Major International Business Headlines Brief::: 03 December 2024

[Bulls n Bears]

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Major International Business Headlines Brief:::  03 December 2024 

 


 


 


 <mailto:info at bulls.co.zw> 

 


 

 


 

ü  South Africa: Eskom Suspends Power Cuts to Johannesburg

ü  Zimbabwe: Zesa Boss Presents 720 Megawatts Project As Solution to
Crippling Load Shedding, Says He Knows the Anger Zimbabweans Have Over Power
Cuts

ü  Nigeria: Govt's $1.7bn Eurobond Oversubscribed At $9.1bn, Sign of
Investors' Confidence in Ongoing Reforms

ü  Nigeria: We'll Not Withdraw Tax Reform Bills, Committee Ready to
Re-Engage Stakeholders - Oyedele

ü  Nigeria: No Provision Will Impoverish North in Tax Bills - Presidency

ü  Africa: Welight Lights Up 186 Villages Across Africa Via Mini-Grids

ü  Nigeria: NPA, Nigerdock Finalize $1bn Snake Island Port Agreement

ü  Nigeria: Inflationary Pressures Hamper Business Operations in November

ü  Nigeria: Minimum Wage - NLC Replies Ebonyi Governor Over Threat to Sack
Striking Workers

ü  South Africa: Ramaphosa Appoints Cracker Economic Growth Team Ahead of
G20 Presidency

ü  Nigeria: After Selling Nigeria's Onshore Oil Assets, Eni Buys 4 Offshore
Blocks in Côte d'Ivoire

ü  Nigeria: 60% of Drilling, Engineering Firms in Nigeria's Oil Sector Blame
Govt Policies for Stunted Activities

ü  Jaguar's new electric concept car divides opinion

ü  Musk's record $56bn pay deal rejected for second time

ü  Trump picks investment banker Warren Stephens as UK ambassador

ü  Stellantis boss abruptly quits in boardroom clash

 


 <mailto:info at bulls.co.zw> 

 


 

South Africa: Eskom Suspends Power Cuts to Johannesburg

Power utility Eskom has suspended its notice of potential power cuts to the
City of Johannesburg (CoJ) and City Power (CP), initially issued due to
unpaid debts, reports IOL. CoJ owes Eskom R4.9 billion, with unpaid
municipal bills nationwide amounting to R90 billion as of September 2024,
significantly affecting the utility's finances. Eskom said it had tried to
accommodate CoJ but could no longer sustain the debt without harming its
operations. Daphne Mokwena from Eskom confirmed the suspension will allow
time for an independent investigation, led by the Minister of Electricity
and Energy, into an R3.4 billion overbilling dispute. A meeting on November
11 resulted in an agreement to appoint an expert to resolve the issue.

 

Eight-Year Delay on Bloemfontein Police Station

 

Renovations at the Park Road Police Station in Bloemfontein have been
ongoing for eight years, costing taxpayers R62.8 million, according to
Public Works and Infrastructure Minister Dean Macpherson, reports IOL. The
project, which began in 2017, has faced multiple delays due to poor
performance by contractors. The initial contractor, Soaring Summit
Development, ceded the project in 2019 to Ikaheng Plant Hire Developers, who
also failed to proceed. In 2024, Mpfumelelo Business Enterprise took over
but encountered further issues, leading to contract termination in April.
The project remains incomplete.

 

 

New Bylaw to Regulate Tshwane's Informal Economy

 

The City of Tshwane is addressing widespread non-compliance among spaza
shops, factories, and warehouses by drafting a new by-law to strengthen
health, safety, and registration standards,  reports SABC News. Over 1,000
non-compliant businesses have already been closed. Tshwane Mayor Nasiphi
Moya emphasized prioritizing locally owned  spaza shops during the
registration process, while many foreign-owned businesses struggle to meet
requirements. The proposed by-law, open for public consultation, aims to
protect public health, enforce compliance, and reserve certain economic
activities for local entrepreneurs.

 

-news

 

 

 

Zimbabwe: Zesa Boss Presents 720 Megawatts Project As Solution to Crippling
Load Shedding, Says He Knows the Anger Zimbabweans Have Over Power Cuts

ZESA Holdings chairperson Sydney Gata on Monday presented a 720 megawatts
thermal power project and a 200 megawatts solar initiative as solutions to
Zimbabwe's crippling load-shedding regime.

 

Gata, who acknowledged that he is being blamed for power utility, ZESA's
failure to provide adequate electricity, said completion of the two stations
will mark the end of Zimbabwe's worsening blackouts.

 

He was speaking at the official launch by President Emmerson Mnangagwa, in
Hwange.

 

"Muviri wangu wese unochema maronda ekutukwa nenhau ye load shedding. Haaa
varume ndasakara," said Gata.

 

 

"Today I can stand before the nation and say this project will mark the end
of loadshedding.

 

"This is one out of 18 projects being spearheaded by companies in mining,
industry and commerce whom we invited after the Kariba disaster.

 

"I am tired of being insulted for these power cuts."

 

"Muviri wangu wese unochema maronda ekutukwa nenhau ye load shedding. Haaa
varume ndasakara..." Dr Gata pic.twitter.com/MRMChp1p7E-- Nick Mangwana
(@nickmangwana) December 2, 2024

 

The two projects, Titan Thermal Power Plant (720MW) and the 200MW solar
station will be complemented by a 100MW solar project to be constructed by
Afrochine in Selous and a 200MW plant in Gweru.

 

All the projects are expected to have been completed by December 2025.

 

Zimbabwe which heavily relies on the Kariba Hydro Power Station and Hwange,
when it is in service, has been facing a dire shortage of power.

 

This is due to dilapidated machinery at Hwange Thermal Power Station and the
lowering of water levels in Kariba that have seen a generation of
electricity being reduced.

 

Businesses and homes are being subjected to torturing load-shedding
schedules that have seen some getting power for less than six hours a day.

 

- New Zimbabwe.

 

 

 

 

Nigeria: Govt's $1.7bn Eurobond Oversubscribed At $9.1bn, Sign of Investors'
Confidence in Ongoing Reforms

Abuja — Nigeria's latest Eurobond offer has been oversubscribed at $9.1
billion, marking Nigeria's successful return to the international bond
market after a two year hiatus, in sign of a possible investors' confidence
in the West African country's economy.

 

This is coming after a long wait, as the country issued a dual-tranche
Eurobond offering under its Global Medium Term Note Programme to finance the
country's 2024 fiscal deficit today.

 

However, the issuance which closed yesterday, although it was oversubscribed
in excess of $9 billion, but the federal government eventually took just
$2.2 billion across both bonds.

 

 

The federal government sold $700 million worth of the 6.5 year Eurobond
maturing in 2031 at a coupon rate of 9.625 per cent and $1.5 billion of the
10-year tenure at 10.375 per cent.

 

It marked a pivotal moment in the country's ongoing efforts to address its
growing fiscal deficit, with the funds raised meant to primarily support
Nigeria's 2024 budget, which has come under pressure due to persistent
revenue shortfalls and rising public spending.

 

However, the bonds were issued under the Regulation S/144A structure, making
them available to both US and international investors.

 

The oversubscription reflected continued investor interest in Nigerian debt,
even though the yields have raised concerns about the country's financial
stability.

 

In a statement yesterday, the Debt Management Office (DMO) announced the
successful issuance of the Eurobonds, explaining that the bonds attracted a
wide range of investors from multiple jurisdictions, including the United
Kingdom, North America, Europe, Asia, Middle East and participation from
Nigerian investors.

 

 

"The Federal Republic of Nigeria successfully priced $2.2 billion in
Eurobonds maturing in 2031 (6.5-year) and 2034 (10- year) in the
international capital markets on 2 December 2024, with $700 million and $1.5
billion placed in the 2031 and 2034 maturities, respectively.

 

"The notes were priced at a Coupon and Re-offer Yield of 9.625 per cent and
10.375 per cent, respectively. Nigeria is pleased to have attracted a wide
range of investors from multiple jurisdictions including the United Kingdom,
North America, Europe, Asia, Middle East and participation from Nigerian
investors.

 

"This it views as an expression of continued investor confidence in the
country's sound macro-economic policy framework and prudent fiscal and
monetary management.

 

"The transaction attracted a peak orderbook of more than $9.0 billion. This
underscores the strong support for the transaction across geography and
investor class.

 

 

"With respect to investor class, demand came from a combination of Fund
Managers, Insurance and Pension Funds, Hedge Funds, Banks and other
Financial Institutions," it stated.

 

DMO's Director General, Patience Oniha, celebrated the landmark achievement,
citing strong investor demand and reaffirming DMO's commitment to
transparency and continued engagement with investors.

 

DMO said the notes would be admitted to the official list of the UK Listing
Authority and available to trade on the London Stock Exchange's regulated
market, the FMDQ Securities Exchange Limited, and the Nigerian Exchange
Limited.

 

"The proceeds from this Eurobond issuance will be used to finance the 2024
fiscal deficit and support the government's budgetary needs," DMO said.

 

Also, Finance Minister, Mr. Olawale Edun, in a reaction, emphasised the
confidence in President Bola Tinubu's administration's efforts to stabilise
the Nigerian economy and promote sustainable growth.

 

He noted the strong investor interest in the Eurobonds as a sign of
increasing confidence in Nigeria's economic direction.

 

"The broad range of investor appetite to invest in our Eurobonds is
encouraging as we continue to diversify our funding sources and deepen our
engagement with the international capital markets," he said.

 

Also, the Central Bank of Nigeria's Governor, Olayemi Cardoso, highlighted
the positive outcome as a reflection of investor confidence and Nigeria's
improved liquidity and market access.

 

Nigeria is returning to the international capital markets for the first time
in over two years with the significant offering.

 

The Eurobond sale is managed by a consortium of international and domestic
financial institutions, including Citigroup Inc., Goldman Sachs Group Inc.,
JPMorgan Chase & Co., and Standard Chartered Plc, with Chapel Hill Denham
Advisory Limited acting as the Nigerian bookrunner.

 

In November, Edun said approximately $1.7 billion was expected from the
Eurobond offer and $500 million from a sukuk financing to strengthen the
country's finances and support economic reforms.-This Day.

 

 

 

 

Nigeria: We'll Not Withdraw Tax Reform Bills, Committee Ready to Re-Engage
Stakeholders - Oyedele

Chairman, Presidential Advisory Committee on Fiscal Policy and Tax Reform,
Mr. Taiwo Oyedele, yesterday, said the federal government did not intend to
withdraw the controversial tax reform bills currently before the National
Assembly.

 

Speaking at a town hall meeting on "Tax Reform Bills: Charting the Way
Forward", which was hosted by a national television, Oyedele said the
committee was rather ready to repeat engagements with stakeholders.

 

There had been growing calls by some northern politicians that the bills be
withdrawn to allow for further engagements following the controversies they
had generated since their introduction.

 

 

However, Oyedele explained that contrary to speculations, there were no
provisions in the bills that allowed for tax consultants to take over tax
collection responsibilities. He added that those duties will still be
undertaken by the Federal Inland Revenue Service (FIRS).

 

Oyedele also denied allegations that the tax reform committee did not
consult the state governors during its engagement process. He said while he
agreed that more consultation might be required, it was not correct that
they were not engaged during the process.

 

But Governor of Nasarawa State, Mr. Abdullahi Sule, said the position of
state governors on the tax reform bills was totally misunderstood.

 

Sule said while the governors believed the bills would address issues of
multiple taxes, as well as waive duties on agricultural equipment imports,
the increase of VAT from 20 per cent to 60 per cent at point of generation
and consumption were rather confusing.

 

He said all the governors were agitating was for the bill to be withdrawn to
allow for further discussion.

 

 

Sule also emphasised that the reported disagreement did not amount to a
regional controversy.

 

Nonetheless, Oyedele said now that the bills appeared to have generated
renewed interests from stakeholders, who hitherto showed no interest, the
committee was prepared to repeat the engagement process.

 

He said consultation will also continue even after the bills had been passed
into law.

 

Commenting on allegations that the presidential tax reform committee did not
consult the state governors, Oyedele said, "No, they won't say we didn't
consult them. They are saying we need to consult more, which we agree with
because consultation will never end. Even after passing the bills, we must
continue to consult.

 

"We had two sessions with the National Economic Council. We had almost a
whole day with the finance commissioners from all over Nigeria.

 

 

"We've had at least four sessions with the heads of the internal revenue
services from all the 36 states plus the FCT. To six geopolitical zones, we
identified one governor per zone and wrote to them to go and meet them where
they are with their cabinet and discuss. We did some of that.

 

"Some of them did not have time for us. For those who had, who appreciate
the government of Nigeria, they say, no, let's even set up a committee
between my cabinet and your team to work through the details."

 

Oyedele stated further, "We worked for more than six months. We always
welcome opportunities to engage. But it is not correct to say that we did
not consult."

 

He also refuted claims that the federal government appeared to be in a rush
to get the bills passed into law.

 

He explained, "And we are not in a hurry, sorry because when you find
yourself in a situation where we are now, where people are starving, there's
poverty in the land, some people can't make ends meet. The time to cut their
taxes.

 

"The time to provide relief. The time to create opportunity for them. The
time to make our businesses thrive is now, not tomorrow. In fact, we should
have done it yesterday, but now is the next best time."

 

On assumptions that the tax reform might cost President Bola Tinubu a second
term, Oyedele said, "I feel really very sorry for Mr. President. Even though
he says nobody should feel sorry for him. I have to be honest with you, in
this role, Mr. President has never for once asked my committee to make sure
that we do something when we are done."

 

The tax reform committee chairman said Tinubu had given them a free hand to
do their job without interference.

 

He said it was "Nigerians from all over Nigeria, who came up with this
analysis using data to make those recommendations.

 

"But they blame everything on him. He's taking all of it in good faith. I
hope that the reason why, if anything happens in 2027, will not be because
of this bill.

 

"Because that way, we'll be doing an injustice, not only to him, but to the
whole of this country, Nigeria."

 

Former Speaker of the House of Representatives, Yakubu Dogara, called on
Nigerians to be fair in their assessment of the tax reforms bills.

 

Dogara faulted the criticisms of the bills and said Nigerians should
critically examine their benefits.

 

He said, "We should remove the cap of regionalism, the cap of sectionalism,
the cap of religion and put on the cup of leadership because that is what
will resolve the quarrel that we have."

 

With inflation over 30 per cent and millions of Nigerians battling to afford
basic commodities, critics believe the tax reform bills are coming at the
wrong time.

 

Others say there is inadequate consultation over the bills.

 

But Dogara said the arguments were insufficient to throw the bills away.

 

He said, "I think one of the major objections is related to the issue of
timing. I've heard this from leaders that I respect.

 

"But in leadership, when you talk about timing, the way I have heard them
talk about is a tragic misconception of the notion of time itself because
there's nothing like the future, there's nothing like the past."

 

According to Dogara, "All we have is now. It is what you are doing now that
will become your past. It is what you are doing now that will affect your
future.

 

"I don't even care if it was part of the president's agenda. All I am
bothered with as a leader is: is it the right thing?

 

"Secondly, I have heard about insufficient consultation. I had heard even
legislators speaking as if they were spokespersons for some governors' forum
or others instead of looking at what is right and proffering solutions.

 

"Now, I don't know why he (Taiwo Oyedele, who leads the Presidential Fiscal
Policy and Tax Reforms Committee and a panellist for the event) didn't
address some of these issues. But I believe in the course of our interface,
he will address whether there was enough consultation with the governors.

 

"But I want to say this, at the state level, how many people do governors
consult when they are making laws? I'm not challenging them. As a matter of
fact, in some cases, state laws are written from the living rooms of
governors."

 

An Economist with SPM Professionals, Dr Paul Alaje, called for the
harmonisation of how the country collected taxes, integrated them using
intelligence, and ensured that everyone focused on their primary mandate,
saying Nigeria would be better for it.

 

Alaje explained that over 60 government revenue agencies seemed distracted
from their primary markets.

 

"They are chasing revenue to the detriment of the economy," he said.

 

He recalled that agencies like Ghana Revenue Authority, Kenya Revenue
Service, South Africa Revenue Service, and HMRC, collected social security.

 

According to Alaje, "If you go to Rwanda and you want to do your driver's
license, it is the revenue authority that collects it. Why? Because they
have been set up to collect revenue. So they have the system, they have the
structure, they have the training, they have the experience, they have the
capacity. What we are doing in Nigeria is at the federal government level."

 

Chief Executive Officer, Global Investment and Trade Company, Mr. Baba
Yusuf, described the tax reform as one of the best policies undertaken by
the Tinubu administration. Yusuf commended the presidential committee on tax
reform for doing an excellent job.

 

He stated, "This reform is that which speaks to equity , speaks to data and
has provided a platform for improvement going forward. Over 90 per cent of
the vulnerable would be exempted from this tax. As a northerner, where about
70 per cent of the multi-dimensionally poor north are struggling under the
vagaries of socio-economic headwinds, it should be pleasing to our leaders
that where we have failed as subnational, there is federal intervention to
provide that which has not been provided by state governors."

 

Yusuf, however, noted the contentious issue of VAT in the bills, saying as a
proponent of allocation by derivation, allocation by consumption, the
rent-seeking transaction style of leadership will continue making people
lazy and complacent.

 

He stated that leadership should be able to create value, innovate and
protect, adding that the reform will reduce the inflow of the monthly
allocation whereby governors go cap in hand.

 

"Some states in Nigeria are thriving because they created the value and
added value," Yusuf said.

 

Public analyst and writer, Micheal Chibuzor, described the tax reform
exercise is an opportunity for the country to remove the loopholes
militating against its wheel of progress.

 

"The VAT has been a major controversy because once you see people oppose the
bill, they always turn to the VAT," Chibuzor stated.

 

He said the country was about to realise N6 trillion in VAT collection,
adding that states get most of their revenue from the bulk of what has been
realised.

 

"That is why some states will feel very emotional about it," he said,
adding, "As a country, we should be ashamed that we are having a revenue
that is less than $4 billion."

 

Chibuzor listed the amount of revenue generated by some countries, saying
Nigeria is using about $88 million to provide social services and
infrastructure that will require money.

 

"Where do you get the money from? People will not want us to borrow because
once we start doing that, we have to start funding the particular services,"
he said.

 

He stressed the need for the country to reorganise its revenue streams
through ensuring that individuals and businesses paid tax.

 

-This Day.

 

 

 

Nigeria: No Provision Will Impoverish North in Tax Bills - Presidency

The presidency yesterday reacted to the controversy surrounding the four tax
reform bills that had passed second reading in the Senate, but got stuck in
the House of Representatives, where further debate on the matter was
suspended indefinitely.

 

In a statement issued by Special Adviser to the President on Information and
Strategy, Bayo Onanuga, the presidency said no provision in the bills would
impoverish the northern states or make the southern states, like Lagos and
Rivers, more affluent.

 

Rather, it stated that the bills were out to better the lives of
disadvantaged Nigerians struggling to earn a living.

 

 

Weighing in on the matter yesterday, Chairman, Senate Committee on Ecology
and Climate Change, and senator for Bayelsa West Senatorial District,
Seriake Dickson, declared that the federal legislature would pass the tax
bills, despite some opposition to them.

 

Dickson, a two-term governor of Bayelsa State, told journalists that if the
National Assembly could pass the Petroleum Industry Act (PIA), nothing would
stop it from doing the same thing with the tax bills.

 

Former President of Nigerian Bar Association (NBA), Dr. Olisa Agbakoba,
called for urgent devolution of powers across Nigeria's three tiers of
government to improve national governance, efficiency, and development.

 

However, a member of the House of Representatives, Hon. Ghali Tijani,
described the bills as anti-people. Tijani, who represents
Albasu/Gaya/Ajingi Federal Constituency of Kano State in the Green Chamber,
maintained that the bills were not in tandem with public interest.

 

 

Equally yesterday, the presidential candidate of Labour Party (LP) in the
2023 general election, and former Governor of Anambra State, Peter Obi,
stated that while there was nothing wrong in embarking on tax reforms, it
must be done transparently.

 

The presidency, in the statement, stressed that the bills never made
provision for the scrapping of some parastatals and agencies, like Tertiary
Education Trust Fund (TETFUND), National Agency for Science and Engineering
Infrastructure (NASENI), and National Information Technology Development
Agency (NITDA), as being speculated in some quarters.

 

The release added that while President Bola Tinubu welcomed the public
debate being generated by the bills, he advised leaders across the country,
including governors, traditional rulers, students, and activists, among
others, to use the opportunity of the public hearing to be organised by the
National Assembly to ventilate their views on how to reform Nigeria's tax
and fiscal regimes.

 

 

The presidency stated, "Since the public debate around the transformative
tax bills before the National Assembly began in the last few weeks, various
political actors and commentators have tried to obfuscate the facts,
deliberately misinforming and misleading the public.

 

"Unfortunately, most reactions are not grounded in facts, reality, or
sufficient knowledge of the bills. While some commentators have attempted to
incite the people against lawmakers, others have polarized one section of
the country against another.

 

"The tax reform bills will not make Lagos or Rivers more affluent and other
parts of the country, as recklessly canvassed, poorer. The bills will not
destroy the economy of any section of the country. Instead, they aim to
enhance the quality of life for Nigerians, especially the disadvantaged, who
are trying to make a living."

 

It explained, "Contrary to the lies being peddled, the bills do not suggest
that NASENI, TETFUND, and NITDA will cease to exist in 2029 after the
passage of the bills.

 

"Government agencies, such as NASENI, TETFUND, and NITDA, are funded through
budgetary provisions with company income tax and other taxes paid by the
same businesses that are being overburdened with the special taxes."

 

The statement said, "One reason President Bola Tinubu embarked on the Tax
and Fiscal Policy Reforms is the need to streamline tax administration in
Nigeria and make the operating environment conducive for businesses.

 

"For decades, businesses, investors, and private sector players in Nigeria
have complained of being overburdened by a myriad of taxes and levies,
including those earmarked to fund various government agencies and
initiatives.

 

"The multiple taxes complicate the economic environment, making Nigeria
uncompetitive for investment and preventing many businesses from growing or
continuing their operations. Some companies have had to make the rational
decision to relocate to other countries. We cannot continue on this path or
wait for 20 years if this country is to deliver the prosperity we need for
our people.

 

"The proposal, as contained in section 59(3) of the Nigeria Tax Bill, only
seeks to consolidate some of the earmarked taxes imposed on companies and
replace them with a single tax to be shared with the key agencies as
beneficiaries in a phased manner until 2030.

 

"The time frame offers ample opportunity for the affected agencies to
explore other funding sources in addition to budgetary allocations in line
with the constitution and international best practices.

 

"It is a misrepresentation of facts to conclude that changing an agency's
funding source amounts to scrapping it. None of the countries leading
globally in education, science, engineering, or information technology have
similar earmarked taxes.

 

The released stressed, "The government imposes major taxes, be it income
tax, consumption tax, or other taxes, to channel resources to its areas of
priority at the time. Imposing a separate tax to fund an agency is an
aberration that has yet to yield results despite the huge burden on
businesses. The tax bill seeks to address this problem.

 

"Relevant stakeholders and public analysts owe it a duty to properly educate
themselves about the bills' contents and avoid misleading the public for any
reason. We may be entitled to our opinions, but such views must be informed
and based on facts, not emotions targeted at inflaming passions.

 

"In a period like this, when our people across the country look up to
leaders for guidance and direction on matters of public importance, such as
the Tax Reform Bills, leaders should be more measured in their public
utterances to avoid heating the polity and polarising the country unduly."

 

The presidency stated, "President Tinubu welcomes the public interest these
bills have generated. He encourages leaders across the country, including
Governors, Traditional rulers, Civil Society Activists, Students, trade
associations, professional associations, and the general public, to take
advantage of the Public Hearings that the National Assembly will organise to
present their views on how best to reform our taxes and fiscal regime.

 

"What is never in doubt is the imperative of changing the existing tax laws
and administration that have become obsolete and unhelpful in achieving the
growth and development we desire for our country."

 

Meanwhile, Dickson declared that the National Assembly would pass the tax
bills despite opposition to them in some quarters.

 

He also discarded fears that the planned public hearing on the bills could
be chaotic if it was not postponed for further consultation.

 

The former governor encouraged anyone or group opposed to the bills to
attend the public hearing with facts if they had issues with any sections of
the proposed fiscal legislations.

 

Dickson maintained that if the National Assembly could pass the PIA
containing three per cent statutory fees payable to the host communities,
despite the Niger Delta leaders' insistence on the 10 per cent recommended
in the executive bill, the tax reform bills won't be an exception.

 

The three per cent fee represents Operating Expenses or Expenditure (OPEX)
of the previous year being remitted to host communities by oil companies, as
stipulated in the PIA 2021.

 

The former governor of Bayelsa State said the late President Umaru Musa
Yar'adua had proposed 10 per cent for the host communities, but the National
Assembly passed three per cent, after about two decades, without any
protest.

 

Dickson said, "The senate has passed the bills for second reading. Public
hearing will take place and people should get ready to present their
positions.

 

"The tax bill is a law like every other law and it has to go through the
normal legislative process.

 

"Right now, taxes from Bayelsa State are paid to Lagos State and I don't
want that to continue.

 

"When there is consumption of any good or services from any state it should
be calculated and paid to that state.

 

"Now, there is an opportunity to review the tax laws, to correct the
anomalies and that's why I'm in support.

 

"I know there are states that are feeling that when they apply the new
sharing formula, they will earn less. It's for them to raise those issues
and bring the statistics. I don't go by sentiments. I go by what is right
and in the national interest."

 

Asked whether there would not be uproar during the public hearing if wider
consultation was not carried out, Dickson said there will be nothing like
that.

 

He said, "Forget about uproar, there will be no uproar. Public hearing is an
opportunity for people to present their matters, and nobody is going to be
intimidated by the uproar.

 

"The PIA was passed. We wanted 10 per cent, which was what Yar'Adua
proposed. They (federal lawmakers) reduced it to three per cent. Heavens did
not fall. This tax reform bills will pass and heavens will not fall."

 

Agbakoba, in a statement, emphasised that Nigeria's political structure was
excessively centralised, with most decisions being made in Abuja, to the
detriment of effective governance at state and local government levels.

 

He stated, "The over-centralisation of power in Abuja has stifled national
development, and this is evident in the ongoing opposition to the tax reform
bill.

 

"While the tax reform bill is beneficial in terms of revenue generation -
particularly from corporate entities and the wealthy - there are concerns
about its distribution formula, which some claim does not adequately favour
northern Nigeria."

 

Agbakoba highlighted that the north had a valid argument regarding the
proposed bill, given that revenue distribution had traditionally adhered to
clear principles.

 

He pointed out that the northern region, with its vast agricultural
potential, could generate substantial revenue through mechanisation, yet it
lacked the necessary incentives and mechanisms to do so effectively.

 

"The time has come to devolve political and economic power from the federal
government to the states and local governments," Agbakoba asserted.

 

"This shift is essential for moving Nigeria from a system focused on revenue
sharing to one that emphasises revenue generation. A decentralised structure
would not only foster efficiency but also ensure a more equitable
distribution of resources," he added.

 

The legal expert also raised concerns about the excessive control held by
the federal government over matters like marriage and driver's licences, and
the effect of this on governance at the local level. He questioned why such
matters were centralised, when they could be more effectively managed by
state and local governments.

 

Agbakoba pointed to the current allocation of 98 items of power to the
federal government, noting that a more equitable distribution of
responsibilities across the three levels of government would lead to more
effective governance.

 

He said the approach would allow the judiciary, including the Supreme Court,
to focus on matters that truly required its attention, instead of being
overwhelmed by local jurisdictional issues.

 

He called for a comprehensive review of Nigeria's power distribution
framework, stressing that without this redistribution, the country will
continue to struggle with inefficient governance and unequal revenue
sharing.

 

Agbakoba believed it was only through devolution of power that Nigeria could
achieve the economic growth and development its people deserve.

 

However, Tijani described the tax reform bills as anti-people.

 

Addressing journalists yesterday in Abuja, Tijani described the proposed
legislations as capitalist bills and rejected them.

 

He said, "We are aware it has gone through the first reading and this is the
second reading and we understand it is an executive bill.

 

"And most of the members, including me, so many people have an opinion about
it. However, I was able to have the four bills and digest it to my own
understanding and to the level of knowledge.

 

"However, I have a background in finance, as a student of International
Corporate Finance, so I have an idea of what all this is all about.

 

"The bills actually are not in tandem with public interest and it's not
pro-masses. This is a capitalist bill and for such reason, I, Dr. Ghali
Mustafa Tijani, I am rejecting this bill as a member that represents people.

 

"I'm in the parliament to ensure that my people are well represented and
Nigerians have all the benefits and dividends of democracy. Therefore, these
tax reform bills are capitalistic and are siphoning the poor, so to say."

 

When asked to explain what he meant by the bills not being pro-masses, the
lawmaker stated that the federal government should block revenue leakage
rather than taxing Nigerians.

 

Tijani added, "You see, this is a lazy way of thinking. Nigeria has a lot of
opportunities to get revenue and Nigeria is not looking in that direction.
Let me give you typical examples.

 

"Our mineral resources sector has not been tapped adequately. If Nigeria is
looking for revenue, they should invest in mineral resources, in mining, and
do the necessary investments. The resources definitely will come to the
country.

 

"Similarly, currently, Nigeria is losing a lot of money in terms of revenue,
in terms of tax evasion and transfer pricing manipulation.

 

"And the Nigerian government or the current government should think of
blocking such leakages rather than taxing more people in the country or
taxing the companies that are willing to invest and employ more labour.
Therefore, I think for such reasons, it's anti-masses."

 

Contributing to the debate yesterday, Obi supported the tax reform bills
currently before the National Assembly, and stated that there was nothing
wrong pursuing them to a logical conclusion.

 

In a statement on his X account, Obi said, "However, such reform must be
subject to robust and informed public debate. A public hearing on tax reform
is essential, allowing Nigerians from all walks of life to engage
meaningfully. This is how we build public trust and ensure inclusivity in
policymaking."

 

According to Obi, matters of this magnitude require extensive deliberation
and careful considerations and must never be rushed.

 

He stated, "Public hearings must be conducted to allow for diverse opinions
and inputs. Such public hearing would also enable the broadest spectrum of
public opinion to be reflected in public policy.

 

"When considering tax reforms and similar issues, it is insufficient to
focus solely on the benefits to the government, particularly in terms of
increasing revenue collection. We must also take into account the overall
impact on the nation and the sustainability of all its regions."

 

Obi also said government must sensitise the people and secure their buy-in
on any policy changes.

 

He said, "Trust and legitimacy are the foundation of effective governance,
and without them, even the best-intended reforms may fail. Let us prioritise
transparency, deliberation, and public engagement in charting the path
forward. This is how we build a truly participatory democracy."

 

-This Day.

 

 

 

 

Africa: Welight Lights Up 186 Villages Across Africa Via Mini-Grids

Nairobi — Mini-grid company WeLight has connected 186 villages across Africa
to electricity, including 172 in Madagascar and 14 in Mali, as part of its
rural electrification initiative.

 

Since January 2024, WeLight has connected 10,000 people monthly, directly
electrifying 200,000 individuals and benefiting over one million through
improved services such as schools, businesses, and public lighting.

 

The company's success in Madagascar marks a significant milestone, proving
the mini-grid model's scalability and profitability without subsidies,
according to WeLight CEO Romain de Villeneuve.

 

"We are proud to have transformed the lives of one million people through
access to electricity. This milestone underscores our leadership in rural
electrification and our readiness to expand into new territories, including
Nigeria and the DRC," he said.

 

WeLight also backs initiatives like the World Bank and African Development
Bank's M-300 program, aiming to connect 300 million people to electricity by
2030, addressing the needs of over 600 million Africans without power.

 

The firm's growth has been supported by key partners like Norfund, Axian
Group, and the European Investment Bank, alongside government agencies
fostering public-private collaboration.

 

This progress positions WeLight as a leading force in sustainable
electrification across sub-Saharan Africa.

 

-Capital FM.

 

 

 

 

Nigeria: NPA, Nigerdock Finalize $1bn Snake Island Port Agreement

In a bid to advance green port development across Nigeria, Nigerdock and the
Nigerian Ports Authority (NPA) have finalized an agreement for the $1
billion development of Snake Island Port.

 

The new facility will be built on an 85-hectare site within the Snake Island
Integrated Free Zone and will feature a multipurpose port with three
terminals.

 

Recall that in 2002 development nationwide. The concession for the port is
set for 45 years, with an option for extension.

 

Nigerdock Chairman, Maher Jarmakani, described the port as a groundbreaking
collaboration between the Federal Government of Nigeria and Nigerdock.

 

 

He said: "Snake Island Port is a landmark project that will attract an
estimated $1 billion in foreign direct investment and strengthen Nigeria's
role in international trade. Following government approval, we have ensured
regulatory compliance to align Snake Island Port within the Lagos Port
ecosystem. By working closely with the NPA, the Ministry of Marine and Blue
Economy, and other stakeholders, this project will stimulate maritime
industry growth and unlock new opportunities in Nigeria's blue economy."

 

Speaking at the signing ceremony, NPA's Managing Director, Dr. Abubakar
Dantsoho, expressed the agency's commitment to expanding the nation's port
capacity.

 

He stated: "This agreement reflects the government's ambition to enhance
regional competitiveness in the global maritime sector. Through policies
promoting openness, transparency, and capacity building, the NPA is
partnering with private sector players like Nigerdock to deliver
value-driven investments."Nigerdock was granted Free Zone and Port Status by
the Presidency in 2005, which led to the establishment of the Snake Island
Integrated Free Zone. In 2017, the NPA and the Nigeria Customs Service
approved direct shipping for the facility, and in 2021, the NPA authorized
cargo handling operations.

 

-Vanguard.

 

 

 

 

Nigeria: Inflationary Pressures Hamper Business Operations in November

Sustained rise in inflation rate has stagnated business operations in
Nigeria with the Purchasing Managers' Index, PMI, still below the 50.0
points readings.

 

PMI tracks operating environment of businesses which leads to improvement or
otherwise in business performance.

 

PMI readings above 50.0 signal an improvement in business conditions on the
previous month, while readings below 50.0 show a deterioration.

 

According to the Stanbic IBTC' s PMI report released yesterday though there
were some signs of improvement midway through the final quarter of the year,
factors bordering on rising prices of goods and unemployment have combined
to suppress the PMI in November.

 

 

The report stated: "Employment was down and companies continued to lower
their purchasing amid steep price pressures.

 

"The headline PMI posted below the 50.0 no-change mark for the fifth
consecutive month in November to signal further deterioration in business
conditions in the private sector.

 

"That said, at 49.6 the latest reading was up from 46.9 in October and
pointed to only a marginal decline. The less pronounced deterioration in
business conditions in part reflected a renewed expansion in new orders,
which rose slightly following a solid fall in October. "Although there were
some tentative signs of demand improving, companies reported that customers
were often deterred by high prices.

 

"The inflationary environment and muted demand conditions meant that
business activity continued to fall, the fifth month running in which that
has been the case.

 

"The latest reduction was only marginal, however. Sector data pointed to
increases in output in agriculture and manufacturing, but decreases in
wholesale & retail and services."

 

Commenting on the report, Muyiwa Oni, Head of Equity Research West Africa at
Stanbic IBTC Bank, said: "The Nigerian private sector activities
deteriorated further in November, albeit at a less pronounced rate relative
to October. This less pronounced deterioration was primarily due to the
return to growth of new orders in November, having decreased solidly in
October. Notably, new orders have now risen in three of the past four
months, although the latest expansion was only modest. Some panellists saw
signs of demand picking up, but others reported that high costs again acted
to deter customers. Elsewhere, higher energy prices, increases in the cost
of raw materials, and lingering currency weakness continue to lead to
intensification of price pressures in November."

 

-Vanguard.

 

 

 

 

Nigeria: Minimum Wage - NLC Replies Ebonyi Governor Over Threat to Sack
Striking Workers

Governor Nwifuru warned the workers to resume work within the next 72 hours
or risk being sacked.

 

The President of the Nigeria Labour Congress (NLC), Joe Ajaero, has
condemned the threat by the Ebonyi State Governor, Francis Nwifuru, to sack
striking workers or refuse to pay them for the strike period.

 

Mr Ajaero, who stated this in a statement on Monday night, accused Mr
Nwifuru of refusing to implement the new N70,000 minimum wage, an action he
termed as a display of impunity towards workers in the state.

 

PREMIUM TIMES reported that Mr Nwifuru warned the workers to resume work
within the next 72 hours or risk being sacked.

 

 

The Ebonyi NLC commenced a one-week strike on Monday in compliance with the
directive of the NLC headquarters to state chapters to commence strikes in
states yet to implement the new minimum wage.

 

The strike was effective in Ebonyi on Monday as most civil servants did not
come to work.

 

Mr Nwifuru, however, argued that the state already adopted the new minimum
wage as sno worker was receiving below the stipulated N70,000, making the
strike unnecessary. He also said his administration has implemented a salary
increase for other categories of workers.

 

However, the thrust of the NLC's grudge is that the increment for other
categories of workers was done without negotiations and agreement with the
labour union.

 

"Ebonyi state government is not owing any worker in the state, both pension,
gratuity, and salary, and we are paying the minimum wage as enshrined in the
Act of the National Assembly," the governor said.

 

 

He said that not only will he not pay the striking workers but he will also
sack anyone who doesn't report to work in the next 72 hours.

 

"If you didn't (sic) go to work, not only that I will not pay you salary,
but I will replace you within 72 hours in your office if I didn't (sic) see
you in your office," Mr Nwifuru told journalists.

 

"I have called the chairman, civil service commission. I have directed all
the commissioners to go to their offices. All the agencies, all the
departments of government, must be in their offices and record the people
that come to work.

 

"And that is the people I will pay through table payment: by the number of
days you attend to your duty in your office. If you don't want to come to
work, you will forget about (working for the) state government," he said.

 

NLC responds

 

Responding to the governor's threats, Mr Ajaero accused the state government
of refusing to dialogue with labour leaders in the state.

 

He accused the governor of trying to play God by threatening to sack the
striking workers.

 

"We are dismayed by the statement credited to the Ebonyi State Governor, Mr
Nwifuru, that except the striking workers in the state over non-payment of
the National Minimum Wage resume work immediately, they should consider
themselves sacked.

 

"We recall that the strike action was preceded by failed conversations and
notices to the governor on the need to implement the 2024 national minimum
wage since it was signed into law several months ago.

 

"The law has provisions for enforcement by workers. Besides this, strike
action is a lawful/legitimate tool in the hands of aggrieved workers. In
light of this, we consider the threats by the governor as irresponsible and
unhelpful.

 

"What a reasonable governor acting reasonably ought to have done was to
invite the labour leaders in the state for dialogue for a speedy resolution
of the facts in issue, but he thinks he is God.

 

"The world must know that Nwifuru is the first to draw 'blood in a matter of
which he is completely guilty of," Mr Ajaero said.

 

He said that the industrial action would not be called off based on the sack
threat.

 

He also asked all NLC affiliates, including those in the private sector, to
immediately join in the strike action.

 

"Similarly, we urge the workers already on strike to not yield to the
threats of the governor but sustain the momentum until the governor sees the
need to not only behave properly but pay the minimum wage in compliance with
the law," Mr Ajaero said.

 

-Premium Times.

 

 

 

 

South Africa: Ramaphosa Appoints Cracker Economic Growth Team Ahead of G20
Presidency

The 19-member squad shows the direction of travel for President Ramaphosa's
growth and employment agenda.

 

Listen to this article 3 min Listen to this article 3 min President Cyril
Ramaphosa will bolster the potential of his G20 presidency with a 19-member
team of top economic advisers.

 

Appointed to his Presidential Economic Advisory Council, the 19 members,
drawn from business and the global academies, show a bias towards
employment-linked growth strategies.

 

This is a good thing in a country with the highest unemployment rate in the
G20. Ramaphosa chairs the council, with Dr Renosi Mokate as his deputy.
Mokate has previously held the roles of chairperson of the Government
Employees' Pension Fund and deputy Reserve Bank governor, among many other
leading roles.

 

Ramaphosa has looked around the world for leading thinkers. Prof Esther
Duflo won the 2019 Nobel Prize (with Abhijit Banerjee and Michael Kremer),
and Prof Mariana Mazzucato is an exciting thinker on innovation in the state
as a driver of growth. She also chairs the WHO Council on the Economics of
Health for All - her advice on what SA does with the contested National
Health Insurance initiative will be seriously taken on board.

 

Dr Vera Songwe is a former UN Under Secretary-General and executive
secretary of the UN Economic Commission for Africa. Prof...

 

-Daily Maverick.

 

 

 

Nigeria: After Selling Nigeria's Onshore Oil Assets, Eni Buys 4 Offshore
Blocks in Côte d'Ivoire

Abuja — Eni and the Ministry of Mines, Oil and Energy of Côte d'Ivoire have
signed in Abidjan the contracts for the acquisition of four new exploration
blocks in the country's offshore.

 

Recall that in August this year, the Italian multinational oil company
finalised the divestment of its onshore oil and gas exploration and
production subsidiary in Nigeria to Oando Plc for nearly $800 million.

 

The sale included 40 oil and gas fields, 12 production stations, three gas
processing plants, the Brass River Oil Terminal, and the Kwale-Okpai power
plants.

 

The sale was part of Eni's strategy to rationalise its upstream activities
by divesting non-strategic assets.

 

 

But the signing in Cote d'Ivoire, Eni said further consolidates its presence
in the country, a statement released by the company said.

 

The blocks CI-504, CI-526, CI-706 and CI-708 cover a total area of about
5,720 square kilometres with a water depth ranging between 1,000 and 3,500
meters.

 

According to the oil major, their proximity to the Calao discovery, made in
Block CI-205, represents a strategic opportunity to create further synergies
in the area. Under the agreements, Eni will be able to explore the area for
up to nine years.

 

Eni has been present in Côte d'Ivoire since 2015 and currently has an equity
production of around 22,000 barrels of oil equivalent per day. The company
already operates six blocks in the Ivorian deepwater: CI-101, CI-205,
CI-401, CI-501, CI-801 and CI- 802, all with the same partner Petroci
Holding.

 

Eni has made the two largest discoveries to date in the country, Baleine and
Calao, and is in the process of significantly increasing its production.

 

Just one year after the start-up of Baleine Phase 1, the company is
preparing for the launch of Phase 2, scheduled for this December 2024,
bringing total production from the Baleine field to 60,000 barrels of oil
per day and 70 million cubic feet of associated gas (equivalent to 2 million
cubic meters of associated gas).

 

This, it said, will increase to 150,000 barrels of oil per day and 200
million cubic feet of associated gas during Phase 3, currently under study.

 

-This Day.

 

 

 

Nigeria: 60% of Drilling, Engineering Firms in Nigeria's Oil Sector Blame
Govt Policies for Stunted Activities

Abuja — A new report by the National Bureau of Statistics (NBS) has revealed
that as much as 60 per cent of companies operating in the wells, drilling
and engineering services segment of the Nigerian oil and gas sector believe
that government policies are constraining their activities.

 

The document on the: "Baseline Census for Well, Drilling and Petroleum
Engineering Services in the Nigerian Oil and Gas Industry," was conducted
alongside the Nigerian Content Development and Monitoring Board (NCDMB), and
aimed to ensure data availability and accessibility for improved policy and
decision-making.

 

For instance, out of the 125 companies which are active in the oil sector,
74 said that the policies of government impede them from sourcing for
materials locally.

 

 

However, while 227 companies were in the database for the research, 70 firms
were discovered not to be 'involved', 14 firms denied the team access to
their facilities, while there were unsuccessful attempts in reaching out to
18 firms.

 

According to the report co-authored by the NBS and NCDMB, overall, the data
suggested a significant reliance on local suppliers by many establishments,
but stated that there is also evidence of varying levels of dependence on
foreign suppliers for different raw materials.

 

"The most common constraint encountered in sourcing raw materials is
government policy with 74 establishments (among 125 companies). This
suggests that regulations, tariffs, or other governmental policies may pose
challenges or restrictions in obtaining necessary materials.

 

"In addition, security concerns rank as the second most prevalent
constraint, with 60 establishments facing issues related to safety or
instability in their sourcing environments. This could include risks such as
theft, vandalism, or conflict affecting the transportation or procurement of
raw materials," the report added.

 

 

The data also highlighted availability and quality of materials, financial
limitations, and infrastructure-related issues, noting that addressing these
constraints effectively is crucial for ensuring efficient and reliable
supply chains.

 

Other government policies that adversely affect businesses in the sector,
according to the oil firms, include: multiple taxation, foreign exchange
rate, high cost of clearing goods, fiscal policy, multiple agency reporting
and access to loans.

 

Players in the drilling and engineering services segment of the oil and gas
sector also listed community issues, where they are compelled to spend on
the locals before they are allowed to carry out their activities.

 

 

Other inhibitions include: high Nigerian Upstream Petroleum Regulatory
Commission (NUPRC) fees for critical services, long certification process,
bureaucracy in government ministries as well as customs law and equipment
export restrictions.

 

In terms of solutions, the report recommended that government should
implement reforms to streamline the tax system and eliminate duplicate or
overlapping taxes, while the Central Bank of Nigeria (CBN) should use all
monetary tools to correct the foreign exchange problems.

 

Besides, it called for reduce customs rates, introduction of tax incentives
for local businesses, merging or consolidating agencies that have
overlapping functions and provision of favourable credit facilities.

 

The operators also called for measures to fast-track certification
processes, permission of free in and outward flow of tools/equipment and
stoppage of frequent review of the Petroleum Industry Act (PIA).

 

In all, in terms of business collaboration, 59 per cent of the active
companies encompassed a spectrum of partnership arrangement, followed
closely by alliances at 35 per cent and joint ventures representing 6 per
cent of activities in the oil and gas sector.

 

It also shed light on the financial challenges encountered by companies,
particularly in labour, technology, equipment, and securing capital.

 

Among the companies, 45 reported high labour costs, 64 reported medium
labour costs, and 16 reported low labour costs. This revealed that a notable
portion of companies encountered moderate to high expenditures related to
labour.

 

"The majority of companies, 87 in total, reported high costs linked to
technology and equipment. Conversely, 25 companies reported medium costs,
while 13 reported low costs in this domain. This underscored the significant
financial investment required for technology and equipment in many
businesses.

 

"Regarding the cost of capital, 79 companies reported high expenses,
whereas, 28 reported medium expenses and 18 reported low expenses. This
highlights that a considerable number of companies contend with substantial
costs associated with acquiring capital for their operations, such as
interest payments on loans or financing," the report added.

 

As for the distribution of annual business costs related to infrastructure
and utilities, 95 of the 125 companies, representing 76 per cent reported
high costs for electricity, indicating a substantial financial burden in
this area.

 

Additionally, 19 companies or 15 per cent reported medium costs, while 11
companies or 9 per cent of the bunch reported low costs, highlighting the
diverse range of expenditures related to electricity consumption among
businesses.

 

In terms of transportation costs, 82 of the companies, representing 66 per
cent reported high expenses, 35 companies or 28 per cent reported medium
costs, and 8 companies or 6 per cent reported low costs, underscoring the
varied nature of transportation expenses across companies.

 

"Overall, the baseline census for well, drilling and petroleum engineering
services laid a solid foundation for evidence-based policy making and
strategic decision making, contributing to the long-term development and
competitiveness in the Nigerian oil and gas industry.

 

"Additionally, it provides stakeholders opportunities to leverage the
baseline datasets for targeted intervention aimed at addressing capacity
gaps and promoting indigenous participation in the well, drilling and
petroleum engineering services," the report added.

 

-This Day.

 

 

 

 

Jaguar's new electric concept car divides opinion

Luxury car maker Jaguar has unveiled its new electric concept car and, like
a recent controversial teaser video, it has divided opinion.

 

Some on social media said the new Type 00 car is "exciting" and "absolutely
stunning" while another told Jaguar's designers to "go back to the drawing
board".

 

The carmaker, which is embarking on the biggest change in its history,
announced a new logo and released a so-called "social media tease" last
month, ahead of its relaunch as an electric-only brand.

 

Many critics pointed out that the promotional video did not feature an
actual car but the firm was also praised by some for its bold new approach.

 

Last month, Jaguar Land Rover (JLR) stopped selling new Jaguar cars in the
UK ahead of its relaunch as an electric-only brand in 2026.

 

Sales of its cars have been plummeting in recent years, and some have argued
that as its traditional, heritage image does not seem to be working, the
rebranding is a gamble with a limited downside.

 

The Type 00 model unveiled at a Miami art fair is a concept car and so will
not go into production for sale to the public.

 

However, it gives a pointer to the direction of the brand's new models,
which are expected to cost in excess of £100,000 when they go on sale.

 

Jaguar's chief creative officer, Gerry McGovern, said he welcomed the
attention Jaguar's new direction had been getting.

 

"It has already stirred emotions and it will continue to," he said. "Jaguar
has no desire to be loved by everybody."

 

Car industry analyst Karl Brauer was sceptical. The company seems to be
"sacrificing Jaguar's past to the hopes of a better future," he told the
BBC. "I don’t think it’s going to work".

 

Last month, the company urged people to "trust and reserve judgement" over
the rebrand of the business, which has a history dating back more than a
century.

 

'Too big'

Beatrix Keim, director at the Center of Automotive Research, told the BBC
that Jaguar's concept car was "too big, too unreal".

 

"This is not the way to go," she said, given that there are already big cars
in the market and "electric cars cannot only be for the rich".

 

"Of course, Jaguar is a luxury brand," she added. "But I don't think that
this is the direction which Jaguar at current point of time needs, because
it's losing out on volume as well. And this is not a volume car.”

 

But Andy Palmer, a former boss of Aston Martin and Nissan's ex-chief
operating officer, said Jaguar needed to change as it "has been failing as a
brand for a long time now".

 

He called the new design "a brave change of direction" although he agreed it
was "huge".

 

"The rhetoric around electric cars has to be one of how you move the cars to
being more affordable," he said. "Jaguar is an outlier."

 

However, he added: "Best of luck. I really hope it succeeds."

 

Getty Images The Type 00 in London Blue during Jaguar event Miami Art Week
on 2 December, 2024.Getty Images

Jaguar has welcomed the attention its new direction has been getting

JLR said the decision to stop selling new Jaguar cars in the UK last month
was a deliberate move to "create some breathing space" before unveiling its
new look.

 

It announced the transition to electric vehicles in 2021, keeping all of its
three British plants open as part of the strategy.

 

Jaguar has been the weakest link within the JLR group, which has been owned
by Tata Motors for almost a decade.

 

Jaguar sold 180,000 cars in 2018, but last year sales were down to 67,000.

 

The Range Rover and Land Rover Defender were behind JLR's highest profits
since 2015, which were announced earlier this year.-bbc

 

 

 

 

Musk's record $56bn pay deal rejected for second time

Tesla chief executive Elon Musk's record-breaking $56bn (£47bn) pay award
will not be reinstated, a judge has ruled.

 

The decision in the Delaware court comes after months of legal wrangling and
despite it being approved by shareholders and directors in the summer.

 

Judge Kathaleen McCormick upheld her previous decision from January, in
which she argued that board members were too heavily influenced by Mr Musk.

 

Reacting to the ruling, Mr Musk wrote on X: "Shareholders should control
company votes, not judges."

 

 

Tesla vowed to appeal against the ruling, saying the decision was "wrong".

 

"This ruling, if not overturned, means that judges and plaintiffs’ lawyers
run Delaware companies rather than their rightful owners – the
shareholders," the electric car company said in a post on X.

 

Judge McCormick said the pay package would have been the largest ever for
the boss of a listed company.

 

Tesla failed to prove the pay package, which dates back to 2018, was fair,
she said.

 

Who is Elon Musk and what is his net worth?

 

Mr Musk, the boss of X (formerly Twitter) and SpaceX as well as Tesla, is
the world's richest person. His current net worth is estimated at around
$350bn, according to the Bloomberg Billionaires Index.

 

He has used his platform to make his views known on a vast array of topics,
and his status seems set to climb higher still following Donald Trump's
victory in the 2024 US presidential election. The president-elect has picked
Mr Musk to lead a newly created Department of Government Efficiency (or Doge
- like the dog-related meme).

 

Trump has said Doge will help the administration "dismantle Government
Bureaucracy, slash excess regulations, cut wasteful expenditures and
restructure Federal Agencies".

 

'Quite a combo'

A Tesla shareholder vote on the payment passed by 75% in June, but the judge
did not agree the pay should be so large despite what she called Tesla's
lawyers' "creative" arguments.

 

“Even if a stockholder vote could have a ratifying effect, it could not do
so here," she wrote in her opinion.

 

The judge also ruled the Tesla shareholder who brought the case against the
company and Mr Musk should receive $345m in fees but not the $5.6bn in Tesla
shares they had asked for.

 

Some observers said a ruling in favour of Mr Musk and Tesla would have dealt
a blow to conflict of interest laws in Delaware.

 

The idea of conflict rules is to protect all investors, not just minority
investors, said Charles Elson of the University of Delaware's Weinberg
Center for Corporate Governance.

 

Mr Elson said Judge McCormick's opinion was well-reasoned.

 

"You had a board that wasn't independent, a process that was dominated by
the chief executive, and a package that was way out of any sort of
reasonable bounds," he said. "It's quite a combo."

 

Mr Elson said he expects Tesla might try to reconstitute a similar pay
package in Texas where the company moved its legal base earlier this year
after the pay ruling.-bbc

 

 

 

 

 

Trump picks investment banker Warren Stephens as UK ambassador

President-elect Donald Trump has nominated businessman Warren Stephens to
serve as America’s ambassador to the United Kingdom.

 

“Warren has always dreamed of serving the United States full time,” Trump
said in a statement on Truth Social. “I am thrilled that he will now have
that opportunity as the top diplomat, representing the USA to one of
America’s most cherished and beloved allies.”

 

Stephens, who is CEO of private Arkansas-based investment bank Stephens Inc,
donated millions to Trump’s re-election campaign this year.

 

If his nomination is successful, Stephens will help to maintain the
so-called “special relationship” between the US and the UK.

 

The two countries maintain close military, intelligence, and cultural ties.

 

Trump has vowed to rework the US’ relationships abroad, vowing to implement
an “America-first” ethos to foreign policy.

 

The role of US ambassador to the UK is one of the most coveted diplomatic
positions, and presidents have been known to bestow the role to prominent
backers.

 

During his first term in office, Trump appointed Woody Johnson, a top
Republican donor and owner of the American football team the New York Jets,
as UK ambassador.

 

Barack Obama chose long-time Democratic Party fundraiser and lawyer Louis
Susman as his first emissary to the UK - or the Court of St James.

 

Stephens did not always back Trump’s candidacies, however. In 2016, when
Trump first ran for president, Stephens donated about $4m (£3.1m) to
political groups that sought to stop Trump’s ascent, the Arkansas
Democrat-Gazette reported at the time.

 

The investment banker also donated over $2m to a political action committee
that supported former UN Ambassador Nikki Haley as she unsuccessfully ran
for president in 2024, the campaign finance watchdog OpenSecrets found.

 

When Trump ultimately triumphed in this year’s Republican presidential
primary, however, Stephens threw his support behind him. Federal campaign
finance data show he also donated to Republican groups and US Senate
candidates this year.

 

In a statement, Stephens said he was honoured by the nomination.

 

"I have expressed to President Trump that I would be extremely proud to
serve our country and his administration, working to implement the
President’s agenda and further strengthen the long-standing alliance between
the United States and the United Kingdom,” he said.

 

He and his wife also maintain a philanthropic organisation, the Harriet and
Warren Stephens Family Foundation, which has donated to the Arkansas Museum
of Fine Arts, the University of Mississippi, and the Episcopal Collegiate
School in Little Rock.-bbc

 

 

 

 

Stellantis boss abruptly quits in boardroom clash

The boss of car-making giant Stellantis, Carlos Tavares, has quit with
immediate effect following a boardroom clash.

 

His abrupt exit from the company - which owns brands including Vauxhall,
Jeep, Fiat, Peugeot and Chrysler - comes two months after Stellantis issued
a profit warning.

 

Last week, the firm also announced plans to close its Vauxhall van-making
factory in Luton, putting about 1,100 jobs at risk.

 

Before his resignation, Mr Tavares was one of the most powerful people in
the global motor industry.

 

In a statement announcing Mr Tavares' departure, Henri de Castries,
Stellantis’ senior independent director said: "Stellantis’ success since its
creation has been rooted in a perfect alignment between the reference
shareholders, the board and the chief executive.

 

"However, in recent weeks different views have emerged which have resulted
in the board and the chief executive coming to today’s decision."

 

Mr Tavares had a reputation as a ruthless cost-cutter.

 

He made his name at Renault, working with the colourful and controversial
chief executive, Carlos Ghosn, before taking the top job at PSA Group.

 

At the time, the French group was close to bankruptcy. He was credited with
turning it around before orchestrating a merger with Fiat Chrysler to form
Stellantis in 2021, creating a global giant.

 

"He was known for being able to turn around companies that were troubled,"
Hans Greimel, Asia editor at Automotive News, told the BBC.

 

However, Mr Tavares’ position has been undermined recently by a dramatic
fall in sales and profits at the company.

 

"Critics would say he was just cost-cutting too much and delaying products
and also hurting quality," said Mr Greimel.

 

In September, Stellantis had issued a profit warning after it reported a
sharp drop in sales in North America.

 

Dealers found themselves struggling to shift a glut of unsold vehicles,
which customers simply didn’t want to buy.

 

The company was criticised for producing too many cars of the wrong type,
failing to adapt to changing customer tastes and losing ground to more
dynamic rivals.

 

Prof David Bailey from the Birmingham Business School, told the BBC’s Today
programme that while there is “huge turmoil in the car industry generally”
Stellantis has its own “particular problems".

 

He said: “What’s really, really driving that, I think, is the situation in
North America where they’ve had appalling results, a very dated product
line-up, rising inventories and slipping market share as a result of which
all the stakeholders involved – suppliers, dealers, workers, investors - are
deeply unhappy.

 

"I think that has penetrated the board and made his position untenable.”

 

Stellantis' share price has fallen by 40% since the start of this year, a
far worse performance than its rivals. Following Mr Tavares' departure on
Monday, it fell further, down more than 9%.

 

Mr Tavares already agreed to step down in 2026, rather than extending his
contract – a move that arguably weakened his position significantly.

 

Stellantis said it now expects to appoint a new boss by the middle of next
year.

 

In the meantime, it will set up a new interim executive committee, headed by
the firm's chair John Elkann who is a member of the powerful Agnelli family
of Italian industrialists.

 

Mr Elkann controls a significant voting stake in the group on behalf of his
family.

 

He is the one currently leading the search for Mr Tavares’ successor and his
views will be crucial in shaping the future of the automotive giant.

 

Stellantis chair John Elkann will now lead a search for Carlos Tavares'
replacement

 

Mr Tavares frequently made headlines in the UK by casting doubt over the
future of Vauxhall operations, linking it to issues such as Brexit and
government plans to force carmakers to build more electric cars.

 

It is not yet clear whether his departure will affect the planned closure of
Stellantis' Luton plant.

 

Stellantis's Vauxhall plant in Luton currently builds petrol and diesel vans
and had been due to start making its medium-sized Vivaro electric van from
2025, before the decision to close it.

 

The company is now planning to combine its electric van production at its
other UK plant in Ellesmere Port in Cheshire.

 

In Europe, Stellantis has suffered the same fate as many other manufacturers
– coming under pressure from Chinese rivals at a time when take-up of
electric vehicles has been more sluggish than expected.

 

A tie-up with the China's Leapmotor may reap dividends, but is in its early
stages.

 

On what the change at the top means for Luton, Prof Bailey said: "I think
everything is up in the air. Whether or not that could be reversed I don’t
know. One would hope but I suspect that that has gone sadly.

 

"I don’t think there are any guarantees about the future whatsoever of
Stellantis’s operations in the UK."-bbc

 

 

 

 

 

 

 

 

 

 

 

 

 


 


 


 Invest Wisely!

Bulls n Bears 

 

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INVESTORS DIARY 2024

 


Company

Event

Venue

Date & Time

 


 

 

 

 

 


 

 

 

 

 


 

 

 

 

 


Companies under Cautionary

 

 

 


 

 

 

 


CBZH

GetBucks

EcoCash

 


Padenga

Econet

RTG

 


Fidelity

TSL

FMHL

 


 

 

 

 


 <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 s 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
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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 d from third parties.

 


 

 


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<mailto:bulls at bullszimbabwe.com> bulls at bullszimbabwe.com Tel: +27 79 993
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