Chinese state-owned Beijing Automobile International Corporation (BAIC) has signed a deal to invest 11 billion rand ($823.30 million) in an industrial zone in South Africa&#8217;s Eastern Cape province, the operator of the zone said on Thursday.
The deal will see BAIC open an automotive manufacturing plant in the Coega Industrial Development Zone near South Africa&#8217;s Nelson Mandela Bay, the Coega Development Corporation said in a statement.﻿

Beijing Automobile Intl Corp to invest $800 mln in S.African industrial zone

Nigeria&#8217;s government is to allocate 60 billion naira ($180 million) more spending on capital projects as part of the 2016 budget and in addition to earlier releases, Finance Minister Kemi Adeosun said on Friday, as it tries to boost the economy.
Africa&#8217;s largest economy is in the middle of its worst financial crisis for decades as a slump in oil revenues hammers public finances and the naira. The central bank governor has said recession is likely.
Government capital spending so far has exceeded 400 billion naira this year, Adeosun said, despite the record budget being held up for months by wrangling between President Muhammadu Buhari and parliament.﻿

Nigeria to allocate $180 mln more in capital spending -finance minister

Democratic Republic of Congo has cut its economic growth forecast for 2016 to 4.3 percent, compared with 6.9 percent last year, due to the impact of low commodity prices on its mining-dependent economy, the prime minister’s office said on Thursday.
Africa’s top producer of copper relies on its mining and smaller oil industry for about 95 percent of its export earnings. In June, the government slashed its budget by 22 percent in response to low commodity revenues.
Thursday’s downgrade from a June estimate of 5.3 percent growth is the third of the year. The government had originally predicted 9 percent growth.
Copper output slumped 14 percent in the first half of the year. Production of cobalt, the metal used in lithium-ion batteries and of which Congo is the world&#8217;s leading producer, slid by 13 percent over the same period. 
The statement from the prime minister&#8217;s office forecast inflation of 3.3 percent this year, up from less than 1 percent last year, as a shortage of dollars causes the country’s franc currency to depreciate.﻿

DR Congo cuts growth forecast for 2016 to 4.3 pct

Malawi&#8217;s headline inflation accelerated to 23.5 percent year-on-year in July from 22.6 percent in June, driven partly by higher food prices, the national statistics office said on Friday.
﻿

Malawi's July inflation quickens to 23.5 percent

Nearly 4,000 coal miners have lost their jobs in Mozambique&#8217;s Tete province over the past year as mining firms such as Brazil&#8217;s Vale cut back due to lower prices, the African nation&#8217;s state news agency said on Thursday.
Vale, which operates an open cast coal mine in the northwestern part of one of the world&#8217;s poorest countries, shed 2,348 workers, said the head of Tete province&#8217;s mineral resources department Portasio Aurelio.
Lower coal prices have forced mining companies to cut costs and the province has lost 3,937 jobs in the past year, Aurelio added.
Unless the coal price recovers, companies will face further losses, he said, adding taxes collected from mining companies have declined in the first half of the year to a fraction of the government&#8217;s target.﻿

Mozambique's coal mines shed 4,000 jobs as coal price drops: state news agency

Anglo American Platinum and the Road Agency Limpopo (RAL) signed a 3 5 million dollars memorandum of agreement (MOA) on Thursday in Johannesburg to help fund the development of road infrastructure in the Limpopo province.
The funding from Amplats will support an upgrade of the 20 kilometres D4180 road parallel to R37 that connects Polokwane and Burgersfort in Limpopo.
“We believe in playing an active role in understanding and supporting the Limpopo government’s development plans which are aimed at improving the local economy and improving the livelihoods of community members,” says Anglo American Platinum CEO, Chris Griffith.
RAL Chief Executive Officer, Petrus Matji says it took a clear position on how to approach road infrastructure delivery by identifying business partners who operate in the areas it develops, and then formed strategic partnerships which benefit a range of stakeholders.
The RAL campaign started March last year and has accumulated over 22.5 million dollars from some private partners namely, Exxaro Resources, Impala Platinum and Ledjadja coal.
“Exxaro Resources contributed 5.33 million dollars to the project, which is connecting 13 villages to the central business district of Lephalale,” he says.﻿

Anglo American Platinum contributes 3.5mln dollars to Limpopo Road Agency

The Coega Development Corporation signed a R11 billion ($821million) ﻿Investment with the Beijing Automobile International Corporation (BAIC), the biggest automotive investment in Africa in the last 40 years.
The BAIC investment is an outcome of the Forum on China-Africa Cooperation (FOCAC) that was held in Johannesburg in December 2015, where South Africa’s President Jacob Zuma and Chinese Prime Minister Xi Jinping signed no less than 26 bilateral agreements valued at approximately R100 billion.
According Minister of Trade and Industry, Dr Rob Davies the investment is significant and deepens our economic relationship with China.
“The size of this investment demonstrates confidence by China and confidence in South Africa as an investment destination. The investment is strategic and is a major project in terms of our bilateral relationship and a key project supported by the Inter Ministerial Committee on Investment”, says Davies.
Minister Davies adds that the project positions the Eastern Cape as an automotive hub and has the potential of deepening the component supply chain, job creation and economic development.
Why the Coega IDZ?
The CDC, which celebrates 16 years of existence, has empowered growth and development through driving sustainable socio-economic development in the Eastern Cape and the country at large.
The Coega IDZ is strategically located adjacent to the deep water Port of Ngqura and a few kilometres away from PE Port &#8211; with a container, car, break-bulk and bulk terminals. In addition, the CDC has easy access to rail, road, air and sea network as it is linked to all major in land road transport routes. The Coega IDZ’s infrastructure is relatively new when compared to older municipal infrastructure and other IDZ’s in the country.
The CDC has achieved results that have not been seen before by any other IDZ in Southern Africa; where in the last 4 years the organisation has attracted and signed 54 new investors with a combined investment value of R31.93-billion.
The new Special Economic Zone (SEZ) Act incentive scheme has gone a long way in ensuring that it addresses investor interest and needs. In addition, the Coega IDZ is the only IDZ to be designated with a custom control area (CCA). The logistics area in the Coega IDZ – Zone 1, and Zone 2 are both designated CCA’s, enabling qualifying investors to benefit from customs duty and VAT incentives﻿

China’s $821mln investment in S.A’s automotive industry

There was always the prospect that the local authority elections of early August would produce a seismic shift in South African politics. That shift became apparent on Wednesday with the ruling African National Congress (ANC) facing an impending political earthquake.
The massive vote of no confidence delivered by the electorate on August 3 produced an unprecedented series of swings to opposition parties and resulted in 27 hung authorities, including four of the country’s eight major metropolitan councils. It was clear there would be tremors across the political landscape. But, the near total exclusion of the ANC from all and any coalition/cooperation agreements and undertakings has shaken the landscape to its very core. Nothing is going to be the same again.
After weeks of deliberations, promises and smoke-filled rooms in the wake of the indecisive polls, one major opposition coalition emerged to foil the ANC on Wednesday, while another major player went its own way – but in total opposition to the ruling party. The ANC was left isolated and alone, with the exception of a few minor supportive parties.
The big winner was the Democratic Alliance (DA), whose multi-party coalition announced on Wednesday includes the United Democratic Movement (UDM), the Congress of the People (COPE), the African Christian Democratic Party (ACDP), Freedom Front Plus (FF+), and the Inkatha Freedom Party (IFP).
In Nelson Mandela Bay, the coalition between the DA, UDM, COPE and ACDP means the multi-party coalition has secured a 61-seat majority in the 120-seat council and the ANC has lost control of the metro. In addition, the coalition is set to take over several other councils across the country.
Up until Wednesday, the ANC was growing increasingly confident that it could hold Nelson Mandela Bay with the help of smaller parties, but once again it underestimated the tide turning against it.
The Economic Freedom Fighters (EFF) turned down coalitions with both the ANC and DA and said it would remain in opposition. However, in a hammer blow to the ANC, leader Julius Malema said the EFF would vote with the DA and other parties against the ruling party – a move that will guarantee a minority DA administration in Tshwane and possibly in the Johannesburg and Ekurhuleni metros as well.
In fact, the only reasonable prospect the ANC has of a minority administration is in Johannesburg, where the EFF support for the DA is conditional on the party discarding its mayoral candidate Herman Mashaba. A condition the DA will certainly refuse.
The EFF has set coalition conditions that neither the ANC nor the DA could entertain, and which the EFF most likely knew in advance. It allowed the EFF to take the political high ground and to claim it did not at any point betray its principles or the people who supported the party at the polls.
Nevertheless, this left the party as a major kingmaker and left the door open for deals with other opposition parties without the need for a formal alliance. The EFF played the coalition game significantly better than either of its two main rivals, leaving itself in a position of significant power, without making a single compromise.
It remains to be seen just how stable any minority administration can be with the constant threat of the withdrawal of EFF support hanging over all deliberations.
“We couldn’t be neutral, we had to take sides. This is history. We were caught between two devils,” Julius Malema said at a press conference on Wednesday. It would vote with the IFP in KwaZulu-Natal’s hung municipalities and with the DA in the metros of Ekurhuleni, Johannesburg, Tshwane, and Nelson Mandela Bay and the Service Delivery Forum in Rustenburg.
The tremors produced by these developments will run through the political environment and have an impact way beyond the new formation of local authorities that will emerge over the next few days. It presents a challenge to the ANC that it so far appears to be unable to meet.
The four days of so-called “introspection” at the recent ANC National Executive Committee (NEC) gathering appeared to produce nothing of the sort, with the party apparently ready to carry on as before and regardless of the local polls that clearly doubled as a national referendum on ANC leadership.
Hopefully, the shock of losing control over the three Gauteng metro councils – that between them account for the vast majority of the country’s GDP – and the symbolically important Nelson Mandela Bay will cause the hitherto silent opposition in the NEC to the national leadership of the party, including President Jacob Zuma, to find their voice. For the sake of the ANC, those voices had better find some volume soon, because if the current top six are allowed to remain in power for even another few months, the decline in ANC support evident on August 3 will continue and become irreversible.
This could turn current hung councils into a hung Parliament. If the brains trust in the NEC believed President Zuma and his current allies would destroy the ANC on the basis of the evidence of the past two weeks, we might yet see some shift in the position the party has taken on the issues of national leadership.
An important element in this debate is going to be the role of the alliance partners in the Congress of South African Trade Unions (Cosatu) and the South African Communist Party (SACP), who would almost certainly be re-evaluating their position in an alliance that hangs on the edge of a precipice.
The new coalition that will take over some local authorities, including some of the metro councils, as well as the decision by the EFF to support its opposition counterparts on an issue-by-issue basis, is not guaranteed to produce a stable government. In particular, the EFF’s decision to sit as opposition but hold the power to bring down minority administrations is not conducive to stable government.
Coalition-rule and minority-government require a degree of political maturity not always evident in the South African environment, and given the wide ideological divides, it may be even more difficult to maintain governance and service delivery with so many competing agendas.
The coalition and the EFF tend to be more opposed to the ANC than in agreement on something. Unless that is addressed by solid policy changes and swift implementation, the coalition will be anti-ANC, but not much else.
South African politics is certainly heading for something completely different, but whether that is a fundamental shift in governance, policy making and service delivery to the benefit of the people that breaks with the recent dubious past of the ANC, or becomes an environment of the absurd, remains an open question.
All the elements are in place for a process to unfold that drags South Africa out of its current political and economic quagmire, but the stark warning is that those very same elements have the potential to speed our descent into deeper instability and economic stagnation.
We argued previously that, following August 3, South African politics would never be the same again – but for better or worse remains to be seen. ﻿
Gary van Staden is a Senior Political Analyst at NKC African Economics﻿.

Is South Africa's future on shaky ground?

With South Africa&#8217;s #feesmustfall reloaded slowly gaining momentum, it is yet to be seen whether students will be singing the same song in this year’s protests.
Some universities in KwaZula-Natal and Gauteng shut down campuses on Wednesday on rumours of a possible major fee hike after Minister of Higher Education and Training Blade Nzimande postponed his media briefing on the issue. The Democratic Alliance’s (DA) student body for tertiary institutions, Democratic Alliance Student Organisation (DASO) recently condemned the shutdown of universities.
Last year in October, universities across South Africa went on a shut down after announcements that tuition fees for 2016 would get a 10.5 % inflation-linked increase. President Jacob Zuma then addressed students at the Union Buildings and announced a 0% “fee increase” for this year. This was greeted by scenes of student contentment.
Not long after, communication broke down between students and Student Representative Councils (SRCs) as some students from universities such as Wits, University of Cape Town, and Rhodes University wanted to continue with the strike for free education. Rumours surfaced of SRC leaders holding secret talks with government and accepting bribes, posing critical questions on the credibility of SRCs.
In this year’s looming protests, student leaders want students to be leaders. Consultations between South African Union of Students (SAUS) and student political organisations from universities are ongoing as part of accountability to scholars.
“We want students to lead the struggle with the guidance of the SRC. Last year students were led by just students so we want to remove that,” says Avela Mjajubana, president of SAUS.
Mjajubana says this time it has clarity and wants ‘free quality education’ for 2017. It has engaged with stakeholders and SRCs to address other issues faced by universities. EFFSC President Mpho Morelane said it was not interested in shutdown calls instructed by SAUS, describing them as ‘temporary strikes’. Nevertheless, according to Mjajubana, SAUS was going to have a meeting with EFFSC leadership on Wednesday afternoon.
“We will be meeting with them; we will get clarity to why they don’t want participation because the free education call is a genuine call. We will be meeting with them to hear what they are rejecting from the union,” says Mjajubana.
This followed after DASO opposed the shutdown saying the protests would not solve the problem and put the blame on SAUS.
“Such a move will only make the situation worse for all students, especially those from poor backgrounds, by disrupting valuable academic teaching and support,” reads a statement issued by DASO on the DA’s website. “The calls to disrupt teaching time by the poorly disguised ANC front organisation, SAUS, is nothing more than an attempt to distract attention away from the Luthuli House’s blame in this regard.”
DASO called on Universities and students to stand together to hold on to what it describes as ‘real culprits’ – the ANC government and Blade Nzimande. Mjajubana says SAUS is still waiting on its secretary general to see whether DASO is meeting with them or not.
South African Students Congress (SASCO) says it is taking part in consultations with stake holders and wants free education for the poor and that it is still working on funding models of their demands. It  criticised DASO and EFFSC for boycotting the shutdowns and questioned their intentions with last year’s protests and the protests in January.
“It shows that their intentions weren’t really student related concerns, they were targeting the government for whatever they were targeting in particular towards the local government elections,” says Tembani Makata, Sasco secretary general of SASCO.
Makata goes on to criticize both DASO and EFFSC’s refusal to participate in SAUS which is made up of all SRC members who represent all political organisations.
“To us it is a problem because they have a proper platform to engage with SRC deployees that are coming from different political organisations with different mandates, to at least reach particular concerns on how we are going forward,” says Makata. “It does now show that their leadership is concerned about students but it shows they are concerned more about their political mother bodies.”
Makata went on to say SASCO is not an ally of the ANC. “We are not a student wing of the African National Congress. The ANC has a youth structure which is the ANC youth league, we have an understanding with the ANC and we have relations which are based on our ability to compliment and criticize the ANC.”
Makata says DASO and EFFSC are ‘direct products’ of their organisational structures and are not able to differentiate between parent party political issues to institutional issues.   
SAUS’s Mjabjubana says the union has fears of political affiliations denting the student movement and dividing students. “If you have a fraction of a student political organisation saying they distance themselves, it means those who are following them will also have that mentality.” 
President Jacob Zuma appointed a commission of enquiry for feasibility of free education in the wake of fees must fall protest in January this year. The report which was tasked for eight months was extended until November. The SAUS rejects and opposes this move.
“We are disappointed with the pace of the established commission. It can’t be that a commission has only started to deal with logistics in the past six months,” says Mjajubana.
University of KwaZulu-Natal (UKZN) campus in Pietermaritzburg and the Walter Sisilu University Umtata campus cancelled its lectures and University of Johannesburg have started with demonstrations. Divisions between students were visible when Congress of SA Students  (COSAS) labelled SASCO ‘Lazy’ after SASCO dragged high school children to join them in their fees must fall protest in University of Johannesburg Doornfontein campus.
 SAUS has called on universities to arrange mass meetings which will end on Saturday 20th of August when the last university, Walter Sisulu, will hold a mass meeting.

South Africa: Student political affiliations vs free education

Nigerian oil minister Emmanuel Ibe Kachikwu said on Thursday that while a cut in OPEC production is unlikely, there is hope a meeting of producers in Algeria next month could help shore up crude prices.
Kachikwu also said in a speech in Lagos that his country&#8217;s oil output had fallen to 1.56 million barrels per day (bpd) as persistent militant attacks took out some 700,000 bpd.
But he cast doubt on any plans by members of the Organization of the Petroleum Exporting Countries to voluntarily reduce their output at the meeting in Algeria.
&#8220;Are we cutting volumes? I don&#8217;t see that happening,&#8221; Kachikwu told reporters, but added that all options are on the table and other action could have an impact.
&#8220;Will that meeting help lift the price? Well yes if we succeed in having conversations with Russia, the USA and Mexico.&#8221;
Russian output currently hovers near an all-time high of 10.85 million bpd. It has signalled it is no longer keen on a dialogue to freeze output and would continue boosting production. North American producers are also expected to add more barrels.
Four streams of Nigeria&#8217;s oil, including the country&#8217;s largest, Qua Iboe, along with Bonny Light, Brass River and Forcados are currently under force majeure.
Kachikwu said the violence had also slashed domestic gas supply this year from 1,400 millions of standard cubic feet (mmscf) to 550 mmscf.﻿

Nigeria oil min says OPEC cuts unlikely, Algeria meeting could help price

The Nigerian naira traded at an all-time low of 365.25 to the dollar on Thursday in a single interbank market trade of $1 million, Thomson Reuters data showed.
Interbank trading started two hours after the market opened and offered the currency sharply lower against the dollar. A total of $13 million had been traded by 1235 GMT.﻿

Nigeria naira sinks to new all-time low of 365.25 per dollar

The finalists in the 2016 All Africa Business Leaders Awards (<a href="http://abnproductions.us3.list-manage1.com/track/click?u=1d08c0171970b828f4fbe43f8&amp;id=43091f5ed2&amp;e=9218000239" target="_blank">AABLA</a>) in Partnership with CNBC Africa were announced during a live broadcast on DStv Channel 410 on Wednesday night, marking the start of the award that will travel to East, West and Southern Africa, to recognise the best in business across the continent.   The live finalists announcement on CNBC Africa brought together members of the press, key stakeholders and sponsors to reveal this years contenders for the sixth season of the awards.   Working through over a hundred qualifying submissions, judges spent well over two months examining, analyzing and deliberating the candidates for 2016, narrowing it down to only a handful of business leaders per category, in each region.   The 2016 AABLA finalists for each region are:
<ul>
<li>Young Business Leader of the Year – East Africa presented by Lancaster University Ghana and Transnational Education Africa</li>
<ul>
<li>Darshan Chandaria, Director and Group CEO of Chandaria Group</li>
<li>Trushar Khetia, Founder and CEO of Tria Group</li>
<li>Jean de Dieu Kagabo, Founder and CEO of Soft Group</li>
</ul>
<li>Young Business Leader of the Year – Southern Africa presented by Lancaster University Ghana and Transnational Education Africa</li>
<ul>
<li>Linda Olagunju, Founder and Managing Director at DLO Energy Resources</li>
<li>Jackie van Niekerk, CEO of Pivotal Property Fund</li>
<li>Siya Beyile, Founder of The Threaded Man</li>
</ul>
<li>Young Business Leader of the Year – West Africa presented by Lancaster University Ghana and Transnational Education Africa</li>
<ul>
<li>Tope Aroge, Managing Director of the Arog Bio Allied Agro Services</li>
<li>Seun and Seyi Abolaji, Founder&#8217;s and Managing Director&#8217;s of Wilson&#8217;s Juice Company</li>
<li>Uneku Atawodi, Founder of Bamboo Green Concepts</li>
</ul>
<li>Entrepreneur of the Year – East Africa</li>
<ul>
<li>Ashok Shah, CEO of APA Insurance</li>
<li>Bimal Kantaria, Director of Elgon Kenya</li>
</ul>
<li>Entrepreneur of the Year – Southern Africa</li>
<ul>
<li>Stephen Saad, Group CEO of Aspen Pharmacare</li>
<li>Magda Wierzycka, CEO of Sygnia Asset Management</li>
<li>Mark and Brett Levy, Joint-CEO of Blue Label Telecoms</li>
</ul>
<li>Entrepreneur of the Year – West Africa</li>
<ul>
<li>Paul Orajiaka, is the Founder of Auldon</li>
<li>Wole Faroun, CEO of Netplus Advisory</li>
<li>Suleiman Yusuf, CEO of Blue Camel Energy</li>
</ul>
<li>Business Women of the Year – East Africa</li>
<ul>
<li>Bethlehem Tilahun Alemu, Founder of soleRebels</li>
<li>Joseline Kateeba, Managing Director of Crest Foam</li>
</ul>
<li>Business Women of the Year – Southern Africa</li>
<ul>
<li>Lindani Dhlamini, CEO of SekelaXabiso</li>
<li>Monica Singer, CEO of Strate</li>
</ul>
<li>Business Women of the Year – West Africa</li>
<ul>
<li>Sola David-Borha, CEO of Stanbic IBTC Holdings</li>
<li>Udo Okonjo, CEO and Founder of Fine &amp; Country West Africa</li>
<li>Bilikiss Adebiyi Abiola, CEO of Wecyclers</li>
</ul>
<li>Innovator of the Year – East Africa</li>
<ul>
<li>Danson Muchemi, Founder of Web Tribe</li>
<li>Patrick Buchana, Founder of AC Group</li>
<li>Ernest Kayinamura, CEO of Hexakomb</li>
</ul>
<li>Innovator of the Year – Southern Africa</li>
<ul>
<li>Thato Kgatlhanye, Founder of Rethaka</li>
<li>Stacey Brewer and Ryan Harrison, Founders of SPARK Schools</li>
</ul>
<li>Innovator of the Year – West Africa</li>
<ul>
<li>Bilikiss Adebiyi Abiola, CEO of Wecyclers</li>
<li>Bright Simons, President of mPedigree Network</li>
</ul>
<li>Company of the Year – East Africa</li>
<ul>
<li>APA Insurance</li>
<li>Bank of Kigali</li>
<li>National Microfinance Bank (NMB)</li>
</ul>
<li>Company of the Year – Southern Africa</li>
<ul>
<li>Discovery</li>
<li>Bidvest</li>
<li>Aspen Pharmacare</li>
</ul>
<li>Company of the Year – West Africa</li>
<ul>
<li>Dangote Group</li>
<li>LafargeHolcim</li>
<li>Nestlé Central &amp; West Africa</li>
<li>Zenith Bank</li>
</ul>
<li>Business Leader of the Year – East Africa presented by Bosch</li>
<ul>
<li>Juliet Umutoni, Country Manager of DHL Express Rwanda</li>
<li>Egide Gatera, Chairman of Rwanda Mountain Tea</li>
<li>Fatima Abubakar, Country Manager of DHL Express Uganda</li>
</ul>
<li>Business Leader of the Year – Southern Africa presented by Bosch</li>
<ul>
<li>Adrian Gore, Founder and CEO of Discovery</li>
<li>Mike Brown, CEO of Nedbank</li>
</ul>
<li>Business Leader of the Year – West Africa presented by Bosch</li>
<ul>
<li>Abdulsamad Rabiu, Founder of BUA Group</li>
<li>Issam Darwish, Executive Vice Chairman and CEO of IHS Holding</li>
<li>John Bonoh Sisay, CEO of Sierra Rutile</li>
</ul>
</ul>
The Lifetime Achievement Award in each region and for All Africa will once again be selected by the judging committee and announced on the night. The Industrialist of the Year category presented by the IDC along with the Philanthropist of the Year, will take on a similar format.   The AABLA, now in their sixth year, recognise Africa’s bold leaders and change-makers of business in East, West and Southern Africa. The regional events will be staged in Kigali on September 8, Johannesburg September 29 and Lagos October 20 with the Finale taking place in Johannesburg on November 11.   The winners of each region will go through to the Finale to crown an All Africa winner per category.   For more information, go to <a href="http://abnproductions.us3.list-manage.com/track/click?u=1d08c0171970b828f4fbe43f8&amp;id=ff1f3111a2&amp;e=9218000239">www.aablawards.com</a> and follow the 2016 All Africa Business Leaders Awards (<a href="http://abnproductions.us3.list-manage.com/track/click?u=1d08c0171970b828f4fbe43f8&amp;id=332a11893d&amp;e=9218000239" target="_blank">AABLA</a>) in Partnership with CNBC Africa on Twitter: @aablawards   The AABLA are supported by Bakgatla Ba Kgafela, Lancaster University Ghana and Transnational Education Africa, Bosch, WIPHOLD, IDC, Jaguar Land Rover, University of Rwanda, Wits Business School, Lagos Business School, Radisson Blu Kigali, Independent Newspapers and Forbes Africa.
 The event is proudly produced by ABN Productions.﻿

2016 All Africa Business Leaders Awards finalists announced

<div class="inlineRelatedContent">ABUJA &#8211; Nigeria will need to combine monetary policies with fiscal and structural policies in order to overcome its worst economic crisis in decades and return to growth, President Muhammadu Buhari said on Thursday.</div>
Nigeria is in the middle of its worst crisis in decades as a slump in oil revenues hammers public finances and the naira. Gross domestic product shrank in the first quarter and the central bank governor has said a recession is likely.
<div class="teads-inread sm-screen">
<div>
<div class="teads-ui-components-label">&#8220;We fully understand that monetary policy alone is not sufficient to bring about desired economic growth,&#8221; Buhari told a meeting of African central bank governors in Abuja.</div>
</div>
</div>
&#8220;For us in Nigeria, while we recognise the challenges we are confronting &#8230; we are determined to diversify the economy away from the excessive reliance on oil and other primary products.&#8221;
Economists have criticised Buhari and the government for not doing enough to address the crisis.
Nigeria&#8217;s central bank raised interest rates last month, and has been soaking up liquidity in order to support the naira, which has lost around 40 percent of its value since it was floated in June.
Buhari said the continent was confronted with slowing growth, weakening demand, rising inflation, restrictions to capital flows, rising debt levels, increases in exchange rate volatility and a depletion of foreign reserves.
The central bank governors were meeting to discuss ways to safeguard their economies from the expected unwinding of loose monetary policies in the leading developed economies.
 (Reporting by Chijioke Ohuocha and Felix Onuah; Editing by Kevin Liffey)﻿

Nigeria's Buhari says monetary policy alone not enough to expand economy

If political parties and media houses are going to be responsive in the new era of South African coalition politics, they should pay attention to social media.
Social media’s strength is that it measures emotion and sentiment when it comes to voters’ attachment to the brand of political parties. A poll conducted by survey cannot quite capture this freely offered informational landscape of social media. This is according to social analytics firm BrandsEye.
Coalitions must be true to the political brand
Sentiment, with regards to the brand of a party, is even more vital when parties begin to work together.
Note how the Liberal Democrats suffered terribly in their coalition with Conservatives in Britain in the country’s previous parliament. The brand of the Liberal Democrats could simply not survive its alliance with an austerity-driven Tory government, whilst there was an increasingly left wing Labour party vocal in its opposition. Their brand lost relevance.
A South African parallel would be the EFF forming a coalition with the ANC – which they could have done to form governments in both Johannesburg and Tshwane.
If you look at the social media analytics, one of the data points which required interpretation ahead of the election was the high, positive sentiment being directed towards the EFF. This represents more of a protest voice against the ANC than a swelling of voters heading towards the arms of the Fighters.
The corollary to this pre-election analysis is the post-election prediction that if the EFF should decide to ally with the ANC, at any stage in the future, it would completely undermine its own brand.
All the parliamentary rhetoric and theatre related to Nkandla and Marikana would suddenly be emptied of all prior meaning. Their brand would relinquish its core narrative of a corrupt and even murderous ANC that must be ousted were they suddenly to share power with the erstwhile ‘oppressors’.
There are also risks for them, however, in forming coalitions with the DA: their rhetoric of ‘white arrogance’ and ‘white imperialism’ would seem to undermine joining together with the party that has its historical roots in white liberalism.
While a DA coalition is surely not as much of an existential threat for the EFF as Julius Malema joining forces with the party that actually expelled him, the EFF cannot ignore the pitfalls along this path either. At the same time, they cannot simply ignore the opportunity to wield power, and thereby deny power to the ANC.
It would seem that their way forward is to look for specific opportunities to govern, perhaps in smaller municipalities, while playing a more minor, yet niched, role in metro coalitions. Such a scenario would the see the larger DA govern in Johannesburg and Tshwane, but perhaps the EFF influencing land allocation where applicable and some other budget priorities.
For the DA, the way forward is much clearer
The DA brand is predicated on technocratic excellence. They can join arms with any party besides Zuma’s ANC and still maintain this brand. The EFF has not yet been tarnished with corruption, and should they govern with the EFF, it would be very difficult for a smaller alliance partner to allow so much corruption in their specific portfolios they are granted that metro-wide service delivery is threatened.
A coalition with the EFF does pose some ideological problems. At a municipal level, however, questions of nationalisation are largely null and void. DA supporters want the ANC out. They will tolerate an EFF coalition at a local level as long as such a coalition respects the democratic mandate given by the voters – that is, a much larger share of power granted to the policy positions and technical efficiencies of the DA. (Already social media data is pointing this way.)
The DA brand is tied to tangible, deliverable results. This is why the local elections were so important for them. Their brand depends on them governing – and for them to challenge nationally, they need to begin governing locally beyond their Western Cape stronghold. Any coalition headed by the DA has to ensure they can show good governance. If not, they should walk away.
While coalition politics comes with its challenges for the DA and the EFF, for the ANC the equation is simple: Hold on to power with any partner who will have you, at virtually any cost.
The Cape Town narrative is the spectre haunting the ruling party currently. They narrowly lost power there a few election cycles ago to a DA-led coalition, and now they hardly exist there as opposition, with no real plan to regain power ever.
Voter sentiment can reach breaking point
But the real lesson the ANC needs to face goes deeper than the art of building coalitions. The data simply shows a party facing a severe backlash for having ignored its urban electorate for so long.
In this sense, perhaps ironically, the ANC exemplifies the potential of using social media data: if they had gauged voter sentiment far earlier, they would have realised that the Mandela/liberator brand they still tenuously hold is in peril.
Without real, visible reform in how they deliver for voters, the brand of being the people’s party can, and will, be tarnished forever. This is a lesson for political parties worldwide. Voter sentiment can tolerate only so much, and therefore should never be ignored.﻿

OPINION: Coalition Politics – Pay attention to social media

Ghana is on target to halve its fiscal deficit this year after its $918-million aid deal with the International Monetary Fund, Finance Minister Seth Terkper said on Wednesday.
His comments appeared designed to allay uncertainty over the deal that emerged this month when parliament rejected a key component that was designed to promote fiscal discipline. The following day the government suspended a planned Eurobond issue.
The government issued a bill to eliminate central bank financing of the budget deficit in line with the requirements of the deal but on Aug. 2 parliament passed the bill with an amendment allowing financing of up to 5 percent.
Ghana&#8217;s public debt eased to 63 percent of GDP in May from 72 percent at the end of 2015, while consumer inflation dropped to 16.7 percent in July from 19 percent in January, Terkper said, citing the impact of the deal that began in April 2015.
The central bank expects inflation to slow to 8 percent, plus or minus two, by September 2017.
&#8220;We are set to halve the deficit from 12 percent in 2012, and we have also started stemming the rate of growth of the public debt,&#8221; he told a meeting of private businesses in Accra.
Ghana, which exports cocoa, gold and oil, signed the assistance programme to bring down inflation and the budget deficit and stabilize the currency.
Terkper said the debt stock could rise marginally to 65-66 percent of GDP on planned disbursements towards the end of the year but will remain below 70 percent.
Ghana pulled out of a planned five-year $500 million amortising Eurobond this month because investors demanded a yield higher than the single digits the government had expected.
Terkper led the government finance team on the deal and said his team only suspended pricing of bids.
&#8220;We did not call off the 2016 bond &#8230;. What we did was to suspend pricing &#8230;. We must sometimes hold our nerves when we&#8217;re in the capital market to look for the right window before we strike in order to get the best results,&#8221; he said.
Ghana will on Thursday begin pumping oil from a second offshore oil field, Tweneboa-Enyenra-Ntomme or TEN, in addition to its flagship Jubilee production which began in late 2010.﻿

Ghana on track to halve budget deficit after IMF deal

Zambia&#8217;s main opposition party will file a court petition against President Edgar Lungu&#8217;s re-election to the helm of Africa&#8217;s second-largest copper producer on Thursday, its vice president said on Wednesday.
The United Party for National Development says some electoral officials colluded with the ruling Patriotic Front to rig the vote, handing victory to Lungu over rival and main opposition leader Hakainde Hichilema. Both sides deny the charge.
&#8220;We have been robbed of this election, that is a fact and it shall be proved after 14 days,&#8221; the party&#8217;s vice president, Geoffrey Mwamba, told a news conference in the southern African nation&#8217;s capital.
&#8220;We have enough evidence to secure us a judgment which has so much being awaited by the Zambian people,&#8221; Mwamba said.
The inauguration of the president had initially been set for Aug. 23, but a law introduced in January says the winning candidate cannot be sworn in if the vote is contested in the Constitutional Court, which has two weeks to decide on such a petition.
Secretary to Zambia&#8217;s cabinet, Roland Msiska, acknowledged the Aug. 23 date would have to be revised because of the petition. &#8220;The inauguration will depend on how quickly the Constitutional Court disposes of the case,&#8221; he told Reuters.
The UPND said on Saturday data from its own parallel count showed economist and businessman Hichilema beating Lungu, a lawyer, &#8220;with a clear margin&#8221; with about 80 percent of votes counted.
The election results released on Monday means Hichilema has now lost five presidential elections.
The election was fought around an economy suffering an economic slump due to depressed commodity prices that has led to mine closures, rising unemployment, power shortages and soaring food prices which Hichilema, blamed on Lungu&#8217;s mismanagement.
Lungu blames Zambia&#8217;s economic woes on its over-reliance on copper exports, and says his government has been working to diversify the economy by investing in other sectors like agriculture.﻿

Lungu's re-election to be challenged in court by Zambia opposition party

By Mitch Phillips
Hot favourite Caster Semenya qualified for the Olympic women&#8217;s 800metres semi-finals with supreme ease on Wednesday and will no doubt be braced for another wave of discussions about her gender should she go on to take the gold medal on Saturday.
<div class="teads-inread">
<div class="teads-ui-components-label">The South African has dominated the event this season and there has even been speculation that she could take down Czech Jarmila Kratochvilova&#8217;s 1983 record of 1 minute, 53.28 seconds &#8211; the longest standing athletics world record and widely considered to have been chemically enhanced.</div>
</div>
Many observers consider Semenya to be also running with an unfair advantage, albeit one she can do little about.
After winning the 2009 world title as a 19-year-old, tests by the sport&#8217;s governing body are reported to have revealed that Semenya was hyperandrogenous, resulting in her body producing an abnormally high amount of testosterone which makes her more powerful than her rivals.
An International Association of Athletics Federations (IAAF) rule limiting the amount of naturally occurring functional testosterone for female athletes appeared to have brought an end of Semenya&#8217;s career, but the rule was quashed by the Court of Arbitration for Sport last year.
Semenya had struggled to rediscover the form of her breakthrough year &#8211; some observers blaming the dip on medication to reduce the testosterone &#8211; but this season she has roared back to her best and came to Rio with the two fastest times of the year and unbeaten on the Diamond League circuit.
IAAF president Sebastian Coe said last week that his organisation was planning an appeal against the CAS ruling, so this week could turn out to be Semenya&#8217;s last chance for Olympic glory following her silver medal four years ago.
She won her heat in 1.59.31 and, though it looked as if she was enjoying a Sunday morning jog in the park, she said it was harder than she made it appear.
&#8220;It wasn&#8217;t easy, It was pretty hot,&#8221; she said. &#8220;I just tried to hang on and tried to feel my body first so I was comfortable, I tried to just get in the top two and tried to win so I would be safe for the semi-finals.
&#8220;I am not focused on any world records, I am focused on enjoying my championship and it&#8217;s going to be a tough 800. Times don&#8217;t matter but medals matter.&#8221;
Belarusian Maryna Arzamasava and Canada&#8217;s Melissa Bishop, first and second in last year&#8217;s world championships, found themselves in the same heat but took both automatic qualifying spots for Saturday&#8217;s final with the two fastest times of the day, just under a second quicker than Semenya.
Russian duo Mariya Savinova and Ekaterina Poistogova, first and third in the race in London four years ago, were unable to take part in Rio due to the doping ban on the country&#8217;s athletes.﻿

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CNBC Africa

Beijing Automobile Intl Corp to invest $800 mln in S.African industrial zone

Nigeria to allocate $180 mln more in capital spending -finance minister

DR Congo cuts growth forecast for 2016 to 4.3 pct

Malawi's July inflation quickens to 23.5 percent

Mozambique's coal mines shed 4,000 jobs as coal price drops: state news agency

Anglo American Platinum contributes 3.5mln dollars to Limpopo Road Agency

China’s $821mln investment in S.A’s automotive industry

Is South Africa's future on shaky ground?

South Africa: Student political affiliations vs free education

Nigeria oil min says OPEC cuts unlikely, Algeria meeting could help price

Nigeria naira sinks to new all-time low of 365.25 per dollar

2016 All Africa Business Leaders Awards finalists announced

Nigeria's Buhari says monetary policy alone not enough to expand economy

OPINION: Coalition Politics – Pay attention to social media

Ghana on track to halve budget deficit after IMF deal

Lungu's re-election to be challenged in court by Zambia opposition party

South Africa's Caster Semenya qualifies for 800m heat with ease

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