Adetola Bademosi
In an effort to address Nigeria’s energy deficit, the Federal Government (FG) said it is investing in alternative power sources.
This is coming on the heels of the proposed 30 Megawatts (MW) Windfall And Solar Hybrid Project at Lekki, Lagos.
The Minister of Power, Adebayo Adelabu made the disclosure during a presentation on the project, Wednesday, in Abuja.
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Adelabu who was represented by the Director Procurement, Ministry of Power Mr Abdulrasheed Lawal, said the alternative sources being considered would be mini-grids, winds and solar.
He said,” We are aware that presently there is an energy deficit in the country, so we are doing everything possible to address the issue by investing in alternative sources.
“We have to think out of the box to achieve energy sufficiency; we have to look at using mini-grids, solar and wind to achieve this.”
Already, he said a 10MW windfall project is ongoing in Katsina saying; “we are trying to replicate the same in Lagos in order to ensure reliable and steady power supply in the country.
To this end, he said the project, after necessary appraisal, would be executed by Crown Resources Development Company Limited (CREDCO) in collaboration with Vergnet, a French Wind Turbine Company, based in France.
While making his presentation, the subsidiaries manager, Africa, Vergnet Mr Frederic Cheve, said the project aims to harness the abundant wind and solar resources to generate clean and reliable power while mitigating the risks associated with relying on a single source of energy.
He noted that the project whose capacity ranges between 20-30MWs wind and solar hybridised system
He said that the proposed capacity of the project was 20/30 megawatts wind and solar hybridised system will improve energy security and grid stability.
However, he said the project would be developed in phases adding that:”It will create green jobs and boost the local economy, reduce the reliance on fossil fuels and curtail greenhouse gas emissions.
“This project will contribute to achieving Nigeria’s national energy goals,”he said.
On his part, Mr Barney Ojiah, Chief Executive Officer of CREDCO, said they were in the ministry of power to make a presentation on the project and to discuss how to further improve power supply for Nigerians.
He emphasised that power was important in the lives of all Nigerians no matter how it comes.
“This is a collaborative effort between the ministry of power and CREDCO on how to achieve reliable and steady power supply, ”he said.
Nigeria inflation rises to 31.70% y/y in February
Bhargav Acharya and Elisha Bala-Gbogbo
Nigeria’s inflation rose to 31.70% year on year in February from 29.90% in January, its bureau of statistics said on Friday. (Reporting by Bhargav Acharya and Elisha Bala-Gbogbo Editing by Alexander Winning)
Tanzania’s Young Africans eye historic Champions League upset against Mamelodi Sundowns
By DavidOchieng Mbewa
Last season, Tanzanian club, Young Africans suffered heartache after coming close to lifting its first major continental title.
Young Africans, or Yanga, as they are affectionately known, lost a dramatic CAF Confederation Cup final to Algeria’s USM Alger. The Tanzanian side secured a 1-0 win in its second leg but a 2-1 defeat at home in the first leg meant they lost the tie on the away goals rule.
Young Africans emerged stronger this season. This time, they roared through the qualifying rounds and booked a place in the group stage of the CAF Champions League. Despite a slow start in Group D, they eventually found their footing and managed to qualify for the quarterfinals.
Now, into the quarterfinals of Africa’s premier club competition for the first time, the current Tanzanian champions hope to become the first side from East Africa to win the African Champions League. South African giants, Mamelodi Sundowns stand in Yanga’s way.
Sundowns are undoubtedly one of Africa’s biggest clubs. Dominant at home, they have won their domestic league for the last six seasons in a row. They also won the Champions League in 2016 and are the current holders of the African Football League title.
As formidable an opponent as Sundowns are, Young Africans club president Hersi Ally Said assured fans that the team is ready for a major battle to advance to the last four.
Ally stressed that home advantage and the crowd could play a big part in Yanga potentially securing a decisive advantage. Young Africans will host the first leg in Dar es Salaam on March 29-30. The second leg takes place in South Africa on April 5.
“For us, Young Africans, as a club, this is historic to be in the quarterfinal and advancing to the semifinal,” Ally said in a video message. “We need members and fans of our club to come out in numbers and support the team during the home leg that will begin here.”
“That game can be one of the chapters in the club making history in the quest to advance to the semifinal, final, and win the title.”
Young Africans may not have faced Sundowns before, but the team hopes to replicate the results of their last encounter against a South African side in CAF club competitions.
During last year’s Confederation Cup, the Tanzanian side ran out 4-1 aggregate winners against Marumo Gallants in the semifinal, winning both home and away legs.
World Bank’s women empowerment programme presents renewed hope for Nigerian women
Nigerian Tribune
The wife of the governor of Kwara State and Chair, Nigeria Governors Spouses Forum, Dr Olufolake Abdulrazak, has highlighted the benefits of the Nigeria for Women Programme (NFWP).
NFWP is an initiative of the World Bank. Dr Abulrazak spoke at an event co-hosted by the World Bank, the Nigeria Governors Spouses Forum (NGSF), and the Nigerian Governors Forum (NGF), titled: “What works to promote Women’s Economic Empowerment, WEE in Nigeria: Lessons from Nigeria for Women Programme.”
The event took place on the sidelines of the 68th Session on the Status of Women at the United Nations Headquarters, New York, on Wednesday.
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She noted that the event highlighted “the critical importance of economic empowerment in advancing gender equality and women’s rights. It also presents a renewed hope and progress for women across Nigeria.”
According to her, “In Nigeria, as in many parts of the world, women face numerous barriers to economic participation, including limited access to education, financial resources, and market opportunities.
She, however, noted that the NFWP programme, implemented in partnership with the World Bank, “has achieved remarkable success in empowering women to start and grow their businesses, access financial services, and participate in value chains across various sectors of the economy.“By providing targeted support, including training, mentorship, access to finance, and market linkages, the programme has enabled women to overcome structural barriers and unleash their entrepreneurial spirit.”
She added that “Further to these, the programme has generated effects that extend beyond individual beneficiaries, contributing to broader socio-economic development and poverty reduction efforts.
“By empowering women as agents of change and economic drivers within their communities, the program has helped build more resilient and inclusive societies that benefit everyone.”She commended the World Bank, the Federal Ministry of Women Affairs, the Nigeria Governors Forum and the Nigeria Governors Spouses Forum for collaborating to appraise successes recorded via the programme geared to create sustainable pathways for the economic empowerment of Nigeria women.
Standard Chartered Kenya’s pre-tax profit jumps 15% in 2023
Reuters News
Standard Chartered Kenya posted a 15% increase in its pre-tax profit for 2023 to 19.6 billion shillings ($141.31 million), its chief financial officer said on Tuesday, buoyed by higher revenue from loans.
The lender, which is one of the oldest in the East African nation, cut its investments in local government bonds by 8% during the period to 108.5 billion shillings, CFO Chemutai Murgor told an investor briefing.
The funds were then reinvested in loans and advances to customers, she said, which grew by 17%. The higher lending was also helped by a rise in customer deposits.
Net interest income at the bank, which is controlled by Standard Chartered PLC, rose by close to a third, Murgor said, while overall revenue grew by almost a quarter.
Nigerian Exchange Group, female leaders seek more inclusion for women
Nigerian Tribune
Reuters Images
Nigerian Exchange Group (NGX) and its subsidiaries joined the rest of the world on Friday, March 8, 2024, to commemorate International Women’s Day (IWD) by leveraging its Closing Gong Ceremony to “Ring the Bell for Gender Equality”.
With the theme, “Invest in Women: Accelerate Progress”, the event focused on individual actions, conversations, behaviours, and mindsets that will accelerate progress and impact the advancement of women across all spheres of life.
The event, organized in partnership with the International Finance Corporation (IFC), UN Women, the United Nations Global Compact Network Nigeria (GCNN), Chartered Institute of Stockbrokers (CIS), Central Securities Clearing System (CSCS), the SterlingOne Foundation and Association of Securities Dealing Houses of Nigeria (ASHON) brought together prominent female leaders within the ecosystem.
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Delivering her opening remarks, Dr Irene Robinson-Ayanwale, Divisional Head, Business Support Services Division, NGX welcomed all to the 10th Ring the Bell for Gender Equality. She said, “When I learnt of this year’s theme, “Invest in Women: Accelerate Progress”, it resonates deeply with us. It serves as a powerful reminder of the need to establish equal opportunities for everyone while fostering an enabling environment for women across all sectors. This initiative represents a significant step forward in our efforts to promote gender equality and support women’s economic empowerment. Through innovative financial instruments such as gender bonds, we can mobilise capital towards projects that benefit women and advance gender equality across various sectors of the economy”.
Dahlia Khalifa, Regional Director, Central Africa and Anglophone West Africa, IFC, who was represented by Alexandra Celestin, Regional Industry Manager, Financial Institutions Group, Anglophone West Africa and Central Africa, said “This Ring the Bell for Gender Equality event highlights the importance of gender equality for economic development and growth. Economies that reduce barriers to women as leaders, employees, and entrepreneurs promote inclusive societies and pave the way for sustainable development. Collective, coordinated, and bold action by private sector leaders will be instrumental in accelerating progress towards gender parity and igniting greater resilience. IFC continues to collaborate with partners and stock exchanges like the Nigerian Exchange Group to improve diversity, equity, and inclusion in the private sector.”
On her part, Mrs Elizabeth Ebi, Group Chief Executive Officer, Futureview Group said “The implications of a truly equal and balanced world; a world where men and women make equal contributions to the society, enjoy equal opportunities, and even enjoy the same rewards and benefits. Going by the growing body of evidence out there, it is safe to conclude that the multiplier effect on families, businesses, communities, economies and ultimately, nations would be indeed phenomenal.”
The event served to raise awareness about the importance of investing in women, to inspire inclusive leadership, and to advocate for gender-responsive policies. By championing these principles, stakeholders can create empowering environments where every individual can thrive and contribute to collective success.
Bolanle Austen-Peters, Founder, Terra Academy for the Arts said, “We use art to change the narrative about women. Our story telling in the past has mostly been done by foreigners which heavily skews the image of Nigerians and Nigerian women. Our focus is to tell the stories of female heroes, champions in history like Funmilayo Ransome-Kuti. These are the kind of women we celebrate today.”
During the Closing Gong Ceremony, Mrs. Yemisi Ayeni, Chairperson, NASCON Allied Industries called for increased female representation in corporate organisations, equitable inclusion in workplace, and more participation in society, in line with the sustainable development goals.
Present at the closing gong included Hafsat Rufair, Director, Securities and Exchange Commission, Ms. Fiona Ahimie, Director, NGX RelCo and 2nd Vice President, Chartered Institute of Stockbrokers; Amina Mohammed, Director, NGX RegCo; Onome Komolafe, Divisional Head, Business Services and Client Experience, Central Securities and Clearing System; Peju Ibekwe, CEO, Sterling One Foundation; Tomilayo Aluko, Head, Marketing & Corporate Communications, CSCS and Lillian Olubi, Director, NGX.
The event also featured notable personalities like Adejoke Silva a Nigerian actress – philanthropist and a strong supporter of women’s emancipation and empowerment, contributing to their education, training, and progress.
SA’s business confidence slips in Q1, survey shows
Bizcommunity.com
South Africa’s business confidence slipped in the first quarter of 2024 amid ongoing load shedding, port congestion and inflation, a survey showed on Wednesday, 6 March 2024.
The business confidence index fell to 30 points in the first quarter from 31 points in the previous three months, according to a survey by the Rand Merchant Bank (RMB) and compiled by the Bureau for Economic Research.
“The same supply constraints, including load shedding, logistical challenges, and heightened global and domestic policy uncertainty, keep South African businesses in a stranglehold,” said Isaah Mhlanga, chief economist and head of research at RMB.
Retail confidence fell by 13 points quarter-on-quarter to 34 points, weighed down by poor demand for consumer durable goods and an overall fall in retailers’ profitability.
The country’s manufacturing sector was dragged down by weaker domestic and export demand, according to the survey. Manufacturing confidence fell by five points to 21 points.
“Worryingly, respondents turned even more downbeat about investment and business conditions going forward,” it said.
On the other hand, builders, wholesalers and car dealers remained upbeat as contractor activity improved and demand for consumer goods rose.
Meanwhile, South Africa’s private sector activity expanded in February for the first time in six months as staffing and purchasing levels increased amid stronger confidence, an S&P Global South Africa Purchasing Managers’ survey showed on Tuesday.
“Looking further ahead, the expectation of moderating inflation… and possibly lower borrowing costs due to an expected shallow cutting cycle of the policy interest rate may help with local consumer demand in the second-half of the year,” RMB’s Mhlanga said.
The Economist Intelligence Unit revises Nigeria’s 2024 economic growth forecast to 2.5%
Nigerian Tribune
The Economist Intelligence Unit, EIU, has revised Nigeria’s 2024 economic growth forecast figures from 2.2 percent to 2.5 percent in its latest country report, which was generated on March 8th, 2024.
According to the EIU, hydrocarbons generate about 50 percent of government’s revenue and more than 80 percent of export receipts, but agriculture and services dwarf industry’s contributors to GDP.
This is premised on higher-than-expected crude output and earlier-than-expected production from a new mega-refinery.
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“The oil sector constitutes about 6% of GDP. The higher growth forecast has come despite sharper-than-expected monetary tightening in February 2024. We now expect the Central Bank of Nigeria’s policy rate to peak at 23.75 percent, 200 basis points higher than our previous forecast,” it added.
Commenting on the current reforms by the administration of President Bola Tinubu, the EIU highlighted that market reforms were intended to attract investments but did not constitute a coherent plan. The two flagship policies, the elimination of petrol subsidies and the liberalisation of the exchange rate, have an inner contradiction.
The EIU stated, “As Nigeria imports virtually all its fuel, naira devaluations, the latest being a 45% drop in February 2024, should be reflected in the pump price. However, owing to the threat of industrial action, there has been little movement since June, despite the naira having weakened from N461/$1 in May 2023 to N1,600/$1 in late February 2024. This indicates the return of (large) subsidy.”
It further stated that a large naira devaluation in early February will likely herald further depreciation, as inflation remains high and real short-term interest rates remain negative.
“Falling risk premiums on government international bonds make tapping the international capital market another viable (albeit costly) option once US interest rates start to fall from the second half of 2024. For most of this year, the naira will be highly volatile, leading to regulatory erraticism that can affect businesses, especially those holding foreign currency. The CBN lacks the liquidity to support the naira itself; out of $33bn in foreign reserves, a large share (estimated at nearly US$20bn) is committed to various derivative deals.”
EIU noted that the Nigerian business environment will remain highly challenging, undermined by corruption, cronyism, rampant insecurity, and a giant infrastructure gap.
Looking at investments, the report observed that multinationals are increasingly deciding to quit Nigeria or reduce their presence; EIU estimated that there was a net withdrawal of foreign direct investments in 2023, to be repeated in 2024 as naira losses exert pressure on balance sheets carrying large foreign liabilities.
“The exodus includes oil majors selling onshore assets, which are high-cost and vulnerable to insecurity, leading to the sector’s indigenisation over time. Although, in principle, this is positive for foreign exchange accumulation, local companies will be unable to match the investing power of outgoing multinationals.”
It also forecasted that Nigeria’s crude oil production will rise from 1.23mbpd in 2023 to 1.48mbpd in 2028, although this remains about 250,000bpd below the 2019 level.
World Bank projects lower economic growth for Zimbabwe in 2024
By DavidOchieng Mbewa
Zimbabwe’s economic growth in 2024 is expected to decline to 3.5 percent, compared to 4.5 percent in 2023, according to a report by the World Bank.
The fourth World Bank Zimbabwe Economic Update (ZEU), launched on Wednesday, said that though the country’s economic outlook appeared “moderate”, it reflected continued global headwinds, structural bottlenecks, weather-related shocks, and price and exchange rate volatility.
The World Bank said that one of the factors behind the growth decline is a reduction in agricultural output due to depressed global growth and predicted erratic and below-average rainfall. The Zimbabwe Meteorological Services already warned that the ongoing drought being experienced is expected to continue into 2024.
“The ZEU finds that while Zimbabwe’s economic outlook appears moderate, it reflects continued global headwinds, structural bottlenecks, weather-related shocks, and price and exchange rate volatility,” the World Bank said.
“Prolonged global turmoil could result in a slowdown in global output, reduced trade and investment, increased volatility in commodity prices, and supply disruptions.”
“Climate change shocks may also lower economic output, particularly in the agriculture sector.”
Power shortages are also expected to contribute to the economic growth decline as Zimbabwe’s electricity sector still faces major challenges.
“The report estimates that power shortages cost the country a total of 6.1 percent of GDP per year, comprising 2.3 percent of GDP in generation inefficiencies and excessive network losses, and 3.8 percent of GDP on the downstream costs of unreliable energy.”
Zimbabwe’s persistent power crisis has negatively affected the country’s mining sector and many small- and medium-sized businesses, in addition to disrupting the lives of thousands of households.
The World Bank added that continued economic reforms, including fiscal adjustment and rebuilding foreign exchange reserves, will be vital in helping Zimbabwe mitigate the risks of potential economic downturns.
“To sustain economic growth, Zimbabwe must continue tackling its macroeconomic challenges. Addressing price and exchange rate volatility and public debt arrears will support economic growth and job creation. This will help the country address the poverty, vulnerability, and food insecurity rates, which remain high,” World Bank Country Manager Eneida Fernandes said.
South Africa’s FDI inflows slow in third quarter – central bank
Reuters
South Africa recorded reduced foreign direct investment inflows of 26 billion rand ($1.40 billion) in the third quarter of 2023, from 53.8 billion rand in the second quarter, central bank data showed on Thursday.
The South African Reserve Bank said in its Quarterly Bulletin that the inflows were due to non-resident parent entities granting loans and increasing their equity stakes in domestic subsidiaries over the period.
Portfolio investments showed a larger outflow of 41.9 billion rand in the third quarter compared to outflows of 4.6 billion in the second quarter of 2023.
The central bank added that this was due to a public entity redeeming a $1 billion international bond.
In October, the World Bank announced a $1 billion loan to South Africa to help tackle the ongoing power crisis.
Africa’s most industrialised nation has had the worst power outages on record this year, with rolling blackouts leaving households and businesses without power for up to 10 hours a day.
