Category: Southern Africa
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South Africa’s ANC to introduce amended land claims bill in May
South Africa’s ruling party will introduce an amended land rights bill in parliament in May after the top court declared invalid a law that re-opened a process for blacks to make claims on land taken from them during white-minority rule. The Restitution of Land Rights Bill, allowing state expropriations of land to redress racial disparities,…
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S.Africa could suffer further downgrades if political uncertainty stalls growth: S&P
South Africa’s credit rating could get downgraded deeper into junk status if political uncertainty triggered by the recent firing of the finance minister stalls reforms needed to grow the economy, an executive from S&P Global Ratings said on Wednesday. “There are risks that potential growth outcomes could be weakened, especially with uncertainty that’s been brought…
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Botswana’s 300 MW power plant stalled over $800m guarantee dispute
The 300 megawatt (MW) expansion of two units at Botswana’s Morupule B coal fired power plant has been delayed due to a dispute with the contractor over an $800 million guarantee, a cabinet minister said on Wednesday. Japan’s Marubeni and South Korea’s Posco Energy were last year awarded the contract for the expansion, but a…
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S.A:We will do all we can to avoid another downgrade – Gigaba
South Africa’s new finance minister pledged on Thursday to do what he can to keep the country from a third credit downgrade to junk status, saying he would meet ratings firm Moody’s to persuade it he will stay on the path of fiscal discipline. Malusi Gigaba, who replaced the respected Pravin Gordhan in a cabinet…
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S.A:Africa’s biggest grocery retailer Shoprite looks beyond the continent
Africa’s biggest grocery retailer Shoprite is considering a push into Eastern Europe, where it hopes to use knowledge gleaned from former suitor Steinhoff International, its new CEO told Reuters. The move signals a change in strategy for Shoprite under Chief Executive Pieter Engelbrecht, 47, as sovereign rating downgrades and a weak economy cloud prospects at…
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South Africa:Financial Inclusion Remains a Work in Progress
On the surface, South Africa appears to be financially inclusive compared with other emerging markets: 70% of adults, for example, have a transaction account. However, it’s not nearly as inclusive as most mature markets, and serious and stubborn gaps remain, according to a new report by The Boston Consulting Group. Improving Financial Inclusion in South…
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South African tumult hinders Barclays’ exit from continent
Barclays’ plan to sell its African business and pull out of the continent are being hindered by South Africa’s political upheaval and credit-rating downgrades, according to banking sources and fund managers. The British bank gave itself 2-3 years to sell its controlling stake in Johannesburg-based Barclays Africa when it announced the plan in early 2016,…
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South African: Fitch downgrades big-five banks to junk
Fitch Ratings has downgraded the Long-Term Issuer Default Ratings (IDRs) of five South African banks to ‘BB+’ from ‘BBB-‘. The banks affected are Absa Bank Limited, FirstRand Bank Limited (FRB), Investec Bank Limited (IBL), Nedbank Limited (Nedbank) and Standard Bank of South Africa (SBSA). Fitch has also downgraded the Long-Term IDRs of four bank holding…
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Zimbabwe: Penhalonga Diamonds Find Worries Locals
Residents here say they were worried following reports that there could be deposits of kimberlite diamonds in the community and surrounding areas. Villagers fear that the experiences at Marange could be repeated in their community. The government unleashed the army in a bloody campaign on Marange after thousands of panners swooped on the district following…
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S.A:Treasury Refuses to Release More Bond Notes Amid Cash Shortages
Zimbabwean Finance Minister Patrick Chinamasa has refused to add more bond notes into the southern African country’s struggling market, insisting that the country’s only solution was to increase exports, said a report on Monday. According to Newsday, Chinamasa told the country’s national assembly last week that he was against a further release of the bond…