Major International Business Headlines Brief::: 24 March 2021

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Major International Business Headlines Brief::: 24 March 2021

 


 

 


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ü  GameStop sales struggle after trading frenzy

ü  China's biggest car brand to launch rival to Tesla

ü  World's biggest coal company bets on solar power

ü  Abu Dhabi 'to invest billions' in British business

ü  Jack Dorsey's first ever tweet sells for $2.9m

ü  Yellen: "Global race to the bottom" in corporate tax

ü  Jobless crisis shows signs of easing but under-25s hit hard

ü  Tencent boss meets China antitrust officials as scrutiny widens-sources

ü  Asian equity futures under pressure after U.S. stocks, oil slide

ü  Silicon Valley firms in no hurry to open up offices despite easing of
virus ban

ü  Intel to spend $20 billion on U.S. chip plants as CEO challenges Asia
dominance

ü  Bank lending to fossil fuel industry down 9% in COVID-hit year

ü  Robinhood, at the heart of retail trading frenzy, files for own IPO

ü  Nigeria: Govt Backs Labour's Agitation Against Decentralisation of
Minimum Wage

ü  Nigeria: Dangote Cement to Pay N97bn in Corporate Tax

ü  Nigeria: IMF May Revise Higher Nigeria's Growth Forecast

ü  Zambia: Copper Demand to Soar... Experts Predict World Will Face Deficit
of Nearly 5 Million Tonnes of the Red Metal Annually Within Decade

ü  Lesotho Lags Behind in Harnessing Power of Technology - Setipa

ü  Kenya Airways Reports Worst Ever Loss of U.S.$330 Million 

 

 

 


 <https://www.facebook.com/Hyundaizimbabwe/> 

 


 

GameStop sales struggle after trading frenzy

Video games retailer GameStop continues to battle falling sales - but its
financials haven't dimmed the interest surrounding its stock.

 

The Texas-based firm captured attention in January when its shares surged
amid a trading war between Wall Street pros and amateur investors.

 

The shares jumped from less than $20 at the start of the year to nearly $350
- and still hover around $180 apiece.

 

Analysts say that's far higher than the firm's performance might suggest.

 

Sales slipped 3% in the last three months ended 30 January to $2.1bn,
compared to almost $2.2bn during the same period in 2019, GameStop said on
Tuesday, in its first financial update for investors since the trading
battle.

 

The drop - the ninth straight quarter of declines - came amid significant
store closures, partially due to the pandemic, and despite a 175% jump in
e-commerce.

 

But profits in the quarter increased, and its annual loss narrowed, from
more than $470m in 2019 to $215m last year.

 

The firm also said it had seen an uptick in business in February, as buyers
seek out the latest gaming consoles.

 

But Joe Feldman, senior managing director at Telsey Advisory Group, said
there was little in the firm's update to justify the sky-high enthusiasm
that the firm's share prices imply.

 

"The stock isn't trading on fundamentals," he said, characterising the
results as "pretty mediocre", despite being judged against a weak
performance in the prior year.

 

GameStop, a mainstay of American malls, had about 5,000 stores across 10
countries in December.

 

Interest in its prospects - at least among retail traders - remains strong.
A call hosted by the company on Tuesday to discuss the results drew so many
listeners that some would-be participants were turned away.

 

Despite the attention, executives declined to take any questions, though the
firm did reveal it was considering selling additional shares to raise more
money, given the attention it has received.

 

Shares in the firm - which have continued to see major swings since January
- dropped more than 10% in after-hours trade following the report.

 

What has happened to GameStop?

GameStop's share gains earlier this year were fuelled in part by small time
traders, swapping tips on social media, who saw a chance to pressure Wall
Street firms that had bet against the stock - and would have to buy shares
if the price rose more than they expected.

 

That, in turn, could generate a kind of buying frenzy or "short squeeze" -
and chance for profit for the little guys.

 

Aside from financial tactics, many of the amateur traders have also said
they thought Wall Street pros were dismissing the firm's prospects too
quickly.

 

Much of their confidence is tied the investment of billionaire Ryan Cohen, a
35-year-old entrepreneur who sold his online pet retail company Chewy to
Petsmart in 2017 and revealed a major investment in GameStop last year.

 

He has since pushed for major changes at the firm, aiming to update it for
an era when many video games are downloaded online.

 

The company permanently closed nearly 700 stores last year. Two top
executives have departed recently, including the firm's chief customer
officer on Tuesday.

 

Mr Feldman, whose firm has said GameStop shares are worth about $33, said
the moves are similar to what most traditional retailers are attempting -
and are hardly enough to bring about the massive transformation the firm's
current share price implies.

 

"This is not new stuff that they're talking about and it's certainly not
anything transformational on the level that I think a lot of the bullish
Reddit users are hoping and expecting out of this company," he said.--BBC

 

 

 

China's biggest car brand to launch rival to Tesla

China's biggest carmaker Geely is launching a premium electric car brand it
hopes will take on Tesla.

 

The Chinese company, which owns Volvo and Lotus, announced its Zeekr brand
on Tuesday to tap into China's demand for electric vehicles (EVs).

 

It comes as Elon Musk goes on the charm offensive in China praising its
plans to tackle carbon emissions.

 

The Tesla founder has seeking to allay Chinese concerns about his cars'
onboard cameras.

 

Geely said it would develop and manufacture high-end EVs under the Zeekr
brand and expected to begin deliveries in the third quarter of 2021.

 

It already has exposure to premium electric cars through the brands it owns.
Polestar, owned by Volvo Cars, develops electric performance cars. It is
headquartered in Sweden with vehicle production taking place in China.

 

Lotus, which is majority-owned by Geely, is working on an electric-powered
supercar called Evija.

 

Geely also owns London black cab maker, the London EV Company, and has
focused on building plug-in hybrid taxis, which have both a petrol engine
and electric battery.

 

Zeekr, its own home-grown EV brand, will face fierce competition from Tesla
whose Model 3 was the top-selling electric vehicle model in China last year.
It will also compete with Chinese groups Nio, Xpeng and Li Auto which are
seeing healthy sales.

 

Last week, Dongfeng Motor, the Chinese partner of Japan's Nissan and PSA
Peugeot Citroen of France, said its new EV brand Voyah could start
delivering cars to Chinese customers in July.

 

Beijing wants more than a fifth of vehicles sold in China to be electric by
2025.

 

Geely has ambitions to become China's first global automaker with a reach
similar to Volkswagen. Along with its Volvo and Lotus brands, it owns a
minority stake in Mercedes-Benz owner Daimler.

 

The initial strategy for Zeekr will be focused on the Chinese market but it
will also explore overseas opportunities given rising global demand for
premium electric vehicles.

 

The premium brand will operate under a new entity named Lingling
Technologies, which will be based in Hefei, eastern China.

 

"Chairman Li Shufu senses a need to inject his 24 year-old company, Geely,
with a startup vibe like what he sees at NIO, Xpeng and Li Auto," said
Michael Dunne, chief executive of ZoZo Go, a consultancy firm focusing on
the Asian car market.

 

"To get there, he envisions an electric baby - Lingling Technologies - that
operates independently from Geely".

 

On Tuesday Geely reported its annual results which saw it sell 1.32 million
cars in 2020, compared with 1.36 million in the previous year.

 

 

Tesla charm offensive

In a short interview with Chinese state television broadcast on Tuesday,
Tesla's boss Elon Musk said he was impressed by the carbon emission goals
set out in the country's latest five-year economic plan.

 

Beijing has restricted the use of Teslas among military staff and key
government employees over worries about how the carmaker handles data in
China.

 

Mr Musk told Chinese politicians and businessmen over the weekend via video
link that Tesla would never provide the US government with data collected by
its vehicles in China or other countries.

 

The military had raised security concerns about the data collected by
cameras installed in the cars.

 

China accounted for about a fifth of Tesla's global revenue of $31.5bn
(£23bn) in 2020, according to public filings.—BBC

 

 

World's biggest coal company bets on solar power

The world’s largest coal mining firm is to "aggressively" pursue solar
energy and continue to close smaller mines.

 

Coal India Limited (CIL) plans to invest in a 3,000 megawatt solar energy
project in a joint venture with state-run NLC India.

 

The company also wants to compete in India’s solar auctions and win projects
by offering the lowest prices for clean power.

 

It marks a major shift for the firm, which produces most of India’s coal.

 

“Coal as you know, we’re going to lose business in the next two, three
decades. Solar will take over (from) coal slowly as a major energy provider
in the coming years,” CIL’s chairman Pramod Agarwal said in an interview
with Reuters.

 

The company’s solar project with NLC India will be worth 125bn rupees
($1.73bn ; £1.26bn), with CIL expected to invest roughly half of that figure
by 2024.

 

The group closed 82 mines in the three years to March 2020, and reduced its
workforce by 18,600 employees.

 

Mr Agarwal said he expected further reductions to the workforce, with the
savings potentially reinvested into solar wafer production.

 

Energy transformation

India currently uses about one billion tons of coal annually, making it the
world's second largest consumer behind China.

 

CIL is by far the country’s biggest producer, with the company aiming to
produce 710 million tons of coal in 2020-21, according to India’s coal
ministry.

 

That’s slightly more than all US coal companies produced in 2019, according
to figures from the US Energy Information Agency.

 

India is hoping for a significant shift in its energy mix over the coming
years to help it meet its climate targets.

 

The country is a signatory to the Paris Agreement on Climate Change, and it
has committed to reducing its emissions by up to 35% by 2030 from 2005
levels.

 

Last year, the country's emissions fell for the first time in decades.

 

Although the lower emissions were partly due to strict Covid-19 lockdown
measures, lower demand for coal was also a factor.

 

India hopes to generate 175GW of renewable energy capacity by next year,
with a target of 450GW by the end of the decade.-BBC

 

 

 

Abu Dhabi 'to invest billions' in British business

Abu Dhabi will reportedly invest billions of pounds in British health, tech,
green energy and infrastructure as part of a post-Brexit deal.

 

Mubdala, one of the UAE's most active funds, will pay £800m into life
sciences over five years, the Financial Times reported.

 

It is thought investments in the other three sectors will be of a similar
scale.

 

The exact size of the total investment is not yet clear, the newspaper said.

 

However, the total deal is expected to be worth up to £5bn, it suggested.

 

UK investment minister Lord Gerry Grimstone said he was "expecting equal or
better opportunities to be found in those sectors".

 

"We think the future opportunities are very, very sizeable," he added.

 

The British government will also invest £200m in life sciences alongside the
UAE commitment.

 

Lord Grimstone also told the newspaper he hoped for investments in clean
energy that would be spread across Britain, including to industrial areas
outside of London.

 

Abu Dhabi is trying to diversify its economy away from oil and gas.

 

The report follows recent news that the UK is creating four regional trade
and investment hubs to boost economic growth across the UK, as well as
dropping tariffs on some US goods, put in place over a related dispute about
US subsidies to Boeing.

 

Secretary of State for International Trade Liz Truss said on Monday that the
hubs would be located in Edinburgh, Cardiff, Belfast and Darlington.

 

The government says the new hubs will provide support and advice to help
regional businesses to access major trade markets and boost exports, as part
its efforts to boost pandemic recovery. Some experts, however, said that the
choice of location was misguided.

 

At the chancellor's recent Budget, emphasis was also placed on investment in
the life sciences, clean energy and technology industries.

 

Mr Sunak announced the creation of a national infrastructure bank that would
mainly invest in green projects ahead of the COP26 climate change summit in
the UK later in November.--BBC

 

 

Jack Dorsey's first ever tweet sells for $2.9m

Twitter founder Jack Dorsey's first ever tweet has been sold for the
equivalent of $2.9m (£2.1m) to a Malaysia-based businessman.

 

The tweet, which said "just setting up my twttr," was first published on
March 21, 2006 and was auctioned off by Mr Dorsey for charity.

 

The Malaysia-based buyer Sina Estavi compared the purchase to buying a Mona
Lisa painting.

 

The tweet was bought using the ether cryptocurrency, a rival to bitcoin.

 

It was sold as a nonfungible token (NFT) on Monday to Mr Estavi, the chief
executive of technology firm Bridge Oracle.

 

An NFT is a unique digital certificate that states who owns a photo, video
or other form of online media. Each NFT is unique and acts as a collector's
item that can't be duplicated, making them rare by design.

 

NFTs have become hugely popular this year, with expensive digital artwork
also being sold this way.

 

Mr Dorsey said he would convert the proceeds to bitcoin and then donate them
to the Give Directly's Africa Response fund.

 

"This is not just a tweet!" Mr Estavi posted on Twitter. "I think years
later people will realize the true value of this tweet, like the Mona Lisa
painting."

 

 

The BBC is not responsible for the content of external sites.

 

Mr Dorsey's brief tweet was sold via an auction on an online platform called
Valuables, which is owned by the US-based company Cent.

 

Under the platform's rules, Mr Dorsey receives 95% of the proceeds of the
primary sale, while Cent receives 5%.

 

But the post will remain publicly available on Twitter even after it has
been auctioned off. Within minutes of the auction bids reached more than
$88,000.

 

As the buyer, Mr Estavi will receive a certificate, digitally signed and
verified by Mr Dorsey, as well as the metadata of the original tweet. The
data will include information such as the time the tweet was posted and its
text contents.

 

Social media experts predict the sale of tweets and other online posts will
become more popular.

 

"We live in an age where celebrities, musicians and influencers have more
than fans, they have stans, and they will want to own a piece of their
favourite stars," said Cathy Hackl, founder of technology consultancy
Futures Intelligence Group.

 

"Just like people buy physical memorabilia, they will buy their tweets,
posts, and snaps because they want to feel close to that star".

 

 

Earlier this month, the first digital-only art auction was held by
Christie's auction house and netted $69m for the artist Beeple.

 

Beeple - real name Mike Winkelmann - creates a new piece of digital art
every day, and was selling the first 5,000 days (13 years) of his work.

 

"This is a watershed moment and proof of concept for digital art, which has
been dogged by questions of commercial value, authenticity, ownership and
scarcity," said Rob Anders, boss of Israel-based digital art platform Niio.

 

Mr Estavi and Bridge Oracle didn't immediately respond to requests for
comment when contacted by the BBC.

 

 

 

Yellen: "Global race to the bottom" in corporate tax

Treasury Secretary Janet Yellen has said the US wants to stop a "global
race" to lower taxes on corporations.

 

Her comments come as White House prepares to unveil plans to raise taxes on
businesses and the wealthy.

 

The moves are expected to be included in a massive spending package on
infrastructure and green jobs.

 

Ms Yellen said she was working with international groups to update global
rules so that the rises wouldn't make the US less attractive to firms.

 

She was speaking at a hearing of the House Financial Services Committee to
discuss the country's recovery from the coronavirus-triggered recession, but
turned into a skirmish over priorities far beyond it.

 

Ms Yellen said her staff were working with the Organisation for Economic
Co-operation and Development (OECD) to coordinate the potential tax changes
with other countries.

 

 

She has said they are considering a voluntary global minimum rate, among
other measures. The OECD is also pushing for a global agreement over how to
tax tech giants.

 

"We've had a global race to the bottom in corporate taxation and we hope to
put an end to that," she said at a hearing in Washington on Tuesday.

 

What tax increases is the US planning?

As a candidate for president, Joe Biden pledged to increase the tax rate on
corporations from 21% to 28%.

 

He is expected to include the proposal when he unveils a multi-trillion
dollar package to invest in infrastructure and so-called "green jobs" in
coming weeks.

 

Raising rates on the wealthy and overhauling other rules to capture more
revenue from multinational firms are also expected to help pay for the plan.

 

The moves - which analysts say would amount to the most ambitious tax hikes
in nearly 30 years - would partially reverse cuts enacted under former US
President Donald Trump, which slashed the federal tax rate on corporations
from 35% to 21%.

 

At Tuesday's hearing, Mr Yellen defended the Biden proposals when questioned
by Republicans, saying they would be "fair" and help pay for investments to
ensure the US economy is "competitive and productive".

 

Globally, the average tax rate for corporations is about 24%, down from more
than 40% in 1980, according to the Tax Foundation. Just last year, nine
countries moved to cut their rates, including France, Colombia and Belgium.

 

But the US is not alone in its bid to raise taxes.

 

Earlier this month, US Finance Minister Rishi Sunak unveiled a plan to raise
taxes on corporations from 19% to 25% in 2023 - the first increase since the
1970s, citing the need to pay for support offered to businesses during the
pandemic.

 

 

 

 

Jobless crisis shows signs of easing but under-25s hit hard

The number of workers on company payrolls in the UK climbed by almost
200,000 in the three months to February, amid signs that the jobs market may
be stabilising.

 

However, the number on payrolls is still 693,000 lower than last February,
before Covid lockdown measures began.

 

It comes amid growing optimism that the vaccine rollout will lead to a
faster-than-expected economic recovery.

 

The official unemployment rate now stands at 5%, down from 5.1% before.

 

Sam Beckett, head of economic statistics at the Office for National
Statistics, told the BBC's Today programme there was still a lot of
uncertainty in the jobs market.

 

She added that people aged under 25 continued to bear the brunt of the job
losses.

 

Unemployment rate chart

"Furlough is still doing a lot of heavy lifting in the labour market. There
are around five million people still on furlough, it's down from its peak of
nine million but has been rising recently.

 

"But you have to remember the underlying picture is that close to 700,000
people have come off the payroll since the start of the pandemic so there
has been a large fall in employment since the start

 

"Around two-thirds of the fall is under-25s. London has been particularly
hard hit."

 

How many people could lose their jobs?

UK outlook 'uncertain' despite vaccine, says Bank

The latest figures cover a period when most parts of the UK entered strict
lockdowns.

 

However, the number of workers on payroll increased for the third month in a
row in February, the ONS said.

 

The number of redundancies across the UK also fell slightly to 11 per 1,000
people in January - down from 14 per 1,000 two months previously.

 

Despite this, the ONS said the jobs crisis remained acute, with 1.7 million
people out of work - around a five-year high.

 

It said the hospitality and retail industries had been hit particularly
hard, with a total of 491,000 payroll jobs lost across both sectors since
the pandemic began.

 

Nonetheless, commentators said they believed the worst may soon be over as
the vaccine programme gradually allows the UK economy to reopen.

 

"Overall, we think employment is getting close to its trough," said Ruth
Gregory, senior UK economist at Capital Economics. "We still expect the
unemployment rate to rise to 6% by early 2022, but the bulk of that will be
driven by those who left the labour force returning, rather than people
losing their jobs."

 

It echoes projections from the government's fiscal watchdog, the Office for
Budget Responsibility, which has forecast that the unemployment rate will
peak at 6.5% this year instead of the 11.9% predicted last July.

 

Unemployment stayed generally stable in January despite further national
lockdowns. On some weekly or monthly measures, joblessness actually fell a
little to just below 5%, despite the compulsory closure of large swathes of
the hospitality industry at the beginning of the year.

 

This is thanks to two factors - the fact that five million people are on the
furlough scheme and the fact that employers have become better adapted to
lockdowns.

 

The ONS also tried to assess just how many foreign workers left the UK last
year. While some estimates had put the fall at over one million, the ONS
suggested the fall was around 180,000, or the same as the population of the
city of Portsmouth.

 

That is entirely the result of EU workers leaving the UK. The number of
non-EU workers actually increased a little during the pandemic.

 

line

Becky O'Connor, head of pensions and savings at Interactive Investor, said
the latest data showed "chinks of light" but that the impact of the crisis
would be felt for some time to come.

 

"Even as work opportunities return, people who have lost their jobs or part
of their income will need continued support as the economy opens back up.

 

"If the doors to work reopen for those people, their decimated personal
finances from a year of lost income will take far longer to get back off the
ground."

 

jobs by age

According to official figures, the UK economy shrank by 2.9% in January amid
the third lockdown, but the drop was much smaller than expected, suggesting
businesses have adapted to trading in lockdown.

 

It has added to growing expectations that the recovery will be stronger than
previously expected, although last week the Bank of England cautioned that
the outlook remained "unusually uncertain".--BBC

 

 

 

Tencent boss meets China antitrust officials as scrutiny widens-sources

Pony Ma, the reticent founder of Tencent Holdings (0700.HK), China's biggest
social media and video games company, met with China's antitrust watchdog
officials this month to discuss compliance at his group, two people with
direct knowledge said.

 

The meeting is the most concrete indication yet that China's unprecedented
antitrust crackdown, which started late last year with billionaire Jack Ma's
Alibaba business empire, could soon target other internet behemoths. read
more

 

 

Beijing has vowed to strengthen oversight of its big tech firms, which rank
among the world's largest and most valuable, citing concerns that they have
built market power that stifles competition, misused consumer data and
violated consumer rights.

 

Tencent, whose WeChat messaging and payment mobile app is ubiquitous in the
world's second-largest economy, is expected to be the next in line for
sharper antitrust regulatory inquiries, said the two people and a third
person with direct knowledge of the matter.

 

News of the meeting, which has not been reported, comes ahead of Tencent's
December quarter results on Wednesday. Analysts expect a 42% rise in its
quarterly profit, according to Refinitiv data, although the investor focus
will be on regulatory developments.

 

Pony Ma, who had been out of the public eye for more than a year, was in
Beijing this month for China's annual parliamentary meeting and visited the
State Administration of Market Regulation (SAMR) office the week before
last, said the people.

 

 

The billionaire Tencent founder is a parliamentary delegate with Guangdong
province, where the company is headquartered, and he requested the meeting
with SAMR deputy head Gan Lin and other senior officials, said the two
people who have direct knowledge.

 

Tencent and SAMR did not respond to Reuters requests for comment.

 

At the meeting, the two parties discussed how Tencent, Hong Kong's most
valuable stock with a market capitalisation of $776 billion, could better
comply with antitrust regulations, said one of the people.

 

Wu Zhenguo, the head of SAMR's anti-monopoly bureau, who was also at the
meeting, expressed concern about some of Tencent's business practices, and
asked the group to comply with antitrust rules, said the second person.

 

 

The two people said SAMR was gathering information and looking into
monopolistic practices by WeChat, and how the super app had possibly
squashed fair competition and squeezed smaller rivals.

 

It was not immediately known if the SAMR officials pointed out to Tencent
executives specific cases of non-compliance of antitrust rules by the group,
which is the world's largest video gaming firm by revenue.

 

All the sources declined to be named due to sensitivity of the matter.

 

 

 

Asian equity futures under pressure after U.S. stocks, oil slide

Asian stocks were poised to follow Wall Street lower on Wednesday as the
cost of the U.S. stimulus and infrastructure plans and new pandemic curbs
limited investors’ risk appetite.

 

Hong Kong's Hang Seng index futures fell 0.2%. In Japan, Nikkei futures were
0.6% lower. Australian futures traded either side of unchanged.

 

 

Small cap stocks, energy and international equities fell on Tuesday.

 

On Wall Street, the Dow Jones Industrial Average (.DJI) fell 308.05 points,
or 0.94%, to 32,423.15, the S&P 500 (.SPX) lost 30.07 points, or 0.76%, to
3,910.52 and the Nasdaq Composite (.IXIC) dropped 149.85 points, or 1.12%,
to 13,227.70.

 

Benchmark 10-year notes rose 19/32 in price to yield 1.6153%, from 1.682%
late on Monday after Federal Reserve Chair Jerome Powell and Treasury
Secretary Janet Yellen spoke to Congress.

 

Powell downplayed the risk of inflation. Yellen said the U.S. economy
remains at risk as she fielded lawmakers’ questions about possible
infrastructure and tax increase plans under consideration.

 

 

Crude oil futures tumbled more than 6% due to demand concerns amid a third
wave of the coronavirus pandemic.

 

Germany extended its lockdown to April 18. A U.S. health agency said the
AstraZeneca Plc (AZN.L) vaccine developed with Oxford University may have
included outdated information in its data, further fueling investor concerns
over the recovery.

 

"Risk assets continued their second day of decline, as outbreak concerns
rose in Europe. The bond market saw heavy inflows, further flattening the
long-end of the curve," Commonwealth Bank of Australia market analysts said
note.

 

The U.S. dollar (.DXY) rose against a basket of major currencies, weighing
on gold prices .

 

 

U.S. manufacturing data was due later on Wednesday and Powell was expected
to give the same prepared testimony to a Senate banking panel.

 

 

 

Silicon Valley firms in no hurry to open up offices despite easing of virus
ban

Several of San Francisco Bay Area’s largest technology companies including
Twitter Inc and Google plan to keep their offices largely closed for months
more despite the government allowing them on Tuesday to be opened in a
limited capacity.

 

Taking into account declining coronavirus infections, San Francisco and
Santa Clara counties eased guidelines that had kept most office buildings
closed for the last year except to crucial security and support staff.

 

 

Starting Wednesday, companies are allowed to open up their offices for up to
a quarter of their capacity.

 

"San Francisco is going to come alive," Mayor London Breed told reporters.
"When we start to reopen, more and more people are going to want to return
to work and want to be around other folks."

 

But Silicon Valley companies that committed last year to allowing workers to
stay home until this summer or indefinitely said that they stood by their
timelines.

 

They cited their own analyses of public health data, other safety
considerations and workers' preferences. Adoption of vaccines, which in
California are accessible to only the most vulnerable populations, is also a
factor but a smaller one.

 

 

Networking gear maker Cisco Systems Inc (CSCO.O) and file-storage service
Dropbox Inc (DBX.O) said their mandatory work from home policies would
remain effect until June, while Box Inc (BOX.N) said its reopening is still
scheduled for September.

 

Pinterest Inc (PINS.N) is not eyeing a significant reopening until at least
August, Alphabet Inc's (GOOGL.O) Google until September and DocuSign Inc
(DOCU.O) not before October.

 

Twitter, Adobe Inc (ADBE.O), PayPal Holdings Inc (PYPL.O), Twilio Inc
(TWLO.N), Yelp Inc (YELP.N) and Zoom Video Communications Inc (ZM.O) also
will stay closed despite what Breed and other local government officials
described as a move to the "orange tier" from the "red tier" of California
lockdown restrictions.

 

Breed's spokesman Jeff Cretan said San Francisco officials expect smaller
and mid-sized companies to be the first to return.

 

 

'HIRING ADVANTAGE'

 

Among the few companies aiming to take advantage of the easing were SAP SE
(SAPG.DE), which said it is strongly considering partially reopening its Bay
Area offices within weeks, and Slack Technologies (WORK.N), which is
weighing a date to invite back some workers.

 

San Francisco ecommerce software startup Fast will open its doors - and
windows for safety - to up to 25% of its 56 Bay Area employees on Wednesday,
spokesman Jason Alderman said. He said the company expects to start getting
job applications from people forced to work remotely by their current
employers.

 

"Companies like Fast that are allowing people to come into the office if
they want to is going to be a hiring advantage," he said.

 

A survey late last year of 9,000 knowledge workers commissioned by workplace
chat software company Slack found 20% want to work remotely, 17% in the
office and 63% a mix of the two.

 

Facebook Inc (FB.O), whose offices otherwise remain closed globally until
July 2, said this month it is opening 10% of seats in Seattle area offices
to help workers struggling at home. It did not have similar news to share
about its San Francisco offices.

 

Microsoft Corp (MSFT.O), which announced plans on Monday to partially reopen
its Redmond, Washington, headquarters next week, did not immediately comment
on San Francisco locations.

 

IBM (IBM.N) declined to discuss Bay Area plans. But several senior
executives at its New York headquarters have begun working from their
offices with doors closed.

 

 

Intel to spend $20 billion on U.S. chip plants as CEO challenges Asia
dominance

Intel Corp (INTC.O) will greatly expand its advanced chip manufacturing
capacity as the new chief executive announced plans to spend as much as $20
billion to build two factories in Arizona and open its factories to outside
customers.

 

The move by CEO Pat Gelsinger on Tuesday aims to restore Intel's reputation
after manufacturing stumbles sent shares plunging last year. The strategy
will directly challenge the two other companies in the world that can make
the most advanced chips, Taiwan's Semiconductor Manufacturing Co Ltd (TSMC)
(2330.TW) and Korea's Samsung Electronics Co Ltd (005930.KS).

 

 

And it will aim to tilt a technological balance of power back to the United
States and Europe as government leaders on both continents have become
concerned about the risks of a concentration of chipmaking in Taiwan given
tensions with China.

 

Intel shares rose 7.5% after the company disclosed its new strategy and
full-year financial guidance for 2021. Some investors such as Third Point
LLC had previously urged Intel to consider spinning off its costly chip
manufacturing operations.

 

Intel said it expects $72 billion in revenue and adjusted earnings per share
of $4.55, compared with analyst estimates of $72.9 billion and $4.77 per
share, according to Refinitiv data. The company said it expects to spend $19
billion to $20 billion on capital expenditures.

 

Gelsinger said that 2021 forecast "reflects the industry-wide shortage" of
some components such as substrates.

 

 

Intel is one of the few remaining semiconductor companies that both designs
and manufactures its own chips. Rival chip designers such as Qualcomm Inc
(QCOM.O) and Apple Inc (AAPL.O) rely on contract manufacturers.

 

In an interview with Reuters, Gelsinger said Intel has "fully resolved" its
problems with its most recent manufacturing technology and is "all systems
go" on chips for 2023. It now plans a massive manufacturing expansion.

 

That will include spending $20 billion on two new factories at an existing
campus in Chandler, Arizona, that will create 3,000 permanent jobs. Intel
will then work on future sites in the United States and in Europe, Gelsinger
said.

 

Intel will use those factories to make its own chips but also open them to
outside customers in what is called a "foundry" business model in the chip
industry. Gelsinger said the new factories will focus on cutting-edge
computing chip manufacturing, rather than the older or specialty
technologies that some manufacturers such as GlobalFoundries specialize in.

 

 

"We are absolutely committed to leading process technology capabilities at
scale for the industry, and for our customers," Gelsinger said, adding that
Intel has lined up customers for the new factories but could not disclose
their names.

 

He did say on a webcast Tuesday that Amazon.com Inc (AMZN.O), Cisco Systems
Inc (CSCO.O), Qualcomm Inc (QCOM.O) and Microsoft Corp (MSFT.O) support its
efforts to offer chip manufacturing services. On a conference call,
Gelsinger said that Intel "will pursue customers like Apple."

 

The move is a direct challenge to TSMC and Samsung. The two have come to
dominate semiconductor manufacturing business, moving its center of gravity
from the United States, where much of the technology was once invented, to
Asia, where more than two-thirds of advanced chips are now manufactured.

 

"Intel’s investment will help to preserve U.S. technology innovation and
leadership, strengthen U.S. economic and national security, and protect and
grow thousands of high-tech, high-wage American jobs," U.S. Secretary of
Commerce Gina Raimondo said in a statement.

 

Gelsinger said Intel will aim to change the global chip manufacturing
balance by embracing the foundry business where it historically has been a
minor player. Intel will offer chip customers the ability to license out its
own technological crown jewels - known as x86 computing cores - as well as
offer to build chips based on technology from Arm Ltd and RISC-V technology
from startup SiFive.

 

"We will be picking our next sites within the next year for U.S. and
Europe," he said.

 

The American sites could benefit from a $30 billion subsidy package that
lawmakers hope to bring to the floor of the U.S. Senate next month. The bill
remains largely unwritten, and Gelsinger said on a conference call that
Intel's plan "does not depend on a penny of government support. It is the
right strategy for us going forward."

 

Intel also announced plans for new research collaboration with IBM (IBM.N)
focused on computing chip and packaging technology.

 

But even as Intel jumps into competition with TSMC and Samsung, it also
plans to become a larger customer of theirs by turning to them to make
subcomponents of its chips called "tiles" to make some chips more
cost-effectively.

 

"I'll pick the best process technologies wherever they exist," Gelsinger
said. "I leverage internal and external supply chains. I'll have the best
cost structure. That combination of supply, products and costs, we think is
a killer combination."

 

Intel has given few details of exactly how it will use outside factories,
but analyst Patrick Moorhead of Moor Insights and Strategy said he expects
Intel to use them as “gap fillers for some of the highest performance” chip
parts until Intel can regain a manufacturing lead over its rivals.

 

 

 

Bank lending to fossil fuel industry down 9% in COVID-hit year

The world's biggest banks cut lending to fossil fuel firms by 9% in 2020 as
a result of the pandemic, although funding has still risen over the past
five years, a report showed on Wednesday.

 

The 60 largest banks lent more than $750 billion to 2,300 fossil fuel
companies in 2020, down from $824 billion in 2019, according to a report by
Rainforest Action Network, Reclaim Finance, Oil Change International and
other non-governmental organisations (NGOs).

 

 

But the report said the fall, driven by record low levels of industry
investment in the second half of 2020 as the pandemic hammered fuel demand,
followed annual rises of 4.4%-5.5% since 2016, the year after the Paris
climate accord was signed.

 

It also followed a surge in demand from fossil fuel companies raising cheap
financing in the first half of 2020, the report said after assessing the
roles of banks in lending and underwriting debt and equity issues.

 

"Despite this significant drop from 2019 to 2020, the overall trend of the
last five years is one heading definitively in the wrong direction," the
report said.

 

"We must go forward to a world where even without a pandemic, fossil fuel
production declines almost as quickly every year for the next decade - as it
did in 2020 — but this time in a managed way."

 

 

The pace of bank lending to companies with heavy greenhouse gas emissions is
increasingly under the spotlight as investors push for more detail about
their plans to manage climate-related risks and opportunities in their
financing portfolios.

 

This month, HSBC (HSBA.L) became the latest lender to bow to the pressure
when it agreed to phase out support for the coal industry and commit to
short- and medium-term targets to align with the Paris Agreement.

 

 

 

Robinhood, at the heart of retail trading frenzy, files for own IPO

Robinhood Markets Inc, the online brokerage at the center of the historic
retail trading frenzy that gripped Wall Street this year, has confidentially
submitted plans to regulators for a U.S. initial public offering, the
company disclosed on Tuesday.

 

The move to push ahead with a stock market flotation comes in the middle of
a historic boom in U.S. capital markets, fueled largely by dealmaking
through so-called special purpose acquisition companies.

 

Companies have raised well over $100 billion through initial public
offerings (IPOs) in the first three months of the year and are poised to
overtake 2020's record haul of $167 billion, data from Refinitiv and
Dealogic showed. The amount raised includes blank-check IPOs.

 

Reuters reported in December that Robinhood had picked Goldman Sachs Group
Inc (GS.N) to lead preparations for a stock market flotation. read more

 

The company is yet to determine the number of shares to be offered and the
price range, it said in a blog post.

 

Robinhood had considered going public through a direct listing in the weeks
leading up to the filing, people familiar with the matter said.

 

In a direct listing, a company does not sell any shares in advance of its
market debut, as is the case with IPOs.

 

Menlo Park, California-based Robinhood was founded in 2013 by Stanford
University roommates Vlad Tenev and Baiju Bhatt. The company's platform
allows users to make unlimited commission-free trades in stocks,
exchange-traded funds, options and cryptocurrencies.

 

The platform's easy-to-use interface has made it a go-to for young investors
trading from home during coronavirus-induced restrictions and its popularity
soared during the retail trading frenzy.

 

The company, however, faced criticism after it was forced to curb trading in
certain stocks during the social-media fueled trading frenzy due to a
10-fold rise in deposit requirements at its clearinghouse. read more

 

It was forced to raise a whopping $3.4 billion in emergency funds after its
finances were strained due to the massive jump in retail trading. read more

 

The funding rounds were led by Ribbit Capital and included existing
investors ICONIQ, Andreessen Horowitz, Sequoia Capital, Index Ventures and
New Enterprise Associates. The latest financing valued Robinhood at around
$30 billion, according to people familiar with matter.

 

Robinhood is currently being probed by U.S. regulators over its temporary
trading curbs on the so-called "meme stocks". The company has set aside
$26.6 million for a potential settlement around trading outages in March
2020, as well as its options trading policies.

 

 

 

 

Nigeria: Govt Backs Labour's Agitation Against Decentralisation of Minimum
Wage

The organised labour yesterday secured a major ally in the federal
government in its battle against the National Assembly over a bill seeking
to decentralise national minimum wage negotiations.

 

Minister of Labour and Employment, Senator Chris Ngige, at the inaugural
meeting of the newly-constituted National Labour Advisory Council (NLAC) in
Owerri, Imo State capital, said the government's position was based on the
need to comply with the International Labour Organisation (ILO) Convention
144 to which Nigeria is a signatory, and which seeks to promote tripartite
dialogue in the resolution of national minimum wage agitation.

 

According to the ILO Convention 144, the right of employers and workers to
establish free and independent organisations to promote effective
consultation and tripartite dialogue at the national level between public
authorities and employers' and workers' organisations as a means of
resolving the industrial dispute is a global standard.

Ngige stated that the federal government would support labour in its
agitation against national minimum wage decentralisation because it believed
in the principle of tripartite social dialogue.

 

Apparently responding to the call by organised labour on the federal
government to help stand down the bill proposing to move national minimum
wage from the exclusive list to the concurrent list, Ngige said: "Mr.
President of NLC, you didn't need to thank me for what I said about the
minimum wage bill because I was reechoing what the Nigerian government stood
for by adopting the ILO Convention 28, the Minimum Wage Fixing Machinery
Convention of 1928 (No.26) and the Minimum Wage Fixing Convention of 1970
(No131). From these conventions, the Minimum wage Act was signed in 1981.
So, I am with you 100 per cent but I don't want you to go on strike on
that."

 

Ngige also spoke on the effects of the global economic crisis and the
resultant unemployment challenge in the country, saying that the federal
government is tackling the issue, especially job losses.

According to him, as part of efforts to ensure industrial peace, through
regular and timely social dialogue, the government has reconstituted the
membership of NLAC.

 

Ngige added that the importance of NLAC include ensuring mutual dialogue
between government, private sector employers and workers.

 

Also, NLAC has a critical role to play in promoting and ensuring best
practices of labour administration in line with the international standards.

 

On the fallout of the current economic and unemployment crises, the minister
said: "This government is committed to stemming the current negative effects
of the global financial and economic crisis on employment by strengthening
the machinery of tripartism and social dialogue in the world of work."

 

Ngige said the ministry was pushing for the passage of the Labour
Institutions Bill to enhance the status of NLAC and reposition it to
effectively discharge its responsibilities.

Earlier, the President of the Nigeria Labour Congress (NLC), Dr. Ayuba
Wabba, had welcomed the position of the federal government not to accept
moves to remove the national minimum wage from the exclusive list.

 

He said: "The national minimum wage has been in operation in the last 40
years and has always been mutually renewed by social partners. We consider
it an act of great irresponsibility for a state governor to impugn on this
long-standing instrument of law for narrow and self-conceited objective."

 

Wabba and his Trade Union Congress (TUC) counterpart, Mr. Quadiri Olaleye,
used the opportunity to warn against what they described as rising human and
trade union rights violations in the country.

 

They urged the government to widen the social security net for workers and
the people in view of the current economic difficulties.

 

While welcoming participants at the event, the Permanent Secretary of the
Federal Ministry of Labour and Employment, Mr. Yerima Tarfa, said the
meeting of the council was part of government's strategy to strengthen
collaboration between social partners and government at federal and state
levels to achieve solutions to labour disputes and enthrone lasting
industrial harmony in the country.-This Day.

 

 

 

Nigeria: Dangote Cement to Pay N97bn in Corporate Tax

Dangote Cement Plc has maintained its position as major contributor to the
economy, with a tax charge of N97 billion for the financial year that ended
on December 31, 2020.

 

The company also proposed a dividend of N16 per share.

 

According to the cement company group's audited results released on the
Nigerian Stock Exchange (NSE), the tax charge represents an increase of 95
per cent over the sum of N50 billion recorded in 2019.

 

Dangote Cement's Nigerian operations during the period sold 15.9mt for the
year 2020, compared to 14.1Mt in 2019.

 

This includes both cement and clinker sales, which implies a 12.9 per cent
growth for the full year 2020.

On the domestic sales alone, Nigerian operations sold 15.6Mt, up by 14.3 per
cent year on year resulting in an increase in market share.

 

Revenues for the Nigerian operations increased by 18.0 per cent to N720.0
billion, owing to demand in the domestic market.

 

This volume growth was enhanced by a successful innovative national consumer
promotion, 'Bag of Goodies - Season 2', and lower rains in the third quarter
compared to the previous year.

 

In the said period, the cement group inaugurated its gas power plant in
Tanzania.

 

The cement company recorded strong performance not only at the top line but
also at the bottom line, owing to cost saving measures.

 

Despite inflationary pressures and foreign exchange volatility, disciplined
cost control measures enabled the company to maintain a relatively flat cash
cost per tonne.

The cost control measures include improved plant efficiency, better fuel mix
and general overhead optimisation.

 

Reacting to the development, chief executive officer, Dangote Cement, Michel
Puchercos, said, "2020 was a good year for Dangote Cement across board.
Several firsts made 2020 a productive year such as our maiden clinker
shipment, maiden bond issuance and successful buyback programme.

 

"We increased our capacity by three Mt in Nigeria, inaugurated our two
export terminals and our gas power plant in Tanzania. All these were
achieved whilst we focused on protecting our people, customers and
communities from the impact of the pandemic.

 

"Dangote Cement recorded strong top-line growth supported by strong cement
demand. Profitability was further bolstered by our disciplined cost control
measures in what we believed to have been a highly inflationary and volatile
year. These measures resulted in a 37.7 per cent increase in profit after
tax to N276.1 billion."

 

Looking ahead, Puchercos said, "We have strengthened our Alternative Fuel
initiative which focuses on leveraging the circular economy business model
and reducing exposure of our cost base to foreign currencies fluctuations.
We continue to embed Dangote Cement's seven sustainability pillars into
every aspect of our operation and culture."-Leadership.

 

 

 

Nigeria: IMF May Revise Higher Nigeria's Growth Forecast

The International Monetary Fund (IMF) is likely to revise higher its growth
forecast for Nigeria, its Mission Chief to Nigeria, Jesmin Rahman, said
yesterday.

 

Reuters quoted Rahman to have said the country's surprise exit from
recession in the fourth quarter would aid its economic outlook for the
coming year.

 

"It wasn't as bad as we expected," Rahman said of the country's 2020
recession.

 

Rahman did not put a figure on the 2021 growth overall, but said the
medium-term growth rate could return to 2.5 per cent.

 

The IMF previously projected 1.5 per cent growth for 2021.

 

The IMF had in January projected that the Nigerian economy would grow by 1.5
per cent this year, slightly lower than the 1.7 per cent it had predicted
for the country in its previous forecast.

 

The multilateral institution had in its WEO titled: 'Policy Support and
Vaccines Expected to Lift Activity,' however, predicted that in sub-Saharan
Africa, growth will strengthen to 3.2 per cent in 2021 and 3.9 per cent in
2022.

 

It had also expected oil prices to average above $50 per barrel in 2021, a
more than 21 per cent rise from 2020's depressed level on the back of the
rollout of vaccines and fiscal stimulus programmes.

 

IMF stated that the updated version of the report was reviewed in line with
the emergence of a new variant of coronavirus, which poses a concern for
global recovery.-This Day.

 

 

Zambia: Copper Demand to Soar... Experts Predict World Will Face Deficit of
Nearly 5 Million Tonnes of the Red Metal Annually Within Decade

The world will need 10 million tonnes more of copper to meet demand and more
than US$100 billion should be committed to close what could be an annual
supply deficit of 4.7 million tonnes by 2030.

 

According to Bloomberg News, within a decade, the world may face a massive
shortfall of what's arguably the most critical metal for global economies -
copper.

 

"The copper industry needs to spend upwards of $100 billion to close what
could be an annual supply deficit of 4.7 million tonnes by 2030 as the clean
power and transport sectors take off, according to estimates from CRU
Group," it stated.-Times of Zambia.

 

 

 

Lesotho Lags Behind in Harnessing Power of Technology - Setipa

The Covid-19 pandemic has exposed Lesotho's huge technological gap in
different ways, the United Nations Technology Bank (UNTB) for Least
Developed Countries has said.

 

The gap is evidenced by the low internet connectivity and the lack of
technological interventions in the fight against Covid-19, the managing
director of the UNTB for Least Developed Countries, Joshua Setipa has said.

 

Mr Setipa said this in an interview with the Lesotho Times reporter Bereng
Mpaki this week. The interview was held soon after the launch of the Lesotho
Academy for Science and Technology (LAST) in Maseru this week. Mr Setipa
said LAST would help Lesotho step up in the area of science and technology.
Below are excerpts from the interview.

Lesotho Times: What is the United Nations Technology Bank (UNTB) and how
does it intend to deliver its mandate?

 

Joshua Setipa: The UNTB is a new UN organisation established specifically to
support the least developed countries, like Lesotho, to achieve their
science, technology, and innovation agenda. Its objectives are to help
countries to use science, technology, and innovation to better address a
whole range of challenges, including food security, inclusive economic
growth, climate change, and renewable energy.

 

The UNTB undertakes its mandate by supporting governments to enhance
science, technology, and innovation policy-making capacities. It helps
countries to identify policy gaps which limit or undermine their efforts in
using technology.

 

The UNTB helps countries understand how they can best support innovation and
companies in the technology sector to grow and scale up their innovations.
It provides support to countries and research entities, universities, and
academia to enhance their capacity to research and have access to global
research networks to build local and regional research networks.

Lesotho Times: Why emphasis on science and technology in advancing
sustainable national development in LDCs?

 

Joshua Setipa: Science, technology, and innovation are central to every
country's ability to develop and create sustainable health systems, build
resilience in their economies, and create opportunities in the economy.
Whether through enhancing their manufacturing capacity or to create a
competitive ecosystem for startups, improving its health care system or
education system, technology is central.

 

For example, take the current challenges created by the Covid-19 pandemic.
We have all seen that once schools were unable to hold physical classes,
children had to study online. However, studying online requires connectivity
and without digital connectivity, children were unable to study.

It is estimated that globally over 60 percent of school children were unable
to continue with classes due to lack of access to the Internet. Lesotho is
no exception to this reality. Without digital connectivity, countries are
unable to support businesses. In this sense, technology is a key to every
solution and every part of a given country's development strategy.

 

We have also seen that only a few countries were able to produce vaccines to
treat Covid-19. Over the last few decades, these countries invested in
enhancing their research and development capacity. They were also able to
use technology to find solutions around climate change, agriculture, food
security, energy, and ensuring that every citizen can access it.

 

Lesotho Times: Does the UNTB provide any funding towards building technology
and innovation capacity for LDC's like Lesotho?

 

Joshua Setipa: The UNTB provides funding for training and capacity building
activities. For example, last year, the UNTB trained 3500 researchers,
including those from Lesotho. It also supported funding for the
establishment of the academy of sciences in Lesotho.

 

It will continue supporting its growth and establishing itself as a centre
for excellence in science in Lesotho. The UNTB also funds scholarships and
research fellowships. Through its partners' network, the UNTB can mobilise
the resources that support countries like Lesotho in various areas,
including by supporting the establishment of innovation entities, such as
innovation labs and incubators.

 

Finally, the UNTB facilitates access to technologies which are an important
innovation and ensures that start-ups in Lesotho have access to the
important networks for them to scale up their innovations and leapfrog.

 

Lesotho Times: Are there any UNTB projects in Lesotho to date?

 

Joshua Setipa: To date, the UNTB has supported the establishment of the
academy of science. It is also availing fully funded scholarships for
Lesotho students in the area of industrial design. It is also financing
fully funded fellowships for researchers in biotechnology who will come for
six months to conduct research in Italy, New Delhi, and Cape Town.

 

The UNTB, along with its partners, is supporting the establishment of an
innovation lab in Lesotho to scale up innovation capacity and boost the
innovation potential that we know exists. Finally, the UNTB is also funding
diagnostic studies in Lesotho to help enhance government capacity to better
create the right ecosystem around innovation and ensure that its policies
are conclusive to innovation and fully integrated within science and
technology.

 

Lesotho Times: What inspired the UNTB to partner with Lesotho for
establishment of the Lesotho Academy for Science and Technology (LAST)?

 

Joshua Setipa: As part of its programmes of support for the least developed
countries, the UNTB has set out to support the establishment of academies of
science in countries where they do not exist. Today, 28 countries in Africa
do not have academies of science or have academies that are not fully
operational.

 

The UNTB establishes academies in countries like Lesotho where they do not
exist or strengthens them, so they are effective interlocutors for
governments and other stakeholders. For example, in December last year, the
UN Technology Bank established the Academy of Science of Angola.

 

Now, we have just launched the Lesotho academy of science. At the end of
March, we will establish the Academy of Science in Congo DRC, followed by
Malawi in April. We also are doing the same in the Caribbean, Asia, and
Pacific regions.

 

Lesotho Times: What are some of the indicators that Lesotho has technology
and innovation gaps?

 

Joshua Setipa: One perfect example is that a significant portion of the
Lesotho society is still not connected to the internet. Schools, hospitals,
and other facilities in Lesotho do not have internet access, limiting their
ability to work. Schools have closed, and children are unable to study
because there is no internet access.

 

Another example is that Lesotho does not have an active and thriving
innovation facility, which means that Lesotho cannot benefit from technology
transfer to innovate around some of its challenges. Also, Lesotho does not
have a strong capacity to innovate around a whole range of agriculture
areas, such as precision farming capacity, which helps farmers utilise
technology to mitigate climate change and increase yields and also mitigate
the effects of natural disasters.

 

Another example is that Lesotho still does not have the scientific capacity
to innovate around the Covid-19 and ways of dealing with the Covid-19,
whether it is in the production of personal protective equipment (PPE) or in
the manufacturing of equipment that helps to deal with the Covid-19 cases.
While considering all these facts, we can conclude that Lesotho has not yet
reached a threshold where it should as far as technology is concerned.

 

Lesotho Times: What roles are to be played by the UNTB and the Ministry of
Communications, Science and Technology in the implementation of the LAST
project?

 

Joshua Setipa: The UNTB will support the strengthening of the academy of
science and support in the formulation of the requisite legislation that is
important for its operation as an independent statutory body that will
provide independent expertise and advice to the government irrespective of
which government is in place.

 

The Ministry of Communications, Science, and Technology is a vital partner
in mobilising government support, particularly government resources, towards
strengthening LAST and ensuring that the communication or the relationship
between the scientific community and the government is a smooth one. The
ministry is the main interlocutor for the Lesotho academy of science.

 

Lesotho Times: Is there any funding that Lesotho will receive to support the
LAST?

 

Joshua Setipa: The funding that the academy will receive will be directed to
LAST. It is the funding that will help develop instruments which the academy
needs to succeed.

 

For instance, resource mobilisation instruments to enhance its institutional
framework and to build the necessary legislative framework like partnerships
with regional and international academies, which are important for the
success of its work. The technology bank will also support the academy in
mobilising resources for its infrastructure including facilities.

 

Lesotho Times: What are the timelines and milestones for the UNTB in
delivering its goals in Lesotho?

 

Joshua Setipa: The first milestone was the launch of the academy of science.
The second step is now to develop the legislation. This work will start
immediately in consultation and partnership with the government and the
Ministry of Communications, Science, and Technology.

 

The next step will be to develop the institutional framework for the academy
that will allow it to build its independence and create its operational
capacities. Those are timelines and milestones that we have to reach by the
end of the year, and the legislative part will depend on how fast the
Lesotho Parliament can pass this legislation.-Lesotho Times.

 

 

 

Kenya Airways Reports Worst Ever Loss of U.S.$330 Million

Kenya Airways (KQ) net loss has nearly tripled to Ksh36.2 billion (about
$330 million), the worst ever in the history of the airline, on account of
Covid-19 disruptions that led to a sharp decline in passenger numbers.

 

The loss, for the financial year ended December 2020, is 2.8 times more than
the Ksh12.98 billion ($118 million) net loss it had posted a year earlier,
and now deals a major blow to the recovery efforts of the national carrier.

 

KQ chairman Michael Joseph says the outlook still looks bleak and the
airline will be seeking a right-sized network to match the prevailing
demand.

"The Covid-19 global outbreak in 2020 was beyond anyone's prediction and its
impact on the industry is expected to continue affecting air travel demand
for the next two to three years," said Mr Joseph.

 

KQ's loss, also the worst ever results in corporate Kenya, came on the back
of strict Covid-19 control measures across the globe that crushed demand for
air travel.

 

The airline says that passenger revenue dropped by 67.5 per cent to Ksh33.7
billion ($307 million) as passenger numbers reduced by 65.7 per cent to 1.8
million.

 

"Approximately 70 per cent of the total passengers carried in 2020 were
flown during the first three months of the year, demonstrating the drop in
demand as the global crisis deepened during the year," said Mr Joseph.

 

Total income dipped by 58.9 per cent to Ksh52.8 billion ($481 million)
underlining the impact of a sharp fall in passenger numbers as countries
restricted movement to contain the spread of Covid-19.

The latest loss means that KQ has now gone for the eighth straight year
without profits, extending its accumulated losses to Ksh128.76 billion ($1.2
billion).

 

The airline last made a profit in 2012 when it closed with net earnings at
Ksh1.66 billion ($15 million).

 

The huge accumulated losses have seen KQ's negative equity position worsen
from Ksh17.89 billion ($163 million) a year earlier to Ksh64.2 billion ($585
million), meaning that it is technically insolvent.

 

Kenya reported its first Covid-19 case mid-March last year, prompting the
state to ground both domestic and international flights for months.

 

KQ reacted to the Covid-19 hardships through layoffs and massive salary cuts
to reduce the pressure on the bottom-line.

 

However, the muted demand in passenger business and increased costs due to
tighter health and safety measures kept recovery out of reach for the
airline.

 

($1=109.7500 Kenyan shillings)- East African.

 

 

 

 

 


 


 


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INVESTORS DIARY 2021

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


Old Mutual

analysts briefing

 

24/03/21 | 2:30pm

 


Willdale

AGM

Boardroom, Willdale Administration Block, Teneriffe, 19.5km peg Lomagundi
Road, Mt Hampden

25/03/21 | 11am

 


TSL

AGM

Virtual | https://eagm.creg.co.zw/eagmzim/ Login.aspx | in the Auditorium,
Ground Floor, 28 Simon Mazorodze Road, Southerton

25/03/21 | 12pm

 


CFI

AGM

Farm & City Boardroom, 1st Floor Farm & City Complex, 1 Wynne Street

31/03/21 | 11am

 


 

Good Friday

 

02/04/21

 


 

Easter Sunday

 

04/04/21

 


 

Easter Monday

 

05/04/21

 


 

Independence Day

 

18/04/21

 


 

Public Holiday in lieu of Independence Day falling on a Sunday

 

19/04/21

 


 

 

 

 

 


Companies under Cautionary

 

 

 


 

 

 

 


ART

PPC

Dairibord

 


Starafrica

Fidelity

Turnall

 


Medtech

Zimre

Nampak Zimbabwe

 


 

 

 

 


 <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) 2021 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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