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tralac’s Daily News selection: 18 May 2015
The selection: Monday, 18 May
This 2015 Outlook’s thematic chapter will focus on regional development and spatial inclusion. It takes an analytical perspective at how the continent’s demographic pressures combined to the growth of cities pose important challenges and opportunities, while bringing forward innovative approaches to better tap the assets of African regions and secure the continent’s transformation by 2050. The report will be launched on the 25th May.
Chad minister favourite for AfDB presidency (Daily Monitor)
Pedro Pires: 'For the next president of the AfDB, I offer Cristina Duarte, candidate of the times' (The East African)
Global investment trends monitor (UNCTAD)
Investment activity by TNCs from the South increased by 30% in 2014, reaching a record level of US$48bn (excluding transition economies and offshore financial centres in the Caribbean). Among developing regions, TNCs from Asia, Latin America and the Caribbean increased their investment abroad, while those from Africa reduced theirs. Developing Asian TNCs for the first time became the world's largest investors, accounting for almost one third of the total. Investments from Africa decreased by 21% in 2014 to US$11bn. South African TNCs invested in telecommunications, mining and retail while those from Nigeria focused largely on financial services. Intra-African investments rose significantly during the year.
AU Ministers of Trade: statement by Commissioner for Trade and Industry
The Commission has secured approximately $18m for the period 2016-2017, excluding in-kind technical assistance from different Partners (the African Trade Policy Centre, the Trade Advocacy Fund, etc.). We remain grateful to our generous partners who have stepped in to support this critical agenda. Allow me to seize this opportunity however, to strongly urge Member States to support the establishment of the CFTA by making provision for resources for its negotiations. This must be an African owned and led agenda, and it does not reflect well for it to be entirely financed by our generous partners. I would like to mention that, among the most important factors for the success of the CFTA are:
Tripartite opportunity (The Independent)
Though Amelia Kyambadde, Uganda’s minister of trade, industry and cooperatives is positive, other experts are not very excited yet. Kyambadde told The Independent on May 9 that the FTA, which will be transformed into a common customs union at a later stage, presents opportunities for Uganda and this is in terms of a wider market for local commodities and labour. The FTA, she argues, would also build and present more clout for the members in future since they would be able to “stand up” to the more powerful global trading States and blocs like the US, China and the EU during trade negotiations.
Lower barriers raise EAC status (The East African)
With 2014 being a pivotal year for landlocked developing countries and small island developing States, UNCTAD, through its mandated work programme in the field of transport and trade logistics, intensified its work on addressing the unique transport and trade logistics challenges facing these two vulnerable groups. In carrying out its work in the field of transport and trade facilitation, UNCTAD recognizes the multiplicity of stakeholders and therefore emphasizes the importance of promoting greater coordination and consultation within and between Governments, as well as with key stakeholders such as the transport industry and trade community.
Nacala: Japan grants US$280m loan to Mozambique (MacauHub)
Japan has granted an additional US$280m loan to Mozambique to be applied in the second phase of the project to expand Nacala port, per terms of an agreement signed on Thursday in Maputo, the Mozambican press reports. The loan is the last instalment granted by Japan for the project to develop Nacala port. In 2012 it granted US$30m and in 2013 a further US$70m, making for an overall total of US$380 million.
Africa’s infrastructure spend to hit $180b by 2025 (The Nation)
Swaziland: 9.1% decline forecast in sugar net payable prices (Swazi Observer)
The ongoing and further projected decline in sugar prices from the country’s major markets is set to have a negative impact on the local industry. As a result the Swaziland Sugar Association (SSA) has forecast a 9.1 percent reduction in net prices payable to its members in the coming season. In an interview, SSA Chief Executive Officer Dr Mike Matsebula revealed a combination of factors that provisionally threatened the viability of the industry.
South Africa: Itac applies cement duties on Pakistan (Business Day)
The International Trade Administration Commission of SA has imposed provisional anti-dumping duties of between 14.29% and 77.15% on Pakistani cement imports, up to and including November 13. This comes about 10 months after cement producers representing the industry in the Southern African Customs Union submitted an application to Itac saying they are suffering "material harm" from Pakistani cement dumping. "Pakistan’s exports to its traditional markets are declining and imports from Pakistan into Sacu increased more than 600% between 2010 and 2013," Itac said on Friday.
Chamber of Mines comes to members’ defence (Business Day)
There are potentially very serious repercussions for offshore-listed South African mining companies in the brewing battle over the differing views between the government and the industry on empowerment and compliance with the Mining Charter. In an unusually muscular response, the Chamber of Mines on Friday challenged the Department of Mineral Resources’ interpretation of the results of an audit of its members’ empowerment credentials and the consequent ministerial castigation of the sector’s transformation efforts over the past decade.
South Africa: statement by Inter-Ministerial Committee on Migration (GCIS)
Since the advent of democracy in our country, we have taken a very progressive approach to migration. We need a more focused approach to manage migration. Issues of migration management have been the sole responsibility of the Department of Home Affairs. However, as we move forward, we will be including all of Government in developing a new integrated migration policy to address our challenges in a collaborative and integrated manner. This process will further ensure the effective participation of stakeholders such as civil society and foreign national organisations in managing migration into our country.
Mozambique, Tanzania extend, scrap entry visas (StarAfrica)
Mozambique and Tanzania on Sunday signed a Visa Waiver Agreement on diplomatic, service and ordinary passports extending to 90 days the period of stay in the territory of each country against the previous 30 days of the initial agreement. According to Mozambican Interior Minister Basilio Monteiro, the agreement aims to make more fluid cooperation by facilitating the free movement of people and goods in both countries because there is an understanding in this sense at the level of the Southern African Development Community.
Smuggling destroying economy: CZI (NewsDay)
The country’s “porous” ports of entry have remained the major driver of low industrial capacity utilisation and subsequent loss of potential revenue to the national fiscus, the Confederation of Zimbabwe Industries has said. Outgoing Midlands CZI president Ben Mashangu told NewsDay last week that revenue leakages at the ports of entry were worsening the country’s deficit, a development that Finance minister Patrick Chinamasa acknowledged in his 2015 National Budget statement. “Our border posts are porous, we all know that. The country is not only losing lots of revenue through tax leakages, but the fraudulent influx of goods into the country has, and is, destroying our local industry. We can’t really talk of high capacity utilisation when cheap goods are being smuggled into the country on a regular basis, we need to promote our local industries first,” he said.
Smugglers limit tax revenues for Uganda (East African Business Week)
The government is losing over $4 million due to illicit trade of tobacco products on the local market British American Tobacco Uganda (BATU) told a news conference recently. During the tobacco company’s Annual General Meeting, the company’s managing. Danson Mwaura said Uganda is a hub for illicit tobacco products.
Zimbabwe: Gold output up in Q1 (The Herald)
Gold production registered a 25 percent growth in the first quarter of the same period last year to boost the mining sector’s growth for the period to $452 million in value terms. Chamber of Mines chief executive officer Mr Isaac Kwesu said the first quarter is looking better than the comparative period last year. He said coal had registered a 55 percent increase followed by nickel which jumped by 5 percent. The gold sector has particularly performed much better considering that it recorded a 2,1 percent decrease in the first quarter of 2014.
Dar investors acquire 51pc stake in Kenyan bank (Business Daily)
A group of Tanzanian investors has acquired a majority stake in a Kenyan bank in the first significant entry of Dar into the competitive local banking space. A disclosure note by lawyers Coulson Harney revealed the identity of investors behind M Holdings, who received a go-ahead from the Competition Authority of Kenya (CAK) to acquire 51 per cent of Oriental Bank, as shareholders of Bank M Tanzania.
Nairobi, Johannesburg stock markets to cross-list securities (Business Daily)
Cost of imports to rise on new EAC levy (Business Daily)
The cost of imports looks set to rise with the planned introduction of a one-per cent levy on goods coming outside the East Africa Community to fund the regional bloc’s budget. In the budget speech made to the East African Legislative Assembly last week, the levy was the only highlighted option among various choices for funding the regional budget. Currently, the budget is mainly funded by donors.
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Today’s quick links: Kenya, South Africa enter bilateral negotiations (CapitalFM) EAC cross-border payments credited (East African Business Week) Rwanda: Disparities in implementation of tax incentives irk manufacturers (New Times) NIRP to boost yearly manufacturing revenue by N5tr, says Aganga (The Nigerian Guardian) Johnnie Carson: 'Strategies to reset the frayed US-Nigeria relations' (Premium Times) Nigerian undergoes second Peer Review (Premium Times) China's Position Paper on the Post-2015 Development Agenda (Common African Position) India: Exports fall for fifth straight month (LiveMint) Janet Yellen is now taking a back seat to China (LiveMint) Peter Drysdale: 'Getting trade and currency policy instruments and objectives mixed up' (East Asia Forum) |
