(Reuters) &#8211; Tesla Inc shares continued their meteoric rise on Thursday, scoring yet another record high and further expanding the distance between the Silicon Valley electric carmaker and its traditional auto industry rivals.



Tesla shares rose to $2,290 in mid-day trading before leveling out at $2,240, the highest price since the company went public at $17 a share in 2010.



Tesla’s shares have risen more than 420% since the beginning of this year, turning some retail investors into millionaires.



<figure class="wp-block-image size-large is-resized"><img loading="lazy" decoding="async" src="https://www.cnbcafrica.com/wp-content/uploads/2020/03/hqdefault-19.jpg" alt="" class="wp-image-361692" width="704" height="527" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2020/03/hqdefault-19.jpg 480w, https://cms.cnbcafrica.com/wp-content/uploads/2020/03/hqdefault-19-300x225.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2020/03/hqdefault-19-80x60.jpg 80w, https://cms.cnbcafrica.com/wp-content/uploads/2020/03/hqdefault-19-265x198.jpg 265w" sizes="(max-width: 704px) 100vw, 704px" /><figcaption>How Elon Musk Took Tesla To Hell And Back With The Model 3</figcaption></figure>



While other carmakers are forced to invest billions to overhaul their internal combustion engine operations to produce battery-powered cars, investors are confident that Tesla can make the shift from a niche carmaker into a global leader in cleaner cars.



Tesla became the world’s most valuable carmaker by market capitalization when it overtook former front runner Toyota Motors Corp on July 1. The company now accounts for 41% of the total market cap of a group of 12 of the world’s largest automakers.



(Graphic: Tesla stock rally dwarfs rivals&#8217; market cap Tesla stock rally dwarfs rivals&#8217; market cap &#8211;&nbsp;<a href="https://graphics.reuters.com/TESLA-STOCKS/xklvynnqepg/chart.png">here</a>)



<figure class="wp-block-image"><a href="https://graphics.reuters.com/TESLA-STOCKS/xklvynnqepg/chart.png" target="_blank" rel="noreferrer noopener"><img decoding="async" src="https://graphics.reuters.com/TESLA-STOCKS/xklvynnqepg/chart.png" alt="Reuters Graphic"/></a></figure>



Tesla produces only a fraction of the vehicles sold by established global carmakers, many of which are considered growth engines for their local economies.



Japan’s Toyota and Germany’s Volkswagen AG (<a href="https://www.reuters.com/companies/VOWG_p.DE">VOWG_p.DE</a>) sold 10.46 million and 11 million vehicles, respectively, during the 2019 financial year. That compares to the 367,200 vehicles Tesla delivered in 2019.



Tesla has said it would deliver at least half a million vehicles by the end of 2020, less than 5% of Toyota’s and Volkswagen’s annual sales.



But Tesla withstood industry-wide fallout from the novel coronavirus pandemic and in July reported a second-quarter profit, clearing a hurdle that could lead to the electric carmaker’s inclusion in the S&amp;P 500 index.

Which Automakers Can Seriously Challenge Tesla?

Tesla shares surge to record high, leaving rivals behind

BLANTYRE (Reuters) &#8211; Malawi will allow airlines and schools to resume operations from Sept. 1, as it seeks to limit the economic and social damage from its coronavirus lockdown, authorities said on Thursday.



Schools and airports have been closed since March, when the government imposed a lockdown to try to contain the epidemic.



Malawi has recorded 5474 cases and 173 deaths from the virus so far, although the real figure may be higher as fewer than 50,000 tests have been conducted.



The main international airport in the administrative capital Lilongwe will now open to limited flights next week.



“The government has carefully considered adverse effects of the suspension of air travel on all sectors of the economy and has therefore decided to lift the suspension with effect from 1 September 2020,” James Chakwera, Acting Director of the Department of Civil Aviation, said in a statement.



He added that initially only a limited number of flights would operate, while all arrivals will be required to produce Covid-19 negative test results based on tests conducted within 10 days prior to arrival.



The school closures left more than 5 million pupils across all levels out of class.



“We’ll take a phased approach starting with examination classes from September 7th&nbsp;to the others later in October,” Education Minister Agnes Nyalonje said in a statement.

Opposition Malawi Congress Party leader Lazarus Chakwera addresses supporters after a court annulled the May 2019 presidential vote in Lilongwe

Malawi to lift COVID-19 air travel, school restrictions from September

ABUJA (Reuters) &#8211; Nigeria will resume international flights from Sept. 5, the head of the aviation regulatory body said on Thursday, marking a week-long delay to the resumption date previously announced by the government.



Airports have been closed since March 23 to all but essential international flights as part of the country’s efforts to combat the COVID-19 pandemic.



Last week Aviation Minister Hadi Sirika said four flights would begin landing daily in commercial hub Lagos, and four in the capital Abuja from Aug. 29.



But the director general of the Nigerian Civil Aviation Authority (NCAA), Musa Nuhu, announced the revised time at a news conference in Abuja for the task force on coronavirus.



“While airlines and airports were ready, other non-aviation logistics require the one-week extension to be ready,” said Musa, explaining the reasons for the week-long delay.



Nigeria resumed domestic flights on July 8.

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Nigeria to resume international flights from Sept 5: aviation authority

JOHANNESBURG/LONDON (Reuters) &#8211; Glencore will likely sell its entire 73.1% stake in Zambia’s Mopani Copper Mines to the government’s mining investment arm ZCCM-IH rather than becoming a minority stakeholder, two sources with direct knowledge told Reuters.



Zambia and Swiss-based Glencore are at “cross purposes” over Mopani, Zambian Mines Minister Richard Musukwa had said on Tuesday when he announced ZCCM-IH aims to increase its shareholding in Mopani to 51% “or even more”, from 10% currently.



Glencore’s plans to put Mopani on care and maintenance prompted the Zambian government to threaten in April to revoke the firm’s mining licences.



Two sources with direct knowledge of the negotiations said Glencore is looking to exit the asset entirely.



“As of now, we are discussing a potential sale of their stake in Mopani,” said one of the sources.



A Glencore spokesman declined to comment. First Quantum, which owns 16.9% of Mopani, did not respond to a request for comment.



The move by ZCCM-IH to take control of Mopani is part of its strategy shift away from minority stakes and towards running mines as an operator.



Glencore wrote off the value of Mopani by $1.144 billion in its half-year earnings report earlier this month, saying the estimated recoverable value was $704 million, including tax receivables.



Mopani’s total liabilities exceeded its total assets by $2.562 billion in 2019, the company reported in a financial statement, indicating “a material uncertainty in relation to the going concern assumption”.



Mopani produced 51,275 tonnes of finished copper in 2019 including purchased materials &#8211; accounting for 13.9% of Glencore’s African copper output and 3.7% of its overall copper output.



Glencore, which reported a first-half loss due to the impact of the pandemic, will not reap the benefits of billions spent on expansion projects over the last three years if it sells to ZCCM-IH but investors see this as a way for the miner to cut its losses.



“Mopani has been a big headache for Glencore, the mine has never delivered anything for shareholders,” a Glencore shareholder, who asked not to be identified, said, citing numerous accidents and operational issues.



<h3 class="wp-block-heading">CASH CONSTRAINTS</h3>



A major hurdle to clinching the deal is Zambia’s lack of funds to pay for the stake and fund the mine’s running costs, sources say.



Glencore’s stake in Mopani is worth $514.6 million, according to its own valuation. Mopani’s 2019 financial statement shows operating expenses of $931 million.



Zambia’s total foreign exchange reserves stood at $1.43 billion at the end of June, equivalent to just 2.3 months of import cover, according to the central bank.



ZCCM-IH’s cash and term deposits together amounted to 828.9 million Zambian kwacha ($43 million) by March 31 2019, according to the latest financial statements on its website.



A ZCCM-IH spokeswoman did not reply to Reuters’ questions about how it would finance the stake purchase.



“The state’s cash constraints point to an amicable solution,” said Eric Humphery-Smith, Africa analyst at global risk advisory firm Verisk Maplecroft.



“The government may have threatened expropriation in the past, but the need for copper revenues likely precludes that option.”&nbsp;&nbsp;

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Exclusive: Glencore puts entire stake in Mopani on the table in talks with Zambia: sources

JOHANNESBURG (Reuters) &#8211; South Africa’s Aspen Pharmacare Holdings Ltd expects growth in its headline earnings per share (HEPS) from continuing operations of between 7-11% for the full year that ended June 30, the company said in a statement on Thursday.



HEPS is the main profit measure in South Africa.



Its HEPS is likely to be between 12.39 rand ($0.7322) and 12.86 rand, it said.



Most pharmaceutical companies were declared essential operations during the country’s coronavirus lockdown, imposed at the end of March, but as most people stayed at home demand for over-the-counter medicines declined.



Revenue growth for the year will be between 8% and 10%, while it will be between 3% and 5% in constant exchange rates, as the rand weakened against most other currencies, Aspen said.



South Africa’s biggest supplier of drugs said the company benefited from positive demand trends in products used in the clinical management of COVID-19, stockpiling of healthcare products and advanced filling of prescriptions during early and peak periods of the spread of the virus.



But most of these benefits were offset due to a decrease in demand as the pandemic progressed, delays in elective or planned surgeries in most regions and reduced infection rates in non-COVID communicable diseases due to social distancing, the company said.



Aspen, which has a 22% market share in sub-Saharan Africa, said impairments for the year were expected to be approximately 1.5 billion rand, as compared with 3.8 billion rand seen last year.



($1 = 16.9224 rand)

Aspen_Place,_Durban_South_Africa

South African drugmaker Aspen expects 7-11% full-year earnings growth

JOHANNESBURG (Reuters) &#8211; South Africa’s rand was slightly weaker early on Thursday, ahead of the release of the producer price index (PPI) which will give more clues about inflation dynamics in Africa’s most industrialised economy.



Many analysts expect a rate-cutting cycle by the South African central bank to be over, but there is still a slim chance of further rate cuts in the remainder of the year if inflation pressures remain contained.



At 0632 GMT, the rand traded at 16.9250 versus the dollar, 0.3% weaker than its previous close.



PPI data is due around 0930 GMT and is forecast to show an increase of 1.7% in July, following a 0.5% increase in June.



The consumer price index rose 3.2% last month, data showed on Wednesday. The rand fell after that release as some traders felt it left the door open for the South African Reserve Bank to cut its repo rate again.



The SARB has already cut rates by 300 basis points this year in response to a collapse in inflation and weak economic projections linked to the COVID-19 pandemic.



Government bonds were also a touch weaker early on Thursday, with the yield on the 2030 bond rising 3 basis points to 9.325%.

ArcelorMittal South Africa fined R3.64 million over hydrogen sulfide emissions

South African rand dips before producer price data

JOHANNESBURG (Reuters) &#8211; South African retailer Massmart Holdings Ltd said on Thursday its first-half headline loss widened to 1.1 billion rand ($65.21 million), as sales at its stores fell due to COVID-19 restrictions.



The company, majority-owned by Walmart and operator of supermarkets and wholesalers, including Makro and Game, said in a statement its headline loss, the main earnings measure in South Africa, dropped by 36% in the six months to June 28 from a headline loss of 800 million rand in first half of 2019.



Sales fell by 9.7% to 39.6 billion rand, with comparable store sales decreasing by the same amount, impacted by trading restrictions on liquor, tobacco, building materials, DIY and general merchandise products like TV sets.



Online sales, however, surged by 95% as consumers shied away from shopping in store to avoid the coronavirus.



The retailer, operating 420 retail and wholesale stores in 13 African countries, impaired certain Game, Cambridge and wholesale cash &amp; carry stores resulting in impairment expenses of 55.5 million rand during the period.



It also incurred restructuring costs of 47.4 million rand following the closure of all of its electronic retail chain Dion Wired stores and 11 cambridge and wholesale cash &amp; carry stores.



($1 = 16.8686 rand)

gettyimages-504773984-594×594

South Africa’s Massmart loss widens to over $65 mln as virus hits store sales

President Muhammad Buhari signed the Company and Allied Matters Act (CAMA) 2020 into law on August 7, 2020. The law replaced the 1990 CAMA with provisions reflecting current realities and opportunities that can improve the business environment. The new company law contributes to improvement in formation, registration and governance of companies including health enterprises. It enables entrepreneurs to start single-member companies, with flexibilities in appointment of auditors and company secretaries. There is also provision for Limited Liability Partnerships and Limited Partnerships.



<figure class="wp-block-image size-large is-resized"><img loading="lazy" decoding="async" src="https://www.cnbcafrica.com/wp-content/uploads/2020/07/Muhammadu_Buhari_-_Chatham_House.jpg" alt="" class="wp-image-376011" width="709" height="731"/></figure>



 As the world embraces accelerated digitalization, the law allows use of virtual platforms for knowledge management and corporate governance. The Act is a significant piece of legislation for the growth of the private sector which is crucial for job creation and poverty reduction. According to Nigeria’s Bureau of Statistics, nearly 22 million Nigerians are currently unemployed while about 83 million people are poor. The private sector is the engine of economic growth particularly through the employment opportunities created by small and growing businesses. 



Every legal and policy reform that makes the tough business climate better can open new doors to lift many people out of poverty with positive externalities for their health indices and wellbeing. Despite genuine concerns about some sections of the law which must be resolved quickly, strengthening regulatory institutions and systems is in the best interest of all Nigerians. The law aligns with ongoing reforms to create a continental market through the African Continental Free Trade Area (AfCFTA) agreement. A new World Bank report shows that the agreement can accelerate economic diversification and job creation in Africa, enabling countries that maximize its opportunities to lift millions out of poverty.



 Nigeria’s membership of the Africa Trade Insurance Agency and recent tax and business reforms are important building blocks of a viable environment that allows the country to seize opportunities of robust domestic and continental markets. A better business environment is key for local production of goods consumed on the continent. The ongoing coronavirus pandemic shows that Africa relies heavily on imported food items, medical supplies and drugs for its 1.2 billion people with serious implications for health and food security. While there are several socio-economic and sector-specific factors necessary to boost local production, timely laws that ease tax and regulatory provisions for innovative businesses create vital incentives.



 These reforms encourage policy makers, private sector players and development partners to work together on a longterm vision of resilience in the post-COVID world. Nigeria represents a strategic market where a convergence of talents, capital and technologies can enhance local production of medical goods and food for regional and continental consumption. The law positions the country better to attract new investments. The 2019/2020 Global Investment Competitiveness Report shows that investors prioritize political economy and regulatory systems in target countries. 



Although foreign direct investment may fall by 25 – 40% in Africa due to COVID-19, putting together the right building blocks can position the country for speedy recovery and new investments in the post-COVID era. Nigeria is one of the most improved countries with increasingly better business environment globally, according to the World Bank 2020 Doing Business Report. However, the country ranks 131 out of 190 countries globally and 17th in Sub-Saharan Africa on the Doing Business Index far behind Rwanda, Kenya and South Africa. Nonetheless, recent tax and business reforms send the right message to investors that the nation is making progress in removing bottlenecks that can impede business entry and growth. With access to capital, business and social enterprises can grow and thrive. 



Biodun Awosusi is Health Economist at Health Systems and Development Enterprise

Awosusi AE

OPINION: Reform in Nigeria can help health entrepreneurs

(Reuters) &#8211; Moderna Inc (<a href="https://www.reuters.com/companies/MRNA.O">MRNA.O</a>) said on Wednesday its experimental COVID-19 vaccine induced immune responses in older adults similar to those in younger participants, offering hope that it will be effective in people considered to be at high risk for severe complications from the coronavirus.



The company is one of the leading contenders in the race to develop a vaccine against the virus that has killed more than 820,000 people worldwide. Its candidate, mRNA-1273, is already in late-stage human trials testing its ability to safely prevent infection.



The latest data from an early Phase I study includes an analysis from 20 additional people detailing how the vaccine performed in older adults.



The analysis looked at subjects given the 100-microgram dose being tested in the much larger Phase III trial. Moderna said the immune responses in those aged between ages 56 and 70, above age 70 and those 18 to 55-years-old were similar.



Health officials have been concerned about whether vaccine candidates would work in older people, whose immune systems typically do not respond as strongly to vaccines.



Moderna shares, which have more than tripled in value this year, rose about 6% after the data’s release.



The company has so far enrolled over 13,000 participants in its late-stage study. About 18% of the total participants are Black, Latino, Native American or Alaska Native, groups that have been particularly hard hit by the pandemic, and are often under represented in clinical trials.



Dr. Jacqueline Miller, Moderna’s head of infectious disease development, told a U.S. Centers for Disease Control and Prevention (CDC) panel the company plans to post weekly updates on enrollment of Black and Latino trial subjects on its website.



Pfizer Inc (<a href="https://www.reuters.com/companies/PFE.N">PFE.N</a>) told Reuters last week that 19% of the 11,000 subjects already enrolled in its vaccine trial are Black or Latino.



Miller said the demographic makeup of Moderna’s trial is a frequent topic at meetings with U.S. officials heading the White House program aimed at accelerating development of COVID-19 vaccines and treatments.



<h3 class="wp-block-heading">DEEP FREEZE</h3>



Companies and health officials also are working on ways to distribute COVID-19 vaccines, some of which must be shipped and stored at extremely cold temperatures.



Dr. Nancy Messonnier, director of the CDC’s National Center for Immunization and Respiratory Diseases, questioned Pfizer’s plans after the company said its vaccine must be stored at ultra-low temperatures for up to 6 months or in specially designed shipping containers for up to 10 days.



Once removed from the containers, the vaccine can be kept for up to a day at a temperatures between 2 and 8 degrees Celsius (36-46°F) &#8211; roughly the temperature of a normal refrigerator &#8211; or 2 hours at room temperature.



“The complexities of this plan for vaccine storage and handling will have major impact in our ability to efficiently deliver the vaccine,” Messonnier said.



Pfizer told the CDC panel it is working on making the vaccine stable at higher temperatures. Pfizer shares were down about 1.5%.FILE PHOTO: A sign marks the headquarters of Moderna Therapeutics, which is developing a vaccine against the coronavirus disease (COVID-19), in Cambridge, Massachusetts, U.S., May 18, 2020. REUTERS/Brian Snyder/File Photo



Moderna’s vaccine has to be kept at minus 20 degrees Celsius for shipping and longer-term storage of up to six months, but it can be kept at regular refrigeration temperatures for up to 10 days. The vaccine will be distributed in 10-dose vials with no preservatives, the company said.



Moderna is also working to make the vaccine stable at higher temperatures, Miller said.



Moderna, which has never brought a vaccine to market, has received nearly $1 billion from the U.S. government under its Operation Warp Speed program. It has also struck a $1.5 billion supply agreement with the United States.

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

Moderna COVID-19 vaccine appears to work as well in older adults in early study

HOUSTON (Reuters) &#8211; Hurricane Laura strengthened on Wednesday as it churned over evacuated oil-production platforms in the U.S. Gulf of Mexico and took aim at the energy industry’s refining hub along the Texas/Louisiana coast.



The storm is forecast to become a Category 4 hurricane with heavy rains and catastrophic, 130 mile-per-hour (209 kph) winds that will drive ocean waters up to 30 miles (48 km) inland, forecasters said.



A half a million people in the two states fled the storm, clogging highways out of the area before it makes landfall at about midnight (0500 GMT Thursday).



<h4 class="wp-block-heading">RELATED COVERAGE</h4>



<ul class="wp-block-list"><li><a href="https://www.reuters.com/article/us-storm-laura-energy-colonial/colonial-pipeline-to-continue-normal-operations-ahead-of-hurricane-laura-idUSKBN25M2BW">Colonial Pipeline to continue normal operations ahead of Hurricane Laura</a></li></ul>



The storm resembles 2005’s Hurricane Rita, which caused more than $18 billion in damages and killed more than 120 people, many during a hurried Texas evacuation.



Laura’s 12 mph to 15 mph race to the coast is driving a wall of water, said Jim Foerster, chief meteorologist at DTN, an energy, agriculture and weather data provider.



“The storm surge is going to be catastrophic, easily a 10- to 15-foot (3-4.6 m) surge on top of five to 10 inches (13-25 cm) of rain,” near the storm’s center, said Foerster.



The wall of water presents an “unsurvivable” surge that could stretch as far as 30 miles from the coast, the NHC said.



Laura’s path spares Houston, the nation’s fourth largest city, but bring a deadly combination of 120 mph winds, blinding rainfall and storm surge to the Texas/Louisiana state line, Foerster said.



The storm track spans Port Arthur, Texas, to Lake Charles, Louisiana, an area with a half-dozen large oil refineries and natural-gas processing plants. Lake Charles, on the eastern side of the storm eye wall, could see an at six to nine foot wall of water, Foerster said.



The ports of Lake Charles, Louisiana, and Houston, Beaumont, Port Arthur and Orange, Texas, were closed to vessel traffic on Wednesday, the U.S. Coast Guard said



Already, nine oil-processing plants that convert nearly 2.9 million barrels per day of oil into fuel, and account for about 15% of U.S. processing were reducing production or shutting down.



Chevron Corp (<a href="https://www.reuters.com/companies/CVX.N">CVX.N</a>), Exxon Mobil Corp (<a href="https://www.reuters.com/companies/XOM.N">XOM.N</a>) and Motiva Enterprises [MOTIV.UL] had halted or reduced operations at oil refineries in the area on Wednesday.



Oil producers on Tuesday had evacuated 310 offshore oil facilities and shut 1.56 million bpd of crude output, 84% of Gulf of Mexico’s offshore production.



As the storm prepared to strike the Texas/Louisiana border, refiners farther west were expecting to ride it out.Slideshow&nbsp;(2 Images)



Marathon Petroleum Corp (<a href="https://www.reuters.com/companies/MPC.N">MPC.N</a>) and LyondellBasell (<a href="https://www.reuters.com/companies/LYB.N">LYB.N</a>) plan normal production at their Houston-area refineries, according to people familiar with the matter. Marathon did not have an immediate response. LyondellBasell did not immediately reply to a request for comment.



Exxon said its Baytown, Texas, plant outside of Houston, continued to run but was taking precautions in event conditions worsen.

Stronger Hurricane Laura aims at heart of U.S. oil refining industry

ABUJA (Reuters) &#8211; Nigeria’s government has approved auditors led by Ernst &amp; Young to examine the finances of a government organisation set up in 2000 to develop the oil-rich but poor Niger Delta region, the minister for Niger Delta Affairs said on Wednesday.



Nigerian lawmakers this year launched an investigation into alleged financial mismanagement at the Niger Delta Development Commission (NDDC) over the last 20 years.



An audit of the body was ordered by President Muhammadu Buhari in October.



Godswill Akpabio, the minister for Niger Delta Affairs, said the appointment of a team of auditors was approved at a meeting of the ministerial cabinet on Wednesday. He said the auditors would examine projects approved by NDDC over the last 19 years.



“Through this exercise, we will know the amount of monies that have gone into the region in the last 19 years and whether the value we have received so far are commensurate with the monies that have entered into NDDC,” he told reporters after the meeting.



Asked about the cost of the audit, Akpabio said Buhari last year approved around 2.5 billion naira ($6.57 million) to cover the cost of the exercise.



A spokesman for NDDC did not immediately respond to a phone call and text messages requesting a comment.



The Niger Delta remains impoverished despite providing most of the oil, the mainstay of the economy, produced in Africa’s biggest crude exporter. Locals have for decades complained of poverty, with anger at times spilling over into attacks on energy facilities.

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Nigeria approves auditors for Delta region development agency probe

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="960" height="540" src="https://www.cnbcafrica.com/wp-content/uploads/2019/11/1571595826001_6109105526001_6109104149001-vs.jpg" alt="African Development Bank President denies allegations of ill-governance" class="wp-image-350957" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2019/11/1571595826001_6109105526001_6109104149001-vs.jpg 960w, https://cms.cnbcafrica.com/wp-content/uploads/2019/11/1571595826001_6109105526001_6109104149001-vs-300x169.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2019/11/1571595826001_6109105526001_6109104149001-vs-820x461.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2019/11/1571595826001_6109105526001_6109104149001-vs-768x432.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2019/11/1571595826001_6109105526001_6109104149001-vs-696x392.jpg 696w, https://cms.cnbcafrica.com/wp-content/uploads/2019/11/1571595826001_6109105526001_6109104149001-vs-747x420.jpg 747w" sizes="(max-width: 960px) 100vw, 960px" /><figcaption>African Development Bank President denies allegations of ill-governance</figcaption></figure>



A speech by Akinwumi Adesina as he stood for a second term as President of the African Development Bank:



&#8220;As we meet today, the world has changed. A global COVID-19 health pandemic has upended all plans including travels. Health and safety have become primary for all decision making. That’s why the Governors of the Bank took the extraordinary decision to hold the Annual Meetings virtually for the first time in the history of the Bank.



Extraordinary times require extraordinary measures. I applaud the Governors of the Bank for your wisdom, sensitivity and leadership.



The COVID-19 pandemic is spreading fast and causing much havoc and untold hardships. Lives lost too many. Jobs lost unimaginable. Economic losses too deep and vast to fathom.



Our collective humanity has never been so challenged so tested, so vulnerable. Yet our interdependency, our need for pulling together, uniting and staying focused together,has never been more important.



For in unity we build strength. Strength to overcome, even the most challenging of obstacles.



Pulling together has always been the strength of the African Development Bank.



We pulled together right here in Abidjan, where you the shareholders approved the largest capital increase in the history of the Bank &#8211; raising the capital of the Bank by $115 billion.



We pulled together, yet again, in Pretoria, South Africa, and gave the African Development Fund 35% increase in financing &#8211; financing so crucial to low income countries and fragile states.



Fragility is transient, resilience is enduring.



Today as you look at Côte d’Ivoire, you would not remember it also was a fragile state. Yet, today, based on visionary leadership, sound macroeconomic policies and people centered policies, it has changed dramatically.



Today, like beauty from ashes, the country ranked among the top 10 fastest growing economies in the world, before the COVID-19 pandemic. 



With the pandemic, Africa has lost over a decade of gains of economic growth. Africa’s recovery will be long and difficult. Now we must help Africa to build back, boldly, but smartly, paying greater attention to quality growth: health, climate and the environment.



Yet even in these challenging times, the Board of Directors of the African Development Bank pulled together to support Africa. The Bank launched a $10 billion COVID-19 Response Facility to support African countries. We launched a $3 billion social bond on the global market &#8211; the largest US dollar denominated social bond ever in world history.



These actions reflect our ambition, our unshaken commitment and unyielding responsibility to support, stabilize and strengthen African economies.



As we stabilize nations, so also must we stabilize the Bank — our institution.



The past several months no doubt have been challenging for the Bank. Yet, we pulled together. I would like to sincerely thank you all, our esteemed Governors, under the excellent leadership and wisdom of the Chairperson, Minister Niale Kaba, for joining hands to steady the Bank.



I am proud of the African Development Bank and the strength of our governance systems.



I am proud of each and every shareholder of the Bank who challenged and made us all better.



Our experience has made us better and stronger. Our challenges, though difficult, have become our gain.



But it’s not been easy… I will reach out… I will engage…



We will HEAL…



Africa needs a strong and stable African Development Bank to support it through this pandemic and help its economies rebound for better, healthier lives and livelihoods for its people. And the African Development Bank needs you — our shareholders — as you always have been: united and strong. 



Five years ago, right here in Abidjan, you elected me as President of the African Development Bank. It was such a great honor and a responsibility placed on my shoulders. I promised to work hard, to accelerate Africa’s development. My vision for the High5s was my bond — my oath of office, my compass!



Time has gone so fast. Fast also has been our impacts in those five years for Africa’s progress: 18 million people now have access to electricity. 141 million people have benefitted from improved agricultural technologies for food security. 15 million people have access to finance. 101 million people have access to improved transport. And 60 million people have gained access to water and sanitation.



I thank the Board of Directors and my extraordinary staff at the Bank for working so hard and for strongly supporting us to get this done.



But we will have no rest. The price of good work is more work. We have our work cut out for us —now more than ever — to help Africa rebound; and to get back on a stronger pathway of economic growth and resilience.



Today, I stand before you with gratefulness for your strong and collective support over the past five years.



We succeeded – together!



And together, we must also go forward, reaching for what lies before us to help fast track Africa’s development — building on our collective achievements, strengthening weaknesses and deepening our impacts.



At this Annual Meetings, I offer myself to you, our Governors, for your consideration for election for a second term, as President.



I do so, with humility.



I do so with a strong sense of duty and commitment and a call to serve Africa and our Bank, selflessly, to the very best of my God-given abilities. I do so with confidence in the power of our mission, the primacy of our vision — and the strength of our togetherness. 



Together — we are stronger Together — we achieve more Together — we become resilient Together — we build a better Bank Together — we win for Africa Thank you very much



This speech was adapted for online, the Editor.

PRST Adesina (1)

“Africa has lost a decade of growth” – Akinwumi Adesina on COVID-19

NAIROBI (Reuters) &#8211; Kenya’s president extended a nationwide curfew for another 30 days on Wednesday, saying coronavirus cases were rising in areas outside the capital.



In a televised address, Uhuru Kenyatta also ordered bars and nightclubs shut for another 30 days &#8211; but increased the number of people allowed to attend weddings, funerals and other events.



He said infections were slowing in Nairobi and the port and tourism hub of Mombasa.



“This crisis has however began to percolate to the counties. The new frontier of this invisible enemy is increasingly shifting to the counties and to our rural areas,” he said.



At present Kenya has 33,016 cases of the novel coronavirus, 564 deaths and 19,296 recoveries, Kenyatta said.



The outbreak has hit the economy, with the finance ministry projecting growth will slow to 2.5% this year from 5.4% last year.



Kenyatta said the economy had so far performed better than expected during the period, citing performance in the horticulture sector, whose earnings rose to 81 billion Kenyan shillings ($748 million) in January to June from 76 billion shillings in the same time a year ago.



“Even under COVID, our economy is growing at 4.6% compared to 5.5% at the same time last year,” he said without specifying the period he was referring to.



“The current economic indicators without doubt are lower- but definitely far better than we ever anticipated.”



He said he had asked investigative agencies to conclude within 21 days investigations into reports of impropriety at the state-run Kenya Medical Supplies Agency.



The head of the agency has been suspended over allegations the agency procured low quality protective gear for use by healthcare workers handling COVID-19 cases, and inflated prices of others.



“I want to once again reiterate that all persons found to be…culpable as a result of those ongoing investigations should be brought to book not withstanding their public office or their political or for that matter their social status,” Kenyatta said.







The outbreak has hit the economy, with the finance ministry projecting growth will slow to 2.5% this year from 5.4% last year.



Kenyatta said the economy had so far performed better than expected during the period, citing performance in the horticulture sector, whose earnings rose to 81 billion Kenyan shillings ($748 million) in January to June from 76 billion shillings in the same time a year ago.



“Even under COVID, our economy is growing at 4.6% compared to 5.5% at the same time last year,” he said without specifying the period he was referring to.



“The current economic indicators without doubt are lower- but definitely far better than we ever anticipated.”



He said he had asked investigative agencies to conclude within 21 days investigations into reports of impropriety at the state-run Kenya Medical Supplies Agency.



The head of the agency has been suspended over allegations the agency procured low quality protective gear for use by healthcare workers handling COVID-19 cases, and inflated prices of others.



“I want to once again reiterate that all persons found to be…culpable as a result of those ongoing investigations should be brought to book not withstanding their public office or their political or for that matter their social status,” Kenyatta said.

Uhuru_Kenyatta_2015

Kenya extends coronavirus curfew as cases rise outside capital

JOHANNESBURG (Reuters) &#8211; South Africa’s headline consumer inflation quickened to 3.2% year-on-year in July from 2.2% in June, data from Statistics South Africa showed on Wednesday.



On a month-on-month basis, the consumer price index was at 1.3% in July from 0.5% in the previous month.



Core inflation, which excludes prices of food, non-alcoholic beverages, fuel and energy, was also 3.2% year-on-year in July compared with a rate of 3.0% in June. On a month-on-month basis core inflation rose, to 0.7% from 0.3% previously.

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South Africa consumer inflation rises to 3.2% y/y in July

JOHANNESBURG (Reuters) &#8211; South Africa’s mines ministry has given the green light for the sale of AngloGold Ashanti’s last remaining assets in the country to Harmony Gold on condition that it does not delist from the Johannesburg stock Exchange.



Harmony agreed in February to buy rival AngloGold Ashanti’s assets in South Africa, including Mponeng, the world’s deepest gold mine, for about $300 million.



Every sale in the mining industry in South Africa must be approved by the ministry under mineral resources rules in accordance with Mineral and Petroleum Resources Development regulations.



“The Department can confirm that an application in terms of Section 11 of the MPRDA has been received and was approved on 24 July,” the Department of Mineral Resources and Energy (DMRE) said via email.



The ministry said the granting of the application was based on a understanding between AngloGold Ashanti and the department that the company would not disinvest from the South African economy by delisting from the Johannesburg Stock Exchange (JSE) or relocate its headquarters.



AngloGold had said in February it would consider moving its primary listing on the JSE as it streamlines its portfolio. But in August the company said moving its listing was no longer a priority amid the pandemic.



AngloGold said on Wednesday it had not yet received all necessary approvals and was still in talks with government.



“We remain in dialogue with the DMRE in relation to these, and will make the necessary disclosures once those engagements are concluded,” AngloGold Ashanti said.



Harmony Gold said: “We are continuing to engage with the DMRE and hope to conclude the transaction as soon as possible”.

Gold_mines

S.Africa approves AngloGold’s Harmony sale but with conditions

BRAZZAVILLE (Reuters) &#8211; Congo Republic jailed a notorious poacher for 30 years for ivory trafficking and the attempted murder of park rangers, a conservation group said, hailing the case as a milestone in the fight to hold wildlife criminals to account.



Mobanza Mobembo Gerard, known as Guyvanho, led poaching expeditions in the central African country that may have killed over 500 elephants since around 2008, according to the Wildlife Conservation Society.



His trial and sentencing last week marked the first criminal conviction of a wildlife trafficker in Congo Republic. Previously, environmental crimes were tried in civil courts and incurred a maximum sentence of five years, it said.



The sentence “sends an extremely strong message that wildlife crime will not be tolerated and will be prosecuted at the highest levels,” WCS regional director Emma Stokes said in a statement on Monday.



Congolese judicial authorities could immediately be reached for comment.



The attempted murder charges against Guyvanho were connected to a 2019 incident when his poacher group allegedly fired at and wounded members of a ranger patrol in Nouabale-Ndoki National Park, WCS said.



The park covers 4,000 square kilometers (1,540 sq miles) of northern Congo Republic. Its dense lowland rainforest has been a refuge for the region’s rare forest elephants, which were only confirmed to be a separate species from the larger African savannah elephant in 2010.

African_Bush_Elephant

Congo elephant poacher jailed for 30 years; landmark case hailed

LONDON (Reuters) &#8211; The option of a one-time payment holiday during times of intense crisis might enable countries to pandemic-proof their bonds, a prominent debt fund believes



Economic fallout from COVID-19 has triggered a record number of sovereign defaults in 2020, and managers at Boston-based GMO, heavily involved in sovereign restructurings in recent years, have proposed redesigning bonds so that countries can suspend or even wipe off debt payments for up to a year.



Credit rating agency S&amp;P has downgraded 51 countries this year, and four &#8211; Lebanon, Ecuador, Argentina and Belize &#8211; have already defaulted, beating a record set in 2017.



“In the case of Ecuador, it might have provided enough liquidity relief to prevent a default,” said GMO’s Carl Ross, one of the payment holiday plan’s two architects and a negotiator in Ecuador’s and Argentina’s restructurings.



He favours that idea over current approaches such the linking of debt payments to economic fortunes chosen in 2012 by Greece, and the “hurricane clause” &#8211; offering debt relief if a second catastrophic storm hits &#8211; used in Grenada’s 2015 restructuring.



“Our proposal is to revert to something much simpler,” Ross said. “The whole idea is to prevent countries getting into distress in the first place”.



Sui-Jim Ho, a partner at Cleary Gottlieb &#8211; the law firm that helped draft Granada’s hurricane clause &#8211; said discussion around temporary debt suspensions was gaining traction.



However, he questioned how simple implementing them would be.



“We still need to figure out how the pandemic trigger event should be drafted,” he said “&#8230;Defined too loosely and it could be triggered too easily. Defined too restrictively and you could end up with too little too late.”



Graphic: Bond prices plunge ahead of defaults&nbsp;<a href="https://fingfx.thomsonreuters.com/gfx/mkt/dgkvllxenvb/Pasted%20image%201598352935580.png">here</a>



<figure class="wp-block-image"><a href="https://fingfx.thomsonreuters.com/gfx/mkt/dgkvllxenvb/Pasted%20image%201598352935580.png" target="_blank" rel="noreferrer noopener"><img decoding="async" src="https://fingfx.thomsonreuters.com/gfx/mkt/dgkvllxenvb/Pasted%20image%201598352935580.png" alt="Reuters Graphic"/></a></figure>



<h3 class="wp-block-heading">GAME THEORY</h3>



Ross said the potential criticism that GMO’s proposal could be abused by politicians looking for creative funding options was a low risk.



Bond markets would soon work out governments that tried to play the system, and as the deferral option would only be available once &#8211; or perhaps once a decade for long-term bonds &#8211; it was also likely to be used sparingly.



“Interactions between bond markets and governments are a ‘repeated game’ &#8230; We believe this dynamic would be a very effective self-policing mechanism,” he said.



His idea would need International Monetary Fund or U.S. Treasury support to take off, and a country would also have prove it was workable.



Ross said he suggested it to Ecuador but the process was moving too fast by then, and it wouldn’t have prevented Argentina or Lebanon defaulting as their debts had already spiralled out of control.



Countries hit by multiple crises wouldn’t be saved either as having more than one deferral or debt forgiveness option would ramp up their borrowing costs.



Ross and the proposal’s co-author, Mustafa Ulukan, estimate that a single one-year deferral option might only add 0.6% to the 8% a country with a low B-grade rating might pay to borrow for 10 years.



The approach could also address ‘freeriding’ criticism private sector bondholders are now facing for not following G20 governments and allowing the world’s poorest countries to suspend debt payments during COVID-19.



Pressure for that to happen is growing but creditors warn the rating agencies would class it as a default, opening up a host of problems. That is something GMO thinks its plan would avoid.



“This (deferral) option, if broadly used, would be extraordinarily valuable in the current global environment,” Ross said. “This year and 2021, we have a lot of countries that are going to default.”

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“Africa has lost a decade of growth” – Akinwumi Adesina on COVID-19

Kenya extends coronavirus curfew as cases rise outside capital

South Africa consumer inflation rises to 3.2% y/y in July

S.Africa approves AngloGold’s Harmony sale but with conditions

Congo elephant poacher jailed for 30 years; landmark case hailed

Payment holiday parachute might COVID-proof government bonds, top fund says

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Newsletter

Tesla shares surge to record high, leaving rivals behind

Malawi to lift COVID-19 air travel, school restrictions from September

Nigeria to resume international flights from Sept 5: aviation authority

Exclusive: Glencore puts entire stake in Mopani on the table in talks with Zambia: sources

South African drugmaker Aspen expects 7-11% full-year earnings growth

South African rand dips before producer price data

South Africa’s Massmart loss widens to over $65 mln as virus hits store sales

OPINION: Reform in Nigeria can help health entrepreneurs

Moderna COVID-19 vaccine appears to work as well in older adults in early study

Stronger Hurricane Laura aims at heart of U.S. oil refining industry

Nigeria approves auditors for Delta region development agency probe

“Africa has lost a decade of growth” – Akinwumi Adesina on COVID-19

Kenya extends coronavirus curfew as cases rise outside capital

South Africa consumer inflation rises to 3.2% y/y in July

S.Africa approves AngloGold’s Harmony sale but with conditions

Congo elephant poacher jailed for 30 years; landmark case hailed

Payment holiday parachute might COVID-proof government bonds, top fund says

News Tips

Advertise With Us

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