a resilient financial system within the continent must be a parallel priority.



Africa’s relationship with the global financial system is characterized by significant imbalances. African economies often grapple with high borrowing costs, restricted access to international capital markets, and stringent conditions imposed by international financial institutions. For instance, Zambia and Ghana have faced severe debt crises resulting from unsustainable borrowing practices, compounded by volatile global markets and interest rate hikes by major central banks.



Similarly, Ghana suspended payments on most of its $30 billion external debt in December 2022, citing the economic fallout from the COVID-19 pandemic. In May 2024, Ghana reached a memorandum of understanding with bilateral creditors, including China and France, to restructure $5.4 billion of its debt. This agreement enabled the International Monetary Fund&#8217;s (IMF)’s approval to disburse $360 million under a $3 billion three-year bailout program. (<a href="https://fr.africanews.com/2024/05/25/le-ghana-trouve-un-accord-de-restructuration-de-sa-dette/?utm_source=chatgpt.com">Source</a>)



These cases highlight the pressing challenges African nations face in debt management and underscore the urgent need for structural reforms to ensure long-term economic viability.



Additionally, Africa’s share of global credit flows remains disproportionately low. Despite the continent’s immense growth potential, international investors remain risk-averse, driving up borrowing costs and limiting access to vital funding for infrastructure, healthcare, and development projects. This has left many African economies over-reliant on external aid and debt.



While global reforms to create a fairer, more inclusive financial system are essential, Africa must also look inward to strengthen its financial architecture. Building a resilient African financial system should be the foundation upon which any global reforms can stand. This entails several key actions: African countries need robust frameworks to manage and restructure existing debt.



The African Union (AU), the African Development Bank (AfDB), and other regional bodies must play a more active role in debt negotiations, pushing for multilateral mechanisms that prioritize African interests. Transparent debt management strategies can prevent future crises and build investor confidence.



To simultaneously address the debt crisis and climate challenges, debt-for-climate swaps offer an innovative opportunity for Africa. These mechanisms allow countries to restructure their debt in exchange for specific commitments to climate action, such as ecosystem restoration or investments in renewable energy. Several African leaders, including Kenya’s President William Ruto, have championed these approaches which appear to be gaining traction in international forums.



High borrowing costs often stem from perceptions of risk. By developing a more resilient and integrated financial system, African countries can work towards more favourable credit ratings, thereby reducing the cost of capital.



Establishing a pan-African financial infrastructure, leveraging digital finance, and promoting regulatory harmonization could create an enabling environment for intra-African trade and investment, boosting growth from within.



The African Union&#8217;s (AU) recent inclusion in the G20, marks a significant milestone. As Africa&#8217;s official representative in one of the world&#8217;s most influential economic forums, the AU now has an unprecedented opportunity to influence global financial reforms.



The G20 represents around 85% of global GDP and 75% of global trade. This is particularly crucial as Africa faces some of the world&#8217;s most pressing challenges, such as the climate crisis, which disproportionately affects the continent despite its minimal contribution to global emissions. In 2022, over 110 million people in Africa were directly impacted by weather, climate, and water-related hazards, resulting in economic damages exceeding US$ 8.5 billion.



Despite contributing less than 10% of global greenhouse gas emissions, Africa is the continent least equipped to handle the adverse effects of climate change.



<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1837" height="1196" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/WMO.png" alt="" class="wp-image-577125" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/WMO.png 1837w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/WMO-300x195.png 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/WMO-820x534.png 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/WMO-138x90.png 138w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/WMO-768x500.png 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/WMO-1536x1000.png 1536w" sizes="auto, (max-width: 1837px) 100vw, 1837px" /></figure>



The African Union&#8217;s key priorities in the G20 should include advocating for global frameworks that provide equitable debt relief and restructuring mechanisms, particularly for African nations disproportionately affected by global economic shocks. According to the UN Economic Commission for Africa, Africa requires approximately $1.3 trillion in annual investments to achieve the Sustainable Development Goals (SDGs) by 2030.



Additionally, the AU should aim to secure increased access to climate financing, leveraging its G20 membership to ensure Africa receives its fair share of the $100 billion per year pledged by developed nations for climate adaptation and mitigation.



Africa stands at a critical crossroads. While the continent engages in global financial reform discussions, it must also prioritize strengthening its economic foundations. Debt-for-climate swaps, equitable access to climate finance, and innovations such as digital financial services are not just tools but pillars of a broader strategy to build a resilient financial system. As Africa seeks a stronger voice in the global financial system, it must remember that true reform starts from within.

G20 (1)

As Africa Assumes G20 Leadership, strengthening African Financial Systems key to Global Financial Reforms

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="576" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/05/LA24V6GG4VKUROZCEGVVO63DKQ-820x576.jpg" alt="" class="wp-image-424954" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/05/LA24V6GG4VKUROZCEGVVO63DKQ-820x576.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/05/LA24V6GG4VKUROZCEGVVO63DKQ-300x211.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/05/LA24V6GG4VKUROZCEGVVO63DKQ-128x90.jpg 128w, https://cms.cnbcafrica.com/wp-content/uploads/2023/05/LA24V6GG4VKUROZCEGVVO63DKQ-768x540.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/05/LA24V6GG4VKUROZCEGVVO63DKQ-1536x1079.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2023/05/LA24V6GG4VKUROZCEGVVO63DKQ-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A street money changer counts South African Rands in Harare, Zimbabwe, file. REUTERS/Philimon Bulawayo/File Photo</figcaption></figure>



JOHANNESBURG, Jan 21 (Reuters) &#8211; South Africa&#8217;s rand retreated early on Tuesday against a buoyant dollar after U.S. President Donald Trump announced a flurry of policy changes following his Monday inauguration.



At 0712 GMT, the rand traded at 18.6150 against the U.S. dollar, about 0.6% weaker than its previous close. It gained about 1% on Monday ahead of Trump&#8217;s swearing in.



The dollar last traded about 0.4% stronger against a basket of currencies.



Trump did not take immediate action to raise tariffs, a focus for global markets, but said the world&#8217;s biggest economy could impose tariffs on Canada and Mexico in the near future.



&#8220;I think we need to wait until Trump&#8217;s government is fully installed before decisions come on tariffs,&#8221; said Adam Phillips, treasury specialist at Umkhulu Treasury.



Like other risk-sensitive currencies, the rand often takes direction from global drivers like U.S. fiscal policy in addition to local factors.



Domestically focused investors will on Tuesday look to November mining production data expected at 0930 GMT and South African President Cyril Ramaphosa&#8217;s address to the World Economic Forum later in the day.



On the Johannesburg Stock Exchange, the blue-chip Top-40 index last traded about 0.1% down.



South Africa&#8217;s benchmark 2030 government bond was stronger, with the yield down 2.5 basis points to 9.145%.



(Reporting by Tannur Anders: Editing by Neil Fullick)

FILE PHOTO: A street money changer counts South African Rands in Harare

South African rand retreats against sturdy dollar after Trump swearing in

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089378-1737420172919-gettyimages-2194232437-TRUMP_INAUGURATION_2025-820x547.jpeg" alt="" class="wp-image-577095" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089378-1737420172919-gettyimages-2194232437-TRUMP_INAUGURATION_2025-820x547.jpeg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089378-1737420172919-gettyimages-2194232437-TRUMP_INAUGURATION_2025-300x200.jpeg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089378-1737420172919-gettyimages-2194232437-TRUMP_INAUGURATION_2025-135x90.jpeg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089378-1737420172919-gettyimages-2194232437-TRUMP_INAUGURATION_2025-768x512.jpeg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089378-1737420172919-gettyimages-2194232437-TRUMP_INAUGURATION_2025-1536x1024.jpeg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2025/01/108089378-1737420172919-gettyimages-2194232437-TRUMP_INAUGURATION_2025-scaled.jpeg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">U.S. President Donald Trump during a rally at Capital One Arena ahead of the 60th presidential inauguration in Washington, DC, US, on Sunday, Jan. 19, 2025.  Al Drago | Bloomberg | Getty Images</figcaption></figure>



<h2 class="wp-block-heading" id="h-what-you-need-to-know-today">What you need to know today</h2>



The 47th U.S. president President Donald J. Trump was sworn into the White House on Monday and began signing a flurry of executive orders. He issued “full pardons” to people charged in relation to the attack on the U.S. Capitol on Jan. 6, 2021; halted, for at least 75 days, the enforcement of a law that would ban TikTok in the United States; and created the Elon Musk-led Department of Government Efficiency, or DOGE.



National energy emergency declared Trump on Monday declared a national energy emergency — part of a sweeping agenda that aims to increase fossil fuel production — and ordered the U.S. to withdraw from the Paris climate agreement. He also repealed the Biden administration’s various climate goals, such as achieving net-zero emissions by 2050.



Trump targets tariffs Trump told reporters on Monday that he’s thinking of imposing levies of 25% on Mexico and Canada, and is targeting Feb. 1 for them to come into effect. He also issued a trade memorandum instructing federal agencies to scrutinize trade policies with other nations, especially China, Canada and Mexico — but the memo stopped short of introducing new duties.



Biden’s pardons Former U.S. President Joe Biden on Monday issued preemptive pardons for several family members, citing concerns that they would be targeted by “baseless and politically motivated investigations.” Biden also issued pardons for Anthony Fauci, Gen. Mark Milley, members of Congress who investigated the Jan. 6 Capitol riot and others who he said were under threat of being “baselessly” targeted for political purposes.



Asian markets rise after inauguration U.S. markets were closed Monday for Martin Luther King Jr. Day. Stock futures mostly edged lower Tuesday after Trump indicated he’s considering tariffs on Mexico and Canada. Asia-Pacific markets advanced Tuesday. Hong Kong’s Hang Seng index added almost 1%, while Korea’s Kospi index ticked down around 0.1% as the country’s wholesale inflation rate for December climbed 1.7% on an annual basis.



[PRO] Second time an echo of the first? Trump’s second term might have the same effects on certain asset classes as it did the first-time round, according to some on Wall Street. To find out, CNBC Pro looked at the performance of several assets during the first 100 days of Trump’s last presidency and asked analysts how those assets will fare.



<h2 class="wp-block-heading" id="h-the-bottom-line"><a></a>The bottom line</h2>



Donald Trump has hit the ground running since officially becoming the 47th president of the United States, signing numerous executive orders fresh off his inauguration. Here are the two main issues investors will keep an eye on.



Tariffs



“To me, the most beautiful word in the dictionary is ‘tariff,’” Trump told the Chicago Economic Club in October. Trump said on Monday he’s mulling over imposing 25% tariffs on goods from Canada and Mexico by Feb. 1. On the campaign trail, Trump vowed to levy a universal tariff of up to 20% on all imports to the U.S and more than 60% on Chinese products.



Tariffs are imposed by governments ostensibly to protect domestic industries. Companies that import goods pay what is essentially a tax, driving up costs. This nudges them to look for local suppliers instead.



With supply chains being so integrated globally, and much of the manufacturing being done outside the U.S., companies may find it hard to shift production to local shores. The higher costs, then, will likely be passed on to the consumer in the form of increased prices.



In other words, tariffs could lead to more inflation.



Deportations



At a pre-inauguration event titled “Make America Great Again Victory Rally,” Trump pledged to his supporters that “the invasion of our country will have come to a halt.” Like tariffs, tighter immigration policies — or outright deportations — are typically enacted to protect the domestic economy (among other reasons).



The theory is that, with fewer people competing for each open job, it’ll be easier to gain employment.



But many parts of the U.S. economy, such as construction and agriculture, are staffed by undocumented immigrants, who take on jobs undesirable to residents. Even documented immigrants are crucial to higher-skilled sectors such as tech — as proven by Elon Musk’s tussle with Trump supporters over H-1B visas.



If reliable sources of labor vanish overnight, companies will have to raise wages to attract talent, which might reintroduce the prospect of the dreaded wage-price spiral.



Other policies



Trump has promised many other economic measures, such as corporate tax cuts, legitimizing cryptocurrency and pulling back on green energy subsidies.



Tariffs, however, might have the biggest impact on the economy and financial institutions globally.



— CNBC’s Sam Meredith, Ryan Ermey, Annie Nova, Rebecca Picciotto, Evelyn Cheng and Lim Hui Jie contributed to this report.

108089378-1737420172919-gettyimages-2194232437-TRUMP_INAUGURATION_2025

Keep an eye on these Trump 2.0 policies

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Samsung Galaxy S25 series sets the standard of AI phone as a true AI companion

‘Let sense prevail’: European CEOs still hope to avoid a U.S. trade war

South Africa not worried about relationship with US under Trump, Ramaphosa says

Jamie Dimon says the U.S. stock market is ‘kind of inflated’

UK ‘not part of the problem’ when it comes to U.S. trade, Britain’s finance minister says

As Trump takes office, the European Union says it’s ready to do business with the world

Experts say high food prices are here to stay

Zimbabwe fears US withdrawal from WHO will hit HIV/AIDS programmes

Renewable giants shrug off Trump’s anti-wind policies: ‘Electrification is absolutely unstoppable’

AI mania takes over Davos as the world’s biggest firms tout their offerings

Why U.S. Tech Companies Struggle To Replicate China’s WeChat ‘Super App’ Model

South African growth outlook has improved but inflation risks abound, central bank says at Davos

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

As Africa Assumes G20 Leadership, strengthening African Financial Systems key to Global Financial Reforms

South African rand retreats against sturdy dollar after Trump swearing in

Keep an eye on these Trump 2.0 policies

Trump’s plan for mass deportation could have a big effect on prices

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Advertise With Us

home

Samsung Galaxy S25 series sets the standard of AI phone as a true AI companion

‘Let sense prevail’: European CEOs still hope to avoid a U.S. trade war

South Africa not worried about relationship with US under Trump, Ramaphosa says

Jamie Dimon says the U.S. stock market is ‘kind of inflated’

UK ‘not part of the problem’ when it comes to U.S. trade, Britain’s finance minister says

As Trump takes office, the European Union says it’s ready to do business with the world

Experts say high food prices are here to stay

Zimbabwe fears US withdrawal from WHO will hit HIV/AIDS programmes

Renewable giants shrug off Trump’s anti-wind policies: ‘Electrification is absolutely unstoppable’

AI mania takes over Davos as the world’s biggest firms tout their offerings

Why U.S. Tech Companies Struggle To Replicate China’s WeChat ‘Super App’ Model

South African growth outlook has improved but inflation risks abound, central bank says at Davos

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

As Africa Assumes G20 Leadership, strengthening African Financial Systems key to Global Financial Reforms

South African rand retreats against sturdy dollar after Trump swearing in

Keep an eye on these Trump 2.0 policies

Trump’s plan for mass deportation could have a big effect on prices

News Tips

Advertise With Us

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