Browsing: South Africa

South Africa FDI In Uganda hits $1.3 Billion - The Exchange

South Africa’s Foreign Direct Investment (FDI) in Uganda increased to 1.3 billion U.S. dollars in 2018 from 803 million dollars in 2017.

While opening the South Africa-Uganda Business Summit, Uganda’s Prime Minister Ruhakana Rugunda said South Africa FDI in has more than doubled from 626 million dollars in 2016.

Mr Rugunda said that over 70 South African companies are registered and running top businesses in Uganda and are estimated to have total assets of over $3Billion.

He added that the rise of inflows in Uganda has helped it grow its FDI stock to $13.3 billion in 2018 equivalent to about 48% of the country’s GDP.

In 2017, Uganda export totalled to US$2.79 billion while its import totalled to US$5.84Billion resulting in a negative trade balance of US$.3.05 billion. That year Uganda’s GDP was US$26 Billion while its GDP per capita was US$1.86 thousand.

Also Read: Africa’s FDI still on the

Liquid Telecom’s data centre in Midrand goes green: powered by Distributed Power Africa (DPA)

Distributed Power Africa (DPA) has unveiled a 1.2MW solar installation at Liquid Telecom’s  Campus in Midrand, Johannesburg –one of their largest projects to date in South Africa. Recently, the company also announced a major deal with Tesla to bring Powerwalls into Zimbabwe, as a part of their telecoms power solution.

According to the CEO of DPA Africa, Norman Moyo “This solar deployment to Liquid Telecom Midrand is a major development in improving energy security for critical users like data centres.  It will improve their power security and energy efficiencies.  The power needs of data centres tend to be heavy and sensitive, and DPA’s engineering hopes to provide a reliable power supply to keep this operation running with no downtime.”

DPA designed and is engineering the Liquid Telecom Midrand solar plant as a combined carport and rooftop solution, that will come complete with a real-time power monitoring system.  This initiative is …

Growth in Sub-Saharan Africa has slowed through 2019, hampered by persistent uncertainty in the global economy and slow pace of domestic reforms, World Bank has said. According to the 20th edition of Africa’s Pulse, World Bank’s biannual economic update for the region, overall growth in Sub-Saharan Africa is projected to rise to 2.6 per cent in 2019 from 2.5 per cent in 2018.

Growth in Sub-Saharan Africa has slowed through 2019, hampered by persistent uncertainty in the global economy and slow pace of domestic reforms, World Bank has said.

According to the 20th edition of Africa’s Pulse, World Bank’s biannual economic update for the region, overall growth in Sub-Saharan Africa is projected to rise to 2.6 per cent in 2019 from 2.5 per cent in 2018.

This is a 0.2 percentage points lower than the April forecast. This edition of Africa’s Pulse includes special sections on accelerating poverty reduction and promoting women’s empowerment.

“Empowering women will help boost growth. African policy makers face an important choice-business as usual or deliberate steps toward a more inclusive economy,” says Hafez Ghanem, World Bank Vice President for Africa.

“After several years of slower-than-expected growth, closing the opportunity gap for women by removing barriers to their economic participation is the best way forward,”Ghanem adds.

Global …

More than 66 per cent of total employment is Sub-Saharan Africa is from the informal sector, the International Labour Organization (ILO) has revealed, the biggest provider of employment in Africa.

While most African countries are bearing the brunt of the US-China trade war as well as a slump in commodity prices which is greatly affecting exporters, East Africa economies have remained resilient.

This is on the region’s economic diversity which is playing a key role in cushioning the region from shocks, the latest report from ICAEW – the Institute of Chartered Accountants in England and Wales – Economic Update: Africa Q3 2019 indicates.

The report provides GDP growth forecasts for various regions including East Africa which is set to grow by 6.3 per cent, West and Central Africa at 3.4 per cent, Franc Zone at 4.7 per cent and Southern Africa at 1.3 per cent.

The report, commissioned by ICAEW and produced by partner and forecaster Oxford Economics, outlines how East Africa’s growth is mainly driven by strong performances in the two major economies, Kenya and Ethiopia.

READ ALSO:How

Ethiopia and Mauritius attract leading M&A law firm Bowmans

Bowmans Law firm, a leading pan African legal entity specializing in business deals, merger and acquisitions (M&A) is set to launch its base in Ethiopia and Mauritius at the beginning of October 2019. The move is seen as an expansion of the company to two countries where FDIs have remained high coupled with financial growth.

Bowmans is opening a fully-fledged office in Mauritius, having joined forces with FirmWise, a local firm that specialises in corporate law, mergers and acquisitions, banking and finance, investment funds, tax, compliance and private equity.

Robert Legh, chairman, and senior partner, says ‘This move, which is effective from 1 October 2019, is an investment in the ambitions and success of our clients across Africa. Mauritius and Ethiopia are key jurisdictions for many of our clients and our presence on the ground there will help us to better support them.’

The law firm already has a presence …

Austrian tractor maker makes in roads in Africa with Carbon farming

An Austrian company Technik-Plus has developed a cutting-edge Carbon Farming-technology in their Impuls-Centre in Mureck, Southern Austria,  for sustainable and gently mechanized farming with a strong commitment to conservation and environmental sustainability and a special focus on African agriculture.

The company has been making inroads in several countries in Africa with significant sales in South Africa, Uganda, Gambia and Morocco. They are in talks with farmer’s organizations in Kenya and Nigeria with a targeted niche in semi-arid agriculture in many African nations.

The Austrian company says it has sales contacts in all 55 African countries and is looking at possibly developing local license assembly in specific countries for their tractors, which is expected to create local jobs and makes it a 50% African product.

Beside their pneumatic air seeders, the company also construct “exhaust-farming” systems, which means, they blow the carbon emissions of the tractor’s exhaust pipe back into the …

Africa Fashionomics: Business of Fashion in Africa led by Ethiopia

Hawassa Industrial park sits 140 miles south of Addis Ababa. The park was built by China Civil Engineering Corporation in 2016 and has so far attracted several international companies. The park is part of a long-term vision to grow Ethiopia into a production hub. It houses factories including textile and agro-processing and has 25,000 employees producing garments.

In the last 5 to 6 years, the textile, and apparel industry have grown at an average of 51% and more than 65 international textile investment projects have been licensed for foreign investors, during this period.

According to the World Investment Report, Ethiopia is one of the top-performing African countries in FDI flow, especially in the textile sector. The government of Ethiopia believes that textile would help the nation to join middle-income status in 2025. As the way forward, the Ethiopian government has been building industrial parks at different cities of the country …

Ramaphosa in G7 Summit - The Exchange

President Cyril Ramaphosa has arrived in Biarritz, France to take part in the G7 Summit that is focused on the elimination of inequalities of various kinds globally, the presidency said on Sunday.

The G7 comprises France, Germany, Italy, Japan, the United States, the United Kingdom, and Canada, whose government leaders meet annually to discuss important global economic, political, social, and security issues.

President Ramaphosa was invited to this year’s G7 Summit by the host, President Emmanuel Macron of France. The summit is structured into three tracks: G7 and Africa Partnership co-opting South Africa, Rwanda, Egypt, Burkina Faso, Senegal, and the chair of the African Union Commission; the G7 and four Biarritz Partners which are South Africa, India, Australia, and Chile; then the G7 and all partners.

“The working visit will also provide a platform for President Ramaphosa and members of Cabinet to invite global partners to experience South Africa as …

Renergen signs $40mln loan agreement with US - The Exchange

Emerging liquefied natural gas and helium producer, Renergen, on Wednesday said it had signed a US $40 million loan agreement with the Overseas Private Investment Corporation (OPIC) for a gas project in the Free State province.

Renergen’s principal asset is its 90 per cent shareholding in Tetra4, which holds the first and only onshore petroleum production right in South Africa, giving it a first-mover advantage on the distribution of domestic natural gas.

OPIC is the United States government’s development finance institution that mobilizes private capital to help solve critical development challenges and advances the foreign policy of the United States and national security objectives.

Renergen said this loan would provide access to the capital required to construct the first phase of the Virginia gas project.

It also said this was a major endorsement of the project by the US government, and the increasing importance of securing helium, with significant supply …

Deputy minister of trade and industry Nomalungelo Gina hands a " Proudly South African" gift to Tunisian secretary of state for foreign affairs Sabri Bachtoji - The Exchange

South Africa’s trade and industry deputy minister Nomalungelo Gina and Tunisian secretary of state for foreign affairs Sabri Bachtoji have committed to strengthening bilateral economic relations in order to increase trade and investment between their two countries, the government said on Wednesday.

During a meeting in Pretoria, the two emphasised the need to establish a framework and create a conducive environment for the two countries’ business communities to work together.

“Our countries have enjoyed historically strong political ties but it is incumbent upon us to strengthen our economic ties and increase economic cooperation between our countries,” Bachtoji said.

“As the government, we need to work together in setting up a framework and creating an environment that will encourage our business communities to explore the economic opportunities that are available in both countries.”

He said a number of sectors in the Tunisian economy were teeming with opportunities that South African companies …