JOHANNESBURG (Reuters) &#8211; South Africa&#8217;s Public Protector has launched a new investigation into allegations of influence-peddling and unlawful enrichment by certain officials within three state-owned firms after thousands of emails relating to alleged fraud were leaked.
The Public Protector&#8217;s office said in a statement on Wednesday it was investigating these allegations within Eskom, Transnet and The Passenger Rail Agency of South Africa (PRASA).
Allegations of government corruption have escalated this month after local media began reporting on more than 100,000 leaked emails they say show inappropriate interference by the wealthy Gupta family and ministers in the issuing of lucrative tenders.
&#8220;The Public Protector South Africa, Advocate Busisiwe Mkhwebane, has decided to conduct a preliminary investigation for the purpose of determining the merits of the several allegations published in the media,&#8221; the protector&#8217;s office said.
The latest allegations of influence-peddling are deepening a divide in the ANC as factions jostle for control before a conference in December where President Jacob Zuma&#8217;s successor as party leader will be chosen.
The investigation by the anti-corruption watchdog will focus on allegations of &#8220;improper or dishonest act&#8221; with respect to the public funds at Eskom, PRASA and Transnet and &#8220;unlawful enrichment&#8221; by certain public officials at the firms, it said.
The investigation will also look at the re-appointment of Brian Molefe as chief executive of Eskom, the state power company, amid graft allegations. He was reinstated last month, but ministers then reversed his reinstatement.
Molefe has denied wrongdoing and the Gupta family, who are friends of Zuma, and its companies have also denied all allegations of influence-peddling or improper dealings.
Most of the allegations form part of &#8220;The State Capture&#8221; report by the Public Protector, released last year on Nov. 2, focusing on allegations that businessmen brothers Ajay, Atul and Rajesh Gupta had influenced the appointment of ministers.
The report has been taken on judicial review by Zuma, mines minister Mosebenzi Zwane and Minister of Cooperative Governance and Traditional Affairs Desmond van Rooyen, the public protector said.
(Reporting by Nqobile Dludla; Editing by Chris Reese and Leslie Adler)

S.Africa’s Public Protector launches probe of influence-peddling in state-owned firms

&nbsp;
Just five years ago the annual Gordon Institute of Business Science (GIBS) Youth Survey highlighted a society that was upbeat about the future and their career prospects. Back then 74% of learners felt SA was a good place to have a successful career. In 2017, just 53% of respondents said they planned to build a future in the country. The about turn is a consequence of political infighting, ratings downgrades, the recent news that South Africa has slipped into recession and an unemployment rate of 27.7%. At the present moment, South Africans under the age of 25 who account for 51.5% of the population are hardest hit by unemployment.
The survey, conducted annually as part of the GIBS CareerExpo, polls 2500 Grade 11 and Grade 12 learners on a variety of subjects, from politics, race, career opportunities, the history of the country and the quality of the education system. While the racial demographics of the respondents broadly matched those of the country as a whole, the survey comprised 68% female respondents.
While the class of 2012 largely believed that South Africa would be a better place to work when they entered the job market in 2016 and 80% looked forward to a great life in the country, the learners of 2017 felt less prepared and certainly less confident. Only 56% felt that the quality of their school education was adequately preparing them for either the world of work or for tertiary studies. A more positive 64% had faith in the country’s tertiary education system to set them up for the future.
Encouragingly 64% of respondents believed they were able to influence the future of the country, a statistic which highlights the youth’s strong desire to make a difference. However, unlike 2015 when a whopping 75% of respondents felt that political engagement could be an effective tool to bring about change, only 53% of 2017 learners held this view.
Whether or not this indicates disillusionment with the current state of politics in the country is a topic worth exploring further, but it certainly was not the case that the class of 2017 was politically unaware. In fact, 61% felt that “everyone should pay attention to South Africa politics” and 60% said they were engaging in discussions on political issues with peers or family members (up from 38% in 2015). In fact, 60% of respondents said they discussed politics at least twice a week and 46% claimed to access political information more than three times per week.
While South Africa’s youth appear to be politically aware, the same cannot be said of their grasp of the past. While 70% of respondents agreed that democracy had a positive effect on their lives, their knowledge of the road taken to get to this point in South Africa’s history was littered with holes. Most (70%) of students did not know that Thabo Mbeki, not Jacob Zuma, was not a prisoner on Robben Island and 67% thought the Constitution was adopted in 1994, not 1996.
That said, 57% of respondents did feel that South Africa’s current reality was directly linked to the past and 61% said history was an important subject in the school curriculum.
Commenting on the results, Abdullah Verachia, GIBS’s Executive Director for the Centre for Leadership and Dialogue (CL&amp;D), emphasised the importance of engaging with the youth about the history of the country, the role of nation building, and what this might mean for their futures. “These are the future leaders of our country,” he said. “It is up to us all to share our lessons and learnings, to take time to listen and engage. Our youth is a barometer of sentiment in South Africa. Listening to them can only strengthen the pipeline of future talent and ensure a robust future for our country.”
The GIBS CareerExpo is a GIBS CL&amp;D initiative, which is run in conjunction with telecommunications firm MTN. It targets high-achieving learners from non-fee paying, inner city and township schools to former model C and private schools around Gauteng.

Youth Optimism dashed by political, economic uncertainty: GIBS Youth Survey

On Wednesday, June 14, Parliament approved the handing over of the Red Sea islands of Tiran and Sanafir to Saudi Arabia.
According to reports, some members of Parliament (MPs) chanted “islands are Egyptian” after final approval was confirmed by a vote of hands.
The issue of the island’s sovereignty has been topical for over a year: in April 2016 President Abdel Fattah Al-Sisi, during a visit by Saudi Arabia’s King Salman, recognised Saudi sovereignty over them, then a lower court blocked their cession (after there were some protests against it, notably by journalists), then, in January of this year, the Supreme Administrative Court rejected the government’s appeal against the lower court’s June 2016 ruling. That decision in January was then annulled by Cairo’s Urgent Matters Court.
Critics of the plan to cede the island argue that neither the courts nor Parliament can ultimately decide on their fate – only a referendum would authorise a handover.
Article 151 of the 2014 constitution states: “The President of the Republic represents the state in foreign relations and concludes treaties and ratifies them after the approval of the House of Representatives. They shall acquire the force of law upon promulgation in accordance with the provisions of the Constitution. With regards to any treaty of peace and alliance, and treaties related to the rights of sovereignty, voters must be called for a referendum, and they are not to be ratified before the announcement of their approval in the referendum. In all cases, no treaty may be concluded which is contrary to the provisions of the Constitution or which leads to concession of state territories.”
The text appears clear on the issue, but it is unclear whether the issue will be put to a popular vote. This could mean that any parliamentary decision is open to being challenged on constitutional grounds.
The question thus arises as to how Egyptians would vote if they were called upon to do so in a referendum on the islands.
A survey conducted by Baseera (the Egyptian Center for Public Opinion Research) released on Tuesday found that 47% of Egyptians believe the islands belong to the country, 11% believe they belong to Saudi Arabia and 42% are unsure (or, perhaps, declined to give answer that would put them at odds with the head of State).
When the same question was put to them in April last year – after the deal was announced – 30% believed the islands were Egyptian, 23% believed they were Saudi and 47% did not know.
Thus, if anything, the public has been swayed by the arguments against the deal over the past year.
Furthermore, Baseera found that 42% of respondents felt it was necessary that the issue goes to a referendum – 37% felt parliamentary approval would be enough and 3% said the judiciary should decide, with the remainder unsure.
&nbsp;
<img loading="lazy" decoding="async" class="alignnone size-medium wp-image-128750" src="http://cnbc.africa/wp-content/uploads/2017/06/Egypt-Islands-1-300x200.png" alt="" width="300" height="200" /> <img loading="lazy" decoding="async" class="alignnone size-medium wp-image-128751" src="http://cnbc.africa/wp-content/uploads/2017/06/Egypt-Islands-2-300x200.png" alt="" width="300" height="200" />
The sporadic protests last year against the ceding of the islands did not gain momentum. Media reports state that there were protests on Tuesday evening, with journalists conducting a sit-in at the Egyptian Press Syndicate offices in Cairo, and Wednesday but they have not yet been on the scale that would concern Mr Sisi.
It is likely that protests will begin to grow in coming weeks if activists and dissidents are able to organise.
The country is currently under a state of emergency – in place since April for three months after terrorist attacks on Coptic churches – which gives security forces added powers to keep a lid on dissent. Whether these powers will be used to hold off protests remains an open question.
The islands debacle has seriously dented Mr Sisi’s popularity and his government’s legitimacy. But he is seemingly unperturbed.
In recent months, he has become more strident as he clamps down on the media (we hear that over 60 websites have been blocked, both local and international), arrests opposition politicians (including Khaled Ali, a human rights lawyer that fought the case against the ceding of the islands, and members of his left-leaning Bread and Freedom Party) and rolls back judicial independence (in April the controversial Judicial Authorities Law was passed which gives the president the ability to appoint the judiciary’s most senior members).
Declining political capital and authoritarian overstretch in a harsh economic environment (inflation is still hovering around 30%, though we forecast that it will ease in coming months) is a recipe for a popular backlash.
We have been surprised by the quiescence of the Egyptian public so far, but this concession to the Saudis could push patriotic buttons and bring people onto the streets, even those broadly supportive of the president.

Egypt – Parliament approves ceding of Red Sea islands to Saudi Arabia

MOGADISHU (Reuters) &#8211; At least 19 people were killed when Islamist attackers launched a car bomb and gun attack on a busy hotel and adjacent restaurant in the Somali capital, a police officer said on Thursday.
A car driven by a suicide bomber rammed into the Posh Hotel in south Mogadishu on Wednesday evening before gunmen rushed into Pizza House, an adjacent restaurant, and took 20 people hostage. Posh Hotel is the only venue with a discotheque in the capital.
Abdi Bashir told Reuters the Somali security forces took control of the restaurant at midnight after the gunmen held hostages inside for several hours. Five of the gunmen were killed, Bashir said.
&#8220;We are in control of the hotel but it was mostly destroyed by the suicide bomber,&#8221; he told Reuters by phone.
Witnesses said there were bodies lying at the scene on Thursday morning as ambulances came to take them away.
Al Shabaab, the Islamist militant group, claimed responsibility for the attack.
(Reporting by Faisal Omar; Writing by Duncan Miriri; Editing by Janet Lawrence)
&nbsp;

At least 19 killed in hotel attack in Somalia’s capital

ABUJA (Reuters) &#8211; A Nigerian tribunal dismissed charges against the Senate president, the country&#8217;s third most powerful politician, of false declaration of assets on Wednesday.
Senate President Bukola Saraki&#8217;s time at the helm of Nigeria&#8217;s upper parliamentary chamber has been marred by numerous accusations of misconduct and investigations, though none have stuck.
Last October, he was cleared of altering Senate rules to get himself elected.
President Muhammadu Buhari, now halfway through his four-year term, came to power on a mandate to clean up corruption. But halfway through his four-year term, the results have been mixed, and one of his own senior advisors was suspended after a Senate investigation into embezzlement.
The Code of Conduct Tribunal cleared Saraki of the charges made in 2015, saying that the prosecutor and Code of Conduct Bureau&#8217;s case did not have enough substance to incriminate the Senate president.
A spokesman for Saraki did not respond to a phone call seeking comment.
The original charges from 2015 mostly related to the ownership of land held by Saraki&#8217;s company Carlisle Properties Ltd between 2003 and 2011.
Other charges related to his transfer of $3.4 million to an account outside Nigeria while he was governor of Kwara state, and sending 1.5 million pounds sterling to a European account to cover a mortgage for a London property.
At the time, the Senate president&#8217;s camp denied the allegations of wrongdoing.
(Reporting by Camillus Eboh, Writing by Paul Carsten, Editing by Angus MacSwan)

Nigerian tribunal clears charges against Senate president

Emma Farge and Mathieu Rosemain
DAKAR/PARIS (Reuters) &#8211; France&#8217;s Bollore Group has submitted an offer to develop Gambia&#8217;s main port as part of a deal worth hundreds of millions of dollars, three sources familiar with the matter said, as competition for contracts heats up after a change in government.
Foreign investors are vying for business in riverine Gambia, which has a population of just 2 million and a GDP of around $900 million, following 22 years of autocratic rule.
Yahya Jammeh was eventually driven into exile from the West African country through a combination of pleas and military threats after losing an election.
The Banjul port at the mouth of the Gambia River &#8212; a key transport lane for shipping peanuts &#8212; has been run for decades by a government agency.
Industry sources say activities were limited by the port&#8217;s size and the heavy involvement of the army.
But they say trade has the potential to boom, given its proximity to a major Atlantic sea lane and improved relations with neighbouring Senegal, which surrounds it on three sides.
Senegal is also working with its neighbour to complete a long-awaited bridge that will help link Dakar and Lagos via a coastal road.
French billionaire Vincent Bollore&#8217;s firm, which already has a sprawling African business empire, signalled its interest in the project shortly after President Adama Barrow was sworn in in February and was part of a French investment delegation in May, according to the industry, banking and diplomatic sources who asked not to be named as talks continue.
One of them said Bollore planned to invest more than $200 million in the port concession, although two other sources say there are in discussions with partners to boost the total Gambian investment package to around $1 billion.
It was not clear what the larger investment package would include and the sources stressed that it was not finalised.
Bollore declined to give an official comment.
The African Export-Import Bank is also considering offering financing for the upgrade and expansion of ports in Gambia and related logistics infrastructure, although it could not be established that this was linked to the Bollore offer.
Yankuba Saidy, permanent secretary for investments at the president&#8217;s office, told Reuters that Gambia had received &#8220;lots&#8221; of offers for the port, including from Bollore, and that a partner had not yet been chosen.
Bollore&#8217;s subsidiary, Bollore Africa Logistics, operates container ports in more than a dozen African countries, including a roll-on, roll-off terminal in Dakar which, like Banjul, affords access to landlocked Mali and Burkina Faso.
($1 = 0.8925 euros)
(Additional reporting by John Irish in Paris)

Bollore pitches for revamp of Gambia’s main port: sources

The wife of Lesotho Prime Minister Tom Thabane was shot dead late on Wednesday, just hours after her husband&#8217;s inauguration, raising fears of another wave of political violence in the southern African mountain kingdom.
Police spokesperson Clifford Molefe said Lipolelo Thabane, 58, was traveling home with a friend when both women where shot by an unknown assailant in the town of Masana, just outside the capital, Maseru.
Molefe said Lipolelo died on the scene while her friend was taken to a nearby hospital. Molefe said the motive of the shooting was unknown and that investigations were ongoing.
Lesotho, which has been on a political knife-edge since an attempted coup in 2014, held elections last week, the third in five years, after then-prime minister Pakalitha Mosisili lost a no-confidence vote in March.
Thabane&#8217;s All Basotho Convention won 48 parliamentary seats, compared with 30 won by Mosisili&#8217;s Democratic Congress.
Thabane and Lipolelo had been living separately since 2012 after Thabane filed for a divorce which had yet to be granted by the courts.
Thabane&#8217;s office was unreachable for comment.
(Reporting by Marafaele Mohloboli; Writing by Mfuneko Toyana; Editing by Ed Cropley)

New Lesotho Prime Minister’s wife shot dead: police

<div class="storify"><iframe loading="lazy" src="//storify.com/cnbcafrica/live-taxistrike/embed?border=false" width="100%" height="750" frameborder="no"></iframe><script src="//storify.com/cnbcafrica/live-taxistrike.js?border=false"></script><noscript>[<a href="//storify.com/cnbcafrica/live-taxistrike" target="_blank">View the story &#8220;LIVE: #TaxiStrike in Johannesburg&#8221; on Storify</a>]</noscript></div>

LIVE: #TaxiStrike in Johannesburg

CAPE TOWN (Reuters) &#8211; South African President Jacob Zuma is consulting legal advisers about setting up a judicial inquiry into allegations of influence-peddling within his government, his deputy Cyril Ramaphosa told parliament on Wednesday.
New allegations in recent weeks of inappropriate collusion between state-owned companies and business interests close to Zuma have put more pressure on the scandal-plagued leader and ministers close to him.
(Reporting by Wendell Roelf; Editing by Hugh Lawson)
&nbsp;

S.Africa Zuma consulting advisers on setting up inquiry into graft allegations: Ramaphosa

South Africa&#8217;s economic growth will be much softer this year after the country slipped into recession in the first quarter, and with inflation easing an interest rate cut is back on the agenda, a Reuters poll found.
Africa&#8217;s most industrialised nation is expected to expand 0.7 percent in 2017, 0.2 percentage points slower than last month&#8217;s median as economists trimmed growth forecasts following South Africa&#8217;s first recession for eight years.
The median prediction for interest rates shows a cut is back in the forecast horizon &#8211; 25 basis points to 6.75 percent in January or March. Some economists have pencilled it in as early as July or September this year.
In March, the consensus was for the repo rate to be cut to 6.75 percent early next year but then President Jacob Zuma changed his finance minister for a fourth time, triggering debt downgrades and leading economists to push cuts off the horizon.
But a trimming is back on the cards and Mandla Maleka, chief economist at Eskom Treasury, said the cut could come earlier than 2018.
&#8220;It will be contingent on the persuasive improvement on domestic inflation and less volatile currency. Growth &#8211; much as it is not targeted by the Monetary Policy Committee &#8211; could be the game changer,&#8221; Maleka said.
After contracting 0.7 percent in the first quarter, the economy is expected to have rebounded and will expand 0.8 percent this quarter and 0.9 percent in the third.
In contrast to South Africa, the U.S Federal Reserve is widely expected to raise its interest rate this week due to a tightening labour market and may also provide more detail on its plans to shrink the mammoth bond portfolio it amassed to nurse the economic recovery.
South Africa&#8217;s Reserve Bank does not have the fire power of bond purchases like the U.S. Fed and only targets inflation, with an aim to keep it between a 3-6 percent range.
Consumer inflation slowed to 5.3 percent in May, and is expected to average 5.5 percent this year, a change to last month&#8217;s median of 5.7 percent.
Economists are worried that debt denominated in the heavily traded rand is in serious risk of being downgraded to &#8220;junk status&#8221; this year, ejecting it from crucial bond indexes that automatically invest in local bonds and prop up demand for the rand.
However, Thea Fourie, senior economist at IHS Markit, added that lower inflation and interest rate levels could support real incomes of households.
Fourie added South Africa&#8217;s growth environment was low partially due to very weak confidence, both for investors and consumers.
&#8220;This means big ticket spending plans are delayed,&#8221; she said.
The ruling African National Congress (ANC) is due to hold a conference at the end of June to review policy and make recommendations on amendments or new strategies. Investors hope that will address confidence issues.
(For other stories from the global poll:)
(Editing by Alison Williams)

Repo rate cut back on the cards for South Africa as inflation seen easing

Bonang Mohale has been appointed as the new CEO of Business Leadership South Africa (BLSA), effective from 1 July 2017. Mr Mohale, who ends a distinguished term as Vice President Upstream and Chairman of Shell South Africa (Pty) Limited at the end of June, replaces Thero Setiloane, whose term expired in December 2016.
Mr Mohale has been serving as the organisation’s Deputy Chairman for the past eight months. He will vacate this non-executive role for the duration of his term as CEO. Adrian
Enthoven, Chairman of Hollard Insurance, will assume the position of Deputy Chairman of BLSA.
“The board of BLSA are delighted that someone of Bonang Mohale’s calibre and immense leadership ability has agreed to steer the organisation through the most challenging environment the organisation has faced since 1994,” said Chairman Jabu Mabuza. “His depth of experience, integrity and courage makes him a great fit for the position.”
BLSA is an organisation of 80 CEOs of South Africa’s largest businesses and multinational companies. BLSA is committed to creating a South Africa of increasing prosperity for all by harnessing the resources and capabilities of business in partnership with Government, Labour and civil society to deliver inclusive economic growth, transformation and shared value.
Mr Mohale said: “It will be an honour for me to marshal the resources and capabilities of business to create a South Africa that works for all. In the next 12 months my focus will be to re-assert business as the solution and not the enemy because when business does well, society does well, help combat state capture, work with labour and government to get the economy out of this recession and going again, create jobs and accelerate transformation. I plan to reposition business as a trusted advisor, partner of choice and doing everything possible to make Government a capable state”.
Mr Mohale, who originally studied to be a medical doctor, has had a distinguished career at the helm and in leadership roles of several major South African and multinational companies; including Otis Elevators, South African Airways, Sanlam, and Drake &amp; Scull Integrated Facilities Management. He currently serves on the Boards of Swiss Re Africa (12 years); Hollard Insurance (11 years); Rand Merchant Bank &amp; Oakhurst Insurance (Chairman). Mr Mohale has an impressive track record of both building successful companies and making significant advances in transformation in the companies he has been involved in. He has been a vocal and active proponent of transformation since the 1980s, and played a leadership role in the Black Management Forum for over 33 years.
Mr Mohale was, among others, awarded the “BMF Manager of The Year: 1997”; November 2001 he received the Presidential Award for his “Servanthood in South African Industry &amp; the Economic Empowerment of Previously Disadvantaged Individuals”; was conferred an Honorary Professorship in Marketing Management in 2012 by the University of Pretoria, where he serves on their Advisory Council; awarded the IPM “CEO of the Year:2012”; SADC “Titans – Building the Nation: 2014” and “The Momentum Friendship Blazer: 2015” as recognition for being the ‘Nation Building Champion’.
“All South Africans seek unity around positive aspirations. It will be very important for business to be introspective about its position in society to inspire agreement and provide duty of care, skill and diligence to our shared vision of a growing, inclusive economy,” said Mr Mohale.

BLSA appoints Bonang Mohale as CEO

HARARE (Reuters) &#8211; Zimbabwe&#8217;s government plans to issue a three-year $50 million bond to finance irrigation infrastructure in the country, part of efforts to improve its long term food security, according to a term sheet of the bond seen by Reuters on Wednesday.
The southern African nation has struggled to feed itself since 2001, partly due to frequent droughts and President Robert Mugabe&#8217;s seizures of white-owned farms, which hit commercial agriculture production.
(Reporting by MacDonald Dzirutwe; Editing by Hugh Lawson)

Zimbabwe planning $50 million bond for irrigation infrastructure

NAIROBI (Reuters) &#8211; Acacia Mining&#8217;s &#8220;very existence&#8221; has been jeopardised by accusations of wrongdoing levelled against it by the Tanzanian government, chief executive Brad Gordon said in an internal memo seen by Reuters.
In the memo, Gordon denied accusations of tax evasion and forging documents to avoid paying taxes. He also said the firm operated through locally registered subsidiaries, contrary to a government accusation it had been operating illegally.
Acacia has been caught up in President John Magufuli&#8217;s campaign to reform the mining industry, a key source of foreign exchange for the East African country. The sector accounts for 4 percent of Tanzania&#8217;s gross domestic product.
(Reporting by David Lewis; Writing by Duncan Miriri; Editing by Ed Cropley)

Tanzania claims threaten Acacia’s “very existence”: CEO

CAPE TOWN (Reuters) &#8211; South Africa could see a spike in bad loans as the first recession since 2009 hits millions of chronically indebted consumers struggling to pay back credit totalling 1.7 trillion rand ($133.19 billion), the National Credit Regulator (NCR) said on Wednesday.
Africa&#8217;s most developed economy slipped into recession in the first quarter, compounding a slew of negative economic indicators including sovereign rating downgrades and stubbornly high unemployment.
<blockquote>&#8220;Already we&#8217;ve got a lot of accounts, more than a third, that are impaired and the percentages might go up. So we are worried,&#8221; Nomsa Motshegare, the NCR chief executive told Reuters.</blockquote>
&#8220;There must be responsible borrowing but also responsible lending,&#8221; she said after briefing parliament where changes to the National Credit Act were being considered to help relieve over-indebted consumers.
Motshegare said at the end of December, there were around 24 million active credit consumers, with 40 percent, or just under 10 million people, having some form of &#8220;impaired record&#8221; of payment.
Unbridled lending fuelled a consumer frenzy that lifted growth to an average 5 percent annually in the period before the 2009 recession, before the government introduced legislation clamping down on irresponsible lending.
The National Treasury, which has previously introduced a debt amnesty to assist poor and indebted consumers, said they were considering a number of options, including &#8220;extinguishing&#8221; some or all debt to help people get a fresh start.
<blockquote>&#8220;If a person can pay, he or she should pay,&#8221; said Katherine Gibson, senior adviser for market conduct and inclusion at the treasury.</blockquote>
Gibson told parliament&#8217;s trade and industry committee that further research was needed to determine the impact of possible debt relief packages, which was expected to heavily impact retailers and microlenders.
&#8220;It is expected to heavily impact access to credit and is likely to push desperate people to illegal operators,&#8221; she said.
($1 = 12.7642 rand)
(Reporting by Wendell Roelf, editing by Louise Heavens)
&nbsp;

South African credit regulator sees rise in impairments amid recession

Ghana&#8217;s annual consumer price inflation fell to 12.6 percent in May from 13.0 percent the previous month due to lower fuel prices, the statistics office said on Wednesday.
The government aims to cut inflation to 11.2 percent by the end of the year as one part of a drive to restore macroeconomic stability under a three-year assistance programme with the International Monetary Fund.
&#8220;There has been a general decline in prices across food and non-food items, driven by declining fuel prices,&#8221; acting government statistician Baah Wadieh told a news conference in Accra.
Food inflation fell to 6.3 percent in May from 6.7 percent in April while non-food inflation also dipped to 15.8 percent from 16.3 percent, Wadieh said, adding that the May figure was the lowest since December 2013.
The month-on-month inflation rate was 0.7 percent in May, compared to 1.6 percent the previous month.
Ghana, which exports cocoa, gold and oil, said in April it was committed to reducing inflation, the public debt and budget deficit. It was one of Africa&#8217;s strongest economies until 2014, when it was hit by a slump in commodity prices and a fiscal crisis.
(Reporting by Kwasi Kpodo; Editing by Matthew Mpoke Bigg and Jon Boyle)

Ghana inflation falls to 12.6% in May vs 13.0% in April

South African business confidence fell deeper into negative territory in the second quarter, to a level not seen since the 2009 recession, a survey showed on Wednesday, as persistently weak business activity and concerns over politics weighed.
The Rand Merchant Bank (RMB) business confidence index compiled by the Bureau for Economic Research fell to 29 points in the second quarter from 40 points in the first quarter, remaining firmly below the 50-mark separating the net positive and negative territories.
South Africa sank into recession for the first time in eight years in the first quarter, hit by weakness in consumer sectors such as wholesale, retail and accommodation.
The latest survey results suggest seven out of every 10 respondents are downbeat about prevailing business conditions, suggesting year-on-year economic growth slowed even further in the second quarter, RMB said.
&#8220;In fact, given the severe strain many industry respondents (and consumers for that matter) are under, a contraction in GDP for the year as a whole is not inconceivable,&#8221; RMB said in a statement.
Unlike the 2009 recession, when authorities eased fiscal policy and aggressively cut rates to counter the decline in economic growth, RMB sees &#8220;no easy options&#8221; this time to restart economic growth.
&#8220;Given sovereign credit rating pressures, providing fiscal stimulus is not an option. And while it is not impossible for the Reserve Bank to lower rates, a deep-cutting cycle is most unlikely given the rand&#8217;s vulnerability to various global as well as domestic risks,&#8221; RMB added.
Ratings agency Moody&#8217;s downgraded South Africa&#8217;s credit rating but kept it at investment grade with a negative outlook, citing a recent abrupt cabinet reshuffle and reduced growth prospects for an economy mired in recession.
South Africa relies heavily on foreign money to cover its large budget and current account deficits but could struggle to attract investment if political tensions linger on and economic growth does not return.
(Reporting by Rahul B in Bengaluru; Editing by Hugh Lawson)
&nbsp;

South Africa’s Q2 business confidence plunges to 2009 lows

LUSAKA (Reuters) &#8211; Zambia&#8217;s parliament suspended 48 opposition lawmakers on Tuesday for boycotting a speech by the president, widening a political rift that has alarmed rights groups.
Parliament&#8217;s speaker barred the United Party for National Development (UPND) politicians from taking their seats for 30 days, a move that banned them from the building and stopped their pay.
Their party, which was defeated in August elections that it said were rigged, called the suspensions unconstitutional.
The lawmakers boycotted President Edgar Lungu&#8217;s address at the official opening of the assembly in March, saying they did not recognise him as leader.
A month later, the UPND&#8217;s leader, Hakainde Hichilema, and five others were arrested and charged with treason after a column of opposition vehicles failed to make way for Lungu&#8217;s motorcade.
Amnesty International has said the treason charges are &#8220;trumped up&#8221; and called for the politicians&#8217; release.
On Tuesday, parliament&#8217;s speaker Patrick Matibini told the opposition lawmakers: &#8220;I challenge you to resign on moral grounds if you do not recognise that there is a legitimately elected government.&#8221;
The suspensions affected 48 of the party&#8217;s 58 MPs. The remaining 10 had officially excused themselves from attending parliament on the day of Lungu&#8217;s speech and were not included in the suspension.
Hichilema was moved from a prison in Lusaka to a maximum security facility outside the capital on June 9.
(Reporting by Chris Mfula; Editing by Andrew Heavens)

News

S.Africa’s Public Protector launches probe of influence-peddling in state-owned firms

Youth Optimism dashed by political, economic uncertainty: GIBS Youth Survey

Egypt – Parliament approves ceding of Red Sea islands to Saudi Arabia

At least 19 killed in hotel attack in Somalia’s capital

Nigerian tribunal clears charges against Senate president

Bollore pitches for revamp of Gambia’s main port: sources

New Lesotho Prime Minister’s wife shot dead: police

LIVE: #TaxiStrike in Johannesburg

S.Africa Zuma consulting advisers on setting up inquiry into graft allegations: Ramaphosa

Repo rate cut back on the cards for South Africa as inflation seen easing

BLSA appoints Bonang Mohale as CEO

Zimbabwe planning $50 million bond for irrigation infrastructure

Tanzania claims threaten Acacia’s “very existence”: CEO

South African credit regulator sees rise in impairments amid recession

Ghana inflation falls to 12.6% in May vs 13.0% in April

South Africa’s Q2 business confidence plunges to 2009 lows

Zambia suspends 48 opposition MPs for snubbing president’s speech

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Repo rate cut back on the cards for South Africa as inflation seen easing

BLSA appoints Bonang Mohale as CEO

Zimbabwe planning $50 million bond for irrigation infrastructure

Tanzania claims threaten Acacia’s “very existence”: CEO

South African credit regulator sees rise in impairments amid recession

Ghana inflation falls to 12.6% in May vs 13.0% in April

South Africa’s Q2 business confidence plunges to 2009 lows

Zambia suspends 48 opposition MPs for snubbing president’s speech

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Advertise With Us

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