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 May 4th
Nigeria Stock Index Rises to 7-1/2 Month HighDue to gains in the banking sector and a recent influx of foreign capital, Africa’s second-largest stock index reached a seven-and-a-half month high on Thursday. The index of Nigeria’s top ten banks has gained 15 percent this year, propelling the growth of the broader Nigerian index.
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Rise of the "Repats": Africans Shun Crisis-Hit West for Jobs Back HomeCNN describes how historical trends of outward migration have reversed themselves, leading skilled African workers to return home and become entrepreneurs in new and growing markets. The article also describes how African policymakers can potentially encourage more return migration in the future.
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New International Land Deals Database Reveals Rush to Buy Up AfricaThe world’s largest public database of international land deals has revealed that almost five percent of Africa’s agricultural land, or 56.2m hectares (an area roughly the size of Kenya), has been bought over the 2000-2010 period, primarily by Western and South African investors.
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Source: The Guardian
IMF Willing to Offer $3.2 Billion Loan to EgyptEconomists estimate that Egypt will need a total of $10 billion to $12 billion in outside financing over the next 12 to 15 months to cover the country’s financing needs. The IMF is willing to offer Egypt a $3.2 billion loan, but requires sufficient political consensus in order for the loan to be approved. Read More »
Source: The Washington Post
Executives Give Insight into Africa’s Investment EnvironmentBusiness leaders, such as the chief operating officer of private equity firm Helios Investment Partners, share their insights on the African telecommunications market, centers of developing consumer purchasing power, and trends that will drive investment decisions in Africa in the future. Read More »
Source: How We Made It in Africa
Development Bank of South Africa to Establish a Foreign SubsidiaryThe Development Bank of Southern Africa is considering forming a new subsidiary that will serve as its international division. In addition to improved risk management and a more focused execution of a regional mandate, the subsidiary will act as a conduit for development finance from BRICs countries to the rest of Africa. Read More »
Source: Business Day (South Africa)
Norway's Statoil Makes First Foray into Oil-Rich GhanaNorwegian energy giant Statoil has secured an acquisition in oil-rich Ghana by farming into a deepwater licence operated by Hess Corp. This development follows Royal Dutch Shell’s Tuesday purchase of Mozambique’s Cove Energy, in what is becoming an emerging wave of major global energy companies entering the region. Read More »
Source: The Wall Street Journal
Lonestar Cell MTN to Invest $30 Million to Support Liberian Development AgendaLoneStar Cell MTN, a massive contributor to Liberia’s growth and development and a key private sector partner with the Liberian government, intends to invest over $30 million in the country. This investment by the telecommunications firm will help to extend network coverage and expand connectivity in the Liberia. Read More »
Source: The Inquirer (Liberia)
Nigeria Needs $20 Billion for Stable ElectricityThe lack of stable power supply has cost Nigeria three percent GDP growth per year, according to the country’s director general of public enterprises, Bolanle Onagoruwa. In order to stop the erosion of growth in Nigeria, he has further stated that the power sector requires investments of $15 billion to $20 billion over the next three years. Read More »
Source: This Day Live (Nigeria)
U.S. Aid To Zambia Rises To $500MAccording to the U.S. Ambassador to Zambia, the United States intends to increase bilateral assistance next year to $500 million, in order to support growth in the country and to ensure that Zambia can continue to act as a role model in Africa regarding democracy and human rights. Read More »
Source: The Times (Zambia)