African Business and Economy News

[9yja]

Another satellite hmmm :cheers2:

tell them again...let them know.

[Nixoderm]

Naija there is a thread for naija news only!!

[9yja]

Nigeria: UBA Repositions to Exploit Opportunities in Global Banking

Vanguard




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Vanguard (Lagos)

April 10, 2007
Posted to the web April 10, 2007

Peter Egwuatu
Lagos

Spurred by the vision to be Africa's largest financial institutions with global footprints, United Bank for Africa (UBA) Plc has begun moves to open branches in the diaspora. Vanguard learnt that plans are underway for the bank to open branches in Japan and United Kingdom.

It was also gathered that the bank, which is currently in the capital market to source funds for further expansion, plans to use the proceeds to penetrate into the global banking terrain through international expansion as well as deploying better channels of service delivery to its customers.

Other purpose of the offer is aimed at financing further upgrade of its existing branch network, and taking advantage of opportunistic acquisitions.

Speaking to Vanguard, Mr. Sonnie Ayere, MD/CEO, UBA Global Markets, said that UBA Plc has excellently performed well since it successfully integrated its businesses and operations with that of the erstwhile Standard Trust Bank and Continental Trust Bank.

According to him, "UBA's first quarter 2007 results to December 31, 2006 showed that its gross earnings climbed 27.01 per cent to before and after tax increased by 140.91 per cent and 136.84 per cent to N5.30 billion (2006: N2.2billion). In view of this results, UBA noted an adjusted first quarter Earning Per Share (EPS) of N0.53 (2006: n0.37) and net profit margin of 20.4 per cent. (2006: 16.5 per cent).

He stated that although the bank's cost to income ratio, which shows how costs changed in comparison to income, climbed from 75.01 per cent in 2005 to 85.84 per cent in 2006, the ratio improved by first quarter 2007, declining to 76.02 per cent from 87.36 percent noted for first quarter 2006.

"Meanwhile, in 2006, while EPS for the quarter also increased by 97.37 per cent to N0.53 from N0.27 in 2006", he added.

While throwing light on some of the key investment highlights of the bank, Ayere said that UBA deposit base grew 278.40 per cent from N205.11 billion in 2005 to N776.14 billion in 2006, driven by the significant increase in its branch network.

According to him, "The branch network, which currently stands at about 500 and strategically located across the nation, confers upon it huge prospects to benefit from the rapidly increasing population and the significant growth potential of the Nigerian banking industry".

[9yja]

Nigeria: Oceanic Bank Posts N10 Billion Profit in Six Month

Daily Trust




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Daily Trust (Abuja)

April 9, 2007
Posted to the web April 9, 2007

Bright Ewulu
Lagos

Oceanic Bank International Plc has posted a profit of N10 billion in the first six months of operations in its 2006/2007 financial year. The bank's earning also increased by 56 per cent to N27.8 billion.

According to the bank's second quarter report which was obtained by Business Trust in Lagos, it recorded an increase in the gross earnings from N17.9 billion to N27.8 billion, while its profit before tax (PBT) also increased by 54 per cent, from N6.2 billion to N9.57 billion.

"Capital market analysts believe the results would further heighten investors' interest in the bank's ongoing public offer, which is expected to close on April 13," a statement from the bank said.

The bank is currently in the market selling a total of 3.4 billion units of its shares at a discount rate of N16.50. The bank's stock currently sells for N19.53 on the floor of the Nigerian Stock Exchange (NSE).

The Offer, expected to increase the bank's shareholders funds by N55.4 billion to the threshold of over N100 billion, is being undertaken to give investors opportunity of being part of the bank, increase the bank's capital base and also increase its branch network locally and offshore.

Meanwhile the bank has projected a profit of N18.9 billion in 2007, N24.9 billion in 2008 and N28.6 billion in 2009. The bank also projected a dividend of 56 kobo in 2007, 58 kobo in 2008 and 67 kobo in 2009.

[9yja]

this is huge for a bank in six months....they did pretty good.

[Nixoderm]

Naija, this is an advice, Post nigerian related new in the nigerian news thread...
Take time to organise your article and put the title in bold and main article in quotes...

[9yja]

Rwanda: Rwanda To Export ICT to US

The New Times




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The New Times (Kigali)

April 4, 2007
Posted to the web April 7, 2007

Innocent Gahigana
Kigali

Rwanda is set to export Information, Communication and Technology (ICT) programmes to manufacturing companies in the United States.Dr Raphael Mmasi, the Director of National Computing Centre (NCC) of Rwanda Information and Technology Authority (RITA) unveiled to The New Times, the Computer Aid Design (CAD) of three dimensions (3D) as anticipated ICT package for export.

"The 3D graphic drawing computer system will help manufacturing companies in US and around the world streamline product development, cut costs and re-use design data," said Mmasi.

[9yja]

Nigeria: CBN Commissions Fitch to Rate Banks

This Day




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This Day (Lagos)

April 9, 2007
Posted to the web April 9, 2007

Ayodele Aminu
Lagos

The Central Bank of Nigeria (CBN) has commissioned Fitch Ratings, one of world's foremost rating agencies, to access the performance of Nigerian banks relative to their foreign counterparts.

Already, Fitch has commenced discussion with some banks but THISDAY, however, gathered that the rating is voluntary.

International credit ratings are usually reflective of an entity's relative risk through an expected normal economic cycle. The rating of Nigerian banks, thus, is affected by the country's risk rating.

Fitch has, so far, rated about four banks in the country based on international best practices, and these banks were assigned the same rating, a notch below the sovereign rating assigned Nigeria

[Matthias Offodile]

Naija , why don´t you post the Nigerian related business news into the Nigerian thread?

[9yja]

dats cuz africa IS shit..HA!

i think you are in africa now,and why is africa shit?where are from-hell.

[9yja]

http://www.heartofafrica.com/images/419%20is%20not%20our%20label.jpg

[Nixoderm]

True Talk!!

[DanteXavier]

Botswana: AB Increase Flights for Tourist Traffic

The Voice (Francistown)

April 10, 2007
Posted to the web April 10, 2007


Air Botswana has increased its flight schedules between Johannesburg and Maun to cater for tourists destined for the northern part of the country.

The flights, according to Air Botswana Chief Executive officer Lance Brogden, have been increased to five times a week between Johannesburg and Maun. Brogden said extra flights are operated daily except on Tuesdays and Thursdays by ATR 42-500 turbo propeller aircraft. The flight schedules are in addition to the daily service carried out through the week on the same route by BA e-146 jet aircraft. "The timing of the two services are staggered in the morning and afternoon, to give passengers more travel options in both directions," he said.

Brogden said passengers arriving in Johannesburg on long haul flights readily transfer on board Air Botswana services for their onward flight to Maun, gateway to the great Okavango Delta. He added that to cater for tourist traffic, Air Botswana has also increased flight services between Gaborone and Kasane, which he said has been boasted with a third flight every Tuesday.

"Air Botswana operates multiple flights daily between Gaborone and Johannesburg, totaling 27 services a week, in both directions. The airline maintains its Gaborone-Harare services three times a week, and domestically operates from Gaborone to Francistown and Maun to Kasane," he said.

However, Brogden said sustained low traffic has necessitated the suspension of the Maun-Cape Town, Francistown-Johannesburg, Gaborone-Lanseria and Maun-Kasane services. "We are mindful of our responsibilities as the national carrier to provide quality domestic services, as well as to operate in full support to business and tourism sectors. We have persevered with marginal routes in the interest of serving the traveling public, but the reality is that with all the will in the world, it is not possible to sustain services that are not viable," said Brogden.

Meanwhile, Air Botswana has warned that effective this past Monday (April 2), passengers on international flights out of South Africa must comply with strict new controls on the carrying of liquids, aerosols and gels. The warning further states that these items must now be carried in containers with a capacity of not more than 100 ml each. The lower volumes will no longer be carried in part filled containers larger than 100ml. They must be carried in transparent re-sealable plastic bags not more than 1litre.

http://allafrica.com/stories/200704100496.html

[DanteXavier]

Namibia: Nedbank Namibia Gets New Deputy MD

New Era (Windhoek)

April 10, 2007
Posted to the web April 10, 2007

Staff Reporter
Windhoek

Erastus Hoveka, previously chief financial officer of the Development Bank of Namibia, has been appointed deputy managing director of Nedbank Namibia, says a statement from the bank.

Advocate Theo Frank, chairman of Nedbank Namibia, said the appointment concluded a comprehensive search for a Namibian citizen to help lead the bank on its growth path.

"Nedbank Namibia has a continuing initiative to innovate and to extend our footprint and bring banking and financial services closer to more citizens of Namibia," he said. "Our N$4 million expansion programme for 2006 saw branch openings at Oshikango, Kuisebmond, Walvis Bay and at Maerua Mall in Windhoek.

"As part of our future growth strategy, we will be investing a further N$7 million in the next phase of our expansion programme."

Advocate Frank said Hoveka, who joined the bank in April, would pilot this growth strategy. He will support the current managing director, Bill Turton, who has been assigned on a temporary basis from South Africa.

Hoveka, 38, matriculated from Shifidi High School, Katutura, is an MBA graduate of Bradley University in Peoria, Illinois, in the United States. He gained his Bachelor's degree in accounting cum laude from Bradley University and also holds a United States Certified Public Accountant qualification.

After graduating, he spent five years with the Simon Property Group, one of the largest US property companies, as an accountant before returning to Namibia in 1999. He was company management accountant at Telecom Namibia, senior manager: corporate finance at Air Namibia, and general manager: finance at the National Housing Enterprise before becoming a founding member of management at the Development Bank of Namibia.

Hoveka is one of nine members selected from around the world to the finance commission of the International Federation of the Red Cross and Red Crescent Societies. He is a director and treasurer of the Namibian Red Cross Society and chairman of the audit committee of the Namibian Government Institutions Pension Fund, the country's largest pension fund.

He is also a trustee of the Housing Trust of Namibia and a director of Ongopolo Mine, owned by Weatherly International, a London-listed company.

http://allafrica.com/stories/200704100310.html

[9yja]

Nigerian minister named World Bank vice president

Sat Mar 24, 8:19 AM ET

WASHINGTON (AFP) -
World Bank President Paul Wolfowitz has announced the appointment of Obiageli "Oby" Ezekwesili, formerly education minister in Nigeria, as vice president of the bank for the African region.

"Oby's life is a testament to her dedication to Africa as is the high degree of respect in which she is held by the international community," Wolfowitz said in a statement Friday. "Her passion for and commitment to Africa, high degree of integrity and optimism will bring invaluable strengths to our organization."

Ezekwesili was one of the founding members of Transparency International, an organization dedicated to fighting corruption.

She also served as special assistant to the president of Nigeria on budget monitoring.

Ezekwesili subsequently served as minister of solid minerals development, a post where she concentrated on reforming Nigeria's mining sector to internationally recognized standards.

She was appointed minister of education last June.

"Oby's unique blend of first-hand experiences, especially in the more challenging and complex areas of energy sector reform and education, position her as the ideal candidate to serve as the vice president for Africa," Wolfowitz added.

The World Bank lends about 4.7 billion dollars a year to African countries.

[DanteXavier]

Botswana: KBL Prepares for Co2 Region-Wide Shortages

Mmegi/The Reporter (Gaborone)

April 5, 2007
Posted to the web April 9, 2007


Where other breweries opted to cut down on the production of fizzy drinks due to widespread shortages of carbon dioxide (CO2) in southern Africa, Kgalagadi Breweries Limited (KBL) has decided to beef up self-generation of the gas to mitigate the undersupply of the gas.

The shortage of CO2 - a key ingredient in popular fizzy drinks and to a smaller degree in beer - started late last year, forcing SAB Miller, the parent company to KBL, to invest R100 million (about P86 million) in efforts to build capacity.

Corporate Affairs Director at KBL Percy Raditladi said that instead of cutting production levels when the shortages hit the region, his company decided to generate its own CO2.

Raditladi said they harvest a little from the fermentation process of their beer, which he said though it is not sufficient, reduces the amount they have to purchase from South Africa quite considerably.

He said the measure is meant to make up the shortfall in the amount needed in the production line, especially for Carbonated Soft Drinks (CSDs).

Raditladi added that they have also expanded their CO2 storage capacity as a buffer for instances when there are delayed deliveries from South Africa.

These measures have complemented each other to ensure that KBL production was never seriously affected since the shortages started last year.

He added that they have never run out of stock on the shelves.

KBL is supplied by Afrox with CO2, but the brewery has occasionally had to reschedule its packaging programme owing to delayed deliveries.

"But rescheduling a packaging programme does not necessarily result in market stock-outs because we always have extra stock in our warehouses and depots," he said, eager to re-assure consumers.

He said that late deliveries of CO2 normally impact on KBL's packaging programme by a day or two only.

KBL produces many CSDs of the Coca Cola brand under licence. Alcoholic beverages like the 200ml Schweppes, Minute Maid, Powerade, Miller Genuine Draught, Peroni, Amstel, Castle Light Savanna and Smirnoff Spin are imported.

http://allafrica.com/stories/200704091251.html

[DanteXavier]

Swaziland: Economic Decline As Investors Spurn Kingdom

UN Integrated Regional Information Networks

April 6, 2007
Posted to the web April 6, 2007

Mbabane

Lack of natural resources is a major factor responsible for Swaziland's continuing low economic performance, according to a United Nations Development Programme report released this week.

Ranking African nations on the basis of their economic growth, the study found oil-rich Mauritania the regional leader with 19.4 percent growth, followed by mineral-rich Angola performing at an enviable 17.6 percent.

Swaziland's growth of about 2 percent comes at a time when a once-thriving mining sector has dwindled to just two activities: a small, opencast quarry stone operation in the central Manzini region that is used to excavate gravel for local road construction, and a coal mine in the eastern Lubombo region.

The coal, which is all shipped to South Africa, is the only mineral resource exported today from a country that once produced gold, tin, iron ore and until the 1990s diamonds.

Comoros, Ivory Coast and the Seychelles join Swaziland at the bottom of the economic performance study, while crisis-wracked Zimbabwe, once a haven of stability, is ranked as the worst performer.

An economist attached to the local branch of a South African bank commented; "Swaziland's problem is not a lack of natural resources, but an inability to attract foreign direct investment, which creates a cycle of unemployment where job skills can never be mastered."

He said that the growth of a skilled workforce is hobbled by a lack of opportunities for employment, which consequently limits on the job training and skills development. As a result, only industries like garments and textiles have located in Swaziland, because they require untrained or minimally-trained workers.

"Natural resources can be exhausted, and while they can be good in the short term, creating wealth in say Botswana with that country's diamonds, world commodity prices and supply demands can make this a precarious basis for a national economy," he said.

Swaziland is a land-locked country highly dependent on neighbouring South Africa, with 80 percent of its people engaged in subsistence agriculture on crown-owned land. Overgrazing, soil depletion and successive years of drought have left around a quarter of the population dependent on food aid since 2002.

HIV/AIDS has had a devastating humanitarian and economic impact. The country has the world's worst prevalence rate, with roughly 40 percent of Swazi adults HIV positive.

Rising agitation around political reform, in what is sub-Saharan Africa's last absolute monarchy, has also had an impact on investments.

As an inducement to foreign investors, the Swaziland Attorney General's Office this week released a draft Employment Bill 2007 that seeks to guard workers rights while making the country attractive to new businesses.

Commissioner of Labour Jinnoh Nkambule offered a glimpse of the bill's philosophy when he told a press conference, "In the highly globalised world we live in, employers cannot sustain production if the labour factor is too costly and is not compensating through commensurate productivity levels."

http://allafrica.com/stories/200704060684.html

[9yja]

Nigeria: CTO 2007 - When Banking Romances Technology

This Day




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This Day (Lagos)

OPINION
April 11, 2007
Posted to the web April 12, 2007

James Eze
Lagos

It began a little over a decade ago as a forum for the exhibition of US technology products in Africa's largest market. Today, it is more than a technology fair. Yet, it is not likely that when the Commercial Service section of the US Embassy decided to host CTO, an annual fair for IT products, in Lagos, it envisaged the level of interest the fair has generated over time, even from unrelated quarters.

It is indeed remarkable how CTO has steadily grown from an all ICT affair to a key commercial event in Nigeria's economic calendar, attracting diverse businesses to underscore its relevance to the local economy. A most interesting side to the CTO is the increasing interest of banks in the fair as shown by the increase in the number of participating banks each year. Consummate players like UBA, Zenith Bank and Fidelity Bank made notable showings at the 2006 edition of the fair. Of special interest is the over-awing presence of Zenith Bank at the fair, right from its imposing pavilion to the special seminar that holds a mass appeal for the Nigerian youth.

[Nixoderm]

Would you please post in the Nigerian Thread...

[Nixoderm]

Would you please post in the Nigerian Thread...

[africa500]

Luxury hotels emerge in post-peace Sudan


April 12, 2007 (KHARTOUM) — Smooth marble floors and elegant wooden furniture adorn the entrance halls of Khartoum’s brand new luxury hotels, promising weary visitors a fresh welcome to the country emerging from years of civil war.

After a north-south peace deal in January 2005 ended Africa’s longest civil war, investors cautiously began to visit bringing promises of cash, development and services.

And one service this capital city needed was hotels. Add a massive U.N. peacekeeping mission, the world’s largest aid operation, rapidly expanding embassies and returning diaspora and suddenly Khartoum’s old, dilapidated hotels found themselves double-, even triple-booked.

"People are paying five-star prices for two-star hotels," said businessman Hatim Awadallah. "We were paying those prices because we didn’t have a choice."

In the 1990s, Sudan’s occasional visitors had a limited choice of hotels to seek refuge from the dust and searing sun. Khartoum’s Hilton hotel, magnificent when it opened 30 years ago, sat empty for years as a hardline government took Sudan down the road of isolationism and international sanctions.

After the 2005 peace deal, despite a separate and ongoing conflict in the remote western Darfur region, investors are lured by the promise of the end of the war in the south, where most of Sudan’s over 500,000 barrels per day of oil is produced.

Since then, a dozen mid-level two- or three-star hotels have opened. But the major battle promises to be in the five-star category as Khartoum’s slightly shabby, landmark hotels find new competition entering the market.

FULLY BOOKED

While for more than a decade the Hilton was the only top brand hotel in the country, Rotana from Saudi Arabia opened a branch in February and later this year Maltese Corinthia will open a top-end hotel complex on the banks of the Nile.

Despite its awkward location — surrounded by building sites and in the middle of Khartoum’s largest road — the Rotana has been fully booked since opening.

Sunbathers may be disturbed by low-flying planes over its outdoor swimming pool as it lies on the busy airport approach. And so far only government ministers seem to be among the few able to afford the health club charges of $100 a day.

But the hotel is confident it will remain full even after its opening discount rate expires. The night rate is $325, against nearer $200 per night for the Hilton.

"Ours is the first (such) hotel to open since 30 years ago," manager Mohamed Ali said. "It’s a new building, new furniture. The city needs this hotel and maybe another two (such) hotels."

Khartoum’s older top-end hotels say there’s plenty of business to go around. They also say the new hotels may have problems finding the quality staff they have spent years training because new arrivals are entering a service industry starting almost from scratch.

"Anyone can build a beautiful hotel but it’s the operation, the management, the service which will determine whether the guest will stay there or not," said Hilton manager Pieter Stapel.

GIFT FROM GADDAFI

The Hilton, 51 percent owned by the Sudanese government, hosts most presidential and ministerial visits. The Corinthia-operated Burj el-Fatih hotel said it was targeting those governmental delegations due to its proximity to a major conference venue, the Friendship Hall.

Sudan in 2006 hosted three major summits as well as other smaller ones. The Arab League, African Union and the African Caribbean Pacific organisations all engulfed Khartoum with thousands of delegates demanding first class hotel service.

Corinthia’s hotel, funded by Libyan leader Muammar Gaddafi’s government, had hoped to be ready for those summits but its unusual design caused technical problems that delayed the opening.

A Maltese architect won a competition to design the hotel, which is in the shape of a boat with a full sail as it sits on the convergence of the two Nile rivers.

Gaddafi has spared no expense with panoramic glass elevators, tennis courts, an outdoor and indoor swimming pool and a Turkish bath.

"We are targeting that we will be the best, something new in Sudan," said project manager Emhemmed Ghula. "This was not just about investment, but more of a present from Libya."

(Reuters)

[nai guy]

..Kenya searches for tractor manufacturing partner

Written by Jim Onyango

Kenya is shopping for an established tractor maker to partner it in a venture that will yield the first locally manufactured heavy duty tractors by the end of the year.

This could be a big step toward industrialisation in line with the Vision 2030 which seeks to make the country an economic powerhouse, with manufacturing as its main pillar.

The manufacture of tractors in Kenya is considered a key ingredient to boosting agriculture production, in a country that relies on imported heavy duty tractors for the sector.

The government is positioning the idle multi-million shilling Numeric Machining Complex (NMC) plant based at the Kenya Railways Central Workshop in Nairobi to make tractors for local use and for export within the Common Market for Eastern and Southern Africa (Comesa) region. The Ministry of Trade and Industry last week held a workshop with industrial giants East Africa Breweries, Coca Cola, Magadi Soda and others to map out strategies for strengthening the Numeric Machining Complex.

The meeting followed a recommendation by the Ministry of Finance that funds should be injected into NMC terming it as a high potential industrial machinery capable of mass production of metallic components.

If revived, Kenya could be the first country in East and Central Africa to manufacture tractors for farm use and for transporting sugarcane. “Something interesting is happening, you will see positive changes, at the Complex, it’s a government initiative,’’the NMC general manager Mr Michael Thubi told Business Daily in a telephone interview. He declined to say which international tractor maker the government was in talks with despite continued speculation that it a conglomerate from India was lined up to take the plant into its next most ambitious venture.

Last week, Trade and Industry minister, Dr Mukhisa Kituyi announced that the government was keen to revive the NMC car manufacturing plant and to use it to produce tractors and industrial machines.


Numeric Machining Complex (NMC), was started as a car project in the 1980s by former President Daniel arap Moi but was unsuccessful.

But due to lack of funds to install engine moulding facilities, the Nyayo Pioneer Car initiative was not moved to the industrialisation phase to manufacture cars for local use and for exports.

NMC is under tripartite ownership of the Kenya Railways, the University of Nairobi and the government, which owns minority shares. The plant currently manufactures spare parts for Peugeot 404 cars commonly used in as taxis.

The plant also makes parts for industrial machines. NMC manufactures machine components for corporate clients such as Kenya Railways, Kenya Ports Authority, Uganda Railways, Bamburi Portland Cement, Central Glass Industries, Bata Shoe Company among others.

According to Central Bureau of Statistics, production of locally assembled vehicles has not recorded much growth in the last three years. The country produced 4,085 assembled vehicles in 2003 compared to 5,380 vehicles in 2006.

General Motors managing director, William Lay has attributed the slow sale of locally assembled vehicles to the liberalisation of the motor vehicle sector which allows dealers to bring in second hand vehicles at low cost from Japan.

[HoustonTXUSA]

Southern Africa looks more western than West Africa.

[9yja]

Nigerians abroad remit $7.7 billion in 2006

THE Central Bank of Nigeria (CBN) has disclosed that last year remittances by Nigerians in diaspora back home hit US$7.7 billion.


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The apex bank also indicated its readiness to surrender its head office in Abuja to the African Central Bank (ACB) anytime the African Union approves the take-off of the continental bank.

CBN governor, Chukwuma Soludo, stated these yesterday in Abuja at the quarterly economic forum chaired by President Olusegun Obasanjo. Soludo said that it was only a matter of time for the CBN to become only a branch of the ACB.

He said that the bank was working toward the internationalisation of the naira and that already, the currency, which had remained stable for months now, was being traded in the international money market.

Soludo said that overseas remittances from Nigerians abroad went up to 7.7 billion dollars last year, an amount that was higher the GDP of 29 of the 53 countries in Africa.

Soludo said that the CBN was also planning to establish an international financial centre in the Lekki peninsula of Lagos and that the centre would be in the mould of similar centres in Dubai and Singapore.

He said that for the country to join the league of 11 countries in the world that had been projected to be among developed countries by the year 2025, it must record an annual growth rate of 12.5 per cent.

He said that it was possible for the country to attain that level because only 40 per cent of its arable land was under cultivation and it was also blessed with many more human and material resources that were still untapped.

"We do not have the luxury of a gradual approach; we need a quantum leap to be there,'' he said, adding that the country was already preparing to work so hard to be able to join the league of emerging developed economies by 2020.

Soludo added that with the national gross domestic rising up to 145 million dollars the country was now at par with Chile and Malaysia, although with higher population.

He said that the country's per capita income had gone up to 1,000 dollars, the level it was in 1980, noting that a lot still needed to be done to further improve on the figure.

In her presentation, the Minister of Finance, Mrs. Nenadi Usman, said that the country had completely exited both the London and Paris club debts and was now left with the domestic debt.

She said that the domestic debts included pension arrears of N75 billion and a local contractors' debt of N300 billion.

She said that bonds were issued to liquidate the outstanding pensions and that those being owed were now receiving their cheque.

In his comment on the presentations, Obasanjo said that the forum would review the NEEDS1 document.

He noted that the implementation was being rounded off while the focus would now shift to the NEEDS 2 document to be implemented by the incoming administration.

[SE9]

Kenya touted as ‘Africa Tiger’


Story by KEVIN J KELLEY, in New York
Publication Date: 4/6/2007

An influential American columnist is touting Kenya as a potential “economic ‘Africa Tiger.’”

Writing from Nairobi in Wednesday’s New York Times, Thomas Friedman describes the KenCall international call centre as the type of high-tech venture that could help propel Kenya toward an economic breakthrough.

Mr Friedman’s upbeat assessment is likely to spur greater interest in Kenya among Wall Street investors and US corporate decision-makers.

“KenCall is one small reason that Kenya’s economy grew 6 per cent last year,” Mr Friedman observes.

He sees the company’s success as an indication that Kenya’s “democratically elected Government...is learning to get out of the way of Kenya’s entrepreneurs.”

“It’s way too early to declare Kenya an economic ‘African Tiger’, but something is stirring here that bears watching – and KenCall is emblematic of it,” adds Mr Friedman, a three-time winner of the most prestigious US journalism prize.

He says KenCall and other internet-dependent businesses in Kenya have benefited greatly from the Government’s decision to break up the State telephone monopoly and open competition for high-speed internet connections via satellite.

“The Kenyan Government is now working feverishly to get connected to the global fibre optic network via an undersea cable,” Mr Friedman writes.

Reduce internet

He suggests this form of linkage would sharply reduce internet costs in Kenya and make the country much more attractive to American and European firms seeking inexpensive venues for computing and customer-service operations.

“For an economy dependent on coffee, safaris and flowers, this is a real change of pace,” Mr Friedman says.

He notes that KenCall’s employees can make in one month what half of Kenya’s population earns in one year: about $350.

“Don’t give up on Africa,” Mr Friedman tells his readers adding “KenCall is a reminder that with a little less Government regulation, a little more democracy and a lot more bandwidth, African entrepreneurs can play this game too.”

[9yja]

Southern Africa looks more western than West Africa.
you would never know cos u've not been there.:banana:

[africa500]

Despite conflict,Sudan attract investors


TEXT OF STORY

TESS VIGELAND: Today,Sudan agreed to accept 3,000 peacekeeping troops in Darfur. Washington isn't entirely happy with the development, because there's still no decision on who will take charge of the predominantly African force.

More than 200,000 people have been slaughtered in Darfur. Another two and a half million displaced. Since 1997, Sudan has been subject to U.S. economic sanctions. And there are threats of stiffer penalties. But Gretchen Wilson reports there's no shortage of investors in the local economy.


GRETCHEN WILSON: On this dusty stretch of land between the Blue and White Niles, all I see is red earth. But in an air-conditioned trailer a few yards away, Amir Diglal of the Alsunut Development Company says I just need to look harder.

AMIR DIGLAL: You could see that, according to the master plan here, the golf course is just nearby to the Alsunut forest.

Wait a minute. Back up.

[SOUND: Tape rewinding]

Golf course? In Sudan?

DIGLAL: This is where you could just have all the . . . this, like a Tiger Wood and a . . . with the famous people around the world, they come and play on it.

Yep, Sudan's planning its first golf course, part of a $4.5 billion development here. What gets lost in media coverage about Sudan is the huge economic story happening here.

Most people have heard the horror stories about Darfur — the killings and full villages on the run. Key reasons why North American and European companies have largely quit doing business here.

But rather than buckling under U.S.-led sanctions, Sudan looked around for a new economic formula.

ABDUL-RAHIM HAMDI: We have reoriented our trade and investment policies to the East, and not to the West. Because the West has largely shunned our country.

Abdul-Rahim Hamdi is Sudan's former finance minister, and an architect of Sudan's economic program. Now, instead of doing business with the U.S., it's doing phenomenal business with China, India, Malaysia and the Persian Gulf.

HAMDI: First of all, they don't meddle into our internal affairs. In any way. No issues about human rights. They don't go out and try to impose sanctions in Geneva, or in United Nations, and so on — and brand us as a rogue country.

Sudan's oil boom has made it one of the world's fastest-growing economies. Direct foreign investment topped $3.8 billion in 2005, and GDP has doubled in the last three years alone.

China is now Sudan's biggest trade partner. In the last decade, it's locked a 40 percent stake in the oil industry. It also loans Sudan money at attractive terms.

No surprise, then, it wins multimillion-dollar contracts to develop pipelines and dams.

WONG JIONG: Sudan has become a very, very important market for Chinese manufacturer.

Wong Jiong's company makes heavy machinery used to build roads and bridges. Today, he meets prospective buyers at a trendy outdoor cafe.

Wong understands the reasons behind U.S. sanctions. But he and other investors told me they're not sure they even trust the West's view of what's happening in Darfur. All the more reason to develop clients in a fast-growing market, while pouring cash into a nation in need of development.

JIONG: The most important thing for Chinese manufacturer is how we can go into this market as quick as possible. Because if we go to a market slowly, maybe the competitor from America and European countries will go in.



But of course, it's not just China pouring money into Sudan.

INTERNATIONAL BUSINESS PEOPLE: "The profit in Sudan is very high." "There's a very big opportunity here." "The economy here is booming."

India, Malaysia and many other nations are all securing major oil construction and transport contracts. And some fear that Sudan's economic success will bolster the resolve of other regimes the U.S. doesn't like.

But investment here's not gonna stop any time soon, as emerging economies jockey for natural resources.

Ross Herbert is with the South African Institute of International Affairs.

ROSS HERBERT: Heretofore, the economic center of the world was somewhere between United States and Europe. And that center of gravity is shifting. So, what's happening in Africa is a manifestation of that competition.

The U.S. and its allies want U.N. troops to take over peacekeeping in Darfur. But the emerging face of the global economy means there's less of a reason for the government of Sudan to take note.

In Khartoum, Sudan, I'm Gretchen Wilson for Marketplace.

[SE9]

Russian firm in major investment in Kenya

By Washington Gikunju

Renaissance Group, a financial services giant operating in Russia and Central Asia, plans to invest millions of dollars in Kenya to set up a hub for operations in East Africa.

The plan has kicked off with the creation of a local subsidiary for Renaissance Capital, the Group’s investment banking arm. Mr Neil Harvey, deputy Chief Operating Officer of Renaissance Capital, is currently in the country seeing to the final arrangements.

In an interview with The Standard, Harvey said the bank’s plans to become a leading financial services provider in sub-Saharan Africa.

"We intend to venture also into merchant banking, investment management and consumer finance," he said. "Our meetings with the regulatory authorities have so far been encouraging and we hope to get the necessary licenses in due course."

The investment in Kenya is part of the multinational’s plans to break into the African market, with Nairobi as its regional headquarters in East Africa and Lagos, Nigeria, its base for West Africa.

The private bank, estimated to have a market value of between $7 billion to $10 billion (over Sh700 billion) is set to turn the heat on local financial market players as it acquires more regulatory licenses to operate other services.

For starters, Harvey confirmed, the firm has put in a bid for the stockbrokerage licence of Francis Thuo & Partners, currently under Nairobi Stock Exchange (NSE) statutory management. This would allow the company to trade in securities at the bourse where there has been a freeze on the licensing of new stockbrokers due to the limited size of the market.

Mr Amish Gupta, formerly head of CFC Financial Services, has been appointed the managing director of the investment bank subsidiary, Renaissance Capital Kenya. Mr Robert Bunyi has been appointed vice president for equity research in East Africa.

The Renaissance Group is a leading private investment bank operating mainly in Russia and the Commonwealth of Independent States (CIS). It was founded in 1995 and is owned by about 170 shareholders comprising of its management and employees.

Renaissance Capital specialises in investing in high opportunity emerging markets and has already invested over $16 million (about Sh1 billion) in Nigeria.

"We specialise in emerging markets. That is why we will be concentrating on sub-Saharan Africa," said Harvey.

Mr Andrew Cornthwaite, Renaissance Capital managing director and head of investment banking and finance, said that Kenya was chosen as the East African regional headquarters owing to its relative political stability, infrastructure and the recent economic turnaround.

"In addition to investing millions of dollars of our own money, we will also acting as intermediaries for international institutional investors who have shown a lot of interest in investing in the Kenyan market," he said.

Renaissance Capital Ltd is a member of the London Stock Exchange and the National Association of Securities Dealers of the US.

Other subsidiaries in the financial services Group include Renaissance Investment Management, Renaissance Partners (merchant banking) and Renaissance Consumer Finance.

[icosium]

ALGERIA BIGEST PROJECT (up date /or add project )

ALGERIA bigest project (project will be done 2009-2010
1 algeria 11 billions $ highway ( post thread )
http://www.skyscrapercity.com/showthread.php?p=12252533
2 algeria railway upgrade 5 billions $
http://www.skyscrapercity.com/showthread.php?t=453090
3 subway algiers amount ?? (over billion $ ) project was delay in late 80 and 90 for economic raison and situation in algeria 90
post thread with map and some pic off project
http://www.skyscrapercity.com/showthread.php?t=446108
4 algiers water desalination (bigest africa ) 270 millions &
http://utility.seekingalpha.com/article/27951
algeria plan to have 43 water desalination by 2019

1 algeria 11 billions $ highway ( post thread )
http://www.skyscrapercity.com/showthread.php?p=12252533
2 algeria railway upgrade 5 billions $
http://www.skyscrapercity.com/showthread.php?t=453090
3 subway algiers amount ?? (over billion $ ) project was delay in late 80 and 90 for economic raison and situation in algeria 90
post thread with map and some pic off project
http://www.skyscrapercity.com/showthread.php?t=446108
4 algiers water desalination (bigest africa ) 270 millions &
http://utility.seekingalpha.com/article/27951
5 The Largest Aluminium Complex 5 billions $
The largest-ever foreign direct investment (FDI) deal for Algeria was signed last week, worth $5bn, for a project to build the biggest aluminium plant in North Africa. The plant is expected to have a capacity of 700,000 tonnes per year, to employ 10,000 workers during its construction and another 2500 once operational.
other link bigest fdi algeria
http://www.mubadala.ae/en/content/press_87.asp

the Tramway (at the end of 2008) for ALGIERS, ORAN, Constantine
* Manufacturing unit of Microsatellites (At the beginning of 2007)

SUBWAY of Algiers (September 2008) *
Three lines at high speed (LGV) will be carried out in Algeria from here (2009) * the reorganization of Etusa
* the realization of 3 new cable cars (2009) and the rehabilitation of 4 what exists as well as the refitting of the roadway system. *
Electrification and of modernization of the railway ways, 500 billion dinars
* 1 Aluminium Factory signal 5 world * 1 Factory Fertial Ferphos signal 5 world
* 3 Factories of Helium nitrogenizes liquid signal 5 world
* 1 paper Factory signal 5 world
* 1 Airport signal 10 World (and other A To come)
* 1 Factory of glass signal 12 world
http://www.skyscrapercity.com/showth...hlight=algiers
* 3 cities in constructions + Project (Boughezoul + Ghardaia + Sidi abdellah + Hassi Messaoud
*construction 4 technologie park park
http://www.unido.org/en/doc/26090
http://www.algierscyberpark.com/rend...elPath=English
* CHU of larger Oran and more modern hospital of AFRICA
* Hotels of Marriott Luxury + Sheraton Hassi Messaoud
http://www.ansa.it/ansamed/news/nati...434246821.html
* Tourism: ACCORD(Hotel IBIS and Mercure) 36 Hotels, Spain will build 120 000 Beds, Sidar 20 000 Beds etc...
* 1 Crossroads in enormous Algiers and 1 with Oran
* Greater center of part spare from the Maghreb and the Arab world Peugeot part in Algiers 14 000 m² (Opening on January 23, 2006)
* SAIDAL (larger pharmaceutical company of the Maghreb)
* Enormous building site MAO (Is necessary to see it to believe in it so much C gigantic)
* bigest mosque of the world after the mecque one (SUBLIME).
http://www.newswire.ca/en/releases/a.../03/c9760.html
http://www.skyscrapercity.com/showth...tallest+mosque
* East-West MOTORWAY of 1216 km, will connect the 20 more important towns of Algeria. Composed of 57 exits, of 60 stations toll, 35 rest areas, the installation of 70 service stations, 70 stores and great surfaces, 70 restaurants, and around fifty of hotels... The LARGEST COMPANIES of the World are occupied of its REALIZATION. Remain A can meadows 900km has to realize. COût of the project 6,378 billion dollars (it is the largest ds project the field of the public works
FIRST IN AFRICA
28 October 2006
The Algerian National Railways (SNTF) have contracted Nortel to equip the El Gourzi-Touggourt line (418km) with GSMR wireless communication. It will be first application of this technology on an African railway

5 The Largest Aluminium Complex 5 billions $
The largest-ever foreign direct investment (FDI) deal for Algeria was signed last week, worth $5bn, for a project to build the biggest aluminium plant in North Africa. The plant is expected to have a capacity of 700,000 tonnes per year, to employ 10,000 workers during its construction and another 2500 once operational.
other link bigest fdi algeria
http://www.mubadala.ae/en/content/press_87.asp

the Tramway (at the end of 2008) for ALGIERS, ORAN, Constantine
* Manufacturing unit of Microsatellites (At the beginning of 2007)
http://www.magharebia.com/cocoon/awi.../14/feature-01
* SUBWAY of Algiers (September 2008)
* Three lines at high speed (LGV) will be carried out in Algeria from here (2009)
* the reorganization of Etusa
* the realization of 3 new cable cars (2009) and the rehabilitation of 4 what exists as well as the refitting of the roadway system.
* Electrification and of modernization of the railway ways, 500 billion dinars
* 1 Aluminium Factory signal 5 world
* 1 Factory Fertial Ferphos signal 5 world
* 3 Factories of Helium nitrogenizes liquid signal 5 world
http://www.allbusiness.com/mining/oi.../461229-1.html
* 1 paper Factory signal 5 world
http://www.printingtalk.com/news/kxz/kxz292.html
* 1 Airport signal 10 World (and other A To come)
* 1 Factory of glass signal 12 world
http://www.idverre.net/idveille-pdf/synthesys.pdf
http://www.skyscrapercity.com/showth...hlight=algiers
*1 million house planed to be built
http://www.magharebia.com/cocoon/awi.../19/feature-02
* 3 cities in constructions + Project (Boughezoul + Ghardaia + Sidi abdellah + Hassi Messaoud
* CHU of larger Oran and more modern hospital of AFRICA
* Hotels of Marriott Luxury + Sheraton Hassi Messaoud
http://www.ansa.it/ansamed/news/nati...434246821.html
* Tourism: ACCORD(Hotel IBIS and Mercure) 36 Hotels, Spain will build 120 000 Beds, Sidar 20 000 Beds etc...
http://www.ansamed.info/en/tourism/n....YAM17432.html
* construction 11 marina
http://www.magharebia.com/cocoon/awi.../26/feature-01
* 1 Crossroads in enormous Algiers and 1 with Oran
* Greater center of part spare from the Maghreb and the Arab world Peugeot part in Algiers 14 000 m² (Opening on January 23, 2006)
* SAIDAL (larger pharmaceutical company of the Maghreb)
* Enormous building site MAO (Is necessary to see it to believe in it so much C gigantic)
* bigest mosque of the world after the mecque one (SUBLIME).
* East-West MOTORWAY of 1216 km, will connect the 20 more important towns of Algeria. Composed of 57 exits, of 60 stations toll, 35 rest areas, the installation of 70 service stations, 70 stores and great surfaces, 70 restaurants, and around fifty of hotels... The LARGEST COMPANIES of the World are occupied of its REALIZATION. Remain A can meadows 900km has to realize. COût of the project 6,378 billion dollars (it is the largest ds project the field of the public works
FIRST IN AFRICA
28 October 2006
The Algerian National Railways (SNTF) have contracted Nortel to equip the El Gourzi-Touggourt line (418km) with GSMR wireless communication. It will be first application of this technology on an African railway

[nai guy]

Multinationals to provide African mobile infrastructure
Multinationals to provide African mobile infrastructure

Written by Kui Kinyanjui

Infrastructure providers are now positioning themselves to gain a slice of the African telecommunications market that is quickly becoming one of the world’s quickest growing and most lucrative.

Cisco Systems joins a growing list of providers looking to enter the profitable local mobile phone industry that has grown by over 100 per cent in the last ten years , which requires technology such as towers and fibre as much as it needs human users to grow.

“Emerging countries are preparing for inclusion in the global market,” said Clement Masai, managing director of Cisco Systems.
“Emerging Africa is becoming an important market for international providers like us.”

Global telecommunications leader Ericsson recently opened its regional hub office in Nairobi as part of its ongoing emerging markets expansion programme.
The Sweden-based company plans to tap into a Sh1 billion kitty over the next five years to expand into the region.

Other infrastructure and solutions providers are also gearing up to register their local presence in the market, including newly formed Nokia Siemens who—operating as Siemens—has built much of the local infrastructure in use today.

The companies’ strategy to get closer to the customer is been driven by increased competition among providers for a shrinking market.

“During the past five years the sub-Saharan region has experienced exponential growth, which is now showing signs of levelling off,” said Thomas Sonesson, country manager for Ericsson in East Africa.

Nokia Siemens has revised its expectations for growth this year, saying it expects “very slight market growth” for the mobile and fixed services infrastructure market for 2007.

Firms are adjusting to the new trends accordingly, by relying on customer service to maintain major clients.

“Our vision to be the prime driver in an all-communicating world drives us to continuously seek out new and innovative ways to reach even the poorest communities with our communications solutions,” said Mr Sonesson.

The growth of the mobile phone business in the region is spawning new revenue streams for infrastructure providers.

Kenyans who own mobile phones have grown from just 200 in 1993 to seven million this year.

A lot of that growth was supported by the infrastructure companies from satellite offices.

But the moves to hit the ground locally appear aimed at ensuring they don’t lose ground to competitors.

“45 per cent of our business comes from service providers,” said Masai. “We are investing in sales and distribution to get closer to our customers due to the tremendous growth in that area.”Cisco provides Internet connectivity at the base of numerous mobile networks worldwide. Ericsson has focused more on the service provision end.

But both companies are seeking to market themselves as one stop— shops to their customers.

“We provide end-to-end solutions,” said Mr Masai, a claim contested by Mr Sonesson who said: “We are the only telecoms supplier to offer end-to-end solutions.”

Kenya is an attractive launching point into the East African region. Cisco recently rolled out a solution for the Ethiopian Telecommunications Company, undertaking a country-wide networking project.

And Ericsson is currently working with MTN Uganda to upgrade its network as growth in that country continues.

MTN’s chief executive Noel Meier has said it is spending $52 million (Sh3.6 billion) on the network.

“We anticipated an increase on the subscriber base and planned for it based on growth trends from the previous years. The capacity increase didn’t match the 60 per cent increase in the number of customers,” he said.

[Skyprince]

This is another great news . Even Singapore Airlines has started its cargo service to Nairobi ! :banana: I really can't wait to see more and more Kenyan and African products in the supermarkets here :banana:



Abdullah Wants Malaysia-Kenya Trade Expanded

NAIROBI (KENYA), April 18 (Bernama) -- Malaysian Prime Minister Datuk Seri Abdullah Ahmad Badawi, who is currently on a two-day working visit to Kenya, Wednesday called on the business community to work on diversifying and expanding trade between Malaysia and the East African nation.

He wanted the private sector to also explore possibilities not only in manufacturing but also in the related services and in the oil and gas industry, both in upstream and downstream activities.

"I would certainly like to see the expansion of investments between Kenya and Malaysia. Todate, investment cross-flows between the two countries are limited," he said at the Malaysia-Kenya Business Forum, held in conjunction with his visit.

Abdullah, who arrived here yesterday, is on an eight-day official visit to three African nations, namely Sudan, Kenya and Namibia. His next stop would be Namibia.

Acknowledging that the range of products traded between Malaysian and Kenya was limited, the Prime Minister said there was a need to closely examine "our complementarities" for trade expansion.

"Kenya has agricultural and mineral resources, while Malaysia's comparative advantage is in secondary industrial products such as equipment and machinery, chemicals and chemical products. We have to take note that Malaysia also has much experience in the oil and gas sector, which, I believe has also become an emerging sector in Kenya," he added.

He said that Kenya's economic growth had strengthened considerably in recent years, with real Gross Domestic Product growth in 2005 to 2006 exceeding five per cent, the highest growth rate in well over a decade.

Abdullah, who is also Malaysia's Finance Minister, said with Kenya's growth expected to remain robust this year in an environment of lower inflation, both sides -- Malaysia and Kenya -- would gain if they continue to build on their bilateral relationship.

The Prime Minister said although Kenya is Malaysia's 8th largest trading partner in Africa, the value of total bilateral trade in 2006 was still small, amounting to only US$90.3 million.

"This figure accounts for less than 0.1 per cent of Malaysia's global trade. Malaysia's exports to Kenya totalled US$78.2 million while imports from Kenya was at US$12.1 million."

But trade between the two countries is on the upward trend and there is indication for much expansion, he added.

Malaysia's exports to Kenya comprises palm oil, rubber, wood, chemicals, machinery and petroleum products while imports from Kenya include chemicals, agriculture produce and metal products.

Malaysian national oil company, Petronas, through its subsidiary ENGEN Kenya Ltd, is engaged in petroleum distribution activities throughout Kenya while the Malaysian Construction Industry Development Board (CIDB) is in talks with Kenyan authorities for the planning and implementation of infrastructure projects here.

Abdullah also urged the business communities of both countries to form joint ventures, strategic alliances or technological collaborations to explore investment opportunities.

"While the private sector drives the business imperatives, the role of government is to create the environment which is conducive for investments to take root. Government officials on both sides have an important part in the creation of such an environment."

He said there was a need to conclude an Investment Guarantee Agreement. Such an agreement will facilitate the systematic liberalisation, promotion as well as protection of investments, he said.

The Prime Minister said businesses can and should look at Malaysia and Kenya not only as individual markets, but also as the gateway to a larger economic environment with Malaysia being a springboard to Asean and Kenya an entry point to East Africa.

Touching on tourism, Abdullah said the sector had a vast potential for both Malaysian and Kenyan service providers.

"There is much room for cooperation between us towards enhancing eco-tourism, while ensuring sustainable development through prudent investments and exchange of expertise and knowledge.

"While the government has a role in facilitating, expanding and enhancing bilateral ties, it is ultimately the private sector which can put in effect our aspirations for enhanced economic linkages," said Abdullah.

[SE9]

Hi Skyprince, thanks for posting this onto ssc|africa!

[nai guy]

Internet costs set to drop as CCK rolls out fibre optics plan

Written by Kui Kinyanjui[/B]

The cost of telephony and Internet connections is expected to drop by 80 per cent in 24 months thanks to an ambitious information technology project that aims to position Kenya as one of the most wired countries on the continent.

Yesterday, the Government announced that it had set in motion a project that will see the country’s 124 districts linked by a fibre optic raising the stakes in what has become the fastest growing sector in the economy.

More than 5,000km of fibre optic cable will be laid to all corners of the country to serve as a national backbone that will provide consumers with access to broadband internet. “This infrastructure will serve as the pillar on which services will ride to support the demands of a modern economy,” said Bitange Ndemo, the Permanent Secretary in the Ministry of Information. The government has committed to financing the project to the tune of $50 million (Sh3.5bn) hoping to provide high speed connectivity to areas that have thus far been ignored.

Upon completion, the National Optic Fibre project is expected to herald the transformation of Kenya into top notch ICT country where consumers will have access to high-end market services such as cable and internet protocol television.

Africa Analysis, a South African research firm estimates that Kenya’s broadband data services market will grow by nearly 600 per cent between 2006 and 2011.
Much of that growth will come from rural and home users as well as increased use of enhanced services such as tele-medicine and e-education as the cost of Internet connectivity drops. It is also expected that the terrestrial fibre network will create new business opportunities for entrepreneur, who can piggy-back on the Government’s investment to extend ICT services to the rural folk.

“With this infrastructure, we expect to attract service providers to remote and marginal areas at lower costs,” said John Waweru, director-general of the Communications Commission of Kenya (CCK) that is overseeing the project.

Mr Waweru said the fibre optics project is part of a bigger plan to make the country an Information, Communications and Technology (ICT) hub.
It will be hinged on the 600km terrestrial fibre optic cable that Telkom Kenya has laid between the coastal city of Mombasa and Malaba town on the Kenya-Uganda border via Nairobi.

“Our aim is to move the country to an infrastructure sharing system to reduce costs,” Dr Ndemo said.

Kenya Data Networks, a private firm that has invested millions of shillings in a cable connecting Mombasa to Busia via Nairobi yesterday shrugged off fears that it may be a victim of the initiative. “The more infrastructure that is in place, the better for the consumer,” said David Owino, the general manger at KDN.

Fibre optic cables can carry more data than satellite technology, which to date is the key infrastructure of internet services in Kenya.
The government, who will seek to raise the $50 million for the national backbone project through grants, concessions and loans, has already short-listed nine international firms who have been invited to tender for the project.

The range of international companies short-listed vying for the project includes Chinese Huawei and ZTE corporations, Sagem, Alcatel-Lucent and Siemens. “Africa is the new hot spot for telecommunications projects,” said Sun Jun of ZTE. “The telecommunications market has a lot of potential in this country.”
NOFBI indicates the executive is giving the nod to the ICT industry to take up its position as an economic driver. As a service sector, the communications industry is contributing increasingly large amounts to the national kitty.

Services now contribute to 65 per cent of the country’s economy. In 2005, the ICT sector’s contribution was pegged at over 10 per cent, up from 9 per cent in 2004.

[9yja]

Join Date: Apr 2007
Posts: 207

Nigeria: African Central Bank for Nigeria -- Obasanjo

Vanguard (Lagos)

April 20, 2007
Posted to the web April 20, 2007

Tony Edike
Enugu

PRESIDENT Olusegun Obasanjo says African leaders have agreed to establish a Central Bank of Africa with its headquarters in Nigeria in recognition of the enormous successes the nation has recorded through the reforms in the banking and financial sector.

The President made this disclosure at the commissioning of the new South East zonal headquarters of the Central Bank in Enugu shortly after commissioning the permanent site of the University of Nigeria Teaching Hospital , Ituku-Ozalla near Enugu equipped with ultra-modern medical equipment under the VAMED Engineering initiative.

He said the various reforms in the different sectors of the economy had put the nation on the right track towards achieving its goal of maintaining one of the twenty largest economies in the world by the year 2020. Such an achievement, he said, would reflect positively on all sectors of the economy making Nigeria not only the leading economy but the hob of economic activities in Africa .

President Obasanjo praised the CBN Governor, Professor Charles Soludo, the CBN staff and management for their numerous achievements which according to him bordered on the miraculous. He said that the national economy was on course towards attaining the targeted 10 per cent growth annually

His words: "If what Soludo tells me is anything to go by, we will even have offshore banking facilities and we will be growing at a rate that will make us a country to reckon with in the committee of nations. That is our desire and that is where we are going."
naija is online now Report Post Edit/Delete Message

[africa500]

Excellent Video from GIAD industrial complex south of khartoum.
GIAD is one of the greatest industrial achievement of Sudan.
Unfortunately it cuts at 2min35,but you can see the steel processing,the cars,truck assembling,the press....

http://www.sol-sd.com/video/displayimage.php?album=6&pos=0

[Mwafrika]

By Harold Ayodo

Kenya is among three African countries that have the potential to become ‘economic tigers’ in the continent, the World Bank country director Mr Colin Bruce, has said.

The other two are South Africa and Nigeria, he said. Lauding ongoing efforts by the Government to fight poverty, Bruce said the World Bank will from next week start disbursing Sh27.7 billion to support Kenya’s economic development.

He was speaking during the opening of the Od Mikayi Development Information Centre — which is funded by the World Bank — at the Jomo Kenyatta Grounds in Kisumu on Friday.

He spoke a day after the Planning ministry released a household survey showing that most Kenyans now live above the poverty line.

The Kenya Integrated Household Budget Survey showed that only 46 per cent of the population failed to meet their basic needs.

Information assistant minister, Mr Koigi wa Wamwere, renowned author Ms Asenath Odaga and lawyer John Olago-Aluoch attended the function.

Bruce said Sh11 billion of the 27.7 billion donated to the Government by the WB would go towards supporting economic activities in Nyanza and Western provinces.

"The fund will go towards two major projects to assist the local communities increase their incomes and reduce inequalities," Bruce said.

He named the two projects as the Western Kenya Community Driven Development and the Flood Mitigation Project.

"The funds will create new opportunities for the locals to engage in wealth creating livelihood activities and reduce vulnerability to flooding," Bruce said.

The funds will also help in the fight against malaria, tuberculosis, HIV/Aids and natural resource management in the region.

Bruce said poverty indices in Western and Nyanza remained high at 52 and 48 per cent respectively, according to studies by the bank. He said Sh8.2 billion would go towards improvement of Information Technology countrywide for development.

"The Transparency and Communications Infrastructure Project aims to fund high speed Internet connectivity for local communities," he said. Another Sh8 billion will go towards the fight against HIV/Aids.


source - http://www.eastandard.net/hm_news/news.php?articleid=1143967874

[Mwafrika]

Kenya, Tanzania, Congo lead in regional market

By PHILIP NGUNJIRI
Special Correspondent

Kenya, Tanzania and the Democratic Republic of Congo (DRC) accounted for more than half of the mobile telephone market in the East and Central Africa region.

This placed them among Africa’s 10 largest markets, says a report.

The report by Informa Telecoms & Media, projects substantial growth in the number of subscribers in the region. This is expected to push up the region’s share in Africa’s mobile telephony to 20 per cent in 2011 from the 16 per cent in 2006.

It says East and Central Africa’s mobile phone subscribers will rise to 67 million by the end of 2011, up from over 30 million at the end of 2006.

The number of users in Kenya is projected to grow by 87 per cent in the next five years. In the same period, Tanzanian users are expected to grow by 109 per cent while those in DRC will grow by 200 per cent.

This set the region ahead of many others in Africa. The continent average growth is 72 per cent.

Mobile users account for 83 per cent of Africa’s telephone subscribers, a higher proportion than any other region in the world.

Informa Telecoms & Media is a specialist research information provider to academic and scientific organisations.

Mobile network coverage in Africa at 15 per cent is still the lowest in the world, varying from 72 per cent in South Africa to one per cent in Eritrea. Expansion is expected to be slow.

Between 2000 and 2005, the number of mobile phone lines in Africa rose from 15.6 million to 135 million, according to the Geneva-based International Telecommunication Union.

This rise is particularly felt in East Africa where competition for subscribers has seen telephone charges fall considerably. For example, in the past six months MTN Uganda, Vodacom Tanzania, and Celtel have reduced their roaming rates through various schemes.

Celtel launched its One Network service in September 2006. MTN Uganda, Vodacom Tanzania and Safaricom of Kenya launched their joint Kama Kawaida roaming service at the beginning of 2007.

Celtel’s scheme scrapped the high cross-border roaming rates that the operator had previously levied on calls made between its networks in Kenya, Tanzania and Uganda.

The service allows Celtel subscribers in the three countries to make cross-border calls at near-local rates, while receiving incoming regional calls free of charge. The service also enables prepaid customers to top up their accounts with locally-bought airtime cards, while users who call the help desk as they travel are automatically routed to the call centre in their home country for answers in their own language.

In Kama kawaida service, customers make calls and send text messages across the three countries at their home tariff.

Another development likely to further entrench the industry is the Wideband Code Division Multiple Access (WCDMA), a high-speed digital service that supports more users that the current system. This will be introduced in Kenya, Tanzania and Sudan by the end of the year.

source - http://www.nationmedia.com/eastafrican/current/Business/Business3004074.htm

[icosium]

MC DONALDS IN ALGERIA

After European "Quick", McDonald' S soon in Algeria The American group specialized in the rapid restoration started the first operational steps for the creation of a series of restaurants in Algeria. The group started to seek the batches of adequate grounds for its projects. This new initiative of the American operator intervenes after the failure of an Algerian residing at the United States, and after the decision of the number one Européen "Quick" to open a series of 20 restaurants, of a value of investment of more than 20 million euros, with an average of two million euros per restaurant. This mark had begun its activities, in mid-March in Algiers, in waiting of the opening of a restaurant to the current of this summer. This American mark tries, in addition, to widen the field of its activities through several countries, in particular in North Africa, after Morocco, it aims from now on the Algerian and Tunisian market. That intervenes after the American group carried out a sales turnover Net estimated at 4,44 billion dollars in 2006, that is to say an increase of 11% compared to the year of front. This American mark has 32 thousand restaurants in 118 countries, to which will come to be added 800 new, with an investment reaching the 1,9 billion dollars. After European "Quick", Mc Donald' S soon in Algeria

[9yja]

Africa: China Plans $100 Billion in Trade With Africa By 2010


Judith Akolo
Nairobi

The Chinese government has pledged to continue working with African governments in order to grow and sustain trade between individual African countries and itself.

China hopes to increase trade with Africa to over $100 billion (approx R702 billion) by the year 2010, the Chairman of the National Committee of the Chinese People's Political Consultative Conference, Jia Qinglin said.

He added that China was working on increasing imports from Africa in order to achieve sustainable balance of trade with the African continent.

Speaking at the opening ceremony of the China-Kenya Economic and Commercial Co-operation Forum here Tuesday, Jia said China was set to zero-rate tariffs on 442 goods from Africa in order to increase trade potential.

At the ceremony officiated by Vice President Moodi Awori and Trade and Industry Minister Dr Mukhisa Kituyi, Jia said that China wants to set up bilateral preferential trade arrangements and free trade areas in order to increase imports from the continent.

Mr Jia, who also launched a Kenya-China Economic and Trade Co-operation Website, said his country would establish a China-Africa development fund that will cater for Chinese companies wishing to invest in the continent.

He said China was exploring the possibility of venturing into banking, tourism, culture, science and technology as new areas of investment.

[Kenguy]

Digital villages’ to be set up all over Kenya to speed up access to data

Story by NATION correspondent
Publication Date: 2007/04/30

The Government plans to set up ‘digital villages’ throughout the country, to ease access to information for its citizens.

Information assistant minister Mr Koigi Wamwere said during the weekend that the villages to be set up in all the 210 constituencies, will facilitate easy access to information that would trigger economic development in those areas.

Commissioning

The minister was speaking in Kisumu during the commissioning of the Od Mikayi satellite information centre, where the project by the Government also received a major boost with the approval of a Sh8 billion grant by the World Bank.

This will see local communities exposed to new technologies such as the internet and SMS banking.

“We intend to roll out the first of these projects in August,” said Mr Wamwere.

He added, “The laying of fibre optic cables throughout the country is on course and when completed, Kenyans are going to enjoy the benefits of high speed internet connectivity.”

This initiative is intended to double the number of people having access to such services from 2.7 to 6 million, he said.

Also targeted will be telephone subscribers, whose numbers are expected to rise significantly from the current 8.5 million to 15 million before the year ends.

Learning centres

“We also intend to set up E- learning centres in all schools in addition to computerising all Government departments in the country.

"This will enhance transparency in the running of Government affairs,” said the minister.

[Mwafrika]

Kibaki: Tuition fees to go

By Amos Kareithi and Cyrus Kinyungu

The Government will scrap tuition fees in public secondary schools from next year, President Kibaki has said.

Marking the last Labour Day of his first term, Kibaki broke from the tradition of offering workers a hike in the minimum wage — as he did in the previous two May Day functions — and targeted the hearts of the population with the tuition fees waiver.

The President made the unprecedented offer, unmatched since independence, that the Government would foot the Sh4.3 billion-tuition bill, in public secondary schools in what is likely to be seen as a campaign ploy in an election year.

The offer was coupled with other announcements, which had earlier been made public, including the establishment of women’s fund, revitalising 210 polytechnics, provision of full inpatient services to National Hospital Insurance Fund contributors and the overhaul of the National Social Security Fund from a scheme to a provident fund.

The President announced this at Uhuru Park on Tuesday, where he led the nation in marking Labour Day.

Parents will still pay for other amenities

Kibaki’s announcement, which come days before the annual budget is read, in which some of his offers, including the women’s fund will be factored, will be read as one of his campaign goodies to be expected towards election countdown.

The Government is bound to pay for only Sh3,600 a student a year, the prescribed public school tuition fees. But parents will still pay for other amenities that count for the bulk of education costs.

Other leaders who attended the function included Labour minister Dr Newton Kulundu, Gender and Sports minister, Mr Maina Kamanda, Public Service minister Mr Moses Akaranga, Assistant ministers Dr Wilfred Machage and Mr Stephen Tarus, Kabete MP, Mr Paul Muite, Lang’ata MP Raila Odinga, Westlands MP, Mr Fred Gumo and Makadara MP, Mr Reuben Ndolo.

Kibaki said: "With effect from January, 2008, the Government will meet the cost of tuition in public secondary schools at a cost of Sh4.3 billion."

He said that from next January, parents with children in secondary schools would be required to meet the cost of running the institutions.

The President said the Government would spend Sh4.3 billion to subsidise secondary education. He added that the Government hoped to reduce the secondary education bill for poor households by reviewing the cost.

Government to equip youth polytechnics

Kibaki directed the Minister for Education to issue new fees guidelines for next year.

The current fees guidelines are Sh26,900 for national schools a year, Sh22,600 for other boarding secondary schools — provincial and district — and Sh9,000 for day schools. Most schools charge almost twice these amounts.

To prepare high school leavers with appropriate schools for the job market, Kibaki said the Government would equip 210 youth polytechnics this year.

"We are also establishing model youth polytechnics in every district. The first 35 will be established this year," he added.

The move to reduce the cost of education has been taken to ensure that majority of children in primary schools, transit to secondary level, said Kibaki.

Already, the President said 750 instructors have been recruited to run the polytechnics. He said the Government would announce major changes to expand access and improve quality of university education.

Kibaki also said the fund to cater exclusively for women, which he announced earlier, will be operational from July.

NHIF to offer full inpatient cover

The fund, he explained, will provide start-up capital for women in business for them expand their enterprises and create jobs.

The fund has its equivalent in the national youth fund, which encourages youth enterprises.

Although there was no direct salary increment for low cadre workers on Tuesday, the President gave a raft of pledges. Kibaki said the Government hoped to install electricity in all urban centres so that security can be restored and businesses can remain open.

Touching on the health of workers, the President said National Hospital Insurance Fund would offer full inpatient cover in its 300 accredited public and private hospitals.

Currently, NHIF only caters for contributors’ bed occupancy when in hospital, leaving them to foot the medication costs.

"The Fund is also expanding its coverage by masking provisions for retirees and informal sector workers to become members with full benefits," Kibaki said.

The Government has also revitalised National Social Security Fund (NSSF), opening voluntary contributors’ window of opportunity to extend coverage for the self-employed.

"My Government is of transforming NSSF from a provident fund into a pensions scheme. This will ensure greater social security to workers during retirement. He said the Government would take the necessary legislation to Parliament fore approval and enactment.

Government improving connectivity

The President noted that lump sum payments could not secure retirees against financial pressures of old age.

Disputing claims that his establishment had not created employment as promised, Kibaki pointed out that the numerous infrastructure projects have improved the quality of life for workers.

He cited the projects in water supply, rural electrification and roads as those that have created jobs. Kibaki said the country welcomed the global trade economy and appealed to local investors to embrace the challenge.

He said local products should be of high quality and competitive prices to compete effectively with those from other regions, such as Common Market for East and Southern Africa.

Kenya, the President said, was improving connectivity to reduce telecommunications costs and at the same time create jobs.

"My Government is encouraging local investors to partner with North American and British firms to make Kenya their premier outsourcing destination in Africa," he added.

On security, the President said, without naming it, that Mungiki was targeted, saying nobody would be allowed to extort money from hard working Kenyans, warning they would be dealt with ruthlessly.

"Hakuna haja ya watu kubembelezwa (There is no need of sweet-talking such people.) You will be jailed. We have no use for people who think they can get money without working," said the Head of State.

He said the Government would be so tough on them that they had no choice but to relocate or leave their crooked ways.

Hiring expatriates to run State corporations

Cotu Secretary-General, Mr Francis Atwoli, censured the Government for hiring expatriates to run State corporations, saying it was ridiculous.

He warned of the new trend, saying it would in the long run enslave millions of workers, if expatriates became captains of industry.

"I will not be comfortable negotiating with the KPLC CEO. He does not understand industrial relations. Multinational companies must respect our core labour standards," said Atwoli.

He said a country, which has been independent for 40 years and boasted of 12 universities, which produce quality graduates, should not hire expatriates.

"It is demeaning for some companies to have foreigners as chief executive officers yet they have no idea of the country’s industrial relations machinery nor how to relate to workers," he said.

He added that expatriates should only play technical advisory roles. He cautioned MPs against passing Bills, which could infringe on the independence of the Industrial Court.

"The Industrial Court awards should be final. They should not be referred to any other court for interpretation. We should continue with the current trend," Atwoli added.

The trade unionist said three Bills, which proposed to place the Industrial Court under the High Court, were scheduled to be tabled in Parliament.

"Our Trade Disputes Act, clearly clarifies the matter and for industrial peace and economic development, this law must remain. Employers must stop campaigning for an Industrial Court of Appeal forthwith," Atwoli said.

The union boss argued that if the law was changed, many low-cadre workers would die without getting their awards as the process would not only be long, but also expensive.


source - http://www.eastandard.net/hm_news/news.php?articleid=1143968063

[You are to blame]

Tanzania: Doubts Over Graft Remain as Dar Gets $190 Million Aid
The East African (Nairobi)

1 May 2007

Kevin Kelly
Nairobi

Kenya's economic resurgence is helping to power the growth of its East African neighbours, the World Bank's country director for Tanzania and Uganda has said in an interview last week.

"The outlook does seem promising in all three countries," said Judy O'Connor, an Irish national who has worked at the World Bank for more than 30 years. "Tanzania and Uganda are definitely benefiting from the strength of Kenya's economy."

Speaking to The EastAfrican from Washington, Ms O'Connor offered the positive appraisals two days after the bank approved a $190 million anti-poverty initiative for Tanzania and a $42 million credit to support education improvements for Zanzibar.

The bank also last week approved a $150 million loan to spur construction of the Bujagali hydropower project in Uganda.

Ms O'Connor praised the recent economic performance of both Tanzania and Uganda, adding that the two countries are also attacking corruption and reducing poverty.

Tanzania has achieved 10 years of strong economic growth despite increases in oil prices and damage to the farming sector due to drought, Ms O'Connor noted.

Uganda's economic expansion has been even more robust than Tanzania's during the same period, she added, pointing out that Uganda has also had to withstand "energy shocks."

"The high cost of energy is really hurting Uganda's economy," Ms O'Connor said. She expressed hope that the World Bank's favourable review will encourage private investors to help develop Uganda's oil and mineral deposits as well as its hydropower resources.

With all three East African economies remaining vibrant, the bank is taking a gentler tack on governance issues that had drawn pointed criticism in the past.

Ms O'Connor said the Kikwete administration is making "remarkable progress" in combating corruption while President Yoweri Museveni's government "is doing quite a bit" to build institutional capacity to fight graft.

Control over corruption has not advanced in Uganda to the extent that the World Bank had hoped, she said. But added that Uganda still scores better than many African countries on a corruption index compiled by the bank.

"The government is starting to put some teeth into its efforts to ensure accountability," Ms O'Connor said in regard to Uganda. "We would like to see more of those teeth."

She expressed almost unconditional approval of Tanzania's anti-corruption initiatives. Graft does remain a problem, Ms O'Connor acknowledged, adding, however, that "many aspects of the problem are being addressed."

She cited greater freedom of the press in Tanzania as an important factor in fighting corruption.

"There has been support from the top - from President Kikwete and senior officials - for the press to be more investigative," Ms O'Connor said.

Impressive economic growth rates are beginning to alleviate poverty in both countries that she monitors and advises, she added.

Some rural areas of Tanzania "are doing a lot better than others, depending on how well connected they are to markets," she observed. In Uganda, she said, the nationwide poverty rate has fallen to about 31 per cent in the past few years, which she termed "a significant improvement."

Ms O'Connor expressed reluctance to comment on political conditions in either Tanzania or Uganda, noting that the World Bank has "a mandate not to go into the political sphere."

But in response to a question about growing ethnic tensions in Uganda, she said she hopes "one would not use a single event to see a trend." Animosity toward Ugandans of Asian descent does, however, constitute "a potential issue that has to be understood and dealt with," Ms O'Connor added.

She also suggested that strains between Zanzibar and Tanzania mainland be effectively addressed.

"We see positive signs there," she said. "The two leaders do seem committed to resolving tensions."

The World Bank will encourage Tanzania in the coming months to focus on education, infrastructure and energy, Ms O'Connor said.

"We want to see attention given to the quality as well as to quantity of education," she declared.

Tanzania should also give priority to transportation projects that will improve linkages between the country's interior and its Indian Ocean ports, she said.

"With greater private investment," she added, "the country will have a more reliable energy supply."

[You are to blame]

Kenyans Counting Fortunes As Poverty Levels Decline
The East African Standard (Nairobi)

27 April 2007

Cyrus Kinyungu
Nairobi

Poverty has declined over the last five years, with half the national population living above the poverty line.

The Kenya Integrated Household Budget Survey released on Thursday by the Ministry of Planning and National Development shows that the national poverty levels declined from 56.8 per cent in 2000, to 46 per cent in 2005 and last year, an improvement of 10 per cent.

This means that only 46 per cent of Kenyans have levels of consumption that are insufficient to meet the basic needs, says the report.

The ministry defines the poverty level as the threshold below which a person is deemed to be poor. Overall poverty lines used in the report are monthly income equivalents of Sh1,474 for rural areas and Sh2,913 for urban areas.

While poverty levels declined from 59.6 per cent in 2000, to 49.1 per cent in 2005 and last year in rural areas, the levels declined to 33.7 per cent from 51.5 per cent over the same period in urban areas.

Hardcore poverty

Food poverty, which the survey describes as the inability of a household to satisfy its basic food requirements, dropped marginally to 45.8 per cent from 48.3 per cent nationally in 1997.

The survey defines the food poverty line in monthly adult equivalent terms of Sh988 for rural areas, and Sh1,474 for urban areas. In rural areas, it dropped from 50.6 per cent in 1997, to 47.2 per cent in 2005/6. The food poverty levels ironically rose in urban areas from 38.3 percent in 1997 to 40.5 percent in 2005/6.

"The results show that in 2005/06, only 2.3 million people who would have been poor had escaped poverty since 1997," National Planning minister, Mr Henry Obwocha, said while releasing the survey.

World Bank Country Director, Mr Collins Bruce, Trade and industry PS Mr David Nalo, Department for International Development (DfID) director, Mr Simon Bland and a representative of Usaid Kenya, attended the ceremony at the Kenyatta International Conference Centre.

The hardcore poverty, which is the group whose total expenditure cannot meet their basic food needs, declined by 10 per cent from 29.6 in 1997, to 19.1 per cent in 2005/6 nationally.

The survey, on which the Government spent Sh620 million, was designed to cover 13,430 households sampled from all districts. The survey was conducted by 250 research assistants, over a year and the data analysed by statisticians at the Kenya National Bureau of Statistics.

It was aimed at providing national, provisional and district poverty estimates.

Nairobi is the most endowed province with poverty levels of 21.3 per cent, while North Eastern is the worst hit with poverty levels of 73 per cent, followed by Coast with 69 per cent.

Central Province closely followed Nairobi with poverty levels of 30.4 per cent, with Nyanza following with 47.6 per cent and Rift valley with 49.

Eastern Province had levels of 51 per cent while Western had 52.2 per cent. Nairobi and Nyanza provinces made the greatest stride in improving their poverty status.

In 2000, Nairobi had 56.6 per cent poverty levels, while Nyanza had 71 per cent. Coast made insignificant improvement of 0.2 per cent from its 2000 poverty level of 69.9 per cent.

Indicators

The survey indicated a positive trend by economic pointers, with inflation rates stabilising at 9.9 per cent in 2005. Borrowing by the private and the public sector also rose from Sh200 billion in 1997 to Sh400 billion in 2005.

Through the Local Authority Transfer Fund, Constituency Development Fund, Bursary Funds, and District Roads Fund among others, the survey noted that each constituency receives at least Sh80 million every year.

The survey shows that 79 per cent of Kenyans above 15 years are literate, while 81 per cent of them can write. But it further notes that about 690,000 children of school going age are not in school. This, the report notes, comprises about 6.2 per cent of the population of children aged six to17 years.

"More than a third of the population of children aged six to 19 years in North Eastern Province have not been to school," it notes.

Fifty-seven per cent of households have access to safe drinking water, it reports. But only 48 per cent of rural households use safe sources for water, and 83 per cent of urban households have access to safe water

About 68.8 per cent engage in agricultural activities or livestock keeping, with a majority of them, 85.4 per cent, in rural areas.

Fine job

The survey, which is supposed to guide the Government on its national planning and budgetary allocation to eradicate poverty, shows that the level of education of the household head is inversely related with poverty.

"In rural areas, the incidence of poverty drops from 65 per cent for household heads with no education to 51.5 per cent for those with primary education and 27.2 per cent for household heads with secondary education," notes the survey.

The average household size shows the survey, stands at about 5.1 per cent, while the country's estimated population is 35 million growing at 2.5 per cent per annum.

"This is truly a professional job," said Bruce. "I hope the data will be used to help in economic recovery."

He said a World Bank team was looking at the survey to see how it can target children, women, and those in the slums to uplift their living standards.

"This data needs to be interrogated and criticised. It should be implemented to help fight poverty and uplift the living standards," said the DfID representative, Mr Simon Bland.

[Tbite]

Why West African economies must integrate – Minister

From Patrick Ugeh in Abuja, 05.08.2007
Tuesday, May 8, 2007

Minister of State for Finance, Engr. Elias Mbam, yesterday stressed the need for West African economies to be integrated as a way of boosting economic growth and attracting foreign investment.

He spoke at the 23rd technical meeting of the West African Monetary Zone (WAMZ) which began in Abuja yesterday even as it came to light that nations in thesub-region will establish an online database in two weeks, to store information about economic performances of the various nations so as to allow for easy monitoring of economic growth, among members.

According to Mbam, “Despite the numerous challenges and systemic risks associated with globalisation, regional and sub-regional integration has become a veritable option for achieving economies and wider markets; and for achieving growth and poverty reduction.” He added: “It is a matter of fact that barriers to trade, particularly of the non-tarrifs types have constituted serious impediment to the free flow of goods and persons in our sub-region.

[Kenguy]

Survey: Its now easier to do business in Kenya
--------------------------------------------------------------------------------

Source: The Standard
Date:9/5/2007

By John Oyuke

The business environment has improved significantly a new Government survey indicates.

The report by the newly established Business Regulatory Reform Unit (BRRU) in the ministry of Finance, says it is now much easier to register and do business in the country compared to previous years.

The survey focused on starting a business, dealing with licenses and paying taxes.

Results of the survey indicate that for the "Starting a Business" indicator, the number of procedures have been reduced from 13 to 11, while the number of days to start a business have reduced from 54 to 22.

The licensing procedures have also been reduced from 11 to 10, and the waiting period slashed from 179 to 73 days.

In relation to taxation, the number of payments has been reduced from 25 to 17, while the time it takes to pay taxes has reduced from 432 to 236 hours due to improvement in Value Added Tax administration.

Making the announcement on Wednesday, Finance Permanent Secretary, Mr Joseph Kinyua welcomed the findings and asked the private to forward their experience to enable the Government accelerate the reforms.

Kinyua was speaking at a private-public sector workshop on "Doing Business In Kenya" in Nairobi.

"We are committed to reforms that will provide a public service capable of effectively playing its role in development," he explained in a speech read on his behalf by the Economic Secretary, Dr Kamau Thugge.

Kinyua said BRRU streamline the licensing regime and other measures taken to improve the investment climate for both local and foreign investors. He said the unit will soon create an electronic-registry to serve as a database of all existing business licenses in the country.

"These measures are geared towards reducing red-tape and cost of doing business to make the private sector more competitive," said Kinyua.

Kinyua however noted the poor ranking of Kenya with respect to indicator trading across borders, where the country is ranked 145 out of 175 and said the Government would direct more efforts to reverse it.



--------------------------------------------------------------------------------

[Bond James Bond]

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=ao5_lG_7IEoo

EU Scraps Duties on Imports From Ex-Colonies to Boost Economies
By Warren Giles

May 15 (Bloomberg) -- The European Union will scrap most of the remaining customs charges on imports from 78 former colonies in Africa, the Caribbean and Pacific in an effort to fuel the commodity-dependent economies.

The EU's trade arrangements with the group of developing countries expire on Jan. 1. Today's decision to increase access to the European market, backed by ministers meeting in Brussels, also ends limits on the volume of exports to the 27-nation bloc.

Imports from the group, known as the ACP, were worth 28.4 billion euros ($38.5 billion) in 2004, according to the European Commission, the bloc's executive arm. A quarter of exports from the ACP were petroleum products, and 11 percent of the total was diamonds, the commission says.

EU imports of commodities from 49 of the world's poorest countries, excluding sugar, bananas and rice, have been tariff- free and unlimited in volume since 2001. That agreement excluded 37 ACP countries.

The commission has said that an exemption for rice from the measure approved today would expire in a ``small number of years,'' and sugar customs duties and import ceilings won't end until 2015 while the bloc overhauls its own market.

[nai guy]

Foreign firms to invest SH 70 bn in Kenya

Foreign firms to invest SH 70 bn in Kenya
Written by Jim Onyango

Susan Kikwai, MD- Kenya investments Authority17-May-2007: Ten international companies have been cleared to put up manufacturing and product assembly facilities in the country that could see billions of shillings flow to the economy.

The projects, said to be worth Sh70 billion, are hoped to speed inflow of foreign direct investments (FDI), according to the Kenya Investments Authority (KIA), which oversaw the approvals.

The companies include several giants in the worldwide software and computer industries as well as a major car-maker.
The authority’s managing director, Susan Kikwai said yesterday that despite hindrances to the development of the private sector in Kenya, foreign investors are showing confidence in the country by committing to doing business here to serve the east African region.

The push for foreign investment has come across barriers like high cost of doing business, supply chain issues and the inadequate access to finance and credit. Kenya was recently included in a World Bank list of 26 African countries where survey teams will travel to identify obstacles to business development that negatively impact growth of the private sector and the economy in general.

Ms Kikwai, in an interview with Business Daily said two of the multinationals will be installing mobile phone assembly plants, while four will put up information and communication technology (ICT) facilities and one plans a truck manufacturing factory.

The KIA MD however, cited client confidentiality in not releasing the names of the companies at this point.
“We have superseded our performance contracts,” said Ms Kikwai. “We already have enlisted foreign investors who will bring in excess of Sh70 billion into the country in form of investments.”

She added that KIA was also targeting local investors who can put up businesses that would create employment and generate revenue for the government.

In the first quarter of 2007, the investment body processed investment applications for 34 companies, which would put in a total Sh7.4 million in projects and an estimated an estimated 3000 jobs into the country.

The developments come two weeks after a World Bank Investment Climate Survey said Kenya had a comparative advantage in terms of labour costs with some countries such as South Africa and Brazil, but it added the productivity of Kenya’s manufacturing sector lags behind that of other nations.

Ms Kikwai said a recent report by the Controller and Auditor -General, which said that the Investment Authority spent Sh10 million without the approval of the ministry of trade was true, but blamed it on a poor management structure she had inherited upon her appointment to the KIA last September.

She said she planned to put in new structures to ensure tighter financial controls. The Kenya Investment’s Authority is a government body created in 2004 under the Ministry of Trade and Industry to promote and facilitate private investments in Kenya for both local and foreign investors.

In its own strategic plan for 2006-2011, the Ministry of Trade and Industry identified poor business environment as responsible for the declining investments in Kenya from 2000-2004. During that period FDIs declined steadily while that into neighbouring countries Tanzania and Uganda increased. More conducive business environments in those countries was cited as the main cause.

Foreign investors put up 164 businesses in Kenya in 2000 compared to 80 in 2004. Uganda registered 181 new foreign businesses in 2000 and 197 in 2004 while Tanzania recorded 282 direct foreign investments in 2000 and 435 in 2004. But the government launched the Vision 2030, which it said was a road map to propelling Kenya to new heights of economic growth.

[Africmento]

Lagos Business School makes global top 50 list

Lagos Business School makes global top 50 list

THE Lagos Business School (LBS) yesterday made history as the first of its kind in sub-Saharan Africa to attain world ranking.

According to a list published yesterday by the Financial Times of London, the school was ranked among top 50 business schools worldwide in the area of open enrolment executive education programmes.

The prestige accorded the Nigerian school could better be appreciated when put in proper perspective.

These days, many newspapers and magazines compile rankings of business schools, but those of Business Week and the Financial Times stand out.

While Business Week focuses on American schools, the Financial Times is considered by many to be the pre-eminent international ranking.

The Financial Times is reputed to adopt rigorous modalities in its exercise and its compilations are based on data from schools participants in the programmes and third-party sources. Many business schools all over the world are known to work very hard to be included in its list.

To gain insight into the significance of being included among the best 50 providers of executive open enrolment programmes, it is useful to consider how many and how good are the schools that did not make the list using the following statistics:


- the total number of business schools in the world is estimated by the top accreditation agency to be around 10,000; new ones are created literally every week;

- in the UK alone, there are over 100 business schools; only four of them managed to be included among the top 50 worldwide in open enrolment programmes; and

- a country as economically powerful as Germany has no school in this ranking; only an Italian school is included; and there are no schools from Eastern Europe or Russia. Even more significantly, not a single Asian school was included, even though India, China and the Philippines have a good number of very well respected schools.

The journey of the Lagos Business School began 15 years ago with the launch of the first executive education called the Chief Executive Programme. Since then, the school has grown to become one of the best in sub-Saharan Africa.
LBS has striven to deliver quality management education in a continuous and constant way. The school was designed to meet the acute need for management training in the country that arose as a consequence of the rapid industrialisation that took place in the country in the late 80s and early 90s.

A business school of international standard that offers management courses relevant to the Nigerian environment was thus established. It also had to be a school that would strengthen values and ethics in people, business and the society.

Source - http://odili.net/news/source/2007/may/16/1.html

[Africmento]

^^

The FT Global Top 50 - http://rankings.ft.com/rankings/openProgrammes/rankings.html

[Carver02]

^^ And there are three South African schools there also.

[HirakataShi]

Heart warming to see real progress being made all over Africa.

http://www.busrep.co.za/index.php?fSectionId=&fArticleId=3834358

Africa's economy gets ADB approval
May 16, 2007

By Christopher Bodeen

Shanghai - Africa is in its best economic shape in decades thanks to better management and a booming demand for commodities, the president of the African Development Bank said Wednesday.

Donald Kaberuka said the region's economies last year grew at an average of 5.5 percent as a result of improved peace and stability, better terms of trade, more responsible economic governance and a better business climate.

"Today Africa is better poised for economic prosperity and better governance than it has been for decades," Kaberuka said at the bank's annual meeting in China's commercial hub of Shanghai.

"The last six years represent the longest period of sustained economic growth on the continent since independence, even in countries which are not richly endowed in natural resources," he said.

Massive demand, much of it from China, for Africa's oil, gas, minerals and timber have sent prices skyrocketing, causing a windfall for states with abundant resources. Lower debt ratios and a flood of remittances from Africans working abroad is also driving growth, Kaberuka said.

With 31 nations growing at faster rates than the increase in their populations, Kaberuka predicted growth to strengthen this year at above 6.5 percent.

"Africa stands at a point today where several countries have a fair chance of following in Asia's footsteps," Kaberuka said.

However, he warned also that millions of Africans still lived in countries whose economies were "stagnating, contracting or barely keeping up with population," beset by state fragility, violent conflict and policy setbacks.

Africa's population is also growing quickly, and growth in many countries remains vulnerable to natural catastrophes, reversals in trade terms, reductions in aid and "major slippages in in governance," Kaberuka said.

"This implies that even at 5.5 percent in real GDP growth, Africa is still a long way from making a dent in poverty, which remains extensive and pervasive," he said.

The hosting of the bank's meeting in China, one of its 24 non-African shareholders, underscores the growing ties between China's booming manufacturing-based economy and the resource-rich continent.

An estimated 700-800 Chinese companies are active in Africa, sending two-way trade soaring to $55.5 billion last year, four times its 2000 level, according to the bank. Beijing says it wants to that figure to rise to $100 billion by 2020.

The United States, Japan, France, India and Britain are also members of the African Development Bank.

Kaberuka said the ADB Group reported strong earnings of $372.5 million last year and increased financing approvals by 27 percent to $1.6 billion. Its debt enjoyed the highest possible ratings from international rating agencies and "the financial position of the bank remains strong and the medium-term outlook is robust," he said. - Sapa-AP

[kwam]

West African Stock Exchanges meet on harmonisation of rules

The three stock exchanges in the West African sub-region on Thursday began a two-day meeting aimed to find ways to harmonise the trading platform, rules and regulations governing trading in shares on the respective markets to pave way for integration of the markets.

Officials of the Ghana Stock Exchange, the Nigerian Stock Exchange and the Abidjan based Bourse, Regionale des Valeurs Mobilieres (BRVM) that serves the eight Francophone countries, attending the meeting, said adoption of common rules and laws to govern operations within the exchanges was a necessary first step to full integration. The creation of a single stock market would allow the stock exchanges to grow and to become competitive on the global market as well as provide investors and companies a large market within which to raise capitals, they said.

The West Africa Monetary Institute (WAMI) is already working on the integration of the Ghana and Nigeria Stock Exchanges as a first step to the integration of capital markets of member countries of the West Africa Monetary Zone, which is expected to adopt a single currency by 2009.

Mr Mare-Odiake Chris Okolie, Director of Operations of WAMI, said to ensure rapid harmonisation of operations on three exchanges, the partners must work towards uniform definition of concepts. But first they must overcome the harmonisation of payment and settlement system, laws and reporting rules that currently inhibit transactions across markets. Mr Jean-Paul Gillet, Director General of BRVM, said although the process would be dogged by legal and policy hurdles, there was the need to persevere to bring into reality the integration of the markets. "I am happy about the setting up of committees to look into the process and see how best to implement the decisions," he said. Binos Dauda Yaroe, General Manager of the Nigerian Stock Exchange, said there was the need to go along with regulators of the industry in the respective countries to enable them to understand the necessity of integrating the markets.

This would help remove any suspicion as to the direction of regulating the market.

Mr Kofi Yamoah, Managing Director of the Ghana Stock Exchange, said integration was necessary for the capital market in the sub-Region to fully participate in the global market. He said a single market would allow free flow of capital and expand investors' horizon to explore opportunities across frontiers. But for this to succeed the law of one price, access to trade in equities at the same price and legal and financial obstacles must be removed. "Integration requires that the respective barriers, such as tax, legal and regulatory regimes, which do not permit the free flow of capital be examined and dealt with." This calls for the harmonisation of both the regulatory and operational framework through agreement on the use of minimum standards. The Accra meeting, which is a follow up to one held in December last year, would come out with an action plan to move the process forward.

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Kenyan Economy to grow by 6.2 per cent this year, says President Kibaki

By Benson Kathuri

The economy is expected to grow by 6.2 per cent this year up from six per cent last year, President Kibaki has said.

Speaking when he opened the fourth Common Market for East and Southern Africa (Comesa) business forum at the Kenyatta International Conference Centre, the President said the private sector would continue to be the engine of that growth.

"In Kenya, my Government has over the last four years continued to implement measures intended to facilitate the emergence of a vibrant private sector," he said.

"As a result of these and other efforts, we have witnessed steady improvement in the performance of the economy."

Paying tribute to the private sector in the Comesa region, President Kibaki said there were still challenges the sector must overcome in order to utilise the idle capacity.

The sector is faced with challenges of globalisation and competition in the international markets.

He said in order for the sector to thrive, the Government will have to improve the business environment and accelerate institutional transformations.

The Government would also facilitate growth through trade expansion, improve productivity of enterprises and support enterprise development.
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