<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="357" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg" alt="" class="wp-image-400669" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1-300x175.jpg 300w" sizes="(max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">World map with charts and graphs as symbols of global finance</figcaption></figure>



NAIROBI, July 25 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Thursday.



GLOBAL MARKETS



Asian shares were hammered on Thursday as a slump in global tech stocks sent investors fleeing into less risky assets, including short-dated bonds, the yen and Swiss franc.



WORLD OIL PRICES



Oil prices eased on Thursday as concerns over weak demand in China, the world&#8217;s largest crude importer, and expectations of a nearing ceasefire deal in the Middle East overcame gains in the previous session after draws in U.S. inventories.



SOUTH AFRICA MARKETS



The South African rand recouped some losses against a weaker dollar on Wednesday even as national inflation slowed, fuelling hopes of an interest rate cut by the South African Reserve Bank (SARB).



NIGERIA PETROLEUM



Eni has received formal approval from the Nigerian Upstream Petroleum Regulatory Commission to sell its unit Nigerian Agip Oil Company (NAOC) to the country&#8217;s leading energy company OANDO, the Italian group said on Tuesday.



NIGERIA POLITICS



Nigeria&#8217;s government on Wednesday pleaded for more time and patience to end economic hardships as citizens mobilise for demonstrations, a day after the country&#8217;s police chief warned against protests.



KENYA MARKETS



Kenya&#8217;s shilling was weaker against the dollar in early trade on Wednesday, LSEG data showed.



KENYA POLITICS



Kenyan President William Ruto on Wednesday nominated four members of the main opposition party to a &#8220;broad-based&#8221; cabinet he promised in response to nationwide protests, but activists criticised the new government as a corrupt bargain.



((Compiled by Nairobi Newsroom))

World map with charts and graphs as symbols of global finance

African Markets – Factors to watch on July 25

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-400697" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1-300x200.jpg 300w" sizes="(max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">Double exposure of coin stack with city background and world map, financial graph, world map and global network business concept idea, element by NASA.</figcaption></figure>



JOHANNESBURG, July 25 (Reuters)&nbsp;&#8211;&nbsp;The following economic event, equity and currency market moves may affect South African markets on Thursday.



ECONOMIC EVENTS



Statistics South Africa will publish the country&#8217;s producer inflation figures for June.



SOUTH AFRICAN MARKETS



The South African rand recouped some losses against a weaker dollar on Wednesday even as national inflation slowed, fuelling hopes of an interest rate cut by the South African Reserve Bank (SARB).



On the stock market, the Top-40 index was last down 0.2%.



GLOBAL MARKETS



Asian shares were hammered on Thursday as a slump in global tech stocks sent investors fleeing into less risky assets, including short-dated bonds, the yen and Swiss franc.



WALL STREET



The S&amp;P 500 and Nasdaq ended at multi-week lows on Wednesday, with the S&amp;P snapping one of its longest streaks without a daily decline of more than 2%, as lackluster Alphabet and Tesla earnings undermined investor confidence in megacap names.



GOLD



Gold prices fell nearly 1% on Thursday, as investors booked profits ahead of U.S. economic data that could offer more cues on when the central bank will cut interest rates this year and by how much.



&#8211; &#8211; &#8211; &#8211;



Some of the main stories out in the South African press:



BUSINESS DAY



&#8211; SA mounts bid to hang on to its Agoa trade benefits



&#8211; Tide is slowly turning for distressed SA household finances



(Compiled by Tannur Anders)

istockphoto-1076949610-612×612-1

South African Markets – Factors to watch on July 25

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="499" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/QW76VFKRQNM3RCXVXVQ5TDQVFY-820x499.jpg" alt="" class="wp-image-510929" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/QW76VFKRQNM3RCXVXVQ5TDQVFY-820x499.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/QW76VFKRQNM3RCXVXVQ5TDQVFY-300x183.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/QW76VFKRQNM3RCXVXVQ5TDQVFY-148x90.jpg 148w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/QW76VFKRQNM3RCXVXVQ5TDQVFY-768x467.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/QW76VFKRQNM3RCXVXVQ5TDQVFY-1536x934.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/QW76VFKRQNM3RCXVXVQ5TDQVFY-scaled.jpg 2048w" sizes="(max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: FILE PHOTO: Shein logo and their web shop are seen in this illustration taken, May 16, 2024. REUTERS/Dado Ruvic/Illustration/File Photo/File Photo</figcaption></figure>



JOHANNESBURG, (Reuters) &#8211; Fast-fashion giant Shein, known for its $5 tops and $10 dresses, will open a pop-up store in Johannesburg, South Africa in August as the online retailer aims to expand its brand recognition in the country.



Shein, founded in China, and its rival Temu have aggressively expanded worldwide as online shopping has surged after the COVID pandemic. They have been accused of exploiting tax loopholes by exporting China-made products in small quantities to avoid higher duties.



&#8220;Bringing the Shein experience directly to the end consumer is a key part of Shein&#8217;s strategy,&#8221; the company said on Wednesday in an emailed response.



&#8220;Given that Shein is a digital-first company, Shein&#8217;s hugely successful pop-ups are an opportunity for our consumers to touch and feel our products, as well as to interact and engage directly with Shein&#8217;s local brand ambassadors.&#8221;



Shein will open its pop-up store from Aug. 2-11 as an &#8220;exhibition space&#8221; for customers to try on trendy fashion and lifestyle products and order them online at a discount, the company said in its South African Instagram post.



Local influencers were tapped for a pre-opening marketing campaign.



Brick-and-mortar and online fashion retailers have urged South African regulators to impose a 45% import duty on all clothing item imports, no matter the price, to level the playing field. Shein, which is planning to go public in Britain, taps a network of largely China-based suppliers which take small initial orders and scale up based on demand.



A Shein spokesperson told Reuters the retailer is engaging with South African regulators to ensure its continued compliance with local laws.



&#8220;That said, such tax measures are not critical to the success of our business or the competitive prices we offer our consumers. We keep our prices affordable through our technology-based on-demand business model and flexible supply chain,&#8221; the spokesperson added.



(Reporting by Nqobile Dludla; Editing by Richard Chang and David Evans)

FILE PHOTO: FILE PHOTO: Illustration shows Shein logo

Shein to open pop-up store in South Africa to woo more shoppers

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1333" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/GettyImages-154793123-scaled.jpg" alt="" class="wp-image-481529" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/GettyImages-154793123-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/GettyImages-154793123-300x195.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/GettyImages-154793123-820x534.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/GettyImages-154793123-138x90.jpg 138w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/GettyImages-154793123-768x500.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/GettyImages-154793123-1536x1000.jpg 1536w" sizes="(max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">A visitor descends stairs outside the offices of Anglo American Plc in the Marshalltown district of Johannesburg, South Africa, on Friday, Oct. 26, 2012. Anglo American Plc Chief Executive Officer Cynthia Carroll , the first woman, external hire and non-South African to hold the job, will quit after Anglo lost $14 billion in value in the more than five years she was in charge. Photographer: Chris Ratcliffe/Bloomberg via Getty Images</figcaption></figure>



LONDON, July 24 (Reuters) &#8211; Anglo American investors will keenly scrutinize CEO Duncan Wanblad on Thursday as he gives an update on the London-based miner&#8217;s strategy, just months after fighting off a $49 billion takeover bid from bigger rival BHP Group.



Delivering first-half earnings results for the first time after rebuffing the world&#8217;s No. 1 miner, Wanblad and his team need to convince investors that the strategy to refocus on copper, iron ore and a fertilizer project is on track.



While Wanblad pinned his approach on getting an early start with selling Anglo&#8217;s coking coal assets in Australia, which the company said has drawn huge interest, an unexpected and unwieldy fire at its Grosvenor mine at one of the mines could torpedo the well-laid plans, setting the timing back with a possible hit to the deal&#8217;s valuation.



&#8220;Clearly, any updates on the simplification strategy will be closely watched,&#8221; said Richard Hatch, analyst at Berenberg.



&#8220;Our key questions center around the challenges of selling the coal business &#8230; and whether Anglo would accept payments in contingent form due to operational issues,&#8221; Hatch added.



Anglo has already cut its output forecast for steelmaking coal, because of the June 29 fire at its Grovesnor mine that has rendered the affected sections inaccessible. Damage assessment and re-opening is going to take several months, Anglo said.



Investors also expect Anglo to write off the value of its Woodsmith fertiliser project in northern England, having earlier said it would slow down development but still invest $800 million this year. Anglo already wrote down $1.7 billion on the project a year ago.



The restructuring plan, which also includes the demerger of its South African platinum unit, closure or sale of its nickel mines and the divestment of diamonds business De Beers, could be completed by 2025.



Unless, BHP resumes its pursuit or other suitors, join the hunt.



&#8220;BHP could come back after six months, or could wait for the Amplats unbundling to be complete,&#8221; said Ian Woodley, portfolio manager at Old Mutual.



&#8220;If I were them, I would wait at least until the unbundling has moved along a bit further,&#8221; he added.



The main prize in Anglo&#8217;s portfolio are its world class and long-life copper assets in Latin America.



Copper is seen as a draw-card to deals in the mining sector, with investors expected to demand that even the most profitable companies show plans on how to grow the metal&#8217;s portfolio.



&#8220;Having an exposure to the copper sector, to the copper price, is attractive for investors,&#8221; said Erik Belz, president and chief operating officer at hedge fund Engine No. 1.



&#8220;Consolidation can get our (investors) costs down. If we get our costs down, we can expand our margin. And if the price goes up on top of that, then that&#8217;s sort of two ways to win,&#8221; Belz added. 



(Reporting by Clara Denina and Felix Njini; Editing by Veronica Brown and David Evans)

Anglo American Plc’s South African Headquarters As CEO Cynthia Carroll Quits

Anglo to face investors with wary eye on BHP’s potential return

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="546" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1247822978-820x546.jpg" alt="" class="wp-image-510697" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1247822978-820x546.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1247822978-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1247822978-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1247822978-768x511.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1247822978-1536x1022.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1247822978-scaled.jpg 2048w" sizes="(max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">WINDHOEK, NAMIBIA &#8211; 2023/01/10: An aerial view of the capital city Windhoek and the Lutheran church called Christ Church (Christuskirche) which was designed by the architect Gottlieb Redecker is a landmark in the middle of a roundabout in the center of Windhoek. (Photo by Peter Charlesworth/LightRocket via Getty Images)</figcaption></figure>



CAPE TOWN/WINDHOEK, July 24 (Reuters)&nbsp;&#8211;&nbsp;A dispute in Namibia over access to diamond-rich land around the town of Luderitz is now threatening to derail major energy projects, state and company officials said as the government steps up efforts to resolve the dispute.



Any protracted delays may scare off investors at a crucial time for Namibia, as it aims to accelerate its first oil production following large offshore finds by TotalEnergies, Shell and Galp.



At the heart of the discord are vast tracts of desert land surrounding Luderitz and Elizabeth Bay, 25 kms south, that form part of a mining licence held by Sperrgebiet Diamond Mining (SDM) company and which companies need for their projects.



&#8220;At the moment, the ministry and licence holder are in talks to find a best solution to address the issue (of land access),&#8221; a spokesperson for the mines and energy ministry said.



Besides a proposed 800 megawatt gas-to-power plant, Hyphen Energy&#8217;s $10 billion green hydrogen project and two wind farms are among those potentially affected as the year-long deadlock drags on, officials said.



Elizabeth Bay is where BW Energy plans to land a pipeline from its offshore Kudu gas field to supply a gas-to-power plant and liquefied natural gas facility.



BW Energy, which postponed a final investment decision on its Kudu project, previously told Reuters that getting land to build a power plant and 40 km onshore pipeline is a challenge.



&#8220;We have been at an impasse now for a year to conclude the mechanics of how we will coordinate and cooperate once we are in operation &#8230; this is quite urgent,&#8221; Manfriedt Muundjua, a senior BW Energy official told an energy conference in April.



The co-owners of SDM are embroiled in a Windhoek high court spat, complicating land negotiations, since the mine&#8217;s majority shareholder, Dubai-based GEM Group, was taken to court by its minority partner, Lewcor, over allegations of asset stripping.



&#8220;We are still negotiating with the mine operators but its a time-consuming process and we don&#8217;t have time,&#8221; Luderitz mayor Phillippus Balhao said.



($1 = 18.3666 Namibian dollars)



(Reporting by Wendell Roelf in Cape Town, Nelson Banya in Harare, Nyasha Nyaungwa in Windhoek; editing by David Evans)

An aerial view of the capital city Windhoek and the Lutheran

Land dispute threatens to derail Namibia’s energy hub plans

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-820x547.jpg" alt="" class="wp-image-510612" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1815421853-scaled.jpg 2048w" sizes="(max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">President of Kenya William Ruto during the United Nations Climate Change Conference COP28 High Level Segment meeting in Dubai, United Arab Emirates on December 1, 2023. (Photo by Jakub Porzycki/NurPhoto via Getty Images)</figcaption></figure>



NAIROBI, July 24 (Reuters) &#8211; Kenyan President William Ruto on Wednesday nominated four members of the main opposition party to a &#8220;broad-based&#8221; cabinet he promised in response to nationwide protests, but activists criticised the new government as a corrupt bargain.



The opposition members, including the pick to lead the finance ministry, John Mbadi, are allies of opposition leader Raila Odinga, whom Ruto defeated in the 2022 election.



In a speech from his official residence, Ruto called the new government &#8220;a visionary partnership for the radical transformation of Kenya&#8221; and thanked those who had consulted on its formation for the &#8220;historic gesture of their patriotism&#8221;.



Young protesters behind six weeks of demonstrations that forced Ruto to withdraw $2.7 billion in tax hikes said the unity government would perpetuate a tradition of leaders co-opting the opposition at the expense of the population.



More than 50 people have been killed in the protests, which are the biggest crisis of Ruto&#8217;s two years in power.



Demonstrations have continued even after he shelved the tax raises, with many activists now calling for him to resign and for far-reaching reforms to tackle graft.



&#8220;Zakayo has appointed corrupt people to fight corruption,&#8221; Boniface Mwangi, a prominent anti-government activist, wrote on X.



Zakayo is the Swahili name for a greedy tax collector in the Bible that protesters have used as a nickname for Ruto.



&#8220;It&#8217;s important to note @RailaOdinga is a traitor. He has betrayed the people, and formed a government of national looting with Zakayo,&#8221; Mwangi said.



On Monday, Odinga&#8217;s Orange Democratic Movement said it was not in negotiations with the government &#8220;for any coalition or political arrangement&#8221;. The ODM was due to hold a news conference shortly after Ruto&#8217;s speech.



The party&#8217;s coalition allies have strongly opposed a unity government.



<h2 class="wp-block-heading" id="h-new-protest-calls">NEW PROTEST CALLS</h2>



Besides the four opposition members, Ruto named five members of the cabinet he dismissed earlier this month in response to protesters&#8217; demands. Last week, Ruto announced 11 nominations &#8211; six of whom were holdovers from the previous cabinet.



The background of one of the nominees on Wednesday was not immediately clear. Ruto said he would announce additional nominees soon.



He also said he would be proposing amendments to anti-corruption and public procurement laws and called on the police to release any innocent people who may have been arrested during the demonstrations.



The protests, which have been mostly organised online and have no official leaders, began peacefully but turned violent as the police fire tear gas and live rounds. Some demonstrators briefly stormed parliament on June 25.



Activists circulated calls on social media for a march on Thursday to present a petition to the office of the president and lay flowers at parliament for those killed a month earlier.



Ruto initially praised protesters for being peaceful and mobilising across the ethnic lines that have traditionally defined Kenyan politics.



But he has stepped up his criticism of the protest movement in recent days. In comments over the weekend, he vowed to stop the demonstrations, saying they were causing &#8220;mayhem and anarchy&#8221;.



Anti-government activists have blamed incidents of violence and looting on thugs hired by politicians to discredit the movement and advance their own agendas.



(Reporting by George Obulutsa and Hereward Holland Writing by Aaron RossEditing by Peter Graff and Angus MacSwan)

COP28 In Dubai High Level Segment

Kenya’s Ruto names opponents to cabinet, protesters slam ‘corrupt’ deal

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="425" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg" alt="" class="wp-image-498541" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24.jpg 720w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-300x177.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/06/ANCK25OQIFMHTJYACOM5XU5T24-152x90.jpg 152w" sizes="(max-width: 720px) 100vw, 720px" /><figcaption class="wp-element-caption">Kenya shilling coins and notes are pictured inside a cashier&#8217;s booth at a forex exchange bureau in Kenya&#8217;s capital Nairobi, April 20, 2016. REUTERS/Thomas Mukoya/File Photo</figcaption></figure>



NAIROBI, July 24 (Reuters) &#8211; Kenya&#8217;s shilling was weaker against the dollar in early trade on Wednesday, LSEG data showed.



At 0857 GMT, the shilling traded at 132.50/133.50 per dollar, compared with Tuesday&#8217;s closing rate of 132.00/132.50.



(Reporting by George Obulutsa; Editing by Bate Felix)

ANCK25OQIFMHTJYACOM5XU5T24

Kenyan shilling weakens versus dollar – LSEG data

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1366" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532787-scaled.jpg" alt="" class="wp-image-506008" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532787-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532787-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532787-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532787-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532787-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532787-1536x1025.jpg 1536w" sizes="(max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">Ugandan shilling and US dollars in the draw at a foreign exchange currency bureau in Kampala, Uganda, on Wednesday, Aug. 16, 2023. Uganda&#8217;s central bank said it stands ready to act if the World Bank&#8217;s decision to halt new funding over the country&#8217;s passage of anti-LGBTQ legislation impacts the currency further. Photographer: Luke Dray/Bloomberg via Getty Images</figcaption></figure>



KAMPALA, July 24 (Reuters) &#8211; The Ugandan shilling was weaker on Wednesday, hurt by a pick up in demand for dollars from the energy sector and other goods importers, traders said.



At 0803 GMT, commercial banks quoted the shilling at 3,705/3,715, compared with Tuesday&#8217;s closing rate of 3,690/3,700.



(Reporting by Elias Biryabarema; Editing by George Obulutsa)

Ugandan Economy Following Rate Cut

Ugandan shilling weaker due to FX demand from energy sector

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="588" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/VTWRCG6IZBJX7GFQNKPNG35RVQ-820x588.jpg" alt="" class="wp-image-510571" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/VTWRCG6IZBJX7GFQNKPNG35RVQ-820x588.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/VTWRCG6IZBJX7GFQNKPNG35RVQ-300x215.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/VTWRCG6IZBJX7GFQNKPNG35RVQ-126x90.jpg 126w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/VTWRCG6IZBJX7GFQNKPNG35RVQ-768x551.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/VTWRCG6IZBJX7GFQNKPNG35RVQ-1536x1101.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/VTWRCG6IZBJX7GFQNKPNG35RVQ-scaled.jpg 2048w" sizes="(max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Shoppers stand at a Pick n Pay store at the Dobson Point Shopping Centre, in Soweto, South Africa, March 19, 2024. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, July 24 (Reuters)&nbsp;&#8211;&nbsp;South African inflation slowed in June, statistics agency data showed on Wednesday, clearing the path for the central bank to cut rates at its next meeting, economists said.



Headline consumer inflation stood at 5.1% year-on-year in June, compared to 5.2% in May, Statistics South Africa said, in line with the prediction made by economists polled by Reuters.



Inflation has remained above 5% for 10 consecutive months Statistics South Africa data showed, while the South African Reserve Bank (SARB) prefers it to be at the midpoint of its 3%-6% target band.



The slow rate of disinflation has meant the central bank has kept its main lending rate unchanged at 8.25% for more than a year.



Isaac Matshego, senior economist at local financial firm, Nedbank, said they now see the SARB cutting rates at their next meeting in September.



&#8220;Today’s figure affirms our view that the SARB will cut the repo rate by 25 basis points to 8% at its meeting in September followed by a similar reduction in November,&#8221; said Matshego.



A key concern for the SARB has been high food and services prices, but June data shows these have both come down to 4.6% in June from 4.7% in May, just shy of the midpoint.



David Omojomolo, Africa economist at Capital Economics said lower food and services inflation gives impetus to the central bank to start cutting rates in September, agreeing that a 25 basis point cut would be acceptable.



Core inflation, which excludes food and fuel prices, came in at 4.5% for June, Statistics South Africa added.



(Writing by Kopano Gumbi and Bhargav Acharya; Editing by Alex Richardson and Angus MacSwan)

Shoppers stand at a Pick n Pay store in Soweto

South African inflation drops, rate cuts now expected in September

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-820x547.jpg" alt="" class="wp-image-505638" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-768x513.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-1536x1025.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1161864874-scaled.jpg 2048w" sizes="(max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A South African one rand coin sits on South African rand banknotes in this arranged photograph in Pretoria, South Africa, on Wednesday, Aug. 14, 2019. The rand ended a tumultuous week on a positive note, gaining against the dollar for a second day and heading for its first weekly advance in four as technical indicators suggested recent declines are overdone. Photographer: Waldo Swiegers/Bloomberg via Getty Images</figcaption></figure>



JOHANNESBURG, July 24 (Reuters)&nbsp;&#8211;&nbsp;The South African rand extended losses in early trade on Wednesday, as investors turned their attention to local inflation figures which may give clues on the country&#8217;s future interest rate path.



At 0649 GMT, the rand traded at 18.4225 against the dollar, over 0.1% weaker than its previous close. The rand tumbled against the greenback on Tuesday.



&#8220;The rand (is) coming under pressure as market participants sit on the side lines waiting for our June CPI (consumer inflation) print later this morning,&#8221; Rand Merchant Bank analysts said in a research note.



&#8220;Ahead of CPI later this morning look for ranges to persist,&#8221; Rand Merchant Bank analysts added.



Statistics South Africa will release local inflation figures for June at around 0800 GMT on Wednesday, which may give hints on the future interest rate path of Africa&#8217;s most industrialised economy.



Economists polled by Reuters expect June year-on-year inflation at 5.1%. Inflation was seen at 5.2% the month before.



Inflation has been above 5% since September 2023, and the central bank estimates that inflation will only stabilise at its targeted 4.5% over the next few quarters.



Monetary policy has remained tight as the central bank tries to steer inflation back towards the midpoint of its 3%-6% target range.



South Africa&#8217;s benchmark 2030 government bond was stronger in early deals, as the yield slipped 2.5 basis points to 9.435%.



(Reporting by Tannur Anders; Editing by Andrew Heavens)

South African Rand Rebound Snaps Streak of Weekly Losses

South African rand extends losses, focus on local inflation data

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="357" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg" alt="" class="wp-image-400669" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1030878162-612x612-1-300x175.jpg 300w" sizes="(max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">World map with charts and graphs as symbols of global finance</figcaption></figure>



NAIROBI, July 24 (Reuters) &#8211; The following company announcements, scheduled economic indicators, debt and currency market moves and political events may affect African markets on Wednesday.



<h2 class="wp-block-heading" id="h-events">EVENTS:</h2>



*Zambia Finance Minister Situmbeko Musokotwane to present the country&#8217;s mid-year budget review.



<h2 class="wp-block-heading" id="h-global-markets">GLOBAL MARKETS</h2>



Asian stocks were subdued on Wednesday after lacklustre earnings from U.S. tech behemoths Tesla and Alphabet dented sentiment, while the yen hit a six-week high ahead of a central bank meeting next week where a rate hike remains on the table.



<h2 class="wp-block-heading" id="h-world-oil-prices">WORLD OIL PRICES</h2>



Oil prices rebounded on Wednesday, snapping three straight sessions of decline, as falling U.S. crude inventories and growing supply risks from wildfires in Canada boosted prices.



<h2 class="wp-block-heading" id="h-south-africa-markets">SOUTH AFRICA MARKETS</h2>



The South African rand weakened on Tuesday, as investors looked towards June inflation data due on Wednesday and markets watched for developments in the U.S. presidential race.



<h2 class="wp-block-heading" id="h-nigeria-central-bank">NIGERIA CENTRAL BANK</h2>



Nigeria&#8217;s central bank on Tuesday raised its benchmark interest rate for the fourth time this year, as inflation surged to a 28-year high and the naira came under renewed pressure on both the official and parallel markets.



<h2 class="wp-block-heading" id="h-nigeria-wages">NIGERIA WAGES</h2>



Nigerian lawmakers passed legislation on Tuesday to more than double the minimum wage to 70,000 naira ($44.16) a month, ending months of wrangling between the government and labour unions.



<h2 class="wp-block-heading" id="h-nigeria-politics">NIGERIA POLITICS</h2>



Nigeria&#8217;s police chief warned against Kenyan-style protests on Tuesday after frustrated citizens used online platforms to call for demonstrations against poor governance and a cost of living crisis.



<h2 class="wp-block-heading" id="h-kenya-markets">KENYA MARKETS</h2>



Kenya&#8217;s shilling weakened against the dollar on Tuesday, traders said, weighed on by banks covering their positions.



<h2 class="wp-block-heading" id="h-kenya-economy">KENYA ECONOMY</h2>



Kenya expects the International Monetary Fund to review its revised fiscal repair plan at the end of August, the country&#8217;s chief minister has told a parliamentary panel.



<h2 class="wp-block-heading" id="h-kenya-politics">KENYA POLITICS</h2>



Kenya&#8217;s police fired tear gas to prevent scuffles between groups of protesters and government supporters in the capital Nairobi on Tuesday, as youth-led demonstrations against alleged corruption and misgovernance dragged into their sixth week.



<h2 class="wp-block-heading" id="h-uganda-politics">UGANDA POLITICS</h2>



Ugandan security forces detained dozens of young people on Tuesday, a rights group said, as they took part in a banned protest rally in downtown Kampala against official corruption and alleged human rights abuses by the country&#8217;s rulers.



<h2 class="wp-block-heading" id="h-tanzania-mining">TANZANIA MINING</h2>



Australia&#8217;s Peak Rare Earths said on Wednesday Chinese miner Shenghe Resources would acquire a 50% stake in an U.K.-based firm that owns 84% of its Ngualla project in Tanzania.



<h2 class="wp-block-heading" id="h-ghana-economy">GHANA ECONOMY</h2>



Ghana&#8217;s finance minister raised the country&#8217;s 2024 growth forecast on Tuesday and said the West African nation was rebounding faster than expected from its worst economic crisis in a generation.



<h2 class="wp-block-heading" id="h-botswana-mining">BOTSWANA MINING</h2>



Botswana is proposing a law that will ask mining companies, once granted a licence, to sell a 24% stake in mines to locals if the government does not exercise its option to acquire the shareholding, a draft bill seen by Reuters on Tuesday shows.



((Compiled by Nairobi Newsroom))

African Markets – Factors to watch on July 24

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="612" height="408" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg" alt="" class="wp-image-400697" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1.jpg 612w, https://cms.cnbcafrica.com/wp-content/uploads/2021/04/istockphoto-1076949610-612x612-1-300x200.jpg 300w" sizes="(max-width: 612px) 100vw, 612px" /><figcaption class="wp-element-caption">Double exposure of coin stack with city background and world map, financial graph, world map and global network business concept idea, element by NASA.</figcaption></figure>



JOHANNESBURG, July 24 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic event, company announcement, equity and currency market moves may affect South African markets on Wednesday.



<h2 class="wp-block-heading" id="h-economic-events">ECONOMIC EVENTS</h2>



Statistics South Africa will publish the country&#8217;s June inflation figures.



<h2 class="wp-block-heading" id="h-companies">COMPANIES</h2>



Vodacom Group reported a 1.5% rise in its quarterly revenue on Wednesday.



<h2 class="wp-block-heading" id="h-south-african-markets">SOUTH AFRICAN MARKETS</h2>



The South African rand weakened on Tuesday, as investors looked towards June inflation data due on Wednesday and markets watched for developments in the U.S. presidential race.



On the Johannesburg Stock Exchange, the blue-chip Top-40 index closed 0.24% higher.



<h2 class="wp-block-heading" id="h-global-markets">GLOBAL MARKETS</h2>



Asian stocks were subdued on Wednesday after lacklustre earnings from U.S. tech behemoths Tesla and Alphabet dented sentiment, while the yen hit a six-week high ahead of a central bank meeting next week where a rate hike remains on the table.



<h2 class="wp-block-heading" id="h-wall-street">WALL STREET</h2>



Wall Street&#8217;s main indexes ended slightly lower on Tuesday, having given up meager intraday gains in the final minutes of trading, as investors switched their focus to the latest earnings from Alphabet and Tesla



<h2 class="wp-block-heading" id="h-gold">GOLD</h2>



Gold prices inched higher on Wednesday, with investors awaiting U.S. economic data that could influence the Federal Reserve&#8217;s rate-cut timeline.



&#8211; &#8211; &#8211; &#8211;



Some of the main stories out in the South African press:



<h2 class="wp-block-heading" id="h-business-day">BUSINESS DAY</h2>



&#8211; SA banks stage multibillion-rand rally



&#8211; Ramaphosa signs Climate Change Bill into law



(Compiled by Tannur Anders)

South African Markets – Factors to watch on July 24

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="493" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/44E5UX7RVRM3BHN4VQCD3CXQD4-820x493.jpg" alt="" class="wp-image-510298" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/44E5UX7RVRM3BHN4VQCD3CXQD4-820x493.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/44E5UX7RVRM3BHN4VQCD3CXQD4-300x180.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/44E5UX7RVRM3BHN4VQCD3CXQD4-150x90.jpg 150w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/44E5UX7RVRM3BHN4VQCD3CXQD4-768x462.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/44E5UX7RVRM3BHN4VQCD3CXQD4-1536x923.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/44E5UX7RVRM3BHN4VQCD3CXQD4-scaled.jpg 2048w" sizes="(max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: The retired coal-fired Komati Power Station Is seen near Komati village, in the Mpumalanga province in South Africa, May 9, 2024. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



JOHANNESBURG, July 23 (Reuters)&nbsp;&#8211;&nbsp;South African President Cyril Ramaphosa has signed into law a broad climate change act that will set caps for large emitters and require every town and city to publish an adaptation plan.



The Climate Change Bill aims to enable South Africa to meet its emissions reduction commitments under the Paris climate agreement, the presidency said in a statement on Tuesday.



South Africa, which is the world&#8217;s most carbon-intensive major economy and among the top 15 greenhouse gas emitters, is on track to miss those targets because of to its heavy reliance on coal for electricity.



&#8220;This is very significant in that it&#8217;s the first time that our climate change response is directly brought into domestic law,&#8221; said Brandon Abdinor, a lawyer at South Africa&#8217;s Centre for Environmental Rights, a non-profit organisation.



&#8220;A lot of work needs to be done, but this act puts the basic architecture in place for that to happen.&#8221;



The presidency statement did not say when Ramaphosa had signed the law, which requires every province and municipality to assess climate change risks and develop a response plan.



Emissions targets will be set for each high-emitting government sector such as agriculture, transport and industry, and each relevant minister must adopt measures to achieve them.



The law also says the environment minister must allocate a carbon budget to large greenhouse gas-emitting companies, setting a limit on their emissions over a specified time.



The allocations have not yet been set, and the law does not make it an offence to exceed the limit although climate advocates had wanted this, said Abdinor. But emitters that exceed their budget are likely to have to pay a higher rate of carbon tax.



&#8220;With mandatory carbon budgets now in place, we expect to see significant emissions reductions from large companies,&#8221; Harald Winkler, an expert on climate policy at the University of Cape Town, said on X.



&#8220;Transparency in annual reporting will be key,&#8221; he added.



The bill is the latest sign that South Africa&#8217;s new government might be more aggressive on climate change and renewable energy than its predecessors.



The new energy minister has vowed to speed up the transition to renewables, but few specific plans have emerged. Funding plans to support the new bill are also unclear.



Western donors are offering billions of dollars in loans to fund the transition, but South African officials say they barely scratch the surface of the finance needed.



(Reporting by Nellie Peyton, Editing by Timothy Heirtagr)

FILE PHOTO: The retired coal-fired Komati Power Station Is seen near Komati village, in the Mpumalanga province in South Africa

South Africa passes its first sweeping climate change law

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ZCC42XEXUBJ3HISRP7XYZFWFXM-820x547.jpg" alt="" class="wp-image-510295" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ZCC42XEXUBJ3HISRP7XYZFWFXM-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ZCC42XEXUBJ3HISRP7XYZFWFXM-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ZCC42XEXUBJ3HISRP7XYZFWFXM-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ZCC42XEXUBJ3HISRP7XYZFWFXM-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ZCC42XEXUBJ3HISRP7XYZFWFXM-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/ZCC42XEXUBJ3HISRP7XYZFWFXM-scaled.jpg 2048w" sizes="(max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Smoke rises from inside a car, during an anti-government demonstration following nationwide deadly riots over tax hikes, within Pipeline estate, near the Jomo Kenyatta International airport (JKIA) in Nairobi, Kenya, July 23, 2024. REUTERS/Thomas Mukoya</figcaption></figure>



NAIROBI, July 23 (Reuters)&nbsp;&#8211;&nbsp;Kenya&#8217;s police fired tear gas to prevent scuffles between groups of protesters and government supporters in the capital Nairobi on Tuesday, as youth-led demonstrations against alleged corruption and misgovernance dragged into their sixth week.



Protests, which began in opposition to tax hikes and climaxed in the storming of parliament, have continued despite President William Ruto abandoning the $2.7 billion finance bill in June.



At the time, he also fired almost all of his cabinet, although he retained many holdovers from the prior administration when he named part of his new line up last Friday. On Tuesday, Ruto announced further changes including swapping his defence and environment ministers.



For the first time since protests began on June 18, a group of government supporters, mostly on motorcycles, paraded through downtown Nairobi blowing whistles and plastic horns and carrying placards reading &#8220;We support the president&#8221; and &#8220;Enough is enough.&#8221;



&#8220;We will make sure that business must go back to normal in this city. We condemn the protests,&#8221; said one government supporter, who declined to give his name.



Police have said the protests, which have claimed at least 50 lives, have been infiltrated by criminal gangs.



Anti-government protesters chanted what has become their most defining mantra: &#8220;Ruto must go.&#8221;



&#8220;The police are only targeting us peaceful demonstrators, while hired goons, covered in masks on motorbikes with concealed number plates are moving in plain sight as the police just watch,&#8221; said one protester, who also declined to give a name.



<h2 class="wp-block-heading" id="h-airports-operate-normally">AIRPORTS OPERATE NORMALLY</h2>



In Pipeline Estate in Embakasi, a neighbourhood in the east of the city, men in army and air force fatigues assisted the police in running battles with groups of people, a Reuters journalist said.



It wasn&#8217;t clear if they were protesters or simply rioters, the journalist said. The police spokesperson, the commander of the Nairobi police force and the army spokesperson did not immediately respond to Reuters&#8217; requests for comment.



Having previously said he was listening to protesters&#8217; demands, Ruto struck a less conciliatory tone on Sunday, saying he would protect the peace and stability of the nation and deal firmly &#8220;with those who are engaged in mayhem, in anarchy.&#8221;



Leading activists in the otherwise leaderless protest movement called on people to &#8220;occupy&#8221; Nairobi&#8217;s main airports on Tuesday, but heavy police presence on surrounding roads prevented any serious disruption.



The airport&#8217;s operator asked passengers to arrive hours before flights because of enhanced security checks.



(Additional reporting by Humphrey Malalo; Writing by George Obulutsa and Hereward Holland; Editing by Duncan Miriri, Michael Perry and Sharon Singleton)

Demonstration following nationwide deadly riots over tax hikes and a controversial now-withdrawn finance bill, in Nairobi

Kenya police fire tear gas to stop scuffles between pro and anti-government groups

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="531" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/XBNTXEMQ4VNGFLKE3FC5UUA2RM-820x531.jpg" alt="" class="wp-image-510275" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/XBNTXEMQ4VNGFLKE3FC5UUA2RM-820x531.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/XBNTXEMQ4VNGFLKE3FC5UUA2RM-300x194.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/XBNTXEMQ4VNGFLKE3FC5UUA2RM-139x90.jpg 139w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/XBNTXEMQ4VNGFLKE3FC5UUA2RM-768x498.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/XBNTXEMQ4VNGFLKE3FC5UUA2RM-1536x995.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/XBNTXEMQ4VNGFLKE3FC5UUA2RM-scaled.jpg 2048w" sizes="(max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A view of Central Bank of Nigeria headquarters next to National Ecumenical Centre in Abuja, Nigeria November 23, 2021. REUTERS/Afolabi Sotunde</figcaption></figure>



ABUJA, July 23 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s central bank raised its benchmark lending rate by 50 basis points to 26.75%, in a decision announced on Tuesday.



Economists had predicted another hike to rates after inflation rose further in June and the naira currency&nbsp;fell on both the official and parallel markets, forcing the central bank to intervene.



Tuesday&#8217;s decision by the bank&#8217;s Monetary Policy Committee is the fourth straight hike this year, after increases of 150 basis points (bps) in May, 200 bps in March and 400 bps in February, its largest in around 17 years.



(Reporting by Elisha Bala-Gbogbo and Chijioke Ohuocha, Writing by Bhargav Acharya; Editing by Bate Felix Editing by Bate Felix)

A view of Central Bank of Nigeria headquaters next to National Ecumenical Centre in Abuja

Nigeria’s central bank raises benchmark rate to 26.75%

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="2048" height="1366" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-scaled.jpg" alt="" class="wp-image-510212" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-scaled.jpg 2048w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/GettyImages-1604532392-1536x1024.jpg 1536w" sizes="(max-width: 2048px) 100vw, 2048px" /><figcaption class="wp-element-caption">A worker at a foreign exchange currency bureau counts 1000 Ugandan shilling banknotes in Kampala, Uganda, on Wednesday, Aug. 16, 2023. Uganda&#8217;s central bank said it stands ready to act if the World Bank&#8217;s decision to halt new funding over the country&#8217;s passage of anti-LGBTQ legislation impacts the currency further. Photographer: Luke Dray/Bloomberg via Getty Images</figcaption></figure>



KAMPALA, July 23 (Reuters) &#8211; The Ugandan shilling weakened slightly on Tuesday on the back of some demand for dollars from merchandise importers and commercial banks, traders said.



At 0943 GMT commercial banks quoted the shilling at 3,692/3,702, compared with Monday&#8217;s closing rate of 3,688/3,698.



(Reporting by Elias Biryabarema; Editing by George Obulutsa)

Ugandan shilling slightly weaker on importer FX demand

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1920" height="1280" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/42CTWLL6LJPYDHMYIWIJ6ISWHI-1.jpg" alt="" class="wp-image-510152" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/07/42CTWLL6LJPYDHMYIWIJ6ISWHI-1.jpg 1920w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/42CTWLL6LJPYDHMYIWIJ6ISWHI-1-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/42CTWLL6LJPYDHMYIWIJ6ISWHI-1-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/42CTWLL6LJPYDHMYIWIJ6ISWHI-1-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/42CTWLL6LJPYDHMYIWIJ6ISWHI-1-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/07/42CTWLL6LJPYDHMYIWIJ6ISWHI-1-1536x1024.jpg 1536w" sizes="(max-width: 1920px) 100vw, 1920px" /><figcaption class="wp-element-caption">President William Kipchirchir Ruto of Kenya speaks during a plenary session of the Summit on peace in Ukraine, in Stansstad near Lucerne, Switzerland, June 16, 2024. URS FLUEELER/Pool via REUTERS/File Photo</figcaption></figure>



NAIROBI, July 23 (Reuters)&nbsp;&#8211;&nbsp;Kenya has submitted an economic repair plan to the International Monetary Fund and it expects the fund&#8217;s board to review it for approval at the end of August, the country&#8217;s chief minister told a parliamentary panel.



Kenya had to rapidly draw up new spending cuts after widespread youth-led protests against tax hikes previously put forward by President William Ruto&#8217;s government left at least 50 people dead.



Kenya&#8217;s chief minister Musalia Mudavadi said that the Treasury &#8220;has had a very robust engagement with the International Monetary Fund&#8221; despite the tax-hike setback.



&#8220;It is our desire and hope that Kenya&#8217;s proposition will receive favourable consideration so that we can move beyond the challenges that we are facing,&#8221; Mudavadi told the parliamentary budget committee in remarks seen by Reuters on Tuesday.



The IMF did not immediately comment. The East African nation has a $3.6 billion IMF programme, and the Fund had reached a staff level agreement on the seventh review of Kenya&#8217;s programme in early June.



But its board had not signed off on the review when Ruto scrapped the tax hikes that were a core part of its plan to meet IMF targets, and investors said the political turmoil would make getting IMF cash trickier.



Even at the review, Kenya had sought IMF waivers after failing to meet two targets on balancing the budget and tax collection.



Mudavadi said that under the revised spending plan for the 2024/25 financial year, the budget deficit is projected to rise to 4.2% of gross domestic product, up from 3.3% before the withdrawal of the finance bill.



&#8220;The revision to the deficit barely a week after the initial plan underlines the herculean task faced by the authorities to achieve their fiscal consolidation goals,&#8221; Ayodeji Dawodu, head of Africa research and strategy with boutique investment banking group BancTrust &amp; Co said in a note.



(Reporting by Duncan Miriri; Editing by Alison Williams, Libby George and Alexandra Hudson)

Reuters

African Markets – Factors to watch on July 25

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African Markets – Factors to watch on July 24

South African Markets – Factors to watch on July 24

South Africa passes its first sweeping climate change law

Kenya police fire tear gas to stop scuffles between pro and anti-government groups

Nigeria’s central bank raises benchmark rate to 26.75%

Ugandan shilling slightly weaker on importer FX demand

IMF to consider Kenya’s economic plan at end of August, chief minister says

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African Markets – Factors to watch on July 25

South African Markets – Factors to watch on July 25

Shein to open pop-up store in South Africa to woo more shoppers

Anglo to face investors with wary eye on BHP’s potential return

Land dispute threatens to derail Namibia’s energy hub plans

Kenya’s Ruto names opponents to cabinet, protesters slam ‘corrupt’ deal

Kenyan shilling weakens versus dollar – LSEG data

Ugandan shilling weaker due to FX demand from energy sector

South African inflation drops, rate cuts now expected in September

South African rand extends losses, focus on local inflation data

African Markets – Factors to watch on July 24

South African Markets – Factors to watch on July 24

South Africa passes its first sweeping climate change law

Kenya police fire tear gas to stop scuffles between pro and anti-government groups

Nigeria’s central bank raises benchmark rate to 26.75%

Ugandan shilling slightly weaker on importer FX demand

IMF to consider Kenya’s economic plan at end of August, chief minister says

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