Major International Business Headlines Brief::: 06 March 2023

[Bulls n Bears]

 <https://bullszimbabwe.com/> 

 


 

 <http://www.bullszimbabwe.com> Bullszimbabwe.com
<mailto:info at bulls.co.zw?subject=View%20and%20Comments> Views & Comments
<https://bullszimbabwe.com/category/blogs/bullish-thoughts/> Bullish
Thoughts        <http://www.twitter.com/BullsBears2010> Twitter
<https://www.facebook.com/BullsBearsZimbabwe> Facebook
<http://www.linkedin.com/pub/bulls-n-bears-zimbabwe/57/577/72> LinkedIn
<https://chat.whatsapp.com/CF6wllAfScU9Wr6dXxoQnO> WhatsApp
<mailto:bulls at bullszimbabwe.com?subject=Unsubscribe> Unsubscribe

 


 

 


Major International Business Headlines Brief::: 06 March 2023 

 


 

 


 <https://wwww.nedbank.co.zw/> 

 


 

 


 

ü  Foxconn: iPhone maker sees revenue slump as demand weakens

ü  China boosts military budget while warning of escalating threats

ü  Twitter can’t protect you from trolls any more, insiders say

ü  Food shortages due to 'supermarket culture', says Leon co-founder

ü  Toblerone: Swiss rules mean chocolate bar to drop Matterhorn from
packaging

ü  Arm opts for New York stock listing in blow to London

ü  US-made cheese can also be called 'gruyere', court rules

ü  Zoom boss Greg Tomb fired ‘without cause’

ü  Is London's stock market losing its lustre?

ü  Northampton town centre: Regeneration planned in £8.5m revamp

ü  Arm opts for New York stock listing in blow to London

ü  First class stamp price to rise to £1.10

ü  Malawi: Chakwera, UN Chief Bemoans Unfair Global Landscape, 'Historic'
Injustices

ü  Uganda: Govt to Make It Easier for Eritrean Community to Invest in Uganda

ü  Nigeria: Inflationary Pressures, Dollar Hike Put Emerging Market Under
Pressure in 2023

ü  Nigeria: $176bn Revenue At Risk As Huawei Moves to Sue Govt in London
Over $304m e-Customs Project

 


 <mailto:info at bulls.co.zw> 

 


 

 

Foxconn: iPhone maker sees revenue slump as demand weakens

Apple's biggest supplier Foxconn says its revenue last month fell by 11.65%
compared to the same period in 2022 due to weaker demand for electronics.

 

However, February revenue was more than $13bn (£10.8bn), the second highest
figure on record for the month.

 

Foxconn added that operations at the world's biggest iPhone factory in the
Chinese city of Zhengzhou are recovering from Covid disruptions.

 

Also over the weekend the firm said it was exploring opportunities in India.

 

Foxconn said in a statement on Sunday that revenue from computing, smart
consumer electronics and cloud and networking products declined in February
from a year earlier "due to conservative customers' pull-in".

 

"Based on the revenue performance in the first two months, the outlook for
first quarter 2023 is roughly in line with market expectation," the company
added.

 

In November, Apple warned that shipments of its new iPhone 14 would be
delayed after Chinese officials locked down a district in Zhengzhou where
Foxconn's mega-factory is located.

 

Two weeks later protests erupted at the plant, which disrupted manufacturing
as thousands of workers left production lines.

 

Last month, Foxconn said its revenue in January had jumped by 48.2% from a
year earlier to hit a record high, as manufacturing in Zhengzhou returned to
pre-pandemic levels.

 

Separately, at the weekend Foxconn responded to reports that it had agreed
to significantly expand its operations in India, after its chairman and
chief executive Young Liu visited the country last week.

 

Media outlets reported that the firm planned to invest up to to $1bn in a
major iPhone plant in Bengaluru. There were also reports that Foxconn's
investment in India would create around 100,000 jobs.

 

The BBC understands that the company did not enter any binding new
agreements during the trip.

 

Foxconn also did not include the reported figures in its statement on
Saturday.

 

"Foxconn will continue to communicate with local governments to seek the
most beneficial development opportunities for the company and all
stakeholders," Mr Liu said.

 

iPhones are currently assembled in India by several Apple suppliers,
including Foxconn.

 

The Taiwan-headquartered company, which is known formally as Hon Hai
Precision Industry, assembles the devices at a site in Tamil Nadu.-bbc

 

 

 

 

China boosts military budget while warning of escalating threats

China will increase military spending by more than 7% this year, while
warning of "escalating" threats.

 

It was announced at the National People's Congress (NPC), a rubber-stamp
parliament, which is due to confirm President Xi Jinping's third term.

 

Beijing's military budget - around $225bn (£186bn) - is still dwarfed by
that of the United States, which is four times greater.

 

But analysts believe China downplays how much it spends on defence.

 

Outgoing Premier Li Keqiang told the NPC that "external attempts to suppress
and contain China are escalating".

 

"The armed forces should intensify military training and preparedness across
the board," he said.

 

It was also announced at the meeting that China would pursue a reduced
economic growth target of about 5% this year.

 

The Two Sessions, as the meetings are known, are an annual affair.

 

But this year's sessions are particularly significant as delegates are
expected to reshape several key Communist Party and state institutions.

 

This week's NPC meeting will also formalise Mr Xi's leadership of the
country, as he will be elected president of China and head of the armed
forces.

 

He secured his position in the echelons of Chinese power in October last
year, when the Communist Party re-elected him as their leader for a third
term.

 

The increase in military spending comes as Mr Xi is navigating worsening
ties with the US over the Ukraine war and the recent spy balloon saga, even
as he warms his embrace of Russian leader Vladimir Putin.

 

US officials have also repeatedly warned that China may invade Taiwan in the
coming years. China has held ever-growing displays of military force in the
air and seas around Taiwan, including the firing of ballistic missiles.

 

China sees self-ruled Taiwan as a breakaway province that will eventually be
under Beijing's control.

 

The NPC will also unveil the new premier, China's equivalent of a prime
minister who traditionally oversees the economy and administrative aspects
of governance.

 

Li Qiang, one of Mr Xi's most trusted colleagues, is expected to assume the
role.

 

The Two Sessions in Beijing are the annual meetings of China's legislature
and top political advisory body which attract thousands of representatives
from across the country

The National People's Congress is the country's equivalent of a parliament
that is, in theory, the most powerful state organ. In reality it acts as a
rubber-stamp body for the ruling Chinese Communist Party, passing key laws
on decisions that have already been made

The Chinese People's Political Consultative Conference (CPPCC), which has no
real legislative power, draws its members from various sectors of society.
Their debates are worth noting for emerging social and economic issues-bbc

 

 

Twitter can’t protect you from trolls any more, insiders say

Twitter insiders have told the BBC that the company is no longer able to
protect users from trolling, state-co-ordinated disinformation and child
sexual exploitation, following lay-offs and changes under owner Elon Musk.

 

Exclusive academic data plus testimony from Twitter users backs up their
allegations, suggesting hate is thriving under Mr Musk's leadership, with
trolls emboldened, harassment intensifying and a spike in accounts following
misogynistic and abusive profiles.

 

Current and former employees of the company tell BBC Panorama that features
intended to protect Twitter users from trolling and harassment are proving
difficult to maintain, amid what they describe as a chaotic working
environment in which Mr Musk is shadowed by bodyguards at all times. I've
spoken to dozens, with several going on the record for the first time.

 

The former head of content design says everyone on her team - which created
safety measures such as nudge buttons - has been sacked. She later resigned.
Internal research by Twitter suggests those safety measures reduced trolling
by 60%. An engineer working for Twitter told me "nobody's taking care" of
this type of work now, likening the platform to a building that seems fine
from the outside, but inside is "on fire".

 

Twitter has not replied to the BBC's request for comment.

 

My investigation also reveals:

 

Concerns that child sexual exploitation is on the rise on Twitter and not
being sufficiently raised with law enforcement

Targeted harassment campaigns aimed at curbing freedom of expression, and
foreign influence operations - once removed daily from Twitter - are going
"undetected", according to a recent employee.

Exclusive data showing how misogynistic online hate targeting me is on the
rise since the takeover, and that there has been a 69% increase in new
accounts following misogynistic and abusive profiles.

Rape survivors have been targeted by accounts that have become more active
since the takeover, with indications they've been reinstated or newly
created.

Abuse on Twitter is nothing new for me - I'm a reporter who shares my
coverage of disinformation, conspiracies and hate there. But throughout most
of last year I noticed it steadily lessening across all of the social media
sites. And then in November I realised it had got worse on Twitter again.

 

It turns out, I was right. A team from the International Center for
Journalists and the University of Sheffield have been tracking the hate I
receive, and their data revealed the abuse targeted at me on Twitter had
more than tripled since Mr Musk took over, compared with the same period in
the year before.

 

All of the social media sites have been under pressure to tackle online hate
and harmful content - but they say they're taking measures to deal with it.
Measures that no longer seem to be top of the agenda at Twitter.

 

In San Francisco, the home of Twitter's headquarters, I set out to look for
answers. What better place to get them than from an engineer - responsible
for the computer code that makes Twitter work. Because he's still working
there, he's asked us to conceal his identity, so we're calling him Sam.

 

"For someone on the inside, it's like a building where all the pieces are on
fire," he revealed.

 

"When you look at it from the outside the façade looks fine, but I can see
that nothing is working. All the plumbing is broken, all the faucets,
everything."

 

He says the chaos has been created by the huge disruption in staffing. At
least half of Twitter's workforce have been sacked or chosen to leave since
Musk bought it. Now people from other teams are having to shift their focus,
he says.

 

"A totally new person, without the expertise, is doing what used to be done
by more than 20 people," says Sam. "That leaves room for much more risk,
many more possibilities of things that can go wrong."

 

He says previous features still exist but those who designed and maintained
them have left - he thinks they are now left unmanned.

 

"There are so many things broken and there's nobody taking care of it, that
you see this inconsistent behaviour," he tells me.

 

The level of disarray, in his view, is because Mr Musk doesn't trust Twitter
employees. He describes him bringing in engineers from his other company -
electric car manufacturer Tesla - and asking them to evaluate engineers'
code over just a few days before deciding who to sack. Code like that would
take "months" to understand, he tells me.

 

He believes this lack of trust is betrayed by the level of security Mr Musk
surrounds himself with.

 

"Wherever he goes in the office, there are at least two bodyguards - very
bulky, tall, Hollywood movie-[style] bodyguards. Even when [he goes] to the
restroom," he tells me.

 

He thinks for Mr Musk it's about money. He says cleaning and catering staff
were all sacked - and that Mr Musk even tried to sell the office plants to
employees.

 

Lisa Jennings Young, Twitter's former head of content design, was one of the
people who specialised in introducing features designed to protect users
from hate. Twitter was a hotbed for trolling long before Mr Musk took over,
but she says her team had made good headway at limiting this. Internal
Twitter research, seen by the BBC, appears to back this up.

 

"It was not at all perfect. But we were trying, and we were making things
better all the time," she says. It is the first time she's publicly spoken
of her experience since she left after Mr Musk's takeover.

 

Ms Jennings Young's team worked on several new features including safety
mode, which can automatically block abusive accounts. They also designed
labels applied to misleading tweets, and something called the "harmful reply
nudge". The "nudge" alerts users before they send a tweet in which AI
technology has detected trigger words or harmful language.

 

Twitter's own research, seen by the BBC, appears to show the "nudge" and
other safety tools being effective.

 

"Overall 60% of users deleted or edited their reply when given a chance
through the nudge," she says. "But what was more interesting, is that after
we nudged people once, they composed 11% fewer harmful replies in the
future."

 

These safety features were being implemented around the time my abuse on
Twitter seemed to reduce, according to data collated by the University of
Sheffield and International Center for Journalists. It's impossible to
directly correlate the two, but given what the evidence tells us about the
efficacy of these measures, it's possible to draw a link.

 

But after Mr Musk took over the social media company in late October 2022,
Lisa's entire team was laid off, and she herself chose to leave in late
November. I asked Ms Jennings Young what happened to features like the
harmful reply nudge.

 

"There's no-one there to work on that at this time," she told me. She has no
idea what has happened to the projects she was doing.

 

So we tried an experiment.

 

She suggested a tweet that she would have expected to trigger a nudge.
"Twitter employees are lazy losers, jump off the Golden Gate bridge and
die." I shared it on a private profile in response to one of her tweets, but
to Ms Jennings Young's surprise, no nudge was sent. Another tweet with
offensive language we shared was picked up - but Lisa says the nudge should
have picked up a message wishing death on a user, not just swear words. As
Sam had predicted, it didn't seem to be working as it was designed to.

 

During this investigation, I've had messages from many people who've told me
how the hate they receive on Twitter has been increasing since Mr Musk took
over - sharing examples of racism, antisemitism and misogyny.

 

Ellie Wilson, who lives in Glasgow, was raped while at university and began
posting about that experience on social media last summer. At the time, she
received a supportive response on Twitter.

 

But when she tweeted about her attacker in January after he was sentenced,
she was subject to a wave of hateful messages. She received abusive and
misogynistic replies - with some even telling her she deserved to be raped.

 

"[What] I find most difficult [is] the people that say that I wasn't raped
or that this didn't happen and that I'm lying. It's sort of like a secondary
trauma," Ms Wilson told me.

 

Her Twitter following was smaller before the takeover, but when I looked
into accounts targeting her with hate this time around, I noticed the
trolls' profiles had become more active since the takeover, suggesting
they'd been suspended previously and recently reinstated.

 

Some of the accounts had even been set up around the time of Mr Musk's
takeover. They appeared to be dedicated to sending out hate, without profile
pictures or identifying features. Several follow and interact with content
from popular accounts that have been accused of promoting misogyny and hate
- reinstated on Twitter after Musk decided to restore thousands of suspended
accounts, including that of controversial influencer Andrew Tate.

 

"By allowing those people a platform, you're empowering them. And you're
saying, 'This is OK, you can do that.'"

 

Several of the accounts also targeted other rape survivors she's in contact
with.

 

Andrew Tate did not respond to the BBC's request for comment.

 

New research from the Institute for Strategic Dialogue - a UK think tank
that investigates disinformation and hate - echoes what I've uncovered about
the troll accounts targeting Ellie.

 

It shows that tens of thousands of new accounts have been created since Mr
Musk took over, which then immediately followed known abusive and
misogynistic profiles - 69% higher than before he was in charge.

 

The research suggests these abusive networks are now growing - and that Mr
Musk's takeover has created a "permissive environment" for the creation and
use of these kinds of accounts.

 

Mr Musk's key priorities since the takeover - according to his tweets - are
to make the social media company profitable and to champion freedom of
expression.

 

In December 2022, he released internal documents called the "Twitter Files"
to explain why he believed the company hadn't been fairly applying its
moderation and suspension policies under the old leadership.

 

But those who have been on the inside, feel like Mr Musk has used this to
de-prioritise protecting users from harm altogether. Even the dangerous
content he's lobbied against, including Child Sexual Abuse and networks of
so-called bot accounts deliberately designed to mislead, isn't being tackled
as it was before, they say.

 

It is not just individual trolls that Twitter has previously tried to guard
against, but also so-called "influence operations" - state-sanctioned
campaigns seeking to undermine democracy and target dissidents and
journalists.

 

Ray Serrato worked in a team that specialised in tackling these operations.
He left in November because he felt there wasn't a clear vision to protect
users under the new leadership. He says his team would identify suspicious
activity like this "daily". Now his team has been "decimated" and exists in
a "minimised capacity".

 

"Twitter might have been the refuge where journalists would go out and have
their voice be heard and be critical of the government. But I'm not sure
that's going to be the case anymore."

 

"There are a number of key experts that are no longer in that team that
would have covered special regions, or threat actors, from Russia to China,"
he tells me.

 

Another insider, who we're calling Rory, is also very concerned about that
drain of expertise - and how it appears to be undermining a Musk priority,
preventing paedophiles using Twitter to groom victims and share links to
abuse. Rory was employed until very recently as part of a team tackling
child sexual exploitation [CSE].

 

His team would identify accounts sharing abusive content about children,
escalating the worst to law enforcement. Before the takeover such content
was a huge problem, he says - and he already feared they were understaffed.

 

"Every day you would be able to identify that sort of material," he says.

 

But his team was cut soon after the acquisition, he says, from 20 people to
around six or seven. In his view that's too few to keep on top of the
workload.

 

Rory says - before he left - neither Mr Musk nor any other member of the new
management made contact with him and his old team, who between them had
years of experience in this area.

 

"You can't take over a company and suddenly believe you have knowledge
 to
deal with [Child Sexual Exploitation] without having the experts in place,"
he says.

 

Twitter says it removed 400,000 accounts in one month alone to help "make
Twitter safer". But Rory is worried there are now fewer people with the
knowledge to effectively escalate concerns about this content with law
enforcement.

 

"You can by all means suspend hundreds of thousands of accounts in a month.
But if the reporting of that content [to law enforcement] has dropped, then
it doesn't really mean anything, and most of the users who had their
accounts suspended would just set up a new account anyway."

 

He adds that offending users can then just set up new accounts, at a time
when suspended profiles are being welcomed back to Twitter.

 

I wanted to ask Elon Musk about the takeover, his vision for Twitter and how
he thinks it is playing out in reality. I tried to contact him via email,
tweets and even a Twitter "poll". This wasn't a real poll but Mr Musk has
used these votes to make decisions about Twitter's future, and I was hoping
it might catch his attention. More than 40,000 users voted and 89% said Mr
Musk should do an interview with me. I had no response.

 

Twitter and Mr Musk are yet to respond to the points raised in the BBC
Panorama investigation. I'm told all of Twitter's communications team have
either resigned or been sacked. Twitter's policies, available online, say
that "defending and respecting the user's voice" remains one of its "core
values".-bbc

 

 

 

 

Food shortages due to 'supermarket culture', says Leon co-founder

The government's food tsar has blamed Britain's "weird supermarket culture"
for shortages of certain vegetables.

 

Henry Dimbleby said "fixed-price contracts" between supermarkets and
suppliers meant that when food is scarce, some producers sell less to the UK
and more elsewhere in Europe.

 

But the body that represents supermarkets denied that business was hampered
by such contracts.

 

Several supermarkets have limited sales of fresh produce in recent weeks.

 

Tomatoes, peppers and cucumbers are among those vegetables in scarce supply,
largely because of extreme weather affecting harvests in Spain and North
Africa.

 

Shortages are said to have been compounded by high energy prices impacting
UK growers, as well as issues with supply chains.

 

They also come as households are being hit by rising prices, with food
inflation at a 45-year high.

 

As an example of "market failure", Mr Dimbleby, who advises the government
on food strategy in England, said UK lettuce prices in supermarkets were
kept stable, regardless of whether there was a shortage or over supply.

 

He said this meant farmers could not sell all their produce when they had
too much - or be incentivised to grow more.

 

"If there's bad weather across Europe, because there's a scarcity,
supermarkets put their prices up - but not in the UK. And therefore at the
margin, the suppliers will supply to France, Germany, Ukraine," he told the
Guardian newspaper.

 

But Andrew Opie, director of food and sustainability at the British Retail
Consortium (BRC), which represents UK supermarkets, said retailers were
"pragmatists and recognise they need to pay more when costs are high and
product is short".

 

"They're working with growers every day," he added.

 

Mr Opie said regulation for supermarkets in many European countries meant
retailers there were "able to, and actually required" to pass on extra costs
to customers.

 

"Whereas UK retailers are doing everything they can to insulate consumers
from rapidly rising prices meaning cutting their margins and negotiating on
behalf of customers to keep prices as low as possible," he added.

 

He said importing tomatoes and lettuces from abroad during the winter
allowed supermarkets to offer customers "best value for money".

 

Mr Dimbleby, however, said he found the current situation "frustrating"
because "everyone is suddenly worried about a gap of vegetables in February,
when there are much bigger structural issues".

 

"There's just this weird supermarket culture," he said. "A weird competitive
dynamic that's emerged in the UK, and nowhere else in the world has it, and
I don't know why that is."

 

He added it was a "very difficult one for the government to solve".

 

Minette Batters, president of the National Farmers' Union (NFU), told the
BBC that some producers were on contracts that could be renegotiated to
factor in higher production costs - but not all of them.

 

"The fact that these contracts in many cases are not fit for purpose and if
you're not getting a fair return for what it is costing you, you're going to
contract your business," she said.

 

"It's why we are seeing many of the glasshouses across the country
mothballed. They should be producing high quality food, peppers, tomatoes,
cucumbers, to deal with this shortage."

 

The NFU president said the war in Ukraine had changed the outlook for food
security, but added she had been told previously by ministers and officials
that "food grown on our land is really not important at all, we are a
wealthy nation and we can afford to import it".

 

"I think that is now looking naïve in the extreme," she said. "We've got
huge capability here to be producing more of our fruit and vegetables."

 

The government said that while there were some issues with fresh vegetable
supplies, the UK "has a highly resilient food chain and is well equipped to
deal with disruption".

 

"We meet regularly with representatives from the entire food system - from
farm to fork - to discuss how we can respond to emerging situations
impacting the supply chain quickly and effectively," a spokesperson said.

 

Mr Dimbleby criticised the government last year and said ministers had only
taken on half of his recommendations from a landmark review of Britain's
food system.

 

He told the Guardian that food shortages would not be resolved until
ministers looked at what he outlined in his food strategy.

 

Last year, the UK faced a shortage of eggs, with supermarkets limiting how
many customers could buy.

 

The BRC said at the time that a variety of factors including avian flu and
the cost of production had hit supplies - but some farmers blamed retailers
for not paying a fair price.-bbc

 

 

 

Toblerone: Swiss rules mean chocolate bar to drop Matterhorn from packaging

Toblerone is to remove the Matterhorn mountain peak from its packaging when
some of the chocolate's production is moved from Switzerland to Slovakia.

 

The pyramid-shaped bar, which mirrors the Alpine peak, will undergo a
labelling revamp and include its founder's signature, its maker said.

 

US firm Mondelez said the image of the 4,478m (14,692 ft) mountain will be
replaced by a more generic summit.

 

Strict rules have applied about "Swissness" since 2017.

 

They state that national symbols are not allowed to be used to promote
milk-based products that are not made exclusively in Switzerland. For other
raw foodstuffs the threshold is at least 80%.

 

In a statement to the BBC, Mondelez said it was moving some production
outside of the country to "respond to increased demand worldwide and to grow
our Toblerone brand for the future".

 

It said its new packaging would include a "distinctive new Toblerone
typeface and logo that draw further inspiration from the Toblerone archives
and the inclusion of our founder, Tobler's, signature".

 

Toblerone, the mountain-shaped chocolate made from Swiss milk with honey and
almond nougat, first went on sale in 1908 in Bern, the capital city of
Switzerland.

 

But it was not until 1970 that the Matterhorn's jagged silhouette debuted on
its packaging, with the Bernese bear and eagle featuring before then,
according to the Toblerone website.

 

Mondelez said Bern was an "important part of our history and will continue
to be so for the future".

 

In 2016 Toblerone courted controversy by changing the design of the
chocolate bar to space out the distinctive triangular chunks in a bid to
keep down costs.

 

After much criticism the company reverted back to the original shape two
years later.-bbc

 

 

 

 

Arm opts for New York stock listing in blow to London

British microchip designer Arm says it will not pursue a London stock
exchange listing this year.

 

The Cambridge-based firm designs the tech behind processors - commonly known
as chips - that power devices from smartphones to game consoles.

 

Reports in January said Prime Minister Rishi Sunak had restarted talks with
Arm's owner, Japanese investment giant SoftBank, about a possible UK
listing.

 

Arm says it decided a sole US listing in 2023 was "the best path forward".

 

Chief executive Rene Haas said in a statement: "After engagement with the
British Government and the [Financial Conduct Authority] over several
months, SoftBank and Arm have determined that pursuing a US-only listing of
Arm in 2023 is the best path forward for the company and its stakeholders."

 

He added the company will consider a UK listing "in due course".

 

Listing a firm on a stock exchange takes it from being a private to a public
company, with investors able to buy and sell shares of a company's stock on
specific exchanges.

 

Arm's decision not to pursue a listing on the London Stock Exchange this
year has raised concerns that the UK market is not doing enough to attract
tech company stock offerings, with US exchanges seen to offer higher
profiles and valuations.

 

SoftBank Group Corp's founder and chief executive Masayoshi Son said last
year he would probably look to the tech-heavy Nasdaq exchange for a
potential Arm listing.

 

Arm had a dual listing on the London stock exchange and the Nasdaq for 18
years, before it was bought by SoftBank for $32bn (£26.7bn) in 2016.

 

Mr Haas said Arm is increasing its UK presence and headcount, including
opening a new site in Bristol, and will keep its material intellectual
property, headquarters and operations, in the UK.

 

"Arm is proud of its British heritage, and continues to work with the
British Government," he said. "We will continue to invest and play a
significant role in the British tech ecosystem."

 

A Government spokesperson said: "The UK is taking forward ambitious reforms
to the rules governing its capital markets, building on our continued
success as Europe's leading hub for investment, and the second largest
globally."

 

They added the UK "continues to attract some of the most innovative and
largest companies in the world" and acknowledged Arm's commitment to its UK
presence with more jobs and investment.

 

'Crown jewel'

Sometimes referred to as the "crown jewel" of the UK's technology sector,
Arm was founded in Cambridge, England, in 1990.

 

Its chip design instructions and technologies are used by manufacturers like
the Taiwan Semiconductor Manufacturing Company and companies like Apple and
Samsung to construct their own processors.

 

According to its latest quarterly filing, the company has shipped more than
250 billion Arm-based chips to date, and reported revenue up 28% on the same
period last year.

 

Efforts by SoftBank to sell Arm to graphics card giant Nvidia collapsed last
year as competition regulators in the UK, US and Europe probed whether the
deal would push up chip prices and reduce choice.

 

'Significant blow'

Russ Shaw CBE, founder of Tech London Advocates and Global Tech Advocates,
said Arm's statement offered "glimpses of hope" for its commitment to its
British roots, but Arm and SoftBank's decision to opt for a sole US listing
is "a significant blow to the UK tech sector".

 

Mr Shaw said it is also "disappointing news for the London Stock Exchange
and the heritage and future of the UK semiconductor industry".

 

He is among UK tech leaders who have called on the government to publish its
semiconductor strategy to support British companies operating in the chip
industry and supply chain.

 

He added Arm's decision "must be upheld as a case study for the UK
Government of how 'not to do it'" - citing the company's sale to SoftBank in
2016 as a factor determining its US-only listing.

 

"Nations like the US and China that recognise the strategic value of chip
companies would not have allowed such decisions to be made - then or now -
and the UK must now endeavour to proactively protect its semiconductor
industry," said Mr Shaw.-bbc

 

 

US-made cheese can also be called 'gruyere', court rules

The name "gruyere" can now be used to label cheeses from outside of the
Gruyère region of Switzerland and France, a US appeals court has ruled.

 

The Virginia court upheld a ruling stating that the US does not have the
same strict rules as Europe on the designation of origin for foods.

 

It agreed that "gruyere" can legally be used to describe cheese regardless
of where it was made.

 

The decision is seen as a victory for US dairy groups.

 

"Cheese - regardless of its location of production - has been labelled and
sold as gruyere in America for decades," the Richmond, Virginia-based 4th US
Circuit Court of Appeals ruled on Friday.

 

This includes cheese from the US, Netherlands, Germany or Austria, it said.

 

It upheld a ruling made by the US Patent and Trademark Office (USPTO), which
rejected a claim by two groups representing cheese producers from
Switzerland and France for a mark that would restrict the use of "gruyere"
to cheese from Gruyère itself.

 

The court said the French and Swiss groups "cannot overcome what the record
makes clear: cheese consumers in the United States understand 'GRUYERE' to
refer to a type of cheese, which renders the term generic".

 

The groups said they would continue to "pursue vigorously" their efforts to
protect the name.

 

US Dairy Export Council president Krysta Harden said in a statement that the
decision was an "outstanding result for manufacturers and farmers here".

 

The US Food and Drug Administration does have some standards that need to be
met to call cheese "gruyere" - it must have "small holes" and have been aged
for at least 90 days.-bbc

 

 

 

Zoom boss Greg Tomb fired ‘without cause’

Video conferencing platform Zoom has sacked its president, Greg Tomb, a
former Google executive.

 

Mr Tomb's contract was abruptly terminated "without cause", according to the
company in a regulatory filing.

 

The businessman had taken up the role in June 2022 and had been active on
earnings calls and overseeing the company's sales.

 

A spokesperson for Zoom said the tech firm isn't looking for a replacement.

 

Mr Tomb reported directly to chief executive officer Eric Yuan, who started
Zoom in 2011 and was at the helm as the company became one of the pandemic's
biggest winners.

 

Zoom became a household name as people needed to stay at home, and screen
time increased.

 

There were Zoom weddings and funerals, and by April 2020 the company said
300 million daily participants were on Zoom calls.

 

At the time of Mr Tomb's appointment, Mr Yuan said he was excited about the
strength he was adding to the leadership team: "Greg is a highly respected
technology industry leader and has deep experience in helping to scale
companies at critical junctures."

 

Mr Tomb said he was thrilled to join the team and help "drive growth" as
businesses around the world addressed their communications needs.

 

But it has been a difficult picture for the company, which has struggled to
maintain its pandemic boom and - like many others in the tech sector - it
has been forced to lay off staff.

 

Despite Zoom tripling its head count in two years during the pandemic, in
February the company cut 15% of its staff - 1,300 people - to deal with
waning demand.

 

"We didn't take as much time as we should have to thoroughly analyse our
teams or assess if we were growing sustainably, toward the highest
priorities," Mr Yuan said.

 

As companies look to cut costs in the face of an economic downturn, Zoom
could be left behind in favour of rival services such as Google Meet,
Microsoft Teams and Slack.

 

Zoom is trying to diversify. Last year, it announced plans to integrate
email and calendar features and a chatbot to help users with troubleshoot
issues. Zoom Sports is also in the works.-bbc

 

 

 

Is London's stock market losing its lustre?

It's over a year since UK hedge fund boss Sir Paul Marshall declared that
London was becoming a financial "Jurassic Park" - full of beasts of a bygone
era.

 

Old-fashioned companies and old-fashioned investors who prized dividends
over growth and who had therefore missed the greatest era of wealth creation
in over a century as US-listed tech companies commanded high valuations for
their growth prospects.

 

Although US big tech has had a reality check since then as rising interest
rates reduce the value of future earnings - hitting share prices - if
anything the allure of US stock markets has seemingly become more seductive.

 

This week, chip designer Arm Holdings, once the crown jewel of UK
technology, decided its future lay as a US-listed company having been bought
seven years ago by a Japanese investment fund.

 

Arm's decision comes despite intense lobbying to list here from UK
politicians - including former Goldman Sachs banker Rishi Sunak.

 

Arm is not alone in going west for greater fortune.

 

Huge Irish-based building materials company CRH is also moving its primary
listing from London to New York, which often offers higher valuations and
higher trading volumes - an attraction for investors as they can buy and
sell more easily without affecting the price.

 

For example, daily trading in Apple shares alone is almost double the value
of all trading on the London Stock Exchange.

 

Some high-profile UK public share sales have also flopped in recent years.
Food delivery company Deliveroo shares are down 71% since they first listed
in the UK and one of its first shareholders, Danny Rimer of Index Ventures,
has told the BBC that if he had his time again he would have voted for a US
listing.

 

Companies going cheap on a market that's lost some pizzazz have also
attracted bargain hunters. Private investment funds that see UK shares as
undervalued have swooped on publicly listed companies - defence contractors
Meggit and Ultra, supermarket Morrisons, technology company Aveva and others
have ended in private, mostly foreign, hands.

 

UK investors are also shunning UK listed companies. Over the past two
decades, the percentage of UK pension fund assets invested in UK companies
has fallen from over 40% to under 5%. They too prefer to do their shopping
abroad.

 

Does it matter? Pension funds, or individual investors, can buy shares
whether they are listed in the UK, US or one the European exchanges.

 

But a UK listing generates significant ancillary business for a UK financial
services industry that still makes up more than 10% of the UK's entire
economy and contributes more than 10% of all taxes paid here.

 

Accountants, lawyers, financial PR firms and others feed off the fees that
UK listings generate.

 

The exodus has not gone unnoticed by the government. It has been scrambling
to try to make the UK a more attractive place for companies to set out their
stall.

 

Lord Jonathan Hill proposed new rules to relax requirements for companies to
offer at least 25% of their shares for public purchase in order to list, as
well as allowing companies to issue shares with reduced voting rights -
favoured by business founders who want to raise money without losing control
of their company.

 

The so-called Edinburgh reforms announced late last year included some of
these along with a new duty for regulators to consider competitiveness when
policing the markets.

 

In response to Arm's decision to seek a US share listing, the government
said: "The UK is taking forward ambitious reforms to the rules governing its
capital markets, building on our continued success as Europe's leading hub
for investment, and the second largest globally.

 

"We continue to attract some of the most innovative and largest companies in
the world."

 

London staged something of a fightback in 2021, with its best year for new
public listings since 2007. But before we start high-fiving and cheering New
York-style, bear in mind that 20 times as many companies raised 50 times as
much money in the US - in the same period.

 

Just this week, the chief executive of a large international bank told me he
remained confident that London and the UK would remain an attractive place
for companies to raise money. The old virtues of time zone, language,
trusted English law and a deep pool of talent remain valued.

 

But for many companies, new and old, the most important value is the worth
of their company, and as long as its worth more in a US shop window, the
more companies will want to be displayed there.-bbc

 

 

 

 

Northampton town centre: Regeneration planned in £8.5m revamp

The improvements to Abington, in Northampton Town Centre, could "encourage
community activity"

A market town that is having a £8.5m revamp could have further improvements
made to its centre.

 

West Northamptonshire Council said Abington and Fish Street, in the heart of
Northampton, could be redeveloped to improve the appearance and paving.

 

The plans could "positively revitalise one of the busiest commercial and
pedestrian routes through the town's main shopping street", it said.

 

New seating, planting and outdoor dining space could be installed.

 

It would "complement the wider regeneration of the town centre", including
the £8.5m Market Square revamp and "provide enhanced connectivity with the
rest of the town", the council added.

 

Conservative councillor Dan Lister, cabinet member for economic development,
town centre regeneration and growth, said: "Our design is intended to help
this area adapt to the changing face of the High Street by encouraging cafe
culture and creating more appealing and flexible surroundings for visitors
and those who live in the town centre.

 

"The enhanced features and appearance, as well as new facilities will offer
a fantastic space for people to use and enjoy."

 

People have been asked to attend a number of public events or complete a
survey online.-bbc

 

 

 

 

 

Arm opts for New York stock listing in blow to London

British microchip designer Arm says it will not pursue a London stock
exchange listing this year.

 

The Cambridge-based firm designs the tech behind processors - commonly known
as chips - that power devices from smartphones to game consoles.

 

Reports in January said Prime Minister Rishi Sunak had restarted talks with
Arm's owner, Japanese investment giant SoftBank, about a possible UK
listing.

 

Arm says it decided a sole US listing in 2023 was "the best path forward".

 

Chief executive Rene Haas said in a statement: "After engagement with the
British Government and the [Financial Conduct Authority] over several
months, SoftBank and Arm have determined that pursuing a US-only listing of
Arm in 2023 is the best path forward for the company and its stakeholders."

 

He added the company will consider a UK listing "in due course".

 

Listing a firm on a stock exchange takes it from being a private to a public
company, with investors able to buy and sell shares of a company's stock on
specific exchanges.

 

Arm's decision not to pursue a listing on the London Stock Exchange this
year has raised concerns that the UK market is not doing enough to attract
tech company stock offerings, with US exchanges seen to offer higher
profiles and valuations.

 

SoftBank Group Corp's founder and chief executive Masayoshi Son said last
year he would probably look to the tech-heavy Nasdaq exchange for a
potential Arm listing.

 

Arm had a dual listing on the London stock exchange and the Nasdaq for 18
years, before it was bought by SoftBank for $32bn (£26.7bn) in 2016.

 

Mr Haas said Arm is increasing its UK presence and headcount, including
opening a new site in Bristol, and will keep its material intellectual
property, headquarters and operations, in the UK.

 

"Arm is proud of its British heritage, and continues to work with the
British Government," he said. "We will continue to invest and play a
significant role in the British tech ecosystem."

 

A Government spokesperson said: "The UK is taking forward ambitious reforms
to the rules governing its capital markets, building on our continued
success as Europe's leading hub for investment, and the second largest
globally."

 

They added the UK "continues to attract some of the most innovative and
largest companies in the world" and acknowledged Arm's commitment to its UK
presence with more jobs and investment.

 

'Crown jewel'

Sometimes referred to as the "crown jewel" of the UK's technology sector,
Arm was founded in Cambridge, England, in 1990.

 

Its chip design instructions and technologies are used by manufacturers like
the Taiwan Semiconductor Manufacturing Company and companies like Apple and
Samsung to construct their own processors.

 

According to its latest quarterly filing, the company has shipped more than
250 billion Arm-based chips to date, and reported revenue up 28% on the same
period last year.

 

Efforts by SoftBank to sell Arm to graphics card giant Nvidia collapsed last
year as competition regulators in the UK, US and Europe probed whether the
deal would push up chip prices and reduce choice.

 

'Significant blow'

Russ Shaw CBE, founder of Tech London Advocates and Global Tech Advocates,
said Arm's statement offered "glimpses of hope" for its commitment to its
British roots, but Arm and SoftBank's decision to opt for a sole US listing
is "a significant blow to the UK tech sector".

 

Mr Shaw said it is also "disappointing news for the London Stock Exchange
and the heritage and future of the UK semiconductor industry".

 

He is among UK tech leaders who have called on the government to publish its
semiconductor strategy to support British companies operating in the chip
industry and supply chain.

 

He added Arm's decision "must be upheld as a case study for the UK
Government of how 'not to do it'" - citing the company's sale to SoftBank in
2016 as a factor determining its US-only listing.

 

"Nations like the US and China that recognise the strategic value of chip
companies would not have allowed such decisions to be made - then or now -
and the UK must now endeavour to proactively protect its semiconductor
industry," said Mr Shaw.-bbc

 

 

 

First class stamp price to rise to £1.10

The price of a first class stamp is to rise above £1 in April, Royal Mail
has announced.

 

>From 3 April, first class stamps will increase by 15p to £1.10, while second
class stamps will rise by 7p to 75p.

 

Royal Mail said the increases were needed to ensure the
"one-price-goes-anywhere Universal Service remains sustainable".

 

But Citizens Advice said nobody should be paying more for a "subpar service"
and called for the regulator to act.

 

The price increases will come in the day before the first stamps with the
image of King Charles go on general sale.

 

Royal Mail said the changes had been subject to "careful consideration" with
letter volumes down 25% since the pandemic and with the business facing
rising costs.

 

"We appreciate that many businesses and households are facing a challenging
economic environment and we are committed to keeping our prices affordable,"
said Nick Landon, chief commercial officer at Royal Mail.

 

"We have to carefully balance our pricing against a continued decline in
letter volumes and the increasing costs of delivering letters six days a
week to an ever-growing number of addresses across the country."

 

However, the move was sharply criticised by Citizens Advice.

 

"These record-breaking prices couldn't be coming at a worse time for
consumers, who'll now be paying 64% more for a first class stamp than five
years ago," said Matthew Upton, director of policy at Citizens Advice.

 

He added that with millions missing important letters as result of postal
delays, "nobody should be paying more for this kind of subpar service".

 

"Ofcom should be holding Royal Mail to account, but it's letting the company
get away with rocketing prices and over two years of missed delivery
targets."

 

The regulator said it caps the price of second class stamps "to make sure an
affordable option is always available".

 

But it said Royal Mail needed flexibility on pricing first class stamps "to
make sure the universal postal service can continue".

 

No crown for King Charles on new stamp

A hundred days left to use stamps with no barcode

Royal Mail said it remained "committed" to the Universal Service, which
means it is required to deliver letters at a uniform price to UK addresses
six days a week.

 

However, it added that the costs of meeting it were increasing, with the
number of letters sent having fallen from more than 20 billion in 2004-05,
to about eight billion a year now.

 

It added that it expected to report a full-year loss of between £350m and
£450m.

 

Last year, Royal Mail asked the government if it could drop Saturday letter
deliveries, by changing its Universal Service Obligation from six days a
week to five.

 

Royal Mail has also been hit by strike action in a long-running dispute with
the Communication Workers Union over pay and conditions.

 

The company has said that the strikes, which included several in the run-up
to Christmas, have cost it millions.-bbc

 

 

Malawi: Chakwera, UN Chief Bemoans Unfair Global Landscape, 'Historic'
Injustices

Malawi President Lazarus Chakwera and the United Nations (UN) Director
General Antonio Guterres, on Sunday took a swipe at developed countries,
accusing the wealthy world of deliberately an unfair global economic and
financial system which they argue has exacerbated "historic injustices"
across the globe.

 

Chakwera speaking in his capacity as the LDCs Chairperson- as well as
Guterres, spoke separately when they addressed the opening plenary meeting
of the ongoing 5th UN Conference on LDCs in Doha, Qatar.

 

LDCs are a home to an estimated 1.2 billion people, which roughly represents
about 17 percent of the global population.

 

 

Making an honest assessment, Guterres told the conference that LDCs are
today trapped in vicious cycles that make development in these poorest
countries very challenging.

 

"Because economic development is challenging when countries are starved for
resources, drowning in debt, and still struggling with the historic
injustice of an unequal Covid-19 response, starting with vaccines and then
by the very unfair access to the resources needed for recovery," said the UN
top boss.

 

According to Guterres, human development in LDCs continues to be challenging
since critical sectors such as education, health care and social protection
systems are struggling.

 

He continued: "A thriving business community and the creation of decent jobs
is challenging if economies are stuck in first gear -- exporting raw
materials without opportunities for structural transformation to rapidly
move up the value chain."

 

 

Commenting on climate change "catastrophe," Guterres stated that combatting
the vice that LDCs themselves did nothing to cause it "is challenging when
the cost of capital is sky-high and the financial support you receive to
mitigate and adapt to the destruction is a drop in the bucket."

 

Meanwhile, Guterres lamented that as it stands, bigger economies on one
hand, continue to heat the planet and spew greenhouse gas emissions at
record rates.

 

He noted that fossil fuel giants are raking in huge profits, while millions
of livelihoods in LDCs cannot put food on the table.

 

"You risk being left behind in the digital revolution without the support or
technology you need for social and economic development or job-creation."

 

LDCs continue to suffer from multiple internal and external shocks including
ravaging impacts of war and conflicts, droughts, hunger and extreme poverty.

 

 

According to the UN boss, in order to narrow the gap between the rich world
and the poorest nations, it is imperative to massively ensure sustained
investments as well as massive financial and economic support in LDCs.

 

On the global financial system, Guterres said the unequal system was
designed by wealthy countries, "largely to their benefit," stressing that
the UN is strongly insisting to G20 nations to urgently reform such a
system.

 

"Deprived of liquidity, many of you are locked out of capital markets by
predatory interest rates. Deprived of effective debt relief, you can be
forced to spend an ever-growing share of government revenue on debt service
costs," he added.

 

On his part, Chakwera urged LDCs that going forward, their own pursuit of
middle-income status must be different.

 

He said their path to development must be more responsible for the welfare
of all mankind and more responsive to the urgent need for development that
lifts all nations.

 

According to Chakwera, LDCs must work together as the pains being inflicted
by the rich world is being felt in common in all LDCs.

 

" For instance, over the last two years, output losses were larger in LDCs
than anywhere else. Additionally, LDCs continue to have limited access to
vaccines and to be constrained by lack of fiscal space."

 

-Nyasa Times.

 

 

Uganda: Govt to Make It Easier for Eritrean Community to Invest in Uganda

The Ugandan government and leaders of Eritreans living in the country have
resolved to set up an information centre that will provide vital business
knowledge to Eritrean investors.

 

This resolution was reached at during the first-ever Eritrean diaspora
investment conference organised by the president's office in charge of
diaspora affairs in Kampala, themed 'Anchoring Eritrean investment into a
vibrant Uganda.'

 

The third Deputy Premier, Lukia Nakadama, who was the chief guest commended
Ambassador Abbey Walusimbi for the initiative and carrying forward the
President Museveni's vision of making Uganda an investment hub.

 

 

She reechoed the president's call of the Pan-Africanism spirit, which
creates a sense of brotherhood among Africans.

 

Nakadama noted that by anchoring Eritrean investment in Uganda's economy,
the country will be taking a step towards achieving the president's vision
of having a robust East African economy, that's not entirely dependent on
donor funding.

 

She wooed Eritrean investors to take advantage of the unexplored
opportunities in the agriculture and education sectors, adding that the
president has created avenues to grow them.

 

The Deputy Premier called upon Eritrean investors to set up ventures in the
country, saying there is continued peace and stability.

 

The Minister for Kampala Metropolitan Affairs, Minsa Kabanda, said the
capital city is full of opportunities, especially for serious investors,
pointing out that forming an Eritrean-Uganda centre, which will act as a
stop-gap measure to some of the issues that could hinder Eritrean investment
in the country.

 

 

The centre will also house cultural artifacts.

 

The minister said her office is open to the Eritrean investors who plan to
put their money in Kampala.

 

The Senior Presidential Advisor on Diaspora Affairs, Amb. Abbey Walusimbi,
commended the Eritreans for choosing Uganda as their second home, and
contributing to its economic growth through various investments.

 

On the other hand, he noted that the Eritrean community faces a number of
challenges, including access to information on investment areas, access to
work permits, business, trade and investment incentives, information on
taxation, laws governing citizenship, process of acquiring land for business
and investment, verification of Eritrean academic papers to enable Eritreans
access Ugandan job opportunities, among others.

 

 

He assured the Eritrean community that as part of the president's vision of
creating one market for Africa's economic prosperity, the aforementioned
challenges will be solved.

 

Walusimbi reckoned that President Museveni opened Uganda's borders, in a bid
to attract not only Eritreans but also other foreigners who have made Uganda
their second home.

 

He assured Eritrean investors of the country's peaceful ambiance, and urged
them to spread the Ugandan investment gospel amongst their community.

 

The State House Senior Principal Legal Officer to the president, Sandra
Ndyomugyenyi, thanked Walusimbi for this initiative which will cement
Uganda's relationship with Eritrea, and promote a united Africa.

 

She guided the Eritrean investors on minimising bureaucracies, legal
constraints that frustrate business in Uganda, calling upon them to always
engage the relevant government authorities.

 

The legal officer urged them to obtain approval from UIA or other government
agencies before acquiring land for business.

 

A Senior consultant from the State House Anti-corruption unit, asked members
of the Eritrean community to report any corruption tendencies they face,
adding that the unit will help them to fight illegalities and harassment
face in doing business and investment.

 

The Eritrean community representative, Kidane Ghebrehawariat Habteselassie,
said the conference opened a new chapter to further the existing ties
between both nations.

 

He commended the government and people of Uganda for welcoming them, and
mentioned that President Museveni has championed many great achievements,
including peace, but most importantly his relentless commitment to the
spirit of Pan-Africanism.

 

Kidane also thanked the government of Uganda for putting in place favourable
policies, which have enabled Eritrean investors to become part of Uganda's
economy.

 

He reiterated President Museveni's call to promote common interests above
identities, highlighting some of the positive contributions made by
Eritreans, including direct foreign investment remittances through monetary
injections and promoting tourism.

 

He, however, appealed to the government to deal with and iron out some of
the challenges such as crimes of theft which discourage investors.

 

The event saw Uganda Investment Authority (UIA), Ministry of Trade, Uganda
Revenue Authority (URA), Directorate of Citizenship Immigration Control,
Office of the President, Ministry of Education and Sports, Ministry of
Lands, State House, Ministry of Foreign Affairs, Anti-Corruption Unit, Bank
of Uganda, Post Bank Uganda, Uganda Police Force, Ministry of Agriculture,
Ministry of Internal Affairs, Ministry of Health, Judiciary, State House
Legal Unit, MOF Diaspora Dept, Bank of Uganda, Post Bank among others
represented.

 

 

 

 

Nigeria: Inflationary Pressures, Dollar Hike Put Emerging Market Under
Pressure in 2023

Euromonitor International, in its report, revealed that inflationary
pressures in the emerging economies are expected to persist in 2023 as the
high exchange rate of the US dollar, lower foreign exchange reserves and
delayed pass-through of the higher energy and commodity prices add to the
price pressures.

 

It, however, added that, "Inflationary pressures in the emerging economies
are expected to persist in 2023 as the high exchange rate of the US dollar,
lower foreign exchange reserves and delayed pass-through of the higher
energy and commodity prices add to the price pressures. "

 

The reports stated that potential energy price hikes, ongoing
de-globalisation, structural labour market problems and
faster-than-anticipated economic recovery in China remained among the key
risks that could accelerate price growth in 2023.

 

 

In addition, consumer purchasing power in 2023 is forecast to be further
eroded by stubbornly high prices of essential goods and rising interest
rates.

 

While Global inflationary pressures are forecast to continue to ease in Q1
2023, under the baseline scenario, global inflation is forecast to reach
6.5% in 2023 and then fall to 4.5% in 2024.

 

The notable and credible research platform also said that slower global
economic growth and consequently weaker demand in large part help to cap the
inflation growth.

 

The economic monitor in its futuristic analysis opined that faster economic
growth in China could accelerate commodity price growth in 2023. It
explained that China's economy slowed down as the country handled a
disruptive reopening of the economy after the U-turn on its zero-COVID
policy that it announced in December 2022.

 

 

"Faster economic growth in China could increase inflationary pressures
through higher commodity prices, as China is among the largest consumers of
metals and energy. It could also in turn, spark commodity price increases in
the second half of 2023, with the biggest effects expected on the metals,
energy and agricultural commodities.

 

"For example, China's construction sector accounted for 12 per cent of
global spending on metal products while China's electronic components
industry consumed nine per cent of the global hi-tech goods in 2021," the
report stated.

 

Euromonitor reaffirmed that higher prices are likely to erode consumer
income gains and hurt consumption.

 

The international business research body averred that the cost-of-living
crisis largely affects the low-income consumers in the emerging markets,
which indicated that low-income consumers in emerging markets experienced
faster living costs growth over the period 2018-2023 as they spend a higher
proportion of their income on essential goods and are thus more impacted by
food price or housing cost increases.

 

 

Moreso, it stipulated that high savings accumulated during the COVID-19
pandemic helped temporarily to cushion inflationary effects and support
spending growth, an effect it presumes will continue to wane as consumers
face rising costs of essential goods.

 

This, it maintained, will become a multiplier effect as higher interest
increases housing costs and limits consumer willingness to finance purchases
of big-ticket items through debt.

 

"Inflation in the U.S. is predicted to reach 4.0 per cent in 2023 and 2.5
per cent in 2024. Lower prices of energy and manufactured goods, as well as
the effect of the higher interest rates help to cap the inflation.

 

In another projection, it predicted that inflation in China is forecast to
increase slightly to 2.5 per cent in 2023 and 2.3 per cent in 2024 while the
reopening of the economy and relaxation of pent-up demand is expected to
drive up inflation slightly.

 

"Inflation risks in the Eurozone have eased slightly although high energy
prices continue to add to the inflationary pressures. The largest Eurozone
economies with high dependence on energy imports, i.e. Germany, Italy and
Spain, are forecast to see inflation rates of 6.7 per cent, 7.2 per cent and
4.5 per cent, respectively.

 

"In 2023 the Cascading effects of the higher energy prices to other sectors
and potential removal of energy subsidies to households are among the
highest inflationary risks in the Eurozone. Elimination of Russia from
Europe's gas market and growing demand for gas in China are also the
potential risk factors to consider that could accelerate inflationary
pressures in 2023."

 

-Leadership.

 

 

 

Nigeria: $176bn Revenue At Risk As Huawei Moves to Sue Govt in London Over
$304m e-Customs Project

Huawei Technologies, one of the Special Purpose Vehicle (SPV) partners in
the disputed $304 million e-Customs project, would next month sue the
Nigerian government in London, over moves by the Nigeria Customs Service
(NCS) to award the concession agreement to a company formed late last year
as against the federal government's approval for the engagement of a
consortium led by Bionica West Africa Limited.

 

Since the approval of the deal, the management of NCS, which wanted a
different shareholding structure and control of the SPV, had been battling
the lead sponsor, resulting in litigations.

 

The project, initiated by Bionica West Africa Limited in 2018, with Bergman
Security Consultant and Supplies Limited (representing the NCS), Huawei, and
African Finance Cooperation (AFC) as partners, was approved by the federal
government on September 17, 2019. This followed a memo sent to the Federal
Executive Council (FEC) by the Minister of Finance, Budget and National
Planning.

 

 

Acting on the memo by the Minister of Finance, Budget and National Planning
to FEC for approval, President Muhammadu Buhari had vide letter
SH/COS/08/10/4/225 of 17th September, 2019, granted anticipatory approval
for the engagement of the Consortium Bionica Technologies West Africa
Limited (Lead sponsor), Bergman Security Consultant and Supplies Limited
(Co-sponsor), Africa Finance Corporation (lead financier), and Huawei (lead
technical service provider), to establish a project SPV to enter a 20-year
concession arrangement with NCS and ICRC for the Customs Modernisation
Project (Establishment of digital/paperless Customs Administration).

 

 

But the management of NCS had been at loggerheads the lead sponsor.

 

It was learnt that NCS allegedly falsified documents to enable it expunge
Bionica, the lead sponsor of the project, and hand same to a company
allegedly formed late last year by an ally of the Customs Comptroller
General, Col Hammed Ali (rtd.).

 

In a letter dated May 23, 2022, which was received by the president's office
on May 24, 2022, the Comptroller-General of Customs claimed that following
the final vetting and approval of the concession agreement by the Attorney
General of the Federation (AGF) for execution by parties, Bionica
Technologies West Africa Limited, one of the co-sponsors, had rejected the
approved concession agreement by the AGF as directed by FEC. He added that
Bionica rejected and refused to execute the concession agreement extensively
reviewed by all stakeholders and approved by the AGF.

 

Ali also alleged that Bergman Security Consultant and Supplies Limited and
other parties had indicated their readiness to execute the concession
agreement and that the technical partners (Huawei) and the lead financier
AFC had confirmed their willingness to perform their roles in the
Implementation of the project.

 

 

He concluded in the letter to Buhari, "In the light of the foregoing, Your
Excellency is kindly invited to graciously approve that the NCS and ICRC
proceed with the implementation of the customs modernisation project with
Bergman Security Consultant and Supplies Limited as project sponsor, AFC
lead financier and Huawei lead technical service provider under the SPV
designated as Trade Modernisation Project Limited with the exclusion of
Bionica Technologies West Africa Limited."

 

However, documents seen by THISDAY showed that Bionica initiated the project
six years ago and had put partners together, spending N5.7 billion in the
process.

 

The NCS had in another letter to the president dated May 4, 2018, with
reference number NCS. ADMMGTO18/S 15/C/ Vol VI, proposed to partner with
Huawei Consortium, comprising Bionica Technologies West Africa Limited (lead
promoter}, Bergman Security Consultant and Supplies Limited (co-promoter),
African Finance Corporation (AFC Lead financier), Huawei Nigeria Limited as
the Technical Partners with other Original Equipment Manufacturers (OEMs).
This was to be done under a PPP Concession arrangement to develop, design,
implement and maintain the required e-Customs End-to-End ICT platform to
digitalise Customs Business Processes and Procedures, upgrade Customs ICT
infrastructure to world-class, and address NCS critical operational
challenges and loopholes, management, regulation, control supervision and
prevention of smuggling of goods across the country's borders, and also
effectively tackle the current national security challenges of terrorism.

 

Based on this, Bionica sought and got approvals from PenCom, the
Infrastructure Concession Regulatory Commission (ICRC), and related
government agencies and had proceeded to secure the federal government's
approval for the take-off of the project.

 

But things took a different twist when the Customs ignored federal
government directive and made efforts to delete Bionica as lead sponsor.

 

In a suit filed by Bionica, which had the federal government and the
Attorney General of the Federation (AGF) as respondents, the company prayed
the court to intervene in the subject matter, threatening the e-Customs
project expected to automate and digitalise all NCS business processes and
procedures and establish a digital paperless Nigeria Customs organisation,
thereby, institutionalising the use of emerging smart technologies in all
NCS operations.

 

THISDAY learnt that despite the suit pending in the court, the NCS secretly
made moves to have the concession agreement signed with a company that was
formed last year

 

Meanwhile, Bionica's lawyers in a letter to the AGF dated October 21, 2022,
requested for the intervention of the AGF on the lingering issues on the
execution of FEC-approved concession agreement, which had delayed the
progress of the e-Customs project

 

Bionica's lawyers stated, "Surprisingly, we received a letter from the
office of the AGF of the Federation dated 17th of January, 2023, but
received 19th January, 2023 directing and informing that due to the pendency
of the matter in Court in suit No: FHC/ABJ/CS/848/2022 between E-customs HC
projects Limited & Anor -V- Federal Government of Nigeria &ORS we should
wait for the decision of the court before any possible step can be taken."

 

THISDAY learnt that the total cost of implementing the project was
approximately $1.896 billion, made up of Capital Expenditure (CAPEX) and
Operating Expenditure (OpEX).

 

It was learnt that the e-Customs project would be implemented in three
phases over the 20-year concession period with investment cost of about $304
million CAPEX in phase one, while the second phase would be $465.382 million
CAPEX and phase three investment of $435.8 million.

 

The CAPEX covers each deployment phase covering Hardware, Application,
Equipment, Application Implementation Service, ICT infrastructure Service,
Marine Deployment and the SPV costs, while the Direct Costs for OPEX for the
duration of the concession is estimated at $1.896 billion, which includes
all fixed and variable costs, expenses and charges directly and completely
attributable to the day-to-day operations of the e-Customs platform.

 

The project was to be financed through contributions from promoters'
investments and vendor finance. The proposed financing plan for the project
showed that it would be financed with an initial investment of $304 million
from the project sponsors, vendor finance and debt finance in phase 1.

 

Sources with knowledge of the deal told THISDAY that the full development
and implementation of the e-customs project would generate a total revenue
of $176.2 billion over the concession period and would adopt a staggered
revenue sharing formula between the concessionaire and the federal
government of Nigeria.

 

-This Day.

 

 

 

 

 


 


 


Invest Wisely!

Bulls n Bears 

 

Cellphone:      <tel:%2B263%2077%20344%201674> +263 77 344 1674

Alt. Email:       <mailto:info at bulls.co.zw> bulls at bullszimbabwe.com  

Website:         <http://www.bullszimbabwe.com> www.bullszimbabwe.com 

Blog:
<https://bullszimbabwe.com/category/blogs/bullish-thoughts/>
www.bullszimbabwe.com/blog

Twitter:         @bullsbears2010

LinkedIn:       Bulls n Bears Zimbabwe

Facebook:
<http://www.google.com/url?q=http%3A%2F%2Fwww.facebook.com%2FBullsBearsZimba
bwe&sa=D&sntz=1&usg=AFQjCNGhb_A5rp4biV1dGHbgiAhUxQqBXA>
www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 



 

 

 


 

INVESTORS DIARY 2023

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

Good Friday

 

April 7

 


 

Easter Saturday

 

April 8

 


 

Easter Sunday

 

April 9

 


 

Easter Monday

 

April 10

 


 

Independence Day

 

April 18

 


 

Workers’ Day

 

May 1

 


 

Africa Day

 

May 25

 


 

 

 

 

 


Companies under Cautionary

 

 

 


CBZH

TSL

Fidelity

 


Willdale

FMHL

ZBFH

 


GetBucks

Zimre

Seed Co

 


 

 

 

 


 

 

 

 


 <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) 2023 Web: <http://www.bullszimbabwe.com>  www.bullszimbabwe.com Email:
<mailto:info at bulls.co.zw> bulls at bullszimbabwe.com Tel: +263 4 2927658 Cell:
+263 77 344 1674

 


 

 

 

 

 

-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20230306/7c513a92/attachment-0001.html>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image001.png
Type: image/png
Size: 9458 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20230306/7c513a92/attachment-0002.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.jpg
Type: image/jpeg
Size: 30931 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20230306/7c513a92/attachment-0003.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.jpg
Type: image/jpeg
Size: 29258 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20230306/7c513a92/attachment-0004.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.png
Type: image/png
Size: 34378 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20230306/7c513a92/attachment-0003.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.jpg
Type: image/jpeg
Size: 29361 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20230306/7c513a92/attachment-0005.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: oledata.mso
Type: application/octet-stream
Size: 65564 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20230306/7c513a92/attachment-0001.obj>