Every week, we review the best Africa-related business and finance news across the web and deliver to you the top 10 pieces of the week!
Week of March 30
1. Oil Discovery Lifts Kenya’s Long-Term Growth ProspectsTullow Oil, the UK based petroleum explorer, made an unprecedented oil discovery in Turkana, Northern Kenya. While many remain optimistic, there is still uncertainty concerning the commercial viability of the oil find and how soon it can come into production.
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Source: Business Daily - Kenya
2. Beer in Africa: The Race to Slake a Continent’s ThirstBrewers are betting that Africa’s fast-growing middle class will want to trade up from consuming home brewed beer. SABMiller, which operates in 37 African countries, has developed sorghum and cassava varieties in a bid to capture a larger share of the beer market.
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Source: The Economist
3. Investors Chase Yield In Nigerian, Kenyan Currency MarketsDemand for assets in the frontier markets has increased as investors search for yield. The increase in demand for frontier currencies like the Nigeria naira and the Kenyan shilling has resulted partly from stronger fundamentals and better valuations.
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4. Nairobi City Has The Fastest-Growing Luxury Real Estate Prices On The PlanetAccording to a new wealth report from Knight Frank and Citi Private Wealth, the city with the highest rate of growth in luxury real estate prices in 2010 was Nairobi. Prices for high-end real estate jumped 25 percent in 2011, ahead of Miami which came in third. Read More »
Source: Business Insider
5. Egypt’s 2012 Stock Boom, World's Best at 37%, Causes Investor WorriesThough Egypt’s 37 percent stock market gain has been the best of any country’s individual equity market, prominent fund managers from T.Rowe Price, Fidelity, and Templeton Asset Management believe that prevailing political and economic risks could negatively impact returns in the short-term. Read More »
6. Barclays Eyes Africa’s MillionairesIn an effort to drive its wealth management business, Barclays is targeting clients in emerging markets with at least £50 million of investable assets. Having returned from South Africa with 50 new client prospects, a top executive in Barclays wealth management division, has cited Africa has “a huge area of opportunity”. Read More »
Source: Business Day - South Africa
7. Africa Has Potential to Propel Global GrowthThe Economic Report on Africa claims that Africa has the potential to propel global growth if the continent can maintain growth momentum for another two decades and if effective political and economic governance reforms can be implemented. Read More »
8. China moves up value chain in AfricaSince 2002, Chinese exporters have more than tripled their market share in Africa, supplying 16.8 per cent of the continent’s total imports in 2011, according to a report published this month by Standard Bank. Chinese companies recorded their biggest gains in selling machinery, vehicles and electronics over the past four years Read More »
Source: Financial Times
9. GE Sign $10 Billion Dollar Deal with NigeriaOn Monday General Electric signed a $10 billion dollar Memorandum of Understanding that would see it build and operate power plants in Africa’s most populous country. GE will seek to acquire 10 to 15 percent equity stakes in all of its investments in the now privatized power industry. Read More »
Source: Bloomberg BusinessWeek
10. S&P Cuts South Africa Outlook to NegativeThe Standards & Poors Rating Services has lowered its outlook for South Africa from negative to stable. The rating service has questioned the country’s economic and social stability in the run up to the 2014 national and provincial elections. Read More »
Source: The Guardian