<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2022/02/TCKUIW7CHRO2RMH5MXMDLMBDDM-820x547.jpg" alt="" class="wp-image-414999" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2022/02/TCKUIW7CHRO2RMH5MXMDLMBDDM-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2022/02/TCKUIW7CHRO2RMH5MXMDLMBDDM-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2022/02/TCKUIW7CHRO2RMH5MXMDLMBDDM-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2022/02/TCKUIW7CHRO2RMH5MXMDLMBDDM-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2022/02/TCKUIW7CHRO2RMH5MXMDLMBDDM.jpg 960w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">The logo of French oil and gas company Total is seen in Rueil-Malmaison, near Paris, France, March 2, 2021. REUTERS/Benoit Tessier</figcaption></figure>



May 21 (Reuters)&nbsp;&#8211;&nbsp;French oil major TotalEnergies&nbsp;TTEF.PA&nbsp;is pressing ahead with the development of the Kaminho oil project 100 kilometers off the coast of Angola after a final investment decision on the block, it said on Tuesday.



The $6 billion project involves developing two oil fields located in Block 20/11, Cameia and Golfino, according to a statement from Angola&#8217;s national hydrocarbon agency ANPG.



Italian engineering firm Saipem&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL8N3HO18H&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">will convert</a>&nbsp;a very large crude carrier into a Floating Production Storage and Offloading (FPSO) unit, which will connect oil from the offshore fields to a subsea production network.



&#8220;This project&#8230; will become our seventh FPSO unit in the country and the first-ever development in the Kwanza basin,&#8221; TotalEnergies CEO Patrick Pouyanne said in a statement.



Production is expected to begin in 2028, with a plateau of 70,000 barrels of oil per day, the French company said in a statement.



TotalEnergies operates Block 20/11 with a 40% interest. Malaysia&#8217;s Petronas holds another 40%, and Angola&#8217;s Sonangol 20%



Angola, where TotalEnergies is the top operator, produces 1.1 million barrels of oil per day, making it Africa&#8217;s&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL2N3FY3GS&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">second-largest</a>&nbsp;crude exporter. Its fields however are declining by 15% each year.



The country has mounted an aggressive campaign to&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL8N3H61QI&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">attract investors</a>, maintain oil production, bring on new reserves and increase natural gas production, as sector interest moves on to newer discoveries in Guyana, Namibia and Suriname.



(Reporting by Olivier Sorgho and America Hernandez in Paris, Wendell Roelf in Cape Town; Editing by Tassilo Hummel and Jan Harvey)

TCKUIW7CHRO2RMH5MXMDLMBDDM

TotalEnergies moves ahead on $6 billion Kaminho oil project in Angola

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="505" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/06/NBJD7KLOVFLCTLYOENU66RMJGI-820x505.jpg" alt="" class="wp-image-425509" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/06/NBJD7KLOVFLCTLYOENU66RMJGI-820x505.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/NBJD7KLOVFLCTLYOENU66RMJGI-300x185.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/NBJD7KLOVFLCTLYOENU66RMJGI-146x90.jpg 146w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/NBJD7KLOVFLCTLYOENU66RMJGI-768x473.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/NBJD7KLOVFLCTLYOENU66RMJGI-1536x946.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/NBJD7KLOVFLCTLYOENU66RMJGI-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A man walks beneath electricity pylons during frequent power outages from South African utility Eskom, caused by its ageing coal-fired plants, in Orlando, Soweto, South Africa, January 16, 2023. REUTERS/Siphiwe Sibeko//File Photo</figcaption></figure>



CAPE TOWN, May 21 (Reuters)&nbsp;&#8211;&nbsp;South Africa is in talks with groups helping to fund its switch to a greener economy about delaying the closure of some coal plants as it battles to boost power supplies, and is optimistic of an agreement, the head of its state electricity utility said.



Africa&#8217;s most industrialised country became the poster child for the global energy transition when developed economies including Britain, the European Union and the United States together pledged $8.5 billion at U.N. climate talks in 2021 to help South Africa cut emissions and move away from coal.



But keeping the lights in a struggling economy while shutting down some old coal-fired plants supplying most of South Africa&#8217;s electricity needs has proven a tough task, forcing Eskom to delay commitments to shutter at least three power stations before 2030.



&#8220;There are some concerns with regards to how our strategy will impact some of the commitments that government has made and also how it will affect some of the funding that was earmarked for these initiatives,&#8221; Dan Marokane, the new chief executive of Eskom told an energy conference in Cape Town.



&#8220;We have spoken to them (partners), we’ve engaged with them and explained our rationale and the need for tactical cost adjustment and they’ve all understood this,&#8221; he said ahead of scheduled talks with funders in June and July.



Eskom has managed to suspend rolling&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AJ8N3F601U&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">power outages</a>&nbsp;&#8211; which have plagued the country for years &#8211; for almost two months&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL4N3HG1N6&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">ahead of an election</a>&nbsp;on May 29 that could see the ruling African National Congress lose its majority for the first time since it came to power in 1994.



Improving the low&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL5N3FF36N&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">energy availability</a>&nbsp;factor &#8211; the amount of power available at any given time &#8211; at old coal-fired power stations is a key aspect of the utility&#8217;s turnaround strategy.



Eskom had told Reuters last week that the country&#8217;s power supply crisis made it &#8220;nearly impossible&#8221; from a technical and political economy perspective to decommission its Camden, Grootvlei and Hendrina (CGH) coal stations over the next few years as originally intended.



&#8220;Eskom intends to delay the shut down of the CGH plants until March 2030, and to manage its carbon reduction targets through fleet-wide initiatives,&#8221; Eskom said.



On Tuesday, Eskom&#8217;s head of generation Bheki Nxumalo said four out of 10 units at the Hendrina plant had already been shut and the utility did not plan to bring these units back online.



&#8220;There is no plan to bring those other three or four units back because as we continue to improve the availability then the pressure becomes less,&#8221; Nxumalo said.



(Additional reporting by Joe Bavier; Writing by Tannur Anders;Editing by Alexander Winning and Mark Potter)

FILE PHOTO: South Africa’s Eskom to reduce power cuts but long-term outlook bleak

S.Africa in talks with climate backers over delaying coal plant closures

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/WNOCRFRNP5PYXB42R3OBGXFHQA-820x547.jpg" alt="" class="wp-image-486914" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/WNOCRFRNP5PYXB42R3OBGXFHQA-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/WNOCRFRNP5PYXB42R3OBGXFHQA-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/WNOCRFRNP5PYXB42R3OBGXFHQA-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/WNOCRFRNP5PYXB42R3OBGXFHQA-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/WNOCRFRNP5PYXB42R3OBGXFHQA-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/WNOCRFRNP5PYXB42R3OBGXFHQA-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: Qatar Airways B777 aircraft arrives at the Cape Town International Airport, in Cape Town, South Africa, June 28, 2022. REUTERS/Shelley Christians/File Photo</figcaption></figure>



SEOUL, May 15 (Reuters)&nbsp;&#8211;&nbsp;Qatar Airways will soon announce an investment in an airline in southern Africa, its CEO said on Wednesday, part of the Gulf carrier&#8217;s drive to expand its network in Africa.



&#8220;We are at the final stage of an equity investment in an airline in the southern part of Africa,&#8221; Badr Mohammed Al Meer said on a panel at the Qatar Economic Forum in Doha, saying the deal could be announced in two to three weeks.



Meer, who became CEO in November, said the southern part of Africa was a gap in Qatar Airways&#8217; network coverage on the continent.



He added that Qatar Airways wants to expand the fleets of its partner airlines in Africa to improve connectivity.



Qatar Airways in 2019 took a 60% stake in a new $1.3 billion international airport being built in Rwanda and has code share agreements with several airlines in Africa including Rwandair.



Rwandair CEO Yvonne Manzi Makolo, speaking in Doha, said the airport could be incorporated around 2027-28.



(Reporting by Lisa Barrington; Editing by Elaine Hardcastle and Jacqueline Wong)

Qatar Airways B777 aircraft arrives at the Cape Town International Airport

Qatar Airways to invest in an airline in southern Africa, CEO says

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="570" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/QMLFVF7CCZNTDF35SJ3V4RTJ34-820x570.jpg" alt="" class="wp-image-486897" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/QMLFVF7CCZNTDF35SJ3V4RTJ34-820x570.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/QMLFVF7CCZNTDF35SJ3V4RTJ34-300x208.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/QMLFVF7CCZNTDF35SJ3V4RTJ34-130x90.jpg 130w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/QMLFVF7CCZNTDF35SJ3V4RTJ34-768x534.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/QMLFVF7CCZNTDF35SJ3V4RTJ34-1536x1067.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/QMLFVF7CCZNTDF35SJ3V4RTJ34-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A villager arrives to collect her monthly allocations of food aid provided by the World Food Program (WFP) in Mumijo, Buhera district east of the capital Harare, Zimbabwe, March 16, 2024. REUTERS/Philimon Bulawayo/File Photo</figcaption></figure>



HARARE, May 15 (Reuters)&nbsp;&#8211;&nbsp;More than half of Zimbabwe&#8217;s population will need food aid this year following a devastating drought that led to widespread crop failure as humanitarian organisations seek funding to save many from hunger, the country&#8217;s cabinet heard late on Tuesday.



About 6 million people in rural areas and 1.7 million in urban areas will require assistance, according to the Zimbabwe Livelihoods Assessment Committee (ZIMLAC).



Zimbabwe is among the worst hit countries by the El Nino induced drought in Southern Africa, with Zambia and Malawi also facing food shortages this year.



This is Zimbabwe&#8217;s worst drought in 40 years, according to the government.



The latest crop assessment presented to the Cabinet of Zimbabwe also revised upwards Zimbabwe&#8217;s&nbsp;maize production&nbsp;deficit to 77% from last week&#8217;s predictions.



&#8220;A 77% reduction in production to 744,271 metric tonnes is estimated for the 2023/2024 summer season, indicating a major shortfall for both food and stock feed,&#8221; according to a cabinet brief.



A local consortium of private millers plan to import 1.4 million metric tonnes of white and yellow maize from Brazil and other countries to cover the food deficit.



The United Nations and the United Nations Children&#8217;s Fund (UNICEF) have appealed for financial assistance to save millions from hunger.



It follows the government&#8217;s appeal for $2 billion in food aid from well wishers and donors.



Zimbabwe has failed to feed itself since 2000, when former president Robert Mugabe led land reforms which disrupted production, while climate change has worsened the country&#8217;s ability to grow enough food.



(Reporting by Nyasha Chingono; Editing by Lincoln Feast.)

FILE PHOTO: Villagers collect monthly allocations of food aid provided by WFP in Mumijo

More than half of Zimbabwean population will need food aid, cabinet says

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="600" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-820x600.jpg" alt="" class="wp-image-474643" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-820x600.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-300x220.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-123x90.jpg 123w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-768x562.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-1536x1124.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A woman walks past the Reserve Bank of Zimbabwe building in Harare, Zimbabwe March 1, 2024. REUTERS/Philimon Bulawayo/FILE PHOTO</figcaption></figure>



HARARE, May 10 (Reuters)&nbsp;&#8211;&nbsp;Zimbabwe will fine businesses using inflated exchange rates as the government battles to maintain the value of its newly introduced gold-backed currency, the Zimbabwe Gold (ZiG).



Any business using an exchange rate higher than the official rate of 13.5 ZiG per U.S. dollar will be liable for a fine of 200,000 ZiG ($14,815), according to a government notice seen by Reuters.



Anyone offering &#8220;goods or services at an exchange rate above the prevailing interbank foreign currency selling rate&#8221; would be guilty of a civil infringement, read the notice, issued late on Thursday.



The government has been making efforts to keep the ZiG afloat since its launch in early April, with authorities launching a blitz on illegal foreign currency traders last month.



Some businesses such as supermarkets have been charging a premium above the market rate for customers paying in the new currency, while the ZiG is being rejected by informal traders.



Zimbabwe&#8217;s Treasury on Tuesday moved to enforce the use of the ZiG as the official unit of exchange for transactions.



This is Zimbabwe&#8217;s fourth attempt at having a local currency within a decade, with the southern African country dumping the Zimdollar last month after it lost 70% value since the start of the year.



(Reporting by Nyasha Chingono; Editing by Nellie Peyton and Ros Russell)

A woman walks past the Reserve Bank of Zimbabwe building in Harare

Zimbabwe to fine businesses not using new official exchange rate

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/GettyImages-2151125823-820x547.jpg" alt="" class="wp-image-484355" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/GettyImages-2151125823-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/GettyImages-2151125823-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/GettyImages-2151125823-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/GettyImages-2151125823-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/GettyImages-2151125823-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/GettyImages-2151125823-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">NEW YORK, NEW YORK &#8211; MAY 02: President of Botswana Mokgweetsi Masisi speaks onstage during Global Citizen NOW 2024 at Spring Studios on May 02, 2024 in New York City. (Photo by Noam Galai/Getty Images)</figcaption></figure>



Botswana, the world’s largest diamond producer, says it’s closely following BHP Billiton’s battle to buy Anglo American, which controls their diamond venture through De Beers.



President Mokgweetsi Masisi told CNBC Africa at the U.S.-Africa Business Summit in Dallas, Texas that while no-one had approached Botswana about the matter, the government would defend its interests in De Beers, in which it owns 15 percent. De Beers and the Botswana government jointly co-own Debswana Diamond, the largest diamond producer in the world by value.



“The value of De Beers is fundamentally created by Botswana. Without Botswana De Beers doesn’t exist,” he said in an interview with Fifi Peters.



Australian company BHP Billiton, the world’s largest miner, has offered about $39 billion for London-based Anglo American’s copper mines, minus its Botswana and South African assets in Debswana, Kumba Iron Ore and Anglo American Platinum. Anglo has rejected the overture arguing it undervalues its initiatives to unlock value for shareholders.



Analysts say BHP might be mulling a second bid and could face competition from commodities producer Glencore. South African Mines Minister Gwede Mantashe, who has met with Anglo executives, has said he is watching developments.



“Well, we remain laser focused on the developments because we clearly are an interested party,” he said. “I also want to state for the record that the value of De Beers is fundamentally created by Botswana. Because without Botswana, De Beers doesn&#8217;t exist.”



BHP has proposed that Anglo sell its shares in units Anglo Platinum and Kumba Iron Ore as an option to exit the South African assets it does not want included in the deal. It hasn’t pronounced on De Beers.

Global Citizen NOW 2024 – Day 2

Botswana says it will protect its diamond interests as BHP Bids for Anglo American

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="547" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/Anglo-CEO-meets-S.Africa-mines-minister-after-BHPs-takeover-proposal-820x547.jpg" alt="" class="wp-image-482625" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/05/Anglo-CEO-meets-S.Africa-mines-minister-after-BHPs-takeover-proposal-820x547.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/Anglo-CEO-meets-S.Africa-mines-minister-after-BHPs-takeover-proposal-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/Anglo-CEO-meets-S.Africa-mines-minister-after-BHPs-takeover-proposal-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/Anglo-CEO-meets-S.Africa-mines-minister-after-BHPs-takeover-proposal-768x512.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/Anglo-CEO-meets-S.Africa-mines-minister-after-BHPs-takeover-proposal-1536x1024.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/05/Anglo-CEO-meets-S.Africa-mines-minister-after-BHPs-takeover-proposal-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">Anglo American CEO Duncan Wanblad speaks during the Investing in African Mining Indaba 2023 conference in Cape Town, South Africa, February 6, 2023. REUTERS/Shelley Christians REFILE &#8211; CORRECTING INFORMATION</figcaption></figure>



JOHANNESBURG, May 3 (Reuters)&nbsp;&#8211;&nbsp;Anglo American&nbsp;AAL.L&nbsp;CEO Duncan Wanblad is meeting on Friday South African mines minister Gwede Mantashe for the first time since the miner rejected BHP Group&#8217;s&nbsp;BHP.AX&nbsp;$39 billion&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AFWN3GY2K8&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">takeover bid</a>, a source familiar with the matter told Reuters.



BHP, the world&#8217;s biggest-listed mining group, is privately talking to investors as it weighs up its next move after Anglo&#8217;s rejection of its initial proposal.



Commodities giant Glencore is also&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL8N3H53AS&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">studying an approach</a>&nbsp;for Anglo, sources told Reuters, a development that could spark a bidding war for the 107-year old mining company.



Anglo declined to comment on the meeting with Mantashe.



The source did not give details of the meeting.



BHP has proposed that Anglo sell its shares in units Anglo Platinum (Amplats) and Kumba Iron Ore as an option to exit the South African assets it does not want included in the deal.



Anglo unanimously rejected the proposal as opportunistic and significantly undervaluing the company and its future prospects.



Its investors are concerned that&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL1N3H21H1&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">they stand to lose</a>&nbsp;heavily by holding shares in the South African subsidiaries, if they are un-bundled.



There is a risk that South African regulatory authorities, particularly its central bank, could be concerned about capital outflows from foreign investors not willing to hold the shares, the source said.



BHP CEO Mike Henry, who is in South Africa to canvass views from investors on the company’s proposed offer to Anglo, was in &#8220;listening only mode&#8221; during a meeting with a Cape Town-based fund manager on Friday, another source told Reuters.



BHP executives also held a call with South Africa&#8217;s Public Investment Corporation earlier in the week, a separate source said.



Anglo has said it&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL8N3H22HL&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">will meet its top investors</a>&nbsp;to hear their views on BHP&#8217;s approach.



(Reporting by Felix Njini and Clara Denina, Editing by Veronica Brown and Emelia Sithole-Matarise)

Investing in African Mining Indaba 2023 conference in Cape Town

Anglo CEO meets S.Africa mines minister after BHP’s takeover proposal

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="574" src="https://cms.cnbcafrica.com/wp-content/uploads/2022/11/HJTEOAVY5FMF7IXGXS6VBIZ754-820x574.jpg" alt="" class="wp-image-421202" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2022/11/HJTEOAVY5FMF7IXGXS6VBIZ754-820x574.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/HJTEOAVY5FMF7IXGXS6VBIZ754-300x210.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/HJTEOAVY5FMF7IXGXS6VBIZ754-128x90.jpg 128w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/HJTEOAVY5FMF7IXGXS6VBIZ754-768x538.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/HJTEOAVY5FMF7IXGXS6VBIZ754-1536x1076.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2022/11/HJTEOAVY5FMF7IXGXS6VBIZ754-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A truck is seen loaded with rocks for processing at an open pit at Dorowa mine in Hwedza, Zimbabwe October 22, 2019. REUTERS/Philimon Bulawayo</figcaption></figure>



HARARE, May 2 (Reuters)&nbsp;&#8211;&nbsp;Zimbabwe&#8217;s only operating nickel mine was on Thursday placed under administration, according to a government notice, seven months after halting production due to equipment failure and low prices.



Zimbabwe&#8217;s government owns 70% of Bindura Nickel Corporation&#8217;s&nbsp;BIND.VF&nbsp;Trojan Nickel Mine which employs about 1,100 people according to Bindura&#8217;s latest annual report.



The reconstruction order was published on Thursday in the Government Gazette which also announced the appointment of an administrator.



Trojan is Zimbabwe&#8217;s only primary nickel producer, though the country&#8217;s platinum miners also produce the metal which is mainly used in steelmaking.



Nickel prices have fallen from record levels above $100,000 in 2022 when they were driven by expectations of reduced supplies from major producer Russia following its invasion of Ukraine, to around $19,000 per ton in the currently oversupplied market. Prices are currently 25% down on their levels a year ago.



Low prices have forced top global producer BHP Group&nbsp;BHP.AX&nbsp;to review its nickel business,&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL3N3FW078&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">warning</a>&nbsp;that 30% of Australian mine capacity had gone offline and another 30% was in trouble due to the squeeze on margins.



Trojan mine&#8217;s nickel concentrate output plunged to 1,314 metric tons in its last financial year, which ended in March 2024, down from 3,180 metric tons the year before.



This was after the mine suspended operations last September following the damage suffered by its ore hoisting equipment during a seismic event. The mine has capacity to produce 5,500 metric tons of nickel concentrate annually.



On April 29, the company said while it had managed to install new ore hoisting gear, it would delay restarting mining operations due to low prices and high costs of inputs such as electricity.



&#8220;BNC needs to mobilise the requisite capital for retooling, with particular emphasis on increasing the availability of



underground mining mobile equipment and the processing plant,&#8221; it said on Thursday.



Trojan mine started production in 1964 under the Anglo American group which sold the asset in 2003.



(Reporting by Nyasha Chingono; Editing by Nelson Banya and Elaine Hardcastle)

A truck is seen loaded with rocks for processing at an open pit at Dorowa mine in Hwedza

Zimbabwe’s sole nickel mine placed under administration

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="549" src="https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-820x549.jpg" alt="" class="wp-image-425202" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-820x549.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-134x90.jpg 134w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-768x514.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-1536x1028.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2023/06/7E5H4JHT7JIDHHBALK7PSZDXSI-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">South African Rand coins are seen in this photo illustration . REUTERS/Mike Hutchings</figcaption></figure>



JOHANNESBURG, May 2 (Reuters)&nbsp;&#8211;&nbsp;The South African rand strengthened on Thursday after the U.S. Federal Reserve held interest rates steady as expected and reiterated inflationary concerns.



At 0742 GMT the rand traded at 18.5050 against the dollar&nbsp;ZAR=D3, 0.68% stronger than its previous close.



The dollar index&nbsp;=USD&nbsp;was last trading down 0.1% against a basket of currencies.



The Fed on&nbsp;<a href="https://www.reutersconnect.com/all?search=all%3AL1N3H31SH&amp;linkedFromStory=true" target="_blank" rel="noreferrer noopener">Wednesday</a>&nbsp;signalled it is still leaning towards eventual reductions in borrowing costs, but it placed a red flag on recent inflation readings that could delay any cuts to interest rates.



The focus for South African investors on Thursday will be a manufacturing sector purchasing managers&#8217; index and April vehicles sales data.



An absence of load-shedding (power cuts) in April would have boosted manufacturing, ETM Analytics said in a research note.



On the stock market, the Top-40&nbsp;.JTOPI&nbsp;index and the broader all-share&nbsp;.JALSH&nbsp;index were both up about 1% in early trade.



South Africa&#8217;s benchmark 2030 government bond&nbsp;ZAR2030=&nbsp;was stronger in early deals, with the yield down 6 basis points at 10.615%.



(Reporting by Bhargav AcharyaEditing by David Goodman)

South African Rand coins are seen in this photo illustration

South African rand strengthens as Fed keeps rates on hold

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="3956" height="2632" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/VQAZCQXPCFMLTANSLSXV7JVCKA.avif" alt="" class="wp-image-481603"/><figcaption class="wp-element-caption">A man poses with a handful of Zimbabwean dollars at a bank in central Harare, June 15, 2015. Zimbabweans began exchanging old notes of local dollars for U.S. dollars, as President Robert Mugabe&#8217;s government seeks to officially bury the worthless currency. REUTERS/Philimon Bulawayo/FILE PHOTO</figcaption></figure>



HARARE, April 30 (Reuters)&nbsp;&#8211;&nbsp;Zimbabwe&#8217;s new gold-backed currency came into general circulation on Tuesday amid promises by monetary authorities to keep the money supply in check as they struggle to contain inflation.



The southern African country dumped the Zimdollar earlier this month after it lost more than 70% of its value against the U.S. dollar.



The new currency, the Zimbabwe Gold (ZiG), is backed by gold, other precious minerals and the U.S. dollar. It was trading on Tuesday at 13.4 to the dollar, little changed from previous levels on the formal market.



Long queues formed outside banks and at Automated Teller Machines (ATMs) while others used the new currency to buy goods in supermarkets.



While some Zimbabweans have expressed mistrust over the new currency, others such as Melda Mudavanhu, a 50-year-old civil servant, remain optimistic.



&#8220;If we support the currency, since it&#8217;s the first one of its kind, this currency will succeed. Getting rid of the money changers is also welcome because they were a menace,&#8221; Mudavanhu said.



Ahead of the ZiG&#8217;s introduction, authorities moved to arrest illegal foreign currency dealers, accusing them of charging a premium on the ZiG against the greenback.



The Reserve Bank of Zimbabwe on Monday set ZiG 3,000 as a daily withdrawal limit for individuals as it tries to contain the money supply.



A total of ZiG 80 million is currently on the market, according to the central bank.



The central bank&#8217;s Monetary Policy Committee pledged on Monday to support a tight monetary policy stance.



The ZiG, Zimbabwe&#8217;s fourth attempt at currency reform in a decade, has remained stable on the formal market since its introduction.



(Reporting by Nyasha Chingono, Editing by Bhargav Acharya and Gareth Jones)

VQAZCQXPCFMLTANSLSXV7JVCKA

Zimbabwe’s new gold-backed currency enters circulation

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="550" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/B25KXAJZWJJYDPDZ7LAMYMVWNE-820x550.jpg" alt="" class="wp-image-480246" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/B25KXAJZWJJYDPDZ7LAMYMVWNE-820x550.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/B25KXAJZWJJYDPDZ7LAMYMVWNE-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/B25KXAJZWJJYDPDZ7LAMYMVWNE-134x90.jpg 134w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/B25KXAJZWJJYDPDZ7LAMYMVWNE-768x515.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/B25KXAJZWJJYDPDZ7LAMYMVWNE-1536x1031.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/B25KXAJZWJJYDPDZ7LAMYMVWNE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">File photo: Local residents walk past the Reserve Bank of Zimbabwe (RBZ) ahead of the launch of a gold coin, in Harare, Zimbabwe, July 25, 2022. REUTERS/Philimon Bulawayo/File photo</figcaption></figure>



HARARE, April 26 (Reuters)&nbsp;&#8211;&nbsp;Zimbabwe is arresting black market forex dealers they accuse of distorting exchange rates as the country prepares for its new gold-backed currency to enter circulation next week.



Two weeks ago, black market traders would openly solicit customers at street corners but constant police raids since have driven the thriving alternative forex market underground.



Zimbabwe, which launched a new gold-backed currency called Zimbabwe Gold (ZiG) in early April, dumping the troubled Zimdollar, fears that a black market which thrives on charging premiums will weaken the new currency.



While the ZiG has enjoyed stability on the formal market since its introduction, trading at ZiG 13.3 to a dollar, black market traders are already charging a 65% premium to the dollar.



Keen to establish trust in the new currency to bring down high inflation and secure a new IMF programme by demonstrating sound economic management, the government has threatened brute force to shut down the street currency traders.



&#8220;We wouldn&#8217;t want you to end up being crippled after being attacked,&#8221; Vice President Constantino Chiwenga said in a message to black-market dealers at a political gathering on Tuesday.



Secretary for finance George Guvamatanga said Zimbabwe&#8217;s treasury classifies any illegal forex dealing as money laundering.



More than 70&nbsp;black-market&nbsp;forex dealers arrested in the southern African country&#8217;s capital Harare last week have been refused bail.



&#8220;My colleague was taken in last week and that was the last we heard from him. I hear he was denied bail. It is no longer safe out here,&#8221; one dealer told Reuters.



&#8220;I don&#8217;t pick up unknown calls anymore, or entertain clients that I do not know. These police officers are coming here undercover and in plainclothes. If you entertain them, you will be gone in no time,&#8221; said another dealer.



However, economists questioned whether the police crackdown will be enough to restore confidence in the local currency.



&#8220;I think for a currency, its a matter of confidence. People need to be confident in that currency and also need sustained stability in order for them to accept it,&#8221; said independent economist Happiness Zengeni.



Zimbabwean authorities hope the new currency will help shore up an economy that has suffered severely from low commodity prices and the impact of the El Nino-induced drought.



The central bank will put new ZiG banknotes and coins into general circulation on April 30.



(Reporting by Nyasha Chingono; editing by Olivia Kumwenda-Mtambo and Mark Heinrich)

Local residents walk past the Reserve Bank of Zimbabwe

Zimbabwe pounces on illicit forex dealers ahead of new currency debut

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="595" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/5XI6ICZ6JRKC7A43NJRHTXVLBI-820x595.jpg" alt="" class="wp-image-474665" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/5XI6ICZ6JRKC7A43NJRHTXVLBI-820x595.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/5XI6ICZ6JRKC7A43NJRHTXVLBI-300x218.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/5XI6ICZ6JRKC7A43NJRHTXVLBI-124x90.jpg 124w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/5XI6ICZ6JRKC7A43NJRHTXVLBI-768x557.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/5XI6ICZ6JRKC7A43NJRHTXVLBI-1536x1114.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/5XI6ICZ6JRKC7A43NJRHTXVLBI-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A wilted maize crop is seen in Mumijo, Buhera district east of the capital Harare, Zimbabwe, March 16, 2024. REUTERS/Philimon Bulawayo/File Photo</figcaption></figure>



HARARE, April 8 (Reuters)&nbsp;&#8211;&nbsp;Mandisireyi Mbirinyu, 70, and her 13-year-old grandson Tinotenda sit in the blistering sun, shelling the few maize cobs they managed to retrieve from land parched by a drought ravaging southern Africa.



&#8220;The grain I have is only enough for the next two months. It is going to be hunger from here on,&#8221; Mbirinyu told Reuters at her farm in Shamva, 90 km (56 miles) north of Zimbabwe&#8217;s capital Harare.



Mbirinyu considers herself lucky. She at least managed to harvest a few bags of maize from her sparsely irrigated plot &#8211; most crops around this area were a write-off.



Southern Africa is reeling from its worst drought in years, owing to a combination of naturally occurring El Nino &#8211; when an abnormal warming of the waters in the eastern Pacific radiates heat into the air leading to hotter weather across the world &#8211; and higher average temperatures produced by greenhouse gas emissions.



Weather across the world produced record-breaking extremes in 2023 as climate change amplified the impacts of El Nino.



A study in October last year even suggested that climate change may now be as significant a factor in triggering El Nino conditions as natural causes like sun rays.



Aid agency Oxfam warned last week that more than 24 million people in southern Africa face hunger, malnutrition and water scarcity because of the drought.



Last season Mbirinyu harvested 14 tonnes of maize and sold some to the national grain company; this year she&#8217;s wondering whether there will be enough to feed her own family.



In neighbouring Malawi, crop theft has become a problem as food sources dry up. In Kuntaja village, near the airport of the commercial capital Blantyre, Osten James makes a living for his family of five by guarding other people&#8217;s maize gardens, after his own were torched by heat.



&#8220;The owners are trying to save the little maize that survived the heat from thieves,&#8221; said James.



Zambia, Malawi and Zimbabwe have all declared a state of disaster.



&#8220;The maize has failed,&#8221; Ulaliya Radson, a Malawian farmer said. &#8220;Last year I harvested 10 bags and as you can see in this field, I won&#8217;t even manage half of that,&#8221; she added, gesturing towards a parched patch.



(Reporting by Nyasha Chingono in Shamva and Frank Phiri in Blantyre; Editing by Tim Cocks, William Maclean)

FILE PHOTO: Villagers collecting food aid in rural Zimbabwe

Southern Africa faces hunger as el Nino drought kills crops

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="600" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-820x600.jpg" alt="" class="wp-image-474643" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-820x600.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-300x220.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-123x90.jpg 123w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-768x562.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-1536x1124.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/7EUCZ6RKSVIQDGLZGVKYD2BO74-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A woman walks past the Reserve Bank of Zimbabwe building in Harare, Zimbabwe March 1, 2024. REUTERS/Philimon Bulawayo/FILE PHOTO</figcaption></figure>



HARARE, April 8 (Reuters)&nbsp;&#8211;&nbsp;Zimbabwe&#8217;s new gold-backed currency started trading on Monday amid doubts that the country&#8217;s third such re-launch in a decade will have any more success in ending repeated, crippling bouts of high inflation.



The Zimbabwe Gold (ZiG) was announced on Friday by the central bank with an initial rate of 13.56 to $1, replacing the Real Time Gross Settlement Dollar (RTGS), which had lost about 80% of its value this year and had been trading at 28,720 to $1 before the change.



Bank balances were transferred into the new currency over the weekend while their customers will have 21 days to do so, and the new banknotes will enter circulation at the end of this month, according to the Reserve Bank of Zimbabwe.



The RTGS, also known as the Zimdollar&nbsp;ZWL=, was launched in 2019 after a decade of dollarisation, which included so-called bond coins and bond notes, notionally pegged to the U.S. dollar and introduced in 2014 and 2016 respectively.



However, the Zimdollar struggled to gain trust and this year&#8217;s precipitous slide pushed annual inflation above 55% in March&nbsp;ZMBCPY=ECI, raising fears of a return to the 2007-2009 era of hyperinflation under former president Robert Mugabe.



&#8220;There was dire need for drastic change in the Zimbabwean monetary system,&#8221; Jacques Nel at research firm Oxford Economics said in a note to clients.



The central bank statement on Friday correctly identified the most pressing problems, said Nel.



&#8220;A lack of credibility in both the domestic currency and the framework that governed it &#8211; but it is that same lack of credibility that casts doubt over the effectiveness of these new measures,&#8221; he added.



Commercial banks were using the new official exchange rate on Monday, according to Reuters enquiries. It was not immediately clear whether the currency, which the central bank described as &#8220;structured&#8221; and &#8220;anchored by a composite basket of foreign currency and precious metals (mainly gold) held as reserves&#8221;, would be able to retain this value.



Nor was it given that companies and citizens would accept it as a form of payment and a store of value. Some 80% to 85% of transactions are currently carried out in foreign currencies, according to the central bank.



&#8220;Zimbabwe has an insufficient $285 million of hard currency and gold reserves,&#8221; Hasnain Malaik of research firm Tellimer said in a note. &#8220;To fix the economy, Zimbabwe needs to address these root causes of its problems.&#8221;



These problems include central bank funding of government, unsustainable fiscal deficits, debt arrears and Western sanctions, and Malaik said it was not clear whether any would be addressed under the current ruling ZANU-PF party.



(Reporting by Nyasha Chingono and Rachel Savage, Editing by Karin Strohecker and Tomasz Janowski)

Zimbabwe’s new ZiG currency starts trading, credibility doubts linger

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="575" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/02/2YFSNLSNFRP7VNWQPEPCOAWUMU-1-820x575.jpg" alt="" class="wp-image-454022" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/02/2YFSNLSNFRP7VNWQPEPCOAWUMU-1-820x575.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/02/2YFSNLSNFRP7VNWQPEPCOAWUMU-1-300x210.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/02/2YFSNLSNFRP7VNWQPEPCOAWUMU-1-128x90.jpg 128w, https://cms.cnbcafrica.com/wp-content/uploads/2024/02/2YFSNLSNFRP7VNWQPEPCOAWUMU-1-768x539.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/02/2YFSNLSNFRP7VNWQPEPCOAWUMU-1-1536x1078.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/02/2YFSNLSNFRP7VNWQPEPCOAWUMU-1-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: A man shows off Zimbabwean currency notes outside a grocery store in Harare, Zimbabwe, March 17, 2022. REUTERS/Philimon Bulawayo/File Photo</figcaption></figure>



Zimbabwe says it will re-launch its currency for a sixth time next week, in a bid to reign-in inflation after the latest collapse of the Zimbabwe dollar.



New Reserve Bank of Zimbabwe Governor John Mushayavanhu said the Zimbabwe Gold (ZiG), would replace the last incarnation of the Zimbabwe dollar, and would be backed by a select group of foreign currencies, gold and other precious metals the country produces. The new currency will be introduced next Monday at 13.56 per U.S. dollar.



&#8220;With effect from 5 April 2024, banks shall convert the current Zimbabwe dollar balances into the new currency which shall be called Zimbabwe Gold to foster simplicity, certainty, and predictability in monetary and financial affairs,&#8221; the central bank said in a monetary policy statement. &#8220;The new currency will co-circulate with other foreign currencies in the economy.&#8221;



Zimbabwe’s dollar had lost almost three quarters of its value against the dollar since a relaunch last year, stoking inflation which was measured at 55.3 percent in March versus 47.6 percent the month before. The country has battled to tame inflation since it hit a record 500 billion percent in 2008 when it was forced to abandon the Zimbabwe dollar.



Mushayavanhu replaced John Mangudya as governor last month.



To protect the value of the new currency, Mushayavanhu said he would limit central bank lending to the government &#8212; a key source of the inflation that engulfed the economy in 2008 &#8212; and ensure that reserve money would be fully backed by the country’s equivalent gold and foreign currency reserves.



A strict monetary policy would also be implemented he said, setting the new benchmark rate at 20 percent, down from the current rate of 130 percent. Exporters would be requested to surrender half of their forex receipts for the foreign exchange market with the balance going to the government.



&#8220;The Bank will use 50% of the foreign currency proceeds from surrender requirements for strategic interventions in the foreign exchange interbank market,&#8221; he said. &#8220;The remaining foreign currency will be available to satisfy the Government&#8217;s foreign currency obligations in exchange for ZiG and to build foreign exchange reserves for the Reserve Bank.&#8221;

FILE PHOTO: Zimbabwe’s poor feel the impact of far away Ukraine war

Zimbabwe relaunches currency in latest inflation fight

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="596" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/2CJFTVWIVVM6BOJKJGSWI5BMOM-820x596.jpg" alt="" class="wp-image-472906" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/04/2CJFTVWIVVM6BOJKJGSWI5BMOM-820x596.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/2CJFTVWIVVM6BOJKJGSWI5BMOM-300x218.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/2CJFTVWIVVM6BOJKJGSWI5BMOM-124x90.jpg 124w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/2CJFTVWIVVM6BOJKJGSWI5BMOM-768x558.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/2CJFTVWIVVM6BOJKJGSWI5BMOM-1536x1116.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/04/2CJFTVWIVVM6BOJKJGSWI5BMOM-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">FILE PHOTO: Nyasa Manonoke, 69, collects her monthly allocations of food aid provided by the World Food Program (WFP) in Mumijo, Buhera district east of the capital Harare, Zimbabwe, March 16, 2024. REUTERS/Philimon Bulawayo/File Photo</figcaption></figure>



HARARE, April 3 (Reuters)&nbsp;&#8211;&nbsp;President Emmerson Mnangagwa on Wednesday declared Zimbabwe&#8217;s drought a national disaster and said the country needed more than $2 billion in aid to feed millions facing hunger.



Mnangagwa&#8217;s statement follows similar announcements by Zambia in late February and Malawi in March, as drought induced by the El Nino global weather pattern triggers a humanitarian crisis in southern Africa.



More than 2.7 million people in Zimbabwe will go hungry this year, Mnangagwa told journalists at the state house in Harare, adding that 80% of the country had received poor rains.



&#8220;Preliminary assessments show that Zimbabwe requires in excess of $2 billion towards various interventions we envisage in our national response,&#8221; Mnangagwa said.



He said the government would prioritise winter cropping to boost reserves, and work with the private sector to import grains.



El Nino is a naturally occurring weather phenomenon associated with a disruption of wind patterns that means warmer ocean surface temperatures in the eastern and central Pacific.



Most provinces in Zimbabwe have experienced crop failure since November, with hotter areas declaring grains such as maize a write-off.



Humanitarian agencies including the World Food Programme, which fed 270,000 people between January and March in four districts, have described the hunger situation as &#8220;dire&#8221;, calling on donors to provide more aid.



The drought in southern Africa has reached crisis levels with Botswana and Angola to the west, and Mozambique and Madagascar to the east also facing hunger.



(Reporting by Nyasha Chingono, Editing by Bhargav Acharya and Barbara Lewis)

Villagers collect monthly allocations of food aid provided by WFP in Mumijo

Hunger grips southern Africa as Zimbabwe declares drought a disaster

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="800" height="542" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/03/LYNXNPEB7U0I5.jpg" alt="" class="wp-image-468376" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/03/LYNXNPEB7U0I5.jpg 800w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/LYNXNPEB7U0I5-300x203.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/LYNXNPEB7U0I5-133x90.jpg 133w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/LYNXNPEB7U0I5-768x520.jpg 768w" sizes="auto, (max-width: 800px) 100vw, 800px" /><figcaption class="wp-element-caption">A worker drives a vehicle at Zimplats&#8217; Ngwarati Mine in Mhondoro-Ngezi May 30, 2014. REUTERS/Philimon Bulawayo</figcaption></figure>



March 20 (Reuters)&nbsp;&#8211;&nbsp;Impala Platinum&#8217;s&nbsp;IMPJ.J&nbsp;Zimbabwe unit Zimplats&nbsp;ZIM.AX&nbsp;said on Wednesday it is offering voluntary job cuts in a bid to protect the business from the impact of a sharp fall in platinum group metal (PGM) prices.



Zimplats did not say how many of the 8,000 permanent and contract jobs were targeted under the planned cuts.



The company, which swung to a rare $8.8 million loss in the six months to December 2023, from a $159.6 million profit previously, said it was &#8220;critically reviewing its business&#8221; amid declining metal prices.



&#8220;Regrettably, labour optimisation initiatives must be implemented urgently to secure the business, and the bulk of jobs in the company,&#8221; Zimplats said in a statement.



Southern African PGM miners, including Zimplats&#8217; parent company Impala, Sibanye StillwaterSSWJ.J and Anglo American PlatinumAMSJ.J have scrambled to cut costs, and thousands of jobs, after profits slumped as metal prices plunged over the past year due to weak auto production and concerns about a global economic slowdown.



Zimbabwe&#8217;s other PGM mines, Unki mine, owned by Anglo American Platinum, and Mimosa, a joint venture between Impala and Sibanye Stillwater, are also implementing job cuts.



Mimosa has also halted its $100 million North Hill expansion project, while Impala, which announced a 10-year $1.8 billion expansion project at Zimplats in 2021, is deferring long term schemes such as sulphur abatement and renewable energy.



Tharisa Plc THST.L has delayed by a year the commissioning of its $361 million Karo platinum mine in Zimbabwe, which was scheduled for June 2024, due to the low metal prices.



(Reporting by Nelson BanyaEditing by Ros Russell)

A worker drives a vehicle at Zimplats’ Ngwarati Mine in Mhondoro-Ngezi

Zimplats to offer voluntary job cuts after platinum price rout

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="570" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/03/SRCAXMTQ4FKLPJC5HUFDMXXQAE-820x570.jpg" alt="" class="wp-image-467592" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/03/SRCAXMTQ4FKLPJC5HUFDMXXQAE-820x570.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/SRCAXMTQ4FKLPJC5HUFDMXXQAE-300x208.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/SRCAXMTQ4FKLPJC5HUFDMXXQAE-130x90.jpg 130w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/SRCAXMTQ4FKLPJC5HUFDMXXQAE-768x534.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/SRCAXMTQ4FKLPJC5HUFDMXXQAE-1536x1067.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2024/03/SRCAXMTQ4FKLPJC5HUFDMXXQAE-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A villager arrives to collect her monthly allocations of food aid provided by the World Food Program (WFP) in Mumijo, Buhera district east of the capital Harare, Zimbabwe, March 16, 2024. REUTERS/Philimon Bulawayo</figcaption></figure>



BUHERA, Zimbabwe, March 18 (Reuters)&nbsp;&#8211;&nbsp;Residents of the Zimbabwean village of Buhera stood in groups at a primary school waiting to be called by name to receive life-saving handouts of grain, peas and cooking oil.



&#8220;We are grateful, but the food will only be enough for one month,&#8221; said Mushaikwa, 71, who lives with her elderly husband, as she trudged away with her bag of grain. &#8220;My crops are wilted.&#8221;



Zimbabwe has failed to feed itself since 2000 when former president Robert Mugabe seized white-owned farms, disrupting production and leading to sharp falls in output, leaving many Zimbabweans reliant on food aid for survival.



The crisis has been exacerbated by an El Nino-induced drought that has hit many southern African nations. The government has estimated that 2.7 million people will go hungry this year, although the real number could be higher.



The government is considering whether to declare a state of emergency, a government minister told Reuters.



El Nino is a naturally occurring weather phenomenon associated with a disruption of wind patterns that means warmer ocean surface temperatures in the eastern and central Pacific.



It occurs on average every two to seven years, typically lasts nine to 12 months and can provoke extreme weather such as tropical cyclones, prolonged drought and subsequent wildfires.



&#8220;When you drive around, you will see that many crops have wilted,&#8221; said World Food Programme acting country director Christine Mendes in Buhera, about 220 km (140 miles) southeast of the capital, Harare.



Zimbabwe&#8217;s staple maize harvest is expected to halve to 1.1 million tons this year.



WFP has helped 270,000 people in four drought-prone districts between January and March but will need additional funds to feed more, said Mendes.



In Buhera, 47-year-old Mary Takawira assessed her crop, which dried up before maturity.



&#8220;I do not remember the taste of (corn) anymore,&#8221; she said. &#8220;This is going to be a tough year.&#8221;



(Reporting by Nyasha Chingono; Editing by Nellie Peyton and Nick Macfie)

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