Author: The Exchange

• Experts call for a shift from short-term political cycles to forward-looking, long-term effort to address the climate crisis effectively.
• Carbon taxation taxes carbon, it doesn’t tax energy. It creates incentives for the private sector to move from fossil fuels to alternative sources of energy.
• Globally, countries pump $5 to $7 trillion dollars a year into fossil fuel subsidies. Experts argue that if you stopped that and put it into clean technologies, we would have solved the problem.

In a world increasingly shaped by the dual crises of climate change and economic instability, the Oxford Department of Economics, in collaboration with EBC Financial Group (EBC), hosted a pivotal session in the “What Economists Really Do?” (WERD) series.

The event brought together leading minds from academia and finance to explore actionable strategies for aligning economic systems with environmental sustainability while addressing pressing societal concerns.

The event, titled “Macroeconomics and Climate,” …

• The new Trump administration faces a policy conundrum in pushing for democracy in Africa’s most fragile zones.
• Trump’s previous skepticism toward multilateralism and international aid raises questions about how his administration will engage with regional bodies like the AU.
• Trump’s previous focus on trade could provide a framework for re-engagement like AGOA and perhaps supporting AfCFTA.

As Donald Trump prepares to begin his second term as President of the United States in February 2025, his administration will need to confront the complexities of U.S.-Africa relations. Africa, home to over 1.4 billion people and rich in resources, remains a key player on the global stage. Yet, the continent is marred by challenges such as challenges in its democratic ideals, military coups, and persistent governance crises.

For Trump, striking a balance between promoting democratic ideals and safeguarding U.S. strategic interests could be a defining challenge during his second term as president.

The

• The AI World Championship, which will take place Jan 30 to Feb 2, 2025, is tailored to be a defining moment for the AI community, a global platform for breakthroughs.
• The contest will challenge and advance the multiple frontiers, creativity, expertise, and innovation presented by AI across 14 thematic focus areas.
• The grand finals set to be hosted live on April 8, 2025, at ADNEC Centre Abu Dhabi during AIM Congress 2025.

Tech enthusiasts, developers, AI specialists, investors, and government representatives have a chance to showcase cutting-edge developments in Artificial Intelligence (AI) at the maiden AI World Championship in Abu Dhabi city early next year.

Organized by the AIM Congress 2025, the inaugural AI World Championship is tailored as an international competition that will challenge and advance the multiple frontiers and opportunities presented by AI.

Taking place over the course of four days, from January 30 to February 2, …

• Employment in Egypt’s private sector contracted in November, marking the fastest decline since February 2024.
• This dip was largely attributable to companies opting not to replace departing staff due to weakened sales and subdued optimism.
• Across the industry, purchase prices of goods increased partly due to a stronger US dollar against local currency.

Egypt’s private sector continued to face persistent challenges in November, with a drop in employment levels reflecting waning optimism across industries. According to the latest S&P Global Egypt Purchasing Managers’ Index (PMI), economic uncertainty and weak customer demand stifled growth prospects for the North African country, forcing businesses to scale back hiring and purchasing activities.

The PMI climbed slightly to 49.2 in November from 49.0 recorded in October, marking the second consecutive month of improvement but still lingering below the critical 50.0 threshold that signals expansion.

Senior Economist David Owen noted that while the contraction rate slowed, …

• Unlike conventional bonds that generate returns through fixed interest payments, Sukuk generates returns through the ownership of underlying assets, thereby avoiding the prohibitions of Riba (interest) and excess Gharar (uncertainty).
• Global Sukuk market has witnessed significant growth over the last two decades, diversifying its presence across regions such as the Middle East, Southeast Asia, Europe, and Africa.
• The outlook for the sukuk market indicates a continued upward trend, with projections suggesting it will reach $2,160.55 billion by 2028.

Sukuk, commonly known as Islamic bonds, represent a unique financial instrument in the context of Islamic finance, distinguished by their adherence to Shariah compliance. Unlike conventional bonds that generate returns through fixed interest payments, Sukuk generates returns through the ownership of underlying assets, thereby avoiding the prohibitions of Riba (interest) and excess Gharar (uncertainty).

This Shariah-compliant structure renders Sukuk an appealing option for both Muslim and non-Muslim investors seeking ethical and socially …

• Despite its $6.2Trn natural wealth, Africa remains “green rich but cash poor.”
• Projections show that had carbon sequestration alone been accounted for, Africa’s nominal GDP in 2022 could have increased by $66.1Bn.
• In Europe, carbon prices can reach as high as $200 per tonne, yet the same credits are traded for as little as $3 to $10 per tonne in Africa.

At the 29th Conference of the Parties (COP29) in Baku, Azerbaijan, African leaders are pushing for a fair valuation of the continent’s natural riches—spanning vast forests, carbon sequestration capabilities, and ecosystem services.

They call on authorities to factor them into calculating Gross Domestic Product (GDP). This bold move aims to redefine wealth on a global scale by integrating the immense value of Africa’s natural assets into economic frameworks.

In a pivotal communique, African heads of state have cited the invaluable contributions of their ecosystems to global public …

• DeFi market is experiencing a surge in Total Value Locked (TVL), and hit nearly $97 billion in Q1 this year.
• Built on blockchain, DeFi bypasses traditional financial systems, allowing peer-to-peer transactions via “smart contracts.”
• At the AIM Congress 2025 in Abu Dhabi—DeFi will be a key topic for global policymakers, regulators, and investors keen on the “Future of Finance”.

The rapid growth of Decentralized Finance (DeFi) is signaling a shift in the global finance ecosystem. Expected to grow at an annual rate of 46 per cent from 2023 to 2030, the DeFi market is experiencing a surge in Total Value Locked (TVL), which has already reached nearly $97 billion in the first quarter of 2024.

It’s worth noting that on Monday, the world’s largest cryptocurrency topped $87,000 for the first time. As of around 3:45p.m. ET, bitcoin‘s price stood at $87,083, per CoinDesk, up over 28 per cent …

• As COP29 starts in Baku, Azerbaijan, African nations are set to drive the climate agenda, focusing on climate finance and redefining economic metrics to recognize the continent’s green assets.
• Africa’s ‘green wealth’ push seeks to quantify Africa’s contributions to global environmental health, valuing its vast carbon sinks, natural resources, and ecosystems.
• This initiative, led by the AfDB in an alliance with the Republic of Congo and Kenya, could reshape Africa’s economic standing.

The annual United Nations climate conference, COP29, opens with a strong emphasis on climate finance, especially for developing nations that bear a disproportionate burden of climate change impacts.

At the forefront, African nations are pushing for increased funding and support, which is essential to advancing their National Adaptation Plans and Nationally Determined Contributions as outlined in the Paris Agreement.

This year, Africa, represented by the African Development Bank (AfDB) and a coalition of governments, is …

• Across the Atlantic, Africans also have a vested interest in the outcome of the US election.
• The latest polls show that the current vice president and Democratic nominee, Kamala Harris, has a slight, one-point lead, with Republican and former president Donald Trump a close second.
• The election outcome will have a number of implications for African economies, given that the US is one of the main trading partners.

On Tuesday, November 5, Americans will vote to elect the 47^th president of the United States of America. The latest polls show that the current vice president and Democratic nominee, Kamala Harris, has a slight, one-point lead, with Republican and former president Donald Trump a close second. This is a neck-and-neck race with no outcome, and the world waits to see who will lead the last global superpower from 2025 to 2029.

Across the Atlantic, Africans also have a vested …

• Sudan has stepped forward, increasing its pledge to $3 million in the African Development Fund.
• Sudan’s pledge aligns it with other African nations, which have each committed to raise at least $1 million to the fund by 2025.
• With backing from The Gambia, Liberia, Sierra Leone, and Ghana, Africa’s commitment to funding its key projects is strengthening.

African nations are coming together to secure a $25 billion replenishment for the African Development Fund (ADF), an ambitious target that signals a continent-wide push toward self-driven financing for projects.

In the latest update, Sudan has stepped forward, increasing its pledge to $3 million in this collective movement. With backing from countries including The Gambia, Liberia, Sierra Leone, and Ghana, Africa’s commitment to funding its development projects is strengthening.

As governments, led by the African Development Bank (AfDB), advocate for this replenishment, they set a critical precedent for financial autonomy in achieving Africa’s …