Browsing: Trade

Recent economic growth and development within Southern and Eastern Africa have created positive opportunities to expand water transportation services. Owing to the impressive growth of the East African economy, where countries like Tanzania and Ethiopia have experienced remarkable growth rates higher than the regional and continental levels, there is a prospect for expanding cargo traffic. A few of the sub-regions ports are experiencing capacity constraints and congestion.

The major petroleum groups had long been reluctant to become involved in Chadian oil fields. The fields in the central/western and northern parts of the country were located in areas of chronic insecurity.

Then, an unprecedented arrangement was made. The World Bank agreed to finance using public funds. The pipeline would later allow the private operators Exxon, Chevron, and Petronas to transport their crude oil to the Cameroonian port of Kribi. This would enable shipping to European or American refineries, where the oil could be offered on the market at prices that the cost of the transport infrastructure would not burden.

Chad faces military challenges on most of its borders which should be factored as a risk. In the west, in the region of Lake Chad, the army has been fighting the Nigerian Islamist group Boko Haram since 2015. On the border with Sudan, Eastern Chad has seen conflicts between different ethnic groups. Northern Chad is also unstable, sparsely populated, and difficult to control. Several Chadian rebel groups have set up their base in neighbouring southern Libya. Despite these problems, Chad’s armed forces are considered by many analysts to be the most effective in the Sahel.

Kenya is benefiting from a shift in US foreign policy towards Africa as the global economic giant scales up its presence on the continent to counter rising Chinese influence. China has grown into Kenya’s biggest bilateral lender and source of imports, which grew 9.0 per cent to Sh227.9 billion and accounted for 18.2 per cent of the total import bill in the six-month period.

Kenya is among African nations benefiting from a U.S. shift in foreign policy as it scales up its presence on the continent. The U.S. trade office said the two countries are developing a road map of engagement in agriculture, digital trade, customs procedure and other areas.

However, according to an article by The East African dated September 24, 2022,  American technology giants want the Biden administration to compel the Kenyan government to abolish the digital services tax (DST) as a condition for a new trade deal.

The head of the Portuguese government was speaking in Maputo at a joint press conference with the President of the Republic of Mozambique, with whom he met as part of the 5th Luso-Mozambican Summit.

The Autorização de Residência para Actividades de Investimento – first introduced in 2012 and commonly known as the ‘Golden Visa’ – is a residence permit that provides qualifying non-EU / EEA / Swiss citizens and their families with full rights to live, work and study in Portugal.

According to The Portugal News, an alternative to the Golden Visa is the Portugal Passive Income Visa – also known as a D7 Visa – which provides residency status to non-EU / EEA / Swiss citizens, including retirees, who intend to relocate to Portugal and are in receipt of a reasonable and regular passive income. The D7 Visa is aimed at those who intend to live in Portugal, so holders must spend six consecutive months or eight non-consecutive months per year in Portugal.

Ruto’s bottom-up economics plan, as described in his manifesto, appealed to the electorate all over the country. The high cost of living and the rising commodity prices have mainly caused despair and hopelessness among those at the bottom of the economic pyramid.

Ruto’s promises, if realised, might give significant relief from poverty and insecurity, notwithstanding the current catastrophic drought, weak institutions, and worldwide economic instability.

Ruto’s victory is thrilling for the most vulnerable members of Kenyan society. Still, if the incoming president fails to deliver on his campaign promises, political confidence will be difficult to regain, and social unrest will likely occur in the long term.

Economically the World Bank categorizes São Tomé and Príncipe as a lower middle-income state with what it calls a fragile economy.

This is not a mischaracterization as the country relies heavily on the tourism sector, making it much more susceptible to external and exogenous shocks. This assertion is confirmed by the African Development Bank, which reported in its economic outlook on São Tomé and Príncipe that the country’s economy shrank by an estimated 6.4% in 2020 after growing by 2.2% in 2018 and 1.3% in 2019.

Will Ghana’s stance on value addition resonate in Africa?

For the first time in a decade, the contraction in output is attributed to a sharp decline in tourism and service sectors, which were severely hurt by weak external and domestic demand and COVID–19 containment measures.

It is critical to strengthen a professional, independent supervision secretariat to make the AfCFTA agreement’s promise a reality. A strong secretariat can assist states in developing strong domestic institutions to administer, monitor, and enforce the AfCFTA. The moment for change has arrived. The conventional development models have failed Africa. The AfCFTA, on the other hand, signifies that Africa is open for business.

President of Dangote Group, Aliko Dangote in his speech described the new plant as a game changer, as it can make Nigeria self-sufficient in fertilizer production, with spare capacity to export to other markets in Africa and the rest of the world.

While Dangote’s initial export targets were primarily Africa, current market realities mean there is increasing demand from outside the continent. Orders have come from far-flung places in the US, Brazil, Mexico, India, and the EU according to an article by African Business published on May 5, 2022.

According to the World Bank, the proximity of the new fertilizer plant offers a critical window of opportunity for Benin policymakers and the private sector to engage their Nigerian counterparts within the frameworks of the Economic Community of African States (ECOWAS), the African Continental Free Trade Agreement (AfCFTA) and other bilateral agreements to source fertilizer inputs for its farming population to increase food production and meet increasing regional demand for food products. This will make it easier for African countries to improve food production.

The Central African Republic was the 186th largest exporter in the world in 2020 with a total export value of US$127 million. The country’s exports decreased by US$26.1 million over the past five reported years, from US$153 million in 2015 to US$127 million in 2020.

Rough wood which contributed US$51.9 million in export earnings, gold (US$34.7 million), diamonds (US$14.7 million), sawn wood (US$9.55 million) and refined copper (US$6.66 million) are the most recent export leaders. China (US$50.8 million), the United Arab Emirates (US$37.3 million), Italy (US$12.2 million), Belgium (US$6.84 million), and France (US$4.5 million) are the Central African Republic’s top export markets.

The AfCFTA Agreement has been signed by 54 African nations thus far.  Among them, 46 tariff proposals have been filed, including one by the Customs Union. Furthermore, 29 tariff proposals are technically validated for trade.

Under the Rules of Origin discussions, 87.7% of import tariffs have been settled, while phase two consultations on Investment, Intellectual Property Rights, Competition Policy, Women and Youth in Trade, and Digital Trade are underway.