Month: June 2020

Egypt will resume flights from July 1^st, the civil aviation minister said yesterday in a joint press conference with the ministers of tourism and information.

The decision is “an important step for the aviation sector to be accompanied with the sanitization operations for all the country’s airports and aeroplanes,” said Mohamed Manar, Civil Aviation Minister.

The minister also added that air traffic will operate regularly in the country then gradually with other states.

As a precautionary measure to curb the spread of the COVID-19, Egypt had suspended international flights since March 19 as well as shutting down shut down restaurants, hotels and cafes.

Mr Manar noted that the suspension period was used to enhance the infrastructure of airports national wide.

“All planes have been comprehensively sterilized and only dry meals and canned beverages will be offered,” Manar said.

Mr Manar also added that the distribution of any publications …

For decades now, the word Somalia has become synonymous to malnutrition. You hear Somalia and the first picture that comes into your head is that of the scrawniest infant you have ever seen; hairless, ribs, collar bones and cheeks bones protruding so much it seems the child has no skin, just a pigment on the skeleton. 

That is the poor, malnourished Somalia we have all grown up to hear about. In fact, the only other picture of Somalia is not any better, now you hear Somalia and you think pirates; thin, malnourished pirates wielding the menacing Russian made Kalashnikovs.  

Why? History would have us believe it is just ill fate that befell the country, it geographical location is its very curse, a desert by the sea. If you don’t give it a second thought, you may just end up feeling sorry for Somalia. 

However, what is the difference …

The wheels of economy would have it that, where there is oil/gas exploration, the multiplier effect is that businesses blossom within and all along the value chain.  

From accommodation that is hotels and guest houses to catering services ranging from high end restaurants for expatriates to Mama Ntilie for the wage workers and everything in between. 

That is the smaller picture, the micro-economics of things, however there are sectors like construction, transportation, electricity and water supply, health and financial services. The list goes on and on, both for small, and medium sized companies, the opportunities available at and around an exploration site are enormous. 

Also read: Oil price drop should nudge Africa towards clean energy

So what aisle local content in Tanzania’s energy sector? In this case let’s focus on the oil and gas sectors and more so the oil sector which is still at the exploration stage. …

It is hard to see how African economies will bounce back to the vibrant fast growing hubs that they were over the past two decades, the pre-corona era. Countries like Rwanda that led East Africa (and most of the World) with annual economic growth averaging 9.4 percent now looks at annual growth rates of a mere 2 percent. 

When the tourism and hospitality industries reopen their doors, will tourists and holiday maker flock in triple and quadruple their previous numbers and will they do so long enough for the industries to stabilize and resume growth? Will air travel shake off the blow it has taken, will it be willing to pocket less profit to attract business or will it hike prices to capitalize the anticipated initial high demand post the pandemic? 

How individual industries will raise from the ashes of the pandemic is anyone’s guess but should recovery of global …

The African Development Bank has approved COVID-19 emergency funds to its member countries which have reached the continent’s five geographic regions.

The COVID-19 pandemic is seen to cause a drop in Africa’s gross domestic profits by between $22.1 billion and $88. Billion.

By June 12, the African Development emergency package had reached Africa’s five geographical regions.

Before the pandemic, West Africa was home to at least four of Africa’s fastest-growing economies and has felt the impact of the pandemic as borders remain cloAfrican Development emergency packageAfrican Development emergency packagesed economic distress deepens.

To bolster national health systems in response to the Pandemic, Mali, Niger and Gambia will benefit from an ECOWAS $22 million support package.

From the Emergency package, Nigeria got €288.5 million, Senegal €88 million, Côte d’Ivoire €75 million and Cabo Verde €30 million.

Funds to this region will seek to address shortages in ventilators, personal protective equipment (PPE) …

In the recent budget estimates, the East African nation hailed as the economic hub of the region saw a paltry Kshs 98 billion allocated to the fledgeling sector.…

The trade agreement will provide business opportunities enhancing industrialization in Africa in line with the AU’s Agenda 2063: The Africa We Want.…

Tanzania Budget 2020/2021

The Tanzanian Minister of finance and planning, Dr Philip Mpango brought the fifth government’s revenue and expenditure estimates for the year 2020/2021 before the parliament, and around $15 billion was the requested budget to be endorsed.

The anticipated document—which is also the fifth national budget under President John Magufuli administration, was somewhat a mix of recovery from COVID-19 economic shocks, a progression of development initiatives and a rather relief to several sections of the economy, including scratching off some levies and giving income earners relief.

“The year 2019/20 is ending with unexpected circumstances resulting from the destruction of transport infrastructure caused by heavy rains/floods across the country as well as the Covid-19 pandemic. The government is compelled to allocate more resources.,” Finance and Planning Minister Philip Mpango told Parliament yesterday

Also, as Tanzania reopens its economy after assessing the trend of the pandemic, the minister said that …

Tanzania relays heavily on the tourism sector for its foreign exchange earnings and to save this vital sector, the country has announced plans to have all hotels and other tourist facilities across the country bear Covid-19 certificates that basically declare the facility a Covid-19 free area.

According to the Bank of Tanzania (BoT) the tourism sector is Tanzania’s top foreign exchange earner clocking USD 2.44 billion last year.  It only makes sense that the country would do all in its power to save the sector in the wake of the pandemic.

The move, to have tourism facilities display Covid-19 free zone poster is expected to build the trust of tourists and allow them to regain confidence in the hotels or related facility.

The said ‘posters’ will be the kind that health officers place in the windows of restaurants abroad with the grade of the said hotel in full display. The …

For over two months now, companies in Tanzania are holding back contractors and supplier payments blaming it on a lack of funds due to the global coronavirus crisis.

Chinese companies are particularly in the spotlight with suppliers complaining of delayed payments for goods delivered and services done. In an exclusive with this paper, an aggregate mine operator (name withheld) said payments due to the company from Chinese companies are still pending two months down the road.

This is the exact scenario that the government tried to evade when it throughout the Central Bank, Bank of Tanzania, it released a stimulus package to cushion the economy to ensure business stay liquid and are able to make all due payments.

It is not far fetched to think companies are taking advantage of the ongoing health crisis not to pay their debts or even government taxes and fees. I mean, non performing loans …