• Development of the Misurata Free Zone, road to Chad and Niger, and support for the Sahel-Saharan Bank for Investment and Trade are some of the key projects targeted in new era of cooperation.
• The partnership is poised to facilitate the development of vital infrastructure, bolster trade, and support Libya’s efforts in economic diversification and reconstruction.
• With a GDP of $50.49Bn in 2023, Libya is ranked as Africa’s 12th largest economy. However, less than 10% of its trade occurs with other African nations.

Libya has formally acceded to the Afreximbank Establishment Agreement, becoming the 53rd member nation of the pan-African financial institution. The entry of oil-rich Libya marks a crucial step in advancing continental integration through trade and investment.

Signed by Libya’s Minister of Finance, Dr. Khaled Al-Mabrouk Abdullah, the accession document sets the foundation for a new era of cooperation between Libya and African Export-Import Bank (Afreximbank). The partnership is …

• An INTERPOL cybersecurity operation that has arrested 1,006 suspects and the busting of 134,089 cybercrime networks in Africa underscores the urgent need for banks to fortify their cybersecurity defenses.
• The probe identified 35,000 victims, with cases linked to nearly $193 million in financial losses.
• This exposure invites the question: Are banks in Africa prepared to counter the threat of cybercrime?

The fintech revolution sweeping across Africa’s economy is reshaping banking systems, offering millions of people unprecedented convenience and access to financial services. However, as banks and other financial services institutions embrace innovation, they must contend with a new and evolving threat: cybercrime.

With malicious actors continually adapting their tactics, robust cybersecurity measures are no longer optional for banks; they are critical. Take, for instance, the International Criminal Police Organization (INTERPOL’s) Operation Serengeti, which has exposed the grand scale and complexity of cybercrime threats plaguing the continent’s financial institutions.

Interpol Cybersecurity

• 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 …

• 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 …

• Less than 40% of adult population in Tanzania has bank accounts.
• Central Bank aims to increase integrated financial services access to 80% by 2028.
• Lack of collateral affecting disadvantaged populations from accessing bank credit.

Financial inclusion in Tanzania has increased considerably but with less than 40 per cent of the adult population having an account at financial institution, a pointer that policymakers in the country have a lot of work to do. To this end, the government, through the Bank of Tanzania (BoT), has announced plans to increase integrated financial services access to 80 per cent of the population by 2028.

BoT Deputy Governor, Ms. Sauda Kassim Msemo recently told media that financial services inclusion is crucial for sustainable economic growth of the East African nation. “The government continues to create a conducive investment environment, but we need to grow financial inclusion, especially access to banking,” she said.

She pointed …

• Bankers in Kenya are grappling with record 18-year high loan defaults due to high interest rates and a tough business environment.
• Central Bank of Kenya Governor Dr. Kamau Thugge says that despite the rise in bad loans, the banking sector remains stable and resilient
• The overall balance of payments is projected to be a surplus of $554 million in 2024 which should result in a reserves buildup of $1,920 million

The rate of loan defaults in Kenya has hit records last seen over 18 years ago as the fiscal policies meant to cushion the country from high inflation take a toll on the banking industry.

Latest industry data by Central Bank of Kenya shows that the ratio of gross non-performing loans (NPLs) to gross loans stood at 16.7 per cent in August 2024 compared to 16.3 per cent two months earlier.

Essentially this means that out of every Sh100 shillings …