Major International Business Headlines Brief::: 29 October 2020

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Major International Business Headlines Brief::: 29 October 2020

 


 

 


 <https://www.gemportal.co.zw/> 

 


 

 


ü  Stock markets sink amid alarm at Covid surge

ü  US tries to block Ngozi Okonjo-Iweala, who would be first African WTO
head

ü  Facebook, Twitter and Google face questions from US senators

ü  Facebook sued over Cambridge Analytica data scandal

ü  Boeing to cut 20% of workforce by end of 2021

ü  Heathrow overtaken as Europe's busiest airport amid pandemic

ü  GSK and Sanofi make global Covid vaccine supply deal

ü  BT signs 5G deal with Ericsson to help ditch Huawei

ü  South Africa: Tito Holds the Line but Gives SAA R10.5-Billion Bailout

ü  Namibia: Councillor Aggrieved By N$66 Million Project Awarded to Chinese

ü  Namibia: People With Disabilities Face Barriers to Employment

ü  Namibia: Telecom Appoints New Chief Executive

ü  Nigeria: Govt to Float National Carrier in 2021 - Sirika

ü  Nigeria: Govt to Connect Chad to National Power Grid

 

 

 

 

 

 

 

 

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

Stock markets sink amid alarm at Covid surge

Financial markets have tumbled around the world for a second day this week
amid concerns that a rise in coronavirus cases will hurt still tentative
economic recoveries.

 

Major US indexes sank 3.4% or more, while European bourses also saw steep
falls.

 

The UK's FTSE 100 ended almost 2.6% lower, and Germany's Dax dropped 4.2%.

 

The declines were widespread, as investors sold-off shares in favour of less
risky assets like the US dollar.

 

In the US, travel and energy firms, which are sensitive to concerns about
the pandemic, suffered some of the steepest losses.

 

Tech companies were also hit. Shares in Google, Facebook and Twitter all
slid more than 5%, as their bosses were grilled by senators in Washington
about how the firms should moderate speech on their platforms.

 

The negative sentiment spilled over into Asian markets on Thursday with
Australia's ASX 200 down 1.6% while in Hong Kong the Hang Seng index slipped
1.2%.

 

However, these falls were modest compared to US and European bourses.

 

In the UK, mining companies on the FTSE 100 took a hit, while on France's
CAC 40 index, which dropped 3.4%, carmaker Renault was the biggest loser
with an 8% drop.

 

Coronavirus fears

The declines mark a second day of steep falls this week, which has seen many
countries report record numbers of new coronavirus cases, leading to strains
in health systems and fresh lockdown restrictions in France and Germany.

 

Coronavirus: Macron declares second national lockdown in France

The Dow closed 3.4% lower, shedding more than 900 points to end at a level
last seen in late July. The wider S&P 500 and Nasdaq retreated to September
levels, falling 3.5% and 3.7% respectively.

 

By contrast, financial markets in Asia, where the virus is seen as being
under better control, have fared better. On Wednesday, Japan's Nikkei and
Hong Kong's Hang Seng indexes closed down about 0.3%.

 

In the US, investors are also on edge ahead of a close US presidential
election. A defeat of current President Donald Trump could lead to tougher
regulation for some sectors, including technology and oil and gas.

 

Analysts say fears that the results could remain uncertain for some time are
also weighing on sentiment.--BBC

 

 

 

 

US tries to block Ngozi Okonjo-Iweala, who would be first African WTO head

The appointment of Nigeria's ex-finance minister to lead the World Trade
Organization (WTO) has been thrown into doubt after the US opposed the move.

 

On Wednesday, a WTO nominations committee recommended the group's 164
members appoint Ngozi Okonjo-Iweala.

 

She would be the first woman and first African to lead the WTO.

 

But the US, critical of the WTO's handling of global trade, wants another
woman, South Korea's Yoo Myung-hee, saying she could reform the body.

 

Ms Okonjo-Iweala said she was "immensely humbled" to be nominated.

 

But the four-month selection process to find the next WTO director-general
hit a road block when Washington said it would continue to back South
Korea's trade minister.

 

In a statement critical of the WTO, the Office of the US Trade
Representative, which advises President Donald Trump on trade policy, said
the organisation "must be led by someone with real, hands-on experience in
the field".

 

Ms Yoo had "distinguished herself" as a trade expert and "has all the skills
necessary to be an effective leader of the organisation", the statement
said.

 

It added: "This is a very difficult time for the WTO and international
trade. There have been no multilateral tariff negotiations in 25 years, the
dispute settlement system has gotten out of control, and too few members
fulfill basic transparency obligations. The WTO is badly in need of major
reform."

 

The statement did not mention Ms Okonjo-Iweala.

 

Earlier on Wednesday, after a WTO delegates meeting to discuss the
appointment, spokesman Keith Rockwell said just one member country did not
support Ms Okonjo-Iweala.

 

"All of the delegations that expressed their views today expressed very
strong support for the process... for the outcome. Except for one," he said.

 

'Frenzied activity'

Mr Trump has described the WTO as "horrible" and biased towards China, and
some appointments to key roles in the organisation have already been
blocked.

 

The WTO has called a meeting for 9 November - after the US presidential
election - to discuss the issue. US opposition does not mean the Nigerian
cannot be appointed, but Washington could nevertheless wield considerable
influence over the final decision.

 

Mr Rockwell told reporters there was likely to be "frenzied activity" to
secure a consensus for Ms Okonjo-Iweala's appointment. She has the support
of the European Union.

 

The leadership void was created after outgoing WTO chief Roberto Azevedo
stepped down a year early in August. The WTO is currently being steered by
four deputies.

 

Ms Okonjo-Iweala, 66, served as her country's first female finance and
foreign minister and has a 25-year career behind her as a development
economist at the World Bank..

 

She also serves on Twitter's board of directors, as chair of the GAVI
vaccine alliance and as a special envoy for the World Health Organisation's
Covid-19 fight.

 

If Ms Okonjo-Iweala is eventually appointed she will have a full in-tray.
The WTO is already grappling with stalled trade talks and tensions between
the US and China.

 

Earlier this month she said that her broad experience in championing reform
made her the right person to help put the WTO back on track. "I am a reform
candidate and I think the WTO needs the reform credentials and skills
now.--BBC

 

 

 

Facebook, Twitter and Google face questions from US senators

The chief executives of Facebook, Twitter, and Google faced more than three
and a half hours of questions from US senators on Wednesday.

 

At present, the companies cannot be sued over what their users post online,
or the decisions they make over what to leave up and take down.

 

Some politicians have raised concerns this "sweeping immunity" encourages
bad behaviour.

 

But the chief executives say they need the law to be able to moderate
content.

 

Facebook's Mark Zuckerberg, Twitter's Jack Dorsey and Google's Sundar Pichai
were summoned before the Senate after both Democrats and Republicans agreed
to call them in for questioning.

 

'A loophole'

Senators are worried about both censorship and the spread of misinformation.

 

And some industry watchers agree the legislation - known as Section 230 -
needs to be revisited.

 

"[It] allows digital businesses to let users post things but then not be
responsible for the consequences, even when they're amplifying or dampening
that speech," Prof Fiona Scott Morton, of Yale University, told the BBC's
Tech Tent podcast.

 

"That's very much a publishing kind of function - and newspapers have very
different responsibilities.

 

"So we have a bit of a loophole that I think is not working well for our
society."

 

As the hearing began, Mr Zuckerberg vanished, unable to connect to the
committee meeting - something Republican senator Roger Wicker called a "most
interesting development".

 

But after a brief recess, Mr Zuckerberg told politicians he supported
changes to the rule "to make sure it's working".

 

What is Section 230?

Section 230 is the main legal protection preventing social networks being
sued.

 

It means websites themselves are not generally responsible for illegal or
offensive things users post on them.

 

They are treated as neutral middlemen - like newspaper sellers rather than
the editors that decide what goes in the paper.

 

Originally seen as a way to protect internet providers such as BT or
Comcast, it has become the main shield for huge sites such as Facebook,
Twitter and YouTube, which cannot possibly review every post from their
users before publication.

 

But politicians say Section 230 is outdated.

 

Democrats take issue with the spread of lies online without consequences for
the sites.

 

Republicans say big tech is using its moderation powers to censor people it
does not agree with - making editorial calls rather than staying neutral.

 

And both sides agree they want to see the social networks held accountable.

 

Presentational grey line

Mr Dorsey told the committee Section 230 "is the most important law
protecting internet speech" and its abolition "will remove speech from the
internet".

 

But he found himself faced with pointed questions over the implementation of
Twitter's policies about what it removed or labelled misinformation.

 

Mr Dorsey also found himself facing questions from Republican senators over
Twitter's limiting of a New York Post article about Joe Biden's son.

 

"The New York Post isn't just some random guy tweeting," Republican Ted Cruz
said.

 

"Who the hell elected you and who put you in charge of what the media are
allowed to report and what the American people are allowed to hear?"

 

 

Mr Zuckerberg, meanwhile, revealed a "private meeting" with the FBI had
warned firms to be wary of leaked material.

 

He said that Facebook, and he "assumed" the other companies, had been warned
about a possible "hack and leak operation in the days or weeks leading up to
this election".

 

The FBI "suggested that we be on high alert and sensitivity, that if a trove
of documents appeared that we should view that with suspicion that it might
be part of a foreign manipulation attempt," he said.

 

On Section 230, Mr Zuckerberg told the committee Section 230 encouraged free
expression and "helped create the internet as we know it".

 

But he added: "The internet has also evolved.

 

"And I think that Congress should update the law, to make sure that it's
working as intended."

 

Mr Pichai, though, fiercely defended the law.

 

"Our ability to provide access to a wide range of information is only
possible because of existing legal frameworks like section 230," he said.

 

"The United States adopted Section 230 early in the internet's history.

 

"And it has been foundational to our leadership in the tech sector."

 

'Political ploy'

Both President Trump and his election rival Joe Biden have called for the
removal of Section 230, though for different reasons.

 

But some Democrats used their time to criticise the entire hearing,
positioned so close to the election, as a political ploy.

 

"I've been an advocate of reform of Section 230 for literally 15 years,"
senator Richard Blumenthal told the committee, referring to his time as a
state attorney general.

 

"But frankly I am appalled that my Republican colleagues are holding this
hearing literally days before an election, when they seem to want to bully
and browbeat the platforms here to try and tilt them towards President
Trump's behaviour.

 

"The timing seems inexplicable."

 

His colleague Brian Schatz, refusing to ask any questions of the three chief
executives, "because this is nonsense", said: "What is happening here is a
scar on this committee and the United States Senate.

 

"We have to call this hearing what it is.

 

"It's a sham."-BBC

 

 

 

Facebook sued over Cambridge Analytica data scandal

Facebook is being sued for failing to protect users' personal data in the
Cambridge Analytica breach.

 

The scandal involved harvested Facebook data of 87 million people being used
for advertising during elections.

 

Mass legal action is being launched against Facebook for misuse of
information from almost one million users in England and Wales.

 

Facebook said it has not received any documents regarding this claim.

 

The group taking action - Facebook You Owe Us - follows a similar mass
action law suit against Google.

 

Google You Owe Us, led by former Which? director Richard Lloyd, is also
active for another alleged mass data breach.

 

Both represented by law firm Millberg London, the Google case is being heard
in the Supreme Court in April next year.

 

The Facebook case will argue that by taking data without consent, the firm
failed to meet their legal obligations under the Data Protection Act 1998.

 

"We have not received any documents regarding this claim. The Information
Commissioner's Office investigation into these issues, which included
seizing and interrogating Cambridge Analytica's servers, found no evidence
that any UK or EU users' data was transferred by Dr Kogan to Cambridge
Analytica," a Facebook company spokesperson said.

 

 

In October 2018, the UK's data protection watchdog fined Facebook £500,000
for its role in the Cambridge Analytica scandal.

 

The Information Commissioner's Office (ICO) said Facebook had allowed a
"serious breach" of the law.

 

Facebook apologised and allowed users to check which "banned apps" had
accessed their data.

 

Although there is no precedent for such a mass legal action in the UK, there
is in the US.

 

Google agreed to pay a record $22.5m (£16.8m) in a case brought by the US
Federal Trade Commission (FTC) on the same issue in 2012.

 

The company also settled out of court with a small number of British
consumers.

 

'Pocket change'

Representative claimant in the case Alvin Carpio said: "When we use
Facebook, we expect that our personal data is being used responsibly,
transparently, and legally.

 

"By failing to protect our personal information from abuse, we believe that
Facebook broke the law.

 

"Paying less than 0.01% of your annual revenue in fines - pocket change to
Facebook - is clearly a punishment that does not fit the crime.

 

"Apologising for breaking the law is simply not enough.

 

"Facebook, you owe us honesty, responsibility and redress.

 

"We will fight to hold Facebook to account."--BBC

 

 

 

 

Boeing to cut 20% of workforce by end of 2021

Boeing is to cut another 7,000 jobs as its losses mount in the pandemic.

 

The US planemaker, which had already announced deep cuts, said its staff
would be down to just 130,000 by the end of next year - 20% down on the
160,000 it employed before the crisis.

 

The coronavirus pandemic and safety concerns about its 737 Max jet have
contributed to a slump in orders.

 

The firm posted a loss of $466m (£354m) for the three months to 30
September, its fourth straight quarterly decline.

 

However, it reaffirmed its expectation that US deliveries of the 737 Max
would resume before the end of the year, albeit at deeply reduced production
rates.

 

The fleet has been grounded since March 2019 after 346 people died in two
separate air crashes.

 

Pressure

The pandemic added to the crisis, causing a huge drop in air travel, pushing
major airlines to the brink of bankruptcy and forcing them to cut staff and
drop plans for new aircraft.

 

As a result, Boeing has slashed production and also cut jobs. The firm
announced a 10% reduction this spring and warned of the likelihood of deeper
cuts through attrition, buyouts and layoffs over the summer. It does not
expect travel to return to pre-crisis levels until about 2023.

 

It said its revenues were down 30% in the first nine months of the year, at
$42bn.

 

Its third quarter loss, meanwhile, compares with a $1.2bn profit in the same
period last year.

 

Boeing president and chief executive Dave Calhoun said the pandemic had
"continued to add pressure" to the business .

 

But he added: "Our diverse portfolio, including our government services,
defence and space programmes, continues to provide some stability for us as
we adapt and rebuild for the other side of the pandemic."

 

The planemaker said it was making "steady progress" towards the safe return
to service of the 737 Max, including "rigorous certification and validation
flights" conducted by the US, Canadian and EU regulators.

 

It said the jet had now completed around 1,400 test flights and more than
3,000 flight hours.--BBC

 

 

 

Heathrow overtaken as Europe's busiest airport amid pandemic

Heathrow says it has been overtaken as Europe's busiest airport for the
first time by Paris Charles de Gaulle because of a slump in demand for air
travel.

 

Some 19 million passengers used Heathrow in the first nine months of the
year, versus 19.3 million who used the airport in the French capital.

 

Heathrow said Amsterdam Schiphol and Frankfurt were "close behind".

 

It said all three rivals had adopted testing regimes as a way of people
reducing or avoiding quarantine.

 

By contrast, Britain had been "too slow to embrace passenger testing" and
was "falling behind".

 

Heathrow reported an 84% fall in passenger numbers for the three months to
September as losses for the year to date widened to £1.5bn.

 

"Already in France and Germany, even Canada and Ireland have moved to
testing and this is the way to make sure we can protect jobs in the UK as
well as protecting people from coronavirus," Mr Holland Kaye told the BBC.

 

"The government really need to get on and make this happen before the
beginning of December if we are going to save people's jobs."

 

'No commitment'

Transport Secretary Grant Shapps has said he wants to have post-arrivals
testing up and running in the UK by 1 December.

 

This would reduce the amount of time arrivals from high risk destinations
had to spend in quarantine from 14 days - seen as a big deterrent to travel
- to a week.

 

But Mr Holland Kaye said the industry still needed a "commitment" it would
happen.

 

He added that the only way to really revive air travel was to bring in
widespread pre-departure testing that met internationally agreed standards.

 

Before the pandemic, Heathrow would always boast that it was the biggest
airport in Europe.

 

So it's striking that when announcing its unsurprisingly dreadful financial
results, the airport has gone out of its way to underline the fact that it
no longer holds that title.

 

Of course, all of the world's airports are seeing record low passenger
numbers right now and not even a crystal ball will tell you what the picture
will be next year and beyond.

 

But by announcing that Paris Charles de Gaulle has robbed it of Europe's top
spot, Heathrow is subtly taking aim at the UK government.

 

UK aviation bosses are fed up that ministers have still not approved a
testing regime for passengers arriving into the country as a way for people
to avoid a two-week quarantine.

 

The warning from Heathrow is clear: if the UK doesn't act quickly to help
its aviation sector recover, then passenger traffic will head elsewhere and
even more jobs will be lost at home.

 

line

The airport has already begun offering pre-departure testing, but only for
passengers travelling to destinations that require it.

 

He urged the UK government to speed up talks with the US over creating a
"pilot air bridge" for such a scheme.

 

"That is the best way to make sure we are no longer importing Covid and also
that people can travel with confidence."

 

Heathrow, which is already cutting 500 jobs, said it forecast passenger
numbers of 22.6 million next year - less than a quarter of 2019 levels.

 

But while it is losing about £5m a day, it said its finances were solid and
it had reserves to tide it over until 2023.

 

The air travel industry has been hit hard by coronavirus, with airlines such
as British Airways and Easyjet slashing thousands of jobs.

 

The International Air Transport Association, which represents 290 airlines,
estimates that air traffic will not return to pre-pandemic levels until at
least 2024.--BBC

 

 

 

 

GSK and Sanofi make global Covid vaccine supply deal

Drug companies GSK and Sanofi will supply 200 million doses of their
coronavirus vaccine candidate to a global inoculation scheme.

 

The two companies' vaccine is going through the first stages of testing.

 

There is no internationally approved treatment for Covid-19, which has
killed more than 1.16 million people.

 

Meanwhile, GSK said it expects 2020 earnings to be at the lower end of
forecasts, because Covid has disrupted vaccinations for other diseases.

 

GSK and Sanofi will supply their vaccine candidate to the Covax scheme,
which is backed by the World Health Organization (WHO).

 

Covax, which aims to deliver two billion vaccine doses around the world by
the end of 2021, has already signed agreements this year with AstraZeneca
and Novavax.

 

It aims to discourage national governments from hoarding Covid-19 vaccines
and to focus on vaccinating high-risk people first in every country.

 

More than 180 nations, including China, have joined the plan, but some,
including the US, have opted to stick with their own supply deals.

 

Sanofi and GSK signed a $2.1bn (£1.6bn) deal with Washington during the
summer to supply it with more than 100 million doses of the same vaccine,
which they hope to present for regulatory approval next year.

 

The companies also have similar agreements with the EU, the UK and Canada.

 

They hope to have the first results of the trial by December. If it is
successful, they will move on to further trials by the end of the year.

 

Vaccine race

About 20 pharmaceutical companies are holding clinical trials in the race to
find a vaccine.

 

The partnership between the UK's GSK and France's Sanofi uses the same
protein as one of Sanofi's seasonal influenza vaccines.

 

It will be coupled with a substance that acts as a booster to the vaccine
made by GSK.

 

Sanofi is also working on another vaccine project with US company Translate
Bio that will use messenger RNA molecules to instruct cells in the body to
make coronavirus proteins that then produce an immune response.

 

Earlier this week, pharmaceutical company AstraZeneca said the vaccine it is
developing with Oxford University produces an immune response in both young
and old adults.

 

Inoculation prospects

On Wednesday, the woman in charge of procuring possible Covid-19 vaccines
for the UK said that rollout of the earliest shots could start this year,
though their effectiveness was likely to be limited.

 

The UK has agreed supply deals for six candidates. The UK government has
ordered 100 million doses of the AstraZeneca vaccine, which is one of the
frontrunners, along with Pfizer.

 

"If the first two vaccines, or either of them, show that they are both safe
and effective, I think there is a possibility that vaccine rollout will
start this side of Christmas," Kate Bingham, the chair of the UK Vaccine
Taskforce, told the BBC.

 

"Otherwise I think it's more realistic to expect it to be early next year."

 

GSK laid out its expectations for full-year earnings in February, before the
pandemic became a worldwide phenomenon.

 

Steve Clayton, a fund manager at Hargreaves Lansdown, said: "Few companies
this year will be reporting numbers in line with their pre-pandemic
expectations.

 

"But despite the impact of fewer patients visiting their GPs for everyday
vaccinations, the group has been able to keep earnings pretty much on
track."--BBC

 

 

 

BT signs 5G deal with Ericsson to help ditch Huawei

BT has signed a deal to use Ericsson's 5G radio antennas, base stations and
other equipment to upgrade its EE mobile network.

 

BT said in time it expected 50% of all its 5G traffic to be transmitted via
the Swedish company's kit.

 

The move will let it ditch Huawei without becoming totally dependent on its
other radio access network (Ran) equipment provider, Nokia.

 

It follows a government ban of the Chinese company's products.

 

Ministers announced in July that all the UK's mobile providers must stop
buying new Huawei 5G telecoms infrastructure after 31 December, and must
also remove any of its 5G equipment purchased before that date by 2027.

 

This was a result of sanctions imposed by Washington, which claims Huawei
poses a national security threat - something the company denies.

 

BT is already in the process of using Ericsson products to replace Huawei's
equipment in its "core" - the most sensitive parts of its network that route
data and voice calls across computer servers to get them to the right
destination.

 

Huawei released a report earlier on Wednesday, claiming its UK ban could
cost thousands of jobs and billions of pounds of lost economic benefits as a
result of the 5G rollout taking longer to complete.

 

Chart showing how the mobile networks operate

The latest announcement had been widely expected, as BT and other mobile
network providers typically use two Ran equipment vendors. This allows them
to maintain a service if a problem develops in one of the provider's
systems, while still enjoying efficiency savings from not having to maintain
and install a wider range of products.

 

Other companies, including NEC and Samsung, are also active in the sector.
But it would have been more complicated to have tried to integrate their
solutions.

 

Some industry leaders have privately expressed concern that Huawei's exit
from the market could reduce competition, resulting in the 5G upgrade
becoming more expensive.

 

"It raises concerning questions about vendor diversity as operators become
reliant on a seemingly ever-diminishing number of leading suppliers,"
commented Kester Mann from the consultancy CCS Insight.

 

"Vendor choice is important for a healthy ecosystem - it can spur innovation
and help bring down costs."

 

In the longer term, another solution known as OpenRan is being explored.

 

This refers to a plan to eventually standardise the hardware used in radio
access networks so that one supplier can be switched for another via
software alone. This would avoid the need to rip out one firm's customised
equipment and replace it with another's.--BBC

 

 

 

 

South Africa: Tito Holds the Line but Gives SAA R10.5-Billion Bailout

Mboweni sticks to his guns in a bid to stabilise debt, but this may not be
enough to avoid the fiscal cliff.

 

Left leaning economists and trade unions urging the government to throw
caution to the wind and spend more in an effort to boost economic growth
will be disappointed as Finance Minister Tito Mboweni sticks to his guns in
a bid to stabilise debt.

 

However, economists urging fiscal restraint will not be satisfied either, as
Mboweni bowed to pressure and stumped up the R10.5-billion required to
recapitalise SAA.

 

In other words, it is the typical middle-of-the-road budget the country has
come to expect as the ANC tries to juggle ideology with fiscal prudence.

 

In the meantime, debt continues to rise and the date at which debt
stabilises is pushed ever further out.

 

In June, National Treasury estimated that gross debt would reach 81.8% of
GDP in the current year, or R3.9-trillion, up from 63.3% or R3.2-trillion in
February. This figure remains constant.

 

But from there it deviates from June projections. By the end of 2022/23,
gross loan debt is now projected to tip the R5-trillion mark (90.1% of GDP),
rather than the R4.83-trillion, or 86% of GDP projected.-Daily Maverick.

 

 

 

Namibia: Councillor Aggrieved By N$66 Million Project Awarded to Chinese

An Epukiro councillor, Vejama Kanguatjivi, said he was aggrieved by a
massive project, worth about N$66 million, which was awarded to Chinese
contractors.

 

The project, which commenced earlier this year, entails the renovation of a
hostel for the Epukiro Junior Secondary School.

 

Kanguatjivi said the project is one of the biggest in his constituency and
noted he was heartbroken when the tender was commissioned, as a number of
Chinese contractors were already waiting to take up construction.

 

He made these remarks yesterday during a Construction Industries Federation
of Namibia (CIF) presentation to members of Parliament on the state of the
local construction sector and proposed solutions.

 

"We had a fight with these contractors for about six months before reaching
an agreement, as they paid employees lower wages at first," he stated.

 

 

Bärbel Kirchner, general manager of CIF said about 36 respondents from a
survey of the construction sector said should there be no income in the near
future, they would have to downsize their business to a minimum (58.33%),
keep their business dormant (11.11%), or close down their business
altogether (11.11%).

 

Others would try and endeavour to keep business going with minimal staff and
if circumstances demand, become dormant or close down.

 

"The businesses in the construction sector have already struggled to survive
since 2016. Many businesses in the sector have already closed due to the
recessionary environment. The majority of employers in the sector have no
reserves left to continue operating. Any previous profits have already been
spent to keep operations going. In addition, personal finance, loans, and
overdrafts were used, with the hope that demand for construction and
building work would pick up," explained Kirchner.

 

 

She emphasised that the establishment of the envisaged construction council
is to promote and develop the construction industry and to protect the
public against unscrupulous contractors, among others.

 

According to Kirchner, there is also a need for procurement preferences for
local contractors.

 

"Allow local contractors to work on a level playing field when competing
with foreign contractors. Allow small contractors to work on a level playing
field with large size contractors of any origin and also take into account
criteria such as contract size, location, material sourcing, ownership,
youth, women, previously disadvantaged persons, experience and access to
finance," she said.

 

Furthermore, Kirchner said some of the large projects financed through the
African Development Bank (AFDB) require bid bonds in excess of N$4 million,
which mostly restrict local contractors from taking part.

 

"This is a major restriction for local companies and only appeals to foreign
firms that often employ their own citizens. By exempting the demand
irrevocable or bank guarantees on these projects, more local firms can
participate in some of the projects," said Kirchner.

 

She continued that there was urgency in the establishment of a Namibian
planning and construction council because of the exclusion of local
contractors.

 

According to Kirchner, small and medium enterprises (SMEs) are excluded from
projects, as they are competing with bigger contractors and bigger foreign
contractors.-New Era.

 

 

 

Namibia: People With Disabilities Face Barriers to Employment

Although various government offices, ministries and agencies seem to employ
persons with disabilities, most of them are employed in low and middle-level
positions such as clerks or labourers.

 

Employment of persons with disabilities in various institutions is, however,
very low in comparison with the total workforce of institutions.

 

This is contained in the annual report 2017/18 of the National Disability
Council of Namibia.

 

The report, tabled in the National Assembly, indicates observations reflect
most institutions do not accommodate the educational and developmental needs
of persons with disabilities, including the need to provide bursaries.

 

However, it states a few institutions do provide in-service training to
staff members who are living with disabilities.

 

It has been noted the majority of offices, ministries and agencies do not
have policies, programmes and action plans in place to address and include
the needs of persons with disabilities within their institutions.

 

 

The report highlighted that institutions also do not budget to address the
needs of persons with disabilities, while those with action plans in place
find it difficult to implement such without budgetary provisions made.

 

The report also assessed access to infrastructures and it has been observed
that most institutions are still struggling with making all their
infrastructures accessible to all persons with various types of
disabilities.

 

However, most institutions either have accessible abolition facilities and
no parking for a person with disabilities.

 

"None of the institutions complied with the disability minimum conditions,
with some falling very far behind others," the report indicated.

 

 

Some reports are inadequately completed or poorly presented and filled out,
thus falling short in providing the required information. The report
stresses this could be due to the way the questionnaire is crafted or the
reluctance of the institutions to seriously address or pronounce themselves
on the issues raised.

 

According to the report, accommodation of persons with disabilities is
needed across all institutions, with complete absence or inadequate
modifications to infrastructure and other facilities.

 

Equally, no independent verification of information provided by institutions
was done, while analysts relied solely on the reports provided to them by
the council secretariat.

 

Although most institutions employ persons with disabilities, the report
found that it was difficult based on the information provided to assess
whether they are employed in the right positions at the right levels such as
management.

 

"As almost all institutions are falling behind with compliance to the
minimum conditions, no institutions could be recommended for a compliance
certificate. Most reports are not well presented, as there is some
information missing; however, it generally felt that most of the
institutions completed the reports because they were obliged but not to
provide concrete conclusions and actions thereof," the report stated.-New
Era.

 

 

 

Namibia: Telecom Appoints New Chief Executive

The Telecom Namibia (TN) Board of Directors this week concluded the
consultation with the Namibia Post and Telecommunication Holdings and
received endorsement from the shareholder to proceed with the formalities of
appointing the successful candidate.

 

The Board of Directors announced that Dr Stanley Shanapinda emerged as the
successful candidate for the CEO Vacancy.

 

"We are excited to welcome him at the helm of Telecom in January 2021 and
offer him our full support in generating sustainable growth for the
shareholders, employees, customers and the public," they said in a
statement.

 

Dr. Stanley Shanapinda is passionate about the ICT industry with over 17
years of extensive experience. Stanley was the former Head of Legal Services
at Telecom Namibia Limited and NPTH and former CRAN CEO.

 

Prior to his appointment Stanley was a Research Fellow at the Computer
Science and IT Department at La Trobe University Melbourne, Australia. 4G,
5G and Social Media Location Information, for Law Enforcement and National
Security, and the Impact on Privacy in Australia', published by Springer
Switzerland.

 

Stanley believes that ICT can be harnessed for the greater good of society,
especially given the public health risks created by the COVID-19
pandemic.-Namibia Economist.

 

 

 

Nigeria: Govt to Float National Carrier in 2021 - Sirika

The Minister of Aviation, Senator Hadi Sirika, yesterday gave next year as
the date for the take-off of a new national carrier.

 

He also said 10 new airports were under construction nationwide just as the
Senate lamented the deplorable state of Minna, Ilorin and Makurdi airports.

 

Sirika, who was at the Senate to defend his ministry's budget for 2021
before the Senate Committee on Aviation, unveiled the federal government's
road map for the aviation sector in 2021, with the establishment of a
national carrier topping its priority.

 

According to him, the road map will be implemented through the
Public-Private Partnership (PPP).

 

 

He said: "In 2021, the sum of N78.96 billion is being proposed for capital
expenditure at the headquarters in the aviation ministry and the emphasis
will focus on the implementation of the aviation road map by Mr. President.

 

"The road map would be implemented through Public-Private Partnership (PPP),
topmost of which will be the establishment of the national carrier."

 

Other projects to be executed are the establishment of Maintenance, Repair
and Overhaul (MRO) facility, development of agro-allied cargo
infrastructure, the establishment of Aviation Leasing Company, Search and
Rescue Unit and establishment of Aerospace University with the support of
International Civil Aviation Organisation ( ICAO).

 

On the national carrier, the minister stated that all required agreements
and arrangements with other partners have been worked out.

 

 

"This government right from inception in 2015 has been planning and
strategising on how to resuscitate the national carrier for Nigeria as far
as global air transportation is concerned. The plan, going by what is on the
ground now, will be actualised next year through the PPP arrangement," he
said.

 

Sirika added that aviation is the fastest-growing sector of the Nigerian
economy despite the setback suffered in the wake of the COVID-19 pandemic.

 

According to him, 10 new airports are springing up in states such as Benue,
Ekiti, Nasarawa and Yobe, among others, apart from other ones taken over by
the federal government like Gombe, Kebbi, Dutse and Zuru Airports.

 

He said: "From 2015 till now, we've seen a lot of growth in the civil
aviation, the number of airports is increasing. So far, about seven airports
have been added to the map, some of them completed; some of them under
construction.

 

 

"There are airports coming up in Benue, Ebonyi, Ekiti, Lafia, Damaturu,
Anambra and so forth. All of these show that civil aviation is growing
during this administration.

 

"So, we have about 10 new airports coming up; that is almost half the number
of airports we used to have in Nigeria. So we are adding 50 per cent of the
number of airports."

 

He, however, said safety and security are more of important issues to them
in the aviation sector than the establishment of new airports.

 

Sirika also said airports such as that of Minna, Ilorin, Makurdi, whose
facilities are not in proper shape are being attended to.

 

On the issues of dilapidated equipment at some airports, Sirika said it is a
work-in-progress as the airports are being attended to one after the other
based on priorities.

 

Chairman of the Committee, Senator Smart Adeyemi, in his comments, requested
the minister to ensure the upgrade of the Ajaokuta airstrip and the
establishment of Lokoja airport.

 

According to him, Lokoja deserves an airport because of its proximity to
Abuja like Minna.

 

Also, the Senate Committee on Interior yesterday suspended budget defence by
the agencies under its purview on account of the #ENDSARS protests that was
hijacked by hoodlums and the COVID-19 pandemic.-This Day.

 

 

 

Nigeria: Govt to Connect Chad to National Power Grid

Despite the shortage of power supply in the country, the federal government
is in negotiations with the Republic of Chad in an agreement that could see
it begin the supply of electricity to the North-Central African country
soon.

 

THISDAY learnt that a meeting was recently between the Nigerian team and the
Chad Minister of Energy, Mrs Ramatou Houtouin, who flew into Abuja in
furtherance of the expected deal, while the Nigerian team was led by top
officials of the Transmission Company of Nigeria (TCN).

 

A few months ago, the Chadian ambassador to Nigeria, Abakar Chachaimi, had
asked for his country to be connected to Nigeria's electricity grid during a
visit to the Minister of Power, Mr. Sale Mamman in Abuja.

 

Chachaimi argued that connecting Chad to Nigeria's electricity grid would
further enhance the historical and economic collaborations between both
countries. If the agreement is eventually reached, Chad will add to the
number of countries that depend partly on Nigeria for their electricity
needs.

 

 

Much of Nigeria's generated electricity remain unused because the country is
not able to distribute it as a result of poor transmission and distribution
network, which has prompted it to sell to neighbouring countries.

 

Other countries that get their supply from Nigeria include the Republic of
Benin, which receives supplies of at least 80 per cent of the total quantum
of electricity consumed in the country as well as Niger Republic and Togo.

 

A former Managing Director of TCN, Usman Mohammed, had said the
international customers enjoy stable electricity because they have more
reliable distribution network.

 

He said Nigeria supplies almost all the power consumed in Cotonou, adding
that the challenges with power distribution in Nigeria had made it difficult
for consumers to enjoy stability in the power supply.

 

 

The government had also threatened to disconnect Togo, Benin and Niger
Republic following their failure to settle their electricity bills

 

Nigeria also spearheads the West African Power Pool (WAPP), which is a
cooperation of the national electricity companies in Western Africa under
the auspices of the Economic Community of West African States (ECOWAS),
which says it's working to establish a reliable power grid for the region
and a common market for electricity.

 

Member countries of WAPP, now headed by Mr Sule Abdulazeez, current Managing
Director of the TCN are: Benin, Burkina Faso, Ghana, Guinea, Guinea Bissau,
Ivory Coast, Liberia, Mali, Niger, Nigeria, The Gambia, Togo, Senegal, and
Sierra Leone.

 

No government official was willing to comment on the details of the meeting,
but it was learnt that other things being equal, the power agreement will be
sealed before the end of the year.

 

Calls made to the Special Adviser, on Media to the Minister of Power, Mr
Aaron Artimas, to extract his comments on the development were not picked
up.-This Day.

 

 

 

 

 

 

 

 


 


 


Invest Wisely!

Bulls n Bears 

 

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INVESTORS DIARY 2020

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


Falgold

EGM

1st Floor, KPMG Building, 133 Josiah Tongogara Avenue, Bulawayo

29/10/2020 | 10:00 am

 


Afdis

AGM

virtual

13/11/2020 | 12:20pm

 


Zimbabwe

National Unity Day

Zimbabwe

22/12/2020

 


 

Christmas Day

 

25/12/2020

 


 

Boxing Day

 

26/12/2020

 


 

New Year’s Day

 

01/01/2021

 


Companies under Cautionary

 

 

 


 

 

 

 


Bindura Nickel Corporation

 

 

 


Padenga Holdings

 

 

 


Delta Corporation

 

 

 


Meikles Limited

 

 

 


 <mailto:info at bulls.co.zw> 

 


 

 


DISCLAIMER: This report has been prepared by Bulls ‘n Bears, a division of
Faith Capital (Pvt) Ltd for general information purposes only and does not
constitute an offer to sell or the solicitation of an offer to buy or
subscribe for any securities. The information contained in this report has
been compiled from sources believed to be reliable, but no representation or
warranty is made or guarantee given as to its accuracy or completeness. All
opinions expressed and recommendations made are subject to change without
notice. Securities or financial instruments mentioned herein may not be
suitable for all investors. Securities of emerging and mid-size growth
companies typically involve a higher degree of risk and more volatility than
the securities of more established companies. Neither Faith Capital nor any
other member of Bulls ‘n Bears nor any other person, accepts any liability
whatsoever for any loss howsoever arising from any use of this report or its
contents or otherwise arising in connection therewith. Recipients of this
report shall be solely responsible for making their own independent
investigation into the business, financial condition and future prospects of
any companies referred to in this report. Other  Indices quoted herein are
for guideline purposes only and sourced from third parties.

 


 

 


(c) 2020 Web: <http://www.bullszimbabwe.com>  www.bullszimbabwe.com Email:
<mailto:info at bulls.co.zw> info at bulls.co.zw Tel: +263 4 2927658 Cell: +263 77
344 1674

 


 

 

 

 

 

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