Africa
China Offers Africa USD 51 Billion in Fresh Funding, Promises a Million Jobs
China recently pledged to increase its support across debt-laden Africa with nearly USD 51 billion in funding over three years, backing more infrastructure projects and creating at least 1 million jobs. China was ready to step up cooperation with Africa in industry, agriculture, infrastructure, trade and investment, President Xi Jinping told delegates from more than 50 African nations gathered in Beijing for the three-yearly Forum on China-Africa Cooperation Summit.
“China and Africa account for one-third of the world population. Without our modernisation, there will be no global modernisation,” Xi said. China, the world’s biggest bilateral lender, promised to carry out three times as many infrastructure projects across resource-rich Africa despite Xi’s avowed new preference for “small and beautiful” schemes based around selling advanced and green technologies in which Chinese firms have invested heavily.
Source: Reuters
Africa
Countries Finalise Deals worth USD 3.5 Billion with Indonesia
Several African countries recently finalised business agreements worth USD 3.5 during the second Indonesia-Africa Forum. The forum focused on strengthening economic ties as Indonesia looks to broaden its export markets. “The partnership between Indonesia and Africa so far has significantly increased trade volumes and trade agreements,” President Joko Widodo said.
At the event, several memorandums of understanding were signed, including a geothermal project between Indonesia’s state power utility, Perusahaan Listrik Negara, and Tanzania Electric Supply Company (TANESCO), as well as a partnership between Indonesian pharmaceutical firm Bio Farma and Ghana’s Atlantic Lifesciences Ltd, Reuters reported.
Kenya, Nigeria, South Africa, and Egypt, with their rapidly growing populations, present promising new markets for Indonesia’s exports, according to Vice Foreign Affairs Minister Pahala Mansury. He added that the foreign ministry is working to secure better market access for Indonesian commodities in these regions.
Source: Business Insider Africa
Ethiopia
Ethiopia Launches Program to Transform Its Aviation Landscape of Country
The Ethiopian Civil Aviation Authority has launched a transformation program that aims to fundamentally transform the country’s aviation sector landscape. Transport and Logistics State Minister Dhenge Boru recently said the transformation program will enable the Ethiopian civil aviation industry to cope with emerging aviation technology and evolve regulatory and policy requirements. According to him, a critical transformation process is vital to establishing internationally competent aviation and a prominent regional hub in Africa.
Stressing the need for fundamental changes in infrastructures, technology, policies, and regulations, among other areas of improvement, the state minister added that his ministry will provide the necessary support for completing the transformation program. Moreover, Ethiopia has immense potential in areas of air transport development, maintenance, repair and overhaul, airport development, aerospace manufacturing, general aviation like air ambulance and medical services, air aviation services, environmental sustainability, aviation regulation transformation, and private sector development that help to transform the aviation industry of the country.
Source: Ethiopia News Agency
Ghana
Ghana Set to Commission Large-Scale Greenfield Mine to Boost Gold Production
Ghana is planning to commission the country’s first large-scale greenfield mine in more than a decade to increase gold production, with an expected annual output of more than 350,000 ounces. In 2013, Ghana commissioned its last large-scale greenfield mine, which Newmont operated. Chief Executive Officer of the Minerals Commission, Martin Ayisi, mentioned that the mine, to be known as ‘The Cardinal Namdini’ mine, will be operated by Cardinal Resources, a unit of Chinese-owned Shandong which obtained an operating license in 2020.
During an interview with Reuters, the CEO of the Minerals Commission stated that three other mines are expected to begin operation by 2026 as part of efforts to utilise Ghana’s natural resources for economic growth. “First is Cardinal Namdini, which is a monster mine, and it will produce an average of 358,000 ounces per year. Mid-year 2025, Newmont will commission another monster mine – Ahafo North.” Ayisi was quoted as saying by Reuters. He also mentioned that two additional mines would contribute about 600,000 ounces of gold to Ghana’s annual output while creating more employment opportunities.
Source: GhanaWeb
Kenya
State Eyes Carbon Credits for Firms in New Industrialisation Policy
Kenya is developing a new industrialisation policy enabling local firms, especially manufacturers, to tap into the lucrative and fast-growing carbon credit markets. Industry Principal Secretary Juma Mukhwana said the policy will include assessment criteria to help manufacturers assess their carbon footprint and benefit from potential carbon credits. “The ministry is working on an industrialisation policy where we are also looking at putting in place an assessment criterion for each manufacturing entity in terms of sustainability and carbon footprint,” he said. UN-Habitat will play an essential role in the development of the projects. The organisation will provide technical assistance, participate in feasibility studies, develop a governance system for energy generation and distribution, create programmes for the productive use of energy, and ensure that communities benefit from the energy generated to improve their living conditions.
The new industrialisation plan will build on the existing policy, which has existed since 2012. This also comes at a time when the Ministry of Investments, Trade, and Industry, under which PS Mukhwana’s docket lies, is inviting members of the public, including traders, manufacturers, investors, and other stakeholders, to submit proposals on how to attract private investments into the country.
Source: Business Daily
Morocco
Morocco to Develop First Offshore Wind Farm to Boost Green Energy Production
Morocco is intensifying efforts to harness its significant offshore wind energy potential and expand its wind power capacity, according to a report by the Spanish media outlet El Economista. The Moroccan Agency for Sustainable Energy (MASEN) is leading the development of the country’s offshore wind industry. Leveraging its expertise, MASEN plans to establish its first offshore wind farm off the coast of Essaouira.
Supported by a MAD 20.6 million (approx. USD 2.1 million) grant from the European Investment Bank, this initiative represents a significant step forward for Morocco in the renewable energy sector. “To this end, it plans to develop its first offshore wind farm off the coast of Essaouira. The entity headed by Nadia Calviño has valued the contract, which has a duration of two years, at EUR 2 million,” wrote the Spanish outlet.
Estimates from the World Bank Group, cited by the Offshore WIND platform, indicate that Morocco has a potential offshore wind capacity of 200 gigawatts (GW), with 22 GW particularly suitable for fixed-bottom turbines. The efforts of MASEN highlight Morocco’s substantial offshore wind potential, particularly along its Atlantic coast. Thanks to its shallow waters, studies reveal that this region enjoys high wind speeds and favourable maritime conditions for fixed-bottom offshore wind turbines.
Source: Morocco World News
Tanzania
Analysts Weigh in as Earnings from Tourism Cross USD 3.5 Billion
Tanzania is comfortably gaining from tourism as the sector shows signs of a complete recovery from the negative effects of the global COVID-19 pandemic. Official figures recently put the number of tourist arrivals at a record 2.026 million. The figures, published by the Bank of Tanzania (BoT) show that these tourists brought in a record USD 3.534 billion during the year ended July 2024. “The rise in travel receipts arises from the recovery observed in the tourism industry, reflected by the increase of tourist arrivals by 22 percent to 2,026,378,” the BoT says in the report. This rise propelled Tanzania’s services receipts increase to USD 6.706 billion during the year ending July 2024, up from USD 5.542 billion in the corresponding period in 2023, the BoT says.
Analysts say the numbers reflect a full recovery from the travel restrictions imposed during the pandemic. They (the numbers) are also a result of the country’s marketing initiatives, including the ‘Tanzania: The Royal Tour’ documentary. Tanzania had a target of receiving two million tourists in 2020, but the global pandemic knocked down the target. With the pandemic, the number dropped from 1.3 million in 2019 to only about 600,000 in 2020.
Source: The Citizen
Uganda
Uganda Targets Tenfold GDP Growth Riding on Mining Sector Expansion
Ugandan strategists are ambitiously working towards growing the nation’s economy tenfold, aiming to expand its Gross Domestic Product (GDP) from USD 50 billion in FY2022/2023 to USD 500 billion by 2040. However, a key private sector leader asserts that prioritising the mining sector is essential to achieving this target.
The National Development Plan IV (NDPIV), set to commence in FY2025/26, emphasises the implementation of the Mining Act (2022) to address systemic issues, including informality, speculation, institutional gaps, and inefficient licensing procedures within the sector. According to Richard Kaijuka, Chairman of the Board of Trustees for the Uganda Chamber of Mines & Petroleum and former Minister of Energy and Mineral Development, effective execution of the NDPIV plan could significantly increase the mining sector’s contribution to the national GDP.
Looking ahead, sector experts believe that as global demand for minerals rises, Uganda’s mining industry could be pivotal in driving economic growth and industrialisation. Increased investment in mineral exploration, quantification, and value addition will lower production costs, boost returns on investment, and expand the availability of domestically manufactured products such as cement, iron, and steel.
Source: The Independent, Uganda
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Reports
Finance in Africa | European Investment Bank
The Finance in Africa report emphasises the challenges the African banking sector faces – including the impact of recent shocks, such as the COVID-19 crisis and Russia’s invasion of Ukraine – and the importance of gender diversity in business and banking. The report also discusses the need for international support and sustainable finance to advance economic development and climate change in Africa. It provides insights into the financial conditions, banking sector performance, and regional investment trends. It covers the nature of climate finance flows in Africa and the degree of climate risk on bank balance sheets.
Despite the challenging environment, Africa’s banking sector continues to show resilience and a desire to support private sector development. Key banking sector metrics, such as capital ratios, profitability and non-performing loans, have not deteriorated despite the region’s challenges. While pandemic support measures to bolster the African banking system may have initially played a role in this success, many of these measures have since been wound down, and most key bank metrics remain solid. With the right measures in place, Africa has the potential to overcome its challenges and unlock its true economic potential.
Click here to read and download the full report.
MSMEs, Value Chains and Trade Development in Southern Africa | UNECA
This report analyses how Southern African micro-, small and medium-sized enterprises (MSMEs) use innovations and technologies to integrate themselves into value chains and better utilise trade agreements.
Divided into five sections, the report contains a comprehensive review of the MSME landscape in Southern Africa and numerous examples of MSMEs in the six targeted countries, each of which illustrates how innovations and technologies are being used by firms to participate in subregional and global value chains and to utilise the trade agreements to which these countries are parties, such as the agreements establishing the Southern African Development Community (SADC), the Common Market for Eastern and Southern Africa (COMESA) and the African Continental Free Trade Area.
Click here to read and download the full report.
Towards Africa’s Prosperity: Creating Conditions for a Socially Inclusive, Environmentally Sustainable and Well-Governed Continent | UNECA
This report identifies the game changers needed to accelerate progress towards achieving prosperity within this decade. It envisages that by 2030, the region will have moved closer to Agenda 2063’s vision of “an integrated, prosperous and peaceful Africa, driven by its citizens and representing a dynamic force in the global arena.”
As a strategy document, it is intended as a roadmap for citizens, policymakers, and development partners to deliver prosperity by 2030 to the 1.07 billion inhabitants of the region. It offers a set of limited but crucial objectives achievable at the regional and national levels of policy implementation. Most importantly, its realistic tone challenges governments to forge ahead to 2030 and beyond, confident in the regional support they will receive from the community of states that constitute the African Union and united in the common purpose of prosperity reimagined.
Click here to read and download the full report.
AI and the Future of Work in Africa | NEPAD
The impact of AI on the future that emerges will be a consequence of many things, including technological and policy decisions made today. Getting to a better future will require carefully designed policies and regulations that foster the development of AI while keeping the adverse effects in check.
This white paper provides an overview of the current state and trends of generative AI, its applications in different domains, and the challenges and risks associated with its adoption and regulation. It represents a diverse set of perspectives to create insights and recommendations that encourage debate and collaborative action towards creating a dignified future of work for everyone across Africa.
