Author: The Exchange

• As the eighth member of the EAC, Somalia opens a new chapter in East Africa’s collaborative growth story.
• This move is aimed at reviving Somalia’s economy ravaged by years of conflict, promises mutual benefits for both Mogadishu and the EAC members.
• Somalia’s extensive coastline, spanning over 3,000km, is a gateway to offshore resources like oil and gas.

The recent admission of Somalia into the East African Community (EAC) marks a significant milestone in the region’s economic landscape. As the eighth member of the EAC, joining Burundi, the Democratic Republic of Congo, Kenya, Rwanda, South Sudan, Tanzania, and Uganda, Somalia opens a new chapter in East Africa’s collaborative growth story.

Somalia’s entry into the EAC, a region with nearly 300 million people and a unified market since 2010, is not just a mere expansion of the bloc but a strategic addition with far-reaching implications. This move, aimed at reviving Somalia’s economy …

In recent years, Africa has gained increasing attention in the climate change dialogue, especially its role in the global carbon offset market. But what exactly does this mean for the continent and the world? This article delves into the concept of carbon offsets in Africa, explores the benefits, assesses Africa’s contribution to global emissions, and examines the leading countries in carbon trading.…

• Equity Group anticipates regulatory changes, currency fluctuations, and the broader economic repercussions of global events as obstacles in the future.
• However, the regional lender looks well-positioned to overcome these obstacles due to its robust capital base, diversified business model, and continuous digital transformation.
• Analysis shows that industry-specific factors, market sentiment, and macroeconomic conditions may be exerting an impact on the stock’s performance.

Amidst the ongoing repercussions of the pandemic and geopolitical unrest on a global scale, Equity Group Kenya, arguably the largest financial institution in East Africa, has exhibited exceptional fortitude and expansion during the three months ending September 30, 2023.

In spite of the tough economic climate characterized by inflationary forces and disruptions in the supply chain, Equity Group has disclosed a consistent upward trend in its fundamental financial indicators. An important growth driver has been the bank’s emphasis on digital innovation and customer-centric services, which have significantly …

• Tanzania’s tea auction hopes to benefit economically and directly from local tea producers by relocating tea trading to local ports rather than routing through Mombasa.
• The tea auctions in East and Central Africa have made African teas competitive on a worldwide scale by enforcing and maintaining quality standards.
• Tanzania has the potential to become a global leader in the tea industry with the right mix of technology investment, and innovative product development.

With the recent success of its first tea auction in Dar es Salaam, Tanzania has taken a major stride forward in the international tea trade. More than just a business deal, the historic exchange of 65 tonnes of tea is an effort to increase local autonomy and regional clout. Tanzania hopes to benefit economically and directly from local tea producers by relocating tea trading to local ports rather than routing through Mombasa.

Tea auctions have historically sustained …

• Most African countries are set to increase their economic growth next year compared to 2023, with East Africa leading the charge.
• Countries will be powered by their travel, tourism, transport, logistics, financial, and telco sectors.
• However, some African countries will not enjoy this fastest-growing economy wave as they will be under severe financial stress in 2024 due to their huge debt obligations.

The most recent analysis from the Economist Intelligence Unit (EIU) predicts that by 2024, Africa will have the world’s second-fastest expanding major area, behind only Asia. According to the EIU’s African Economic Outlook, Africa’s amazing growth trajectory is evidence of the continent’s resiliency and its enormous unrealized economic potential.

Most African countries are set to increase their economic development compared to 2023, with East Africa leading the charge, as noted by the EIU’s Africa Economic Outlook. Powered by their thriving travel, tourism, and hospitality industries as well …

• A single window system allows parties involved in trade and transport to lodge standardized information and documents with a single entry point to fulfill their needs.
• It centralizes all information and procedures related to the import, export, and transit of goods in a country.
• The single windows concept is transferable to various typologies, from Maritime Single to Port Community systems, Trade Single Window, and National Single Window applications.

Trade in Africa has become a widely discussed topic, plagued by infrastructural, innovation, and technical challenges. These issues have hindered the process, affecting economic growth, impeding intra-country business, and slowing the development of regional economic corridors.

It is evident that a sustainable trade environment is essential to enhance trade, which currently lags behind international standards.

The African Continental Free Trade Area (AfCFTA) came into effect in May 2019, holding the promise of transformation for the continent. It aims to foster and …

• An Egyptian company’s plan to build an industrial city in Kibaha by El Sewedy Industrial Development is a prime example of the growing complementarity between resources in the Middle East and those in Africa.
• Investing $400 million to create over 50,000 employees is more than a commercial move. This strategic move demonstrates Egypt’s growing clout in East Africa.
• As a result of growing interest in investing in African countries from the Middle East, the dynamic between these two regions is likely to reshape long-established economic alliances and partnerships.

Egyptian company Elsewedy’s remarkable investment in Tanzania

An Egyptian company’s plan to build an industrial city in Kibaha by El Sewedy Industrial Development is a prime example of the growing complementarity between resources in the Middle East and those in Africa. Consequently, completing a historic project in Tanzania represents a watershed moment in Africa’s economic progress.

Investing $400 million to create over …

• Major woodworking expos—Dubai Wood Show, Cairo Wood Show, and Saudi Wood Show—are carving out a space where tradition meets innovation in the Middle East.
• These expos are promoting sustainability within the woodworking sector. This is by highlighting environmentally responsible practices and showcasing sustainable wood sourcing and manufacturing techniques.
• With the advent of industrialization and technological advancements, woodworking has transformed into a sophisticated and globalized industry.

In a region rich with tradition and eager for modernity, the woodworking industry emerges as a fascinating focal point of evolution and heritage. The trinity of major woodworking exhibitions – Dubai Wood Show, Cairo Wood Show, and Saudi Wood Show, carve out a space where tradition meets innovation, creating a vibrant tableau of Middle Eastern craftsmanship and contemporary industrial genius.

The Exchange Africa interviewed Mr. Walid Farghal, Director General of the WoodShow Global Organising Committee, who unveils the intricacies of the woodworking realm as seen …

• About US$5 trillion is traded every day in forex markets, with investors effectively swapping currencies the world over.
• In Nigeria, the Central Bank has abandoned its long-standing currency peg, meaning that the currency will be exchanged at a fluctuating rate as determined by the market.
• Currently, the shift in Nigeria’s forex policy may have a more direct impact on Nigerians and local economies, too.

Forex trading constitutes one of the truly universal methods of investment practiced around the world. As such, it is incredibly popular. The latest estimates suggest that roughly US$5 trillion is traded every day in forex markets, with investors effectively swapping currencies the world over.

As much as forex is thought of as a free-flowing, global marketplace of currency trades, the market in individual countries and regions can still be affected by government regulations.

This is proving to be the case of late in Nigeria, where new …

• The African Union has been welcomed as a permanent member of the Group of 20, the world’s leading economies.
• For the past seven years, the AU has lobbied for full membership in the G20.
• As a G20 member, the AU will represent a continent that is home to the world’s largest free trade area and rich in the resources needed to tackle climate change.

In a historic move, the African Union (AU) has been welcomed as a permanent member of the Group of 20 (G20), the world’s leading economies. This development underscores Africa’s growing influence on the global stage, as over 50 African nations seek to play a more pivotal role in international affairs.

US President Joe Biden, who advocated for the AU’s inclusion, noted that this decision has been long overdue, while Indian Prime Minister Narendra Modi extended the invitation during his country’s G20 summit. “It is time for …