Major International Business Headlines Brief::: 22 January 2024

Mon Jan 22 10:34:17 CAT 2024

 <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:::  22 January 2024 

ü  Rwanda: FERWABA Calls for More Investors in Local Basketball

ü  Tanzania: Multi-Million-Dollar Flower Industry to Be Revived

ü  Ethiopia: Mofa Denounces Arab League's Statement On Ethio-Somaliland Accord

ü  Ethiopia: State Plans to Supply Over 7,000 Tons Tea Product

ü  Nigeria: Aliko Dangote, Take a Bow

ü  Nigeria: Access Bank to Acquire Uganda's Finance Trust Bank

ü  Nigeria's Non-Oil Export Declines to $4.5bn in 2023 - Nepc

ü  Nigeria: Airline Executives Rally Support for NCAA Boss

ü  Nigeria - Shell's Divestment Plan Sparks Debate

ü  Boeing 737-900ER: Second model to be inspected after 737 Max 9 blowout

ü  ExxonMobil sues investors to block climate petition

ü  Australia: 'Golden visa' scheme for wealthy investors axed

ü  Red Sea 'scary' for ships' crews, says captain

ü  S&P 500 surges to record high marking market rebound

ü  Sports Illustrated in further turmoil after AI scandal

 <https://www.cloverleaf.co.zw/> Rwanda: FERWABA Calls for More Investors in Local Basketball

Underlining the importance of ongoing investments in local basketball teams, local Basketball governing body (FERWABA) Vice-President Richard Nyirishema emphasized the need for supporting the league's growth.

Nyirishema made the call on Friday, January 19, when business mogul Gael Karomba, also widely known as Coach Gael, and Rwandan artiste Bruce Melodie made their partnership with United Generation Basketball (UGB). The collaboration seeks to exemplify the mutual benefits that such alliances can bring to both the music and sports sectors.

Addressing the press, Nyirishema noted the importance of long-term investments for league development, emphasizing that, "investors are inherently seeking returns. Though not a business expert myself, I understand that returns follow an investment. To reap benefits, they must invest in something they genuinely believe in. The federation won't shoulder all the work; having initial interest is crucial."

"Expecting instant profits isn't our model. We welcome both long-term and short-term investors, keeping our doors open. It's a journey the federation, teams, and partners are undertaking. As we enhance our league, its monetary value will rise. Our shared objective is to attract even foreign investors, redirecting attention from Europe and other continents to invest in our basketball. Together, we aim to elevate this league," he added.

According to Nyirishema, the federation's progress aligns with the advancement of the league teams and he remains that the influence of financial backing will unlock possibilities for potential partners to contribute to the advancement of the basketball game in Rwanda.

"We strongly urge Rwandans, especially local enterprises to invest, seizing the opportunity to spotlight themselves and their products. This ensures that ownership and impact in our basketball remain rooted in our community, averting external entities from taking charge. As the federation, we pledge to cultivate an inclusive environment, welcoming a diverse array of investors," he noted.

Explaining why he is investing in UGB, Coach Gael, who is a renowned investor in Rwanda's music industry and founder of the 1:55 AM record label, said he and his team are "always seeking opportunities to invest in profitable sectors of our economy, and basketball is one of our favorites."

"There's an investment group, and Bruce is one of the partners. We are all contributing something or bringing something to the table. When you hear about Bruce's team, understand that, like any successful artist, Bruce Melodie also has a business team looking out for his interests, and we are part of it," Coach Gael said.

And Bruce Melodie, who is at the center of this collaboration, expressed personal significance to the new partnership with UGB and said, "this investment means a lot to me, given that I, at one point, wanted to become a professional basketball player."

- New Times.

Tanzania: Multi-Million-Dollar Flower Industry to Be Revived

Arusha — Former Ethiopian Prime Minister, Hailemariam Desalegn has pledged to support government efforts to revive a multi-million-dollar flower industry, offering a ray of hope to the Arusha population.

During the hey-days, the flower industry in Arusha used to bring in 24.4 million US dollars in export value, per annum, more than 4,000 jobs to locals, let alone other related taxes and the benefits to the rural economy.

In his recent tour to the defunct flower estates in Usa-river, Arumeru District, led by Arusha Region Commissioner, Mr John Mongella, the former Ethiopian premier, promised to extend a helping hand to revamp the flower industry.

Mr Desalegn, a strategic advisor to President Samia Suluhu Hassan for the agriculture sector, expressed his willingness to support Tanzania's initiatives to give a new lease of life to the redundant, but potential flower farms.

"The horticultural industry in Ethiopia is a success story. I can use my experience and networks to help you revamp the non-operational flower farms," Mr Desalegn told the Arusha Regional Commissioner.

The African renowned agricultural revolutionist, pleaded with Mr Mongella to prepare for him a blueprint with clear requirements for him to use as a guide to revive the flower plantations.

The success of Ethiopia's horticultural industry is incomplete without mentioning Mr Desalegn, who was a prime minister between 2012 and 2018.

He built his legacy, supported by an increasingly accommodating international community and changing investor's mindset.

Ethiopia had to offer subsidies, generous credit schemes, 100 per cent exemption from payment of duties on imported capital goods and raw materials coupled with a five-year tax holiday on profits.

Official data shows that Ethiopia exported more than 215,800 tonnes of horticulture products to the international market, generating over 514 million US dollars in the final nine months of the fiscal year 2023.

Exports of flowers accounted for almost 444 million US dollars in revenue, while exports of vegetables and fruits brought in 57 million US dollars and 13.3 million US dollars, respectively, government statistics indicate.

Mr Mongella overwhelmingly received Mr Desalegn's pledge, saying it does not only offer a fresh impetus to Tanzania's efforts to recover the flower industry but also signals fortunes to the local economy.

"We're so delighted to see the influential former prime minister of Ethiopia's willing heart to support our mission to revive the defunct flower farms and restore the local population's hope," Mr Mongela explained.

Briefing the former Ethiopian PM, the RC said the defunct flower estates used to generate multi-million dollars and create thousands of employment opportunities for women and youths in particular.

Mr Mongella recalled the better days when the once lucrative flower plantations earned the economy 24.45 million US dollars annually, created 4,010 jobs directly and 40,000 others indirectly as it generated 800,240 US dollars worth of government taxes and stimulated the rural economy.

TAHA Chief Development Manager, Mr Anthony Chamanga said they could not wait to see these farms become operational once again to leapfrog other local businesses, recoup thousands of lost jobs, and spawn the much-needed revenues in the economy.

- Daily News.

Ethiopia: Mofa Denounces Arab League's Statement On Ethio-Somaliland Accord

The Ministry of Foreign Affairs (MoFA) announced that Arab League's statement against the Ethio-Somaliland MoU holds noting useful but contempt to African solutions to African problems.

Briefing journalists yesterday, MoFA Spokesperson Ambassador Meles Alem (PhD) said that the press statement by the Arab League undermines not only Ethiopia's role in the region, but also the old-aged Ethio-Arab diplomatic relationship.

"The Arab League statement is unacceptable. It is actually known that which country is pressuring the organization. I was attending the webinar session [of the meeting]. The statement released following the session contempt Africans clearly. Africans have the full potential to resolve their own problems. So, the statement by League undermines the notion of "African solutions to African Problems", he said.

Ethiopia and the Arab world have long standing diplomatic relationship which stood the test of time in the face of various regime changes. Contrary to this, the Arab League has released a statement which ignores the Ethio-Arab diplomacy, Amb. Meles noted.

"Egypt and the Arab League are the two sides of a coin. It needs to be told honestly. The statement by the Foreign Minister of Egypt is not useful too. It does not match with the relationship of the two countries. Ethiopians and Egyptians are the peoples of the Abbay River. Accordingly, Ethiopia has firm stance not to aggravate issues," he stated.

He also said that such destructive statements, especially by the Egyptian side, are not new. "They were disseminating same contents over the Abbay dam in the past years. Ethiopia has no plan to negotiate issues using media reports."

According to Amb. Meles, countries which are very distant from the region, including Egypt, have military bases. Ethiopia, having no port and access to sea is being pressured and they answer no to the reason, according to the Spokesperson.

To him, the fortune of this generation is dependent on access to sea which can be justified as a matter of equity and justice.

Speaking about the current diplomatic situation between Ethiopia and Somalia, Amb. Meles said that his country opts a peaceful diplomatic approach as the only available solution.

- Ethiopian Herald.

Ethiopia: State Plans to Supply Over 7,000 Tons Tea Product

South West Ethiopia Coffee, Tea and Spices Authority stated that it has planned to deliver over 7,000 tons of tea product to central market this budget year.

Authority Director General Astra Mekuria told the Ethiopian Press Agency (EPA) that some 7,026 tons of tea products has been incorporated in the plan to be supplied to central market. Of the planned amount, so far, some 3,100 has already been delivered to the central market.

As to him, a lot has been carried out on tea and other potential crops with which the local and international markets to make the state in particular and the country in general beneficiary out of such rewarding agricultural products.

"The state has well focused on tea product and Kaffa and Sheka Zones are known for their wide tea farms. East African and Ethio-Agriseft (Wushwush tea, more focus) are widely developing tea in Sheka and Kaffa zones respectively," Asrat added.

According to him, the farming community in these two zones have organized themselves and started supplying the organization with tea products.

He said: "The farmers organizing themselves in contractual bases and provided the organizations with products are 502 in number, and some 446 hectare plots of land have been covered with tea cultivation."

Since the farmers' access to market opportunities, which would potentially help promote the market horizon, is limited, they are expected to accept the offer organizations have given to them, he added.

He further said that though the state is endowed with a variety of tea species, Wushwush tea is widely produced for the time being.

He urged the state structure ranging from the kebele to zone to move in unison and run activities in a well organized manner to help the state be advantageous out of the Coffee, Tea and Spices resources.

- Ethiopian Herald.

Nigeria: Aliko Dangote, Take a Bow

"I am excited that we are back here today in Maisaiti district, Ndola, this time to commission our new state-of-the-art integrated cement plant, with a capacity of 1.5 million metric tonnes per annum, along with a 30 megawatts of coal-fired plant. This is our sixth integrated cement plant outside Nigeria. The others are located in Senegal, Cameroun, Tanzania, South Africa and Ethiopia"

"Dangote Industries Limited has helped Nigeria become not only self-sufficient, but indeed a net exporter of cement and by the time we complete our projects in agriculture and the petroleum sectors, we will also expect Nigeria to become not only self-sufficient but also a net exporter of rice, sugar and refined petroleum products. Over the next five years, our target is to expand installed cement manufacturing capacity in Africa outside Nigeria to 40 mtpa at par with Nigeria during the same period". - 21st of August 2015

"Dangote Oil Refinery is a 650,000 barrels per day (BPD) integrated refinery project under construction in the Lekki Free Zone near Lagos, Nigeria. It is expected to be Africa's biggest oil refinery and the world's biggest single-train facility".

"The Pipeline Infrastructure at the Dangote Petroleum Refinery is the largest anywhere in the world, with 1,100 kilometers to handle 3 Billion Standard Cubic Foot of gas per day. The Refinery alone has a 435MW Power Plant that is able to meet the total power requirement of Ibadan DisCo*.

"The Refinery will meet 100% of the Nigerian requirement of all refined products and also have a surplus of each of these products for export. Dangote Petroleum Refinery is a multi-billion dollar project that will create a market for $21 Billion per annum of Nigerian Crude. It is designed to process Nigerian crude with the ability to also process other crudes".- 10th of January 2024

It was at a comparable moment of Nigeria's political history (marked by Yoruba political triumphalism), that I joined the Dangote Group in 1999. The pertinent background was the unbroken chain of 18 years of Northern supremacist military dictatorship that culminated in the virulent Sani Abacha regime. Arrayed against the military dictator were the largely Yoruba based pro-democracy coalition that fought for the validation of the presidential election result of June 12 1993 (personified by the winner, Chief Moshood Abiola).

It was in acknowledgement of Abiola's martyrdom that recourse was made to compensate the Yoruba with the Nigerian presidency. Hence the contrivance of securing the presidential tickets of the two dominant parties, (Peoples Democratic Party, PDP and the All Peoples Party, APP/Alliance for Democracy, AD coalition) for two Yoruba candidates, Chiefs Olusegun Obasanjo and Chief Olu Falae. For the Yoruba, it was heads you win and tails, you do not lose. Inevitably, a Yoruba was guaranteed to emerge the winner.

This triumphalism had impacted critically on Dangote. There were loud murmurs and animus that the concession to cite two or three major factories in the Apapa port-among them the third largest sugar refinery in the world, was a product of Northern nepotism in general and specifically under Abacha. A friend of President Olusegun Obasanjo was dispatched to enlist the overriding support of their most influential 'son' to send Dangote packing from the port. Those who know Obasanjo can very well predict his reaction in such circumstances. He walked the Yoruba emissary out of the villa and assigned him the status of persona non grata from that day on.

The general belief and outrage of the Lagos business elite was that Aliko Dangote had been able to phenomenally grow his business (especially the concession of siting his Sugar Refinery plant at the Apapa ports) at the expense of fair competition and level playing ground. That he had been enabled by discriminatory practices and privilege bestowed by the likes of Abacha on fellow Northerners in the economic sector.

Subsequently the political grievance evolved into the intimations of a hostile business environment for the Dangote brand. Confronted with the dilemma and the need to bridge the emergent chasm between him and the Yoruba oligarchy, Dangote concluded that time has come for him to seek the services of a mediator of my skills set: a Yoruba journalist/political activist and protege of the Afenifere political establishment.

My job definition was to preclude the vulnerability of Dangote to being perceived as the business sector face of the venal Abacha military dictatorship. Now, as then, he was doing something unique in the (Nigerian economy prescribed) diversification of his business from commodity trading to industrialisation. My task was made easy by my conviction that I was selling a good product. My marketing pitch was that, even if he was unduly patronised by the political powers that be, we can see the evidence of what he was doing with the privilege. I could not say as much for his peers who were similarly patronised and had nothing to show for it other than fat Swiss bank accounts. If these others were to follow his example, Nigeria will today boast of a sizable industrial sector.

There is actually the instance of a Nigerian oil block owner who loudly proclaimed he does not know what to do with the billions of dollars he was getting (doing nothing) from his oil wealth. Talk of the Nigerian resource curse syndrome. The positive Nigeria that is struggling to be born is that in which the many contemporaries of Dangote (who likewise acquire considerable resources from the primitive accumulation stage of Nigeria's capitalist development) should equally embark on profitably ploughing back the accumulated capital into Nigeria's economy.

As a student of political science, I was equally fascinated with his utility as a case study in the subject of the development of Nigerian capitalism. At close quarters, I saw in him an entrepreneur who was driven by the mentality of a professional investor as against the instant gratification syndrome of the Nigerian casino economy. He had a long term vision of birthing an industrial conglomerate to which short term material gratification was subordinate.

There Is also the fascinating aspect of his Northern Nigerian pedigree. Weaned on the aspiration of emulating the feat of his great grandfather, Alhassan Dantata, (who was reputed to be the biggest Nigerian investor of his time) he is the exact opposite of the stereotype of the Northern elite as generally lacking in the ethic of hard work and productivity. I'm endlessly tickled by the observation that the biggest industrialist in Nigeria, by a wide margin, is from the relatively economically backward North! We may never know the degree but it is inevitable that he would have caught the fancy of quite a number of the up and coming generation of Nigeria, especially from the North as a worthy role model.

In contrast, I have been accused, with some justification, of being a professional antagonist of former President Muhammadu Buhari. I plead guilty as charged. In his ruinous and destructive bequest to Nigeria, one of the legacies I find particularly galling was the ideological reorientation of the North back to viewing government and public sector patronage and corruption as of the essence, as an indispensable source of unearned income and livelihood. Wherever there was space and currency to be made in the Nigerian lingo of "juicy and lucrative" public postings, it is certain to attract the Buhari curse of Northern Muslim bias and nepotism. He was so blatant and unrestrained in this regard, that I came to the conclusion that any attempt by his successors to redress the injury will look like discrimination against the pampered constituency.

Fate has conspired, once again, to crosscut another era of Yoruba political triumphalism with an unprecedented Dangote industrial expansionism, undergirded by a similar refrain of instigating President Bola Ahmed Tinubu to go after the acclaimed richest African. With the economically pivotal potential of the Dangote refinery, such would have typically amounted to cutting the Nigerian nose to spite its face. Some were actually rooting for the non fruition of the mega project.

I do not dismiss nor trivialise the allegations against him but they are inevitably exaggerated. Right now in Nigeria, he personifies, warts and all, the Peter Obi political vision of moving Nigeria from 'consumption to production'. It is the reason I'm a fan of the Max Weber thesis of 'the protestant ethic and the spirit of capitalism', especially the inference of attitudinal dedication to money-making and rational self control as sine qua non to capitalist development. I'm less enthused with the Karl Marx obverse- 'dialectical materialism'.

It is my understanding that both Weber and Karl Marx, (patriarchs of the theoretically divergent Marxists and Capitalists school of thought) agree to the independent variable role of the wealth accumulator in the causation of capitalist development; the former negatively so and the latter positively. The Marxists assert that progression to capitalist development is necessarily preceded by the utilisation of the proceeds of primitive accumulation of capital to seed and grow industrialisation.

Whereas in the cultural origins of capitalism, Weber argues that capitalism is rooted in the cultural mentality that deems wealth creation as a vocation, a calling and specifically, the protestant ethic. And according to the book of Proverbs, 'biblical wealth rarely just falls into one's lap. God's blessing of wealth is usually obtained by great wisdom and responsibility and through discipline, hard work, savings and investment',

Some years ago, there was a documentary that ran on the DSTV cable TV titled "the makers of America". The cast comprised five historical figures including JP Morgan and Rockefeller; I cannot now remember the other three but they were all entrepreneurs and high stake investors. As distinguished as many American politicians were, no mention was made of any. This remarkable documentary was only being consistent with what we were taught in our political science classes- that the economy is the substructure, the foundation upon which political superstructure is anchored.

Though not a politician, he plays a considerable role in forging and fostering national unity and integration. His network of friends and associates cuts across the nation and his Lagos residence can be mistaken for a permanent national conference in session. On account of his nationalist credentials, cosmopolitan panache, discipline, humility and globally acclaimed entrepreneurial success, he had intermittently come under pressure to run for the Nigerian presidency. Quite significantly, he would have no need nor impulse to turn the public treasury into an open sesame for psychotic pillage. I think we should just leave him to continue to do what he knows best, industrialising Nigeria and Africa.

- This Day.

Nigeria: Access Bank to Acquire Uganda's Finance Trust Bank

Access Bank, a subsidiary of Access Holdings, has agreed to acquire a majority stake in Uganda-based Finance Trust Bank.

Access Holdings disclosed this in a notice to the Nigerian Exchange Limited and the investment public.

In the notice signed by the Company Secretary, Sunday Ekwochi, it noted that the transaction involves Access Bank's acquisition of a majority stake from existing shareholders and a capital injection by Access Bank to increase FTB's capital base, both which are subject to regulatory approvals by the Central Bank of Nigeria and Bank of Uganda.

It added that following the conclusion of customary conditions precedent and the anticipated closing of the transaction in the first half of 2024, Access Bank would own an estimated 80% shareholding in FTB.

Daily Trust reports that the acquisition is coming at a time commercial banks in Uganda are struggling to meet new minimum capital requirements of $40.7 million by end of December 2024.

Commenting on the transaction, Group Chief Executive of Access Holdings, Dr. Herbet Wigwe, said, "The transaction marks an important milestone for Access Bank as it moves us closer to the achievement of our five-year strategic plan through continued expansion into key markets. We are building a strong and sustainable franchise to support economic prosperity, encourage Africa trade, and advance financial inclusion thereby empowering many to achieve their financial dreams. The expansion to Uganda will support the realization of our aspiration to become Africa's payment gateway to the world."

Managing Director of FTB, Annet Nakawunde Mulindwa, said the alliance will fortify its position in the financial landscape and enable it to offer its customers a broader array of innovative products and services.

- Daily Trust.

Nigeria's Non-Oil Export Declines to $4.5bn in 2023 - Nepc

Nigeria's non-oil export has dropped by over $300 million from $4.8 billion in 2022 to $4.5 billion in 2023, the Nigerian Export Promotion Council (NEPC) has disclosed.

Executive Director of NEPC, Nonye Ayeni disclosed this on Thursday at a press conference to present a non-oil exports progress report for the year 2023.

According to her, "The decline is attributed to the slowdown of economic activities leading to the 2023 general elections as well as other global economic factors."

Speaking on the report, she explained that although the value of exports reduced in the year under review, the volume of exports had appreciated.

"The volume of Nigeria's non-oil export continues to increase over the years and specifically in 2023, we recorded a volume of 6.685 million metric tonnes of exportable products. A total of Two Hundred and Seventy-Three (273) different products were reported to have been exported in the period under review ranging from manufactured, semi-processed, solid minerals to agricultural commodities. This figure reflects a notable increase of approximately 28.04%, compared to the preceding year.

"Based on information received from Pre-shipment Inspection Agents (PIAs), of the top 20 products exported in the year 2023, Urea, Cocoa Beans, Sesame Seed, Soya Beans/meal, Cashew Nuts/Kernels, Aluminum Ingots, and Hibiscus Flower were top of the list respectively."

- Daily Trust.

Nigeria: Airline Executives Rally Support for NCAA Boss

Members of the Airline Operators of Nigeria (AON) have expressed their support for the new leadership of the Nigeria Civil Aviation (NCAA), led by Capt. Chris Najomo as the Acting Director General, while also seeking the support of industry stakeholders.

Najomo has been actively engaging with stakeholders from various sectors of the industry, and the AON, representing indigenous airlines in Nigeria, recently met with the DG in Abuja.

During these interactions, he assured stakeholders of his commitment to foster collaboration in addressing the challenges facing the industry.

He also pledged to create a more favourable and conducive operating environment to enhance the operations of domestic carriers.

Based on the positive outcomes of these meetings, the airlines are relieved and optimistic that a new era has dawned in the industry.

They have resolved to support the Najomo-led NCAA in the arduous task of building upon the industry's achievements.

One airline executive narrated an incident where Capt. Najomo swiftly resolved an issue regarding document processing, demonstrating his responsiveness and efficiency.

The executive emphasised the importance of collaboration and synergy among all stakeholders for the industry's growth.

He called on all stakeholders, including airline executives, service providers, ground handlers, and others committed to the industry's development, to rally behind Capt. Najomo.

- Daily Trust.

Nigeria - Shell's Divestment Plan Sparks Debate

A plan by Shell to sell off a Nigerian subsidiary has to be approved by the government in Abuja. The energy multinational says it wants to restructure. Activists see a bid to avoid paying up for decades of pollution.

The British multinational energy giant Shell is under constant scrutiny over its operations in Nigeria and pollution, especially in the oil-rich Niger Delta.

The company this week said it wants to sell off its onshore Nigerian subsidiary, the Shell Petroleum Development Company (SPDC) in a deal worth $2.4 billion (€2.2 billion). It named the buyers as Renaissance, a consortium comprised of four Nigeria-based exploration and production companies and an international energy group.

The deal is still subject to Nigerian government approval.

Shell said it would not completely exit Nigeria.

"This agreement marks an important milestone for Shell in Nigeria, aligning with our previously announced intent to exit onshore oil production in the Niger Delta, simplifying our portfolio and focusing future disciplined investment in Nigeria on our Deepwater and Integrated Gas positions," Zoe Yujnovich, Shell's Integrated Gas and Upstream director said in a statement.

How activists regard Shell's onshore exit

Nigeria is Africa's biggest oil producer and churns out nearly 1 million barrels of crude per day.

Some local activists told DW that they regard Shell's onshore divestment plan as a bid to avoid taking responsibility for damage and pollution in Nigeria.

"They are running away from the atrocities and also the damages they have caused the people and the environment and are trying to run away from it in a way of evading to pay a compensation or evading justice from the community," said Kentebe Ebiarado of Environmental Rights Action, a national environmental and human rights advocacy NGO.

Other multinational companies with operations in Nigeria are divesting for similar reasons, Ebiarado added.

Shell pioneered Nigeria's oil and gas business in the 1930s. Oil spills,which the company blames on many factors including theft, sabotage, and operational issues, have occurred ever since.

Oil spills have led to several high-profile lawsuits in which Nigerian communities have fought Shell for compensation. In 2021, a Dutch court ruled that Shell had polluted the southern Niger Delta region and ordered it to pay compensation of $111 million for oil spills in 1970.

'A legacy of pollution problems'

Niger Delta has faced decades of damaging spillages from Shell's oil operations. In 2005, a pipeline leak caused extensive damage to farmland.

"Even though we plant, the oil inside will surely kill the crops that we plant," Chief Ernest Oginaba, a Niger Delta farmer, told DW at the time. "So we feel very bad. All these places are condemned, nobody can use it again."

Bemene Tanem, a resident of Ogoniland in the west of the Niger Delta, told DW that Shell's exit plan was irrelevant to the community.

"Divestment or no divestment, selling of assets or not selling of assets is none of my business. The issue is Shell has a question to answer to the people of Niger Delta," Tanem said. "Shell has the responsibility to restore back our land. Our farmlands have been damaged for over 56 years. Shell has damaged our environment. We are living in abject poverty in the mist of plenty."

Chima Williams, an environmental lawyer based in Nigeria's Edo state, told DW that Shell's divestiture was within its rights as a business operating in Nigeria but questioned its failure to consult communities affected by pollution.

"In this instance, they are not divesting of their entire portfolio of facilities in the country," Williams said. "They are divesting onshore and continue the damage offshore, where they believe or think that Nigerians lack the capacity to monitor their activities and bring them to book."

.

A 'wake-up call' for the government

Last year a report by Nigeria's Bayelsa State Oil and Environmental Commission said Shell and Eni must pay at least $12 billion for the cleanup of oil spills in Bayelsa state.

According to Shell, Renaissance will be expected to take over responsibility for dealing with issues related to oil spills, theft and sabotage.

But Williams, who has been instrumental in instituting court proceedings against Shell in London courts on behalf of communities in the Niger Delta is not convinced the new owners will address public concerns.

Nigerians, he said, must put pressure on the government to reject the Shell deal as they have in the case of US multinational ExxonMobil Corporation over its plan to sell off four oil fields in the Niger Delta.

"The ExxonMobil divestment couldn't happen because [activists], led the media, civil society groups [and] communities to raise the alarm on the real reason why these divestments are happening," Williams told DW.

Bemene Tanem, the Ogoniland resident agrees, "Upon the billions and billions of dollars Shell is making out of Niger Delta on a daily basis, there is nothing to show for it in the Niger Delta communities."

Kentebe Ebiarado of Environmental Rights Action believes that the only reasonable deal for Shell to engage in now is compensation.

"This is a wake-up call for the Nigerian government and also the National Assembly to quickly look into the policies that need to be put in place for companies divesting," he said.

Boeing 737-900ER: Second model to be inspected after 737 Max 9 blowout

Checks are to be carried out on a second Boeing aircraft model following the blowout of an unused door on one of its planes earlier this month.

The US Federal Aviation Administration grounded more than 170 of the 737 Max 9 fleet after a cabin panel broke away thousands of feet above the ground.

On Sunday, the agency said airlines should also inspect older 737-900ER models, which use the same door design.

The FAA described the move as an "added layer of safety".

It said there had been no reported issues with the 737-900ER, but that it uses the same style of panel to "plug" an unused door as the plane involved in the terrifying 5 January incident.

An Alaska Airlines flight en route to California from Portland, Oregon was forced to make an emergency landing after the panel came away, leaving a gaping hole in the side of the aircraft.

The incident prompted the FAA to ground all 737 Max 9s featuring that style of panel and sent Boeing's share price tumbling.

The agency is investigating the firm's manufacturing practices and production lines, including those linked to subcontractor Spirit AeroSystems, which provided the panel.

Earlier this week, the FAA said it had carried out inspections on 40 of the grounded planes but did not say when they would be able to fly again.

In a statement on Sunday, the agency said: "The safety of the flying public, not speed, will determine the timeline for returning these aircraft to service."

Boeing has said it will increase the quality of inspections in its manufacturing process in wake of the incident.

The 737-900ER models have carried out 11 million hours of operations without similar incident to the newer 737 Max 9s.

The FAA did not order the older model to be grounded while the visual inspections are carried out by operators.-bbc

ExxonMobil sues investors to block climate petition

Oil giant ExxonMobil has sued climate activist investors in a bid to prevent their climate proposal from going to a vote at its annual investor meeting.

The complaint is against Follow This and Arjuna Capital, which have called on Exxon to step up the pace of reductions in greenhouse gas emissions.

Exxon says the US and Dutch investors are driven by an "extreme agenda".

It is rare for companies to go to court to block shareholder motions and this is the first time Exxon has done so.

If the Texas-based firm wins the case, it would have a significant impact on future shareholder petitions.

Listed firms usually debate the merits of individual proposals with the Securities and Exchange Commission (SEC).

But critics say the US financial regulator varies its advice depending on which administration is in office.

For example, the number of motions by environmental activists has risen significantly in recent years, according to the SEC.

Follow This and Arjuna Capital want Exxon to set so-called Scope 3 targets to reduce emissions produced by users of its oil and gas.

Exxon currently aims to reach net zero by 2050 for Scope 1 and Scope 2 emissions, which is the pollution from its production processes and the energy it consumes. However it is the only one of the five Western oil majors which does not have Scope 3 targets.

Exxon says the proposal by Follow This and Arjuna violates SEC rules for investor petitions.

The company has told the BBC that "the breakdown of the shareholder proposal process, one that allows proponents to advance their agendas through a flood of proposals, does not serve the interests of investors".

Exxon is asking a judge in the US district court in Texas to exclude the Scope 3 proposal by in its proxy statement.

The firm has asked for a decision by 19 March, in time for its annual shareholder meeting on 29 March.-bbc

Australia: 'Golden visa' scheme for wealthy investors axed

Australia has axed its so-called "Golden Visa", which granted wealthy overseas investors the right to live in the country.

Designed to attract foreign business, it was cut in an immigration overhaul after the government found it was "delivering poor economic outcomes".

Critics have long argued that the scheme was being used by "corrupt officials" to "park illicit funds".

It will be replaced with more skilled-worker visas.

Thousands of Significant Investor visas (SIV) have been granted through the program since 2012, with 85% of successful applicants coming from China according to government data.

Marketed as a way to drive foreign investment and stoke innovation, candidates had to invest more than A$5m (£2.6m;$3.3m) in Australia to be eligible.

After multiple reviews, the government found that the scheme had failed to meet its core objectives.

In a policy document from December, it announced that it would scrap it, focusing instead on creating more visas for "skilled migrants" capable "of making outsized contributions to Australia".

"It has been obvious for years that this visa is not delivering what our country and economy needs," Minister for Home Affairs Clare O'Neil said in a statement on Monday.

The program has also come under intense scrutiny for its alleged "loopholes" and "vulnerabilities".

In 2016, a government inquiry raised concerns that it had the "potential for money laundering and other nefarious activities".

It also found that the visas were bringing people into Australia with "less business acumen" than would have otherwise arrived, while offering tax concessions that were costing the public.

Some asset managers have pushed back on those assessments, arguing that the follow-on investment from SIVs has ended up being significantly more than the A$5m buy in.

But in 2022, the Australian newspaper reported that members of Cambodia's Hun Sen regime were among some of the bad actors who had exploited the system.

And Bill Browder, who is widely credited as being responsible for the creation of the Magnitsky Act - a US law designed to target individuals for abuses committed overseas - has also criticised the scheme.

"For far too long corrupt officials and kleptocrats have used Golden Visas as a vehicle to park their illicit funds in Australia and arguably hide their proceeds of crime," the CEO of Transparency International Australia Clancy Moore told the BBC, reacting to the government decision.

Australia now joins the UK, which scrapped a scheme offering fast-track residency to the mega rich in 2022, due to concerns about the inflow of illicit Russian money.-bbc

Red Sea 'scary' for ships' crews, says captain

"The situation is quite scary. It's dangerous actually," Captain Chirag tells the BBC from on board his ship.

Along with his crew, he's worried about the ongoing attacks on commercial ships in the Red Sea area.

Since November, Iran-backed Houthi rebels in Yemen have repeatedly tried to board vessels or hit them with missiles.

Despite US and UK-led air strikes, they have vowed to continue attacking a vital route for global trade.

Captain Chirag, who didn't want his full name or that of his vessel disclosed because of security concerns, says that on the day those air strikes happened his company told him to have an evacuation plan ready to get to a safe location. In the end it wasn't needed.

Several ships have been hit by missiles in recent weeks, although no injuries have been reported.

The welfare organisation Mission to Seafarers says there are almost 1.9 million men and women working on ships around the world. Collectively they move 90% of the world's goods across the oceans.

Speaking from his vessel in the Gulf of Aden, Captain Chirag explains the stress the attacks are causing.

"The safety of the crew, their life, it comes first and after that safety of the vessel and environment," he says.

"You cannot be at mental peace always. You will be worried. So even my family - they are scared all the time and they were anxiously praying [for] the vessel [to] come out of this area safely."

Crews on other ships that he has spoken to are also quite scared, he says.

The wellbeing of seafarers is "paramount", according to Arsenio Dominguez, the secretary general of the UN's International Maritime Organization (IMO), whose responsibilities include keeping international shipping safe and secure.

Mr Dominguez told the BBC that whilst there has been a lot of focus on the global economic consequences the attacks are causing, the seafarers are "unsung heroes".

"It's the seafarers that are out there day in day out, making all these things possible," he said.

"We need to remember that they are actually victims, innocent victims, of this particular case and we have to remember that they are just as human as you and I."

The first ship to be attacked was a car carrier, the Galaxy Leader. The vessel and its crew are still being held by Houthi rebels in Yemen and they have turned the vessel into a tourist attraction.

Mr Dominguez says "there's a lot of diplomacy" going on behind the scenes to secure their release.

The wider crisis, he says, "is one of the biggest challenges that the IMO has faced" and the interruptions to global trade "will have a negative effect on you, on me and everyone on this planet".

Financial services group Allianz has forecast that "if the crisis persists for several months" global inflation could be pushed up by half a percentage point to 5.1%, just as it appeared that the worst of recent price rises were over.

Graphic showing recent rise in shipping costs

This increase would largely be driven by the rise in shipping rates, which are due to the extra costs the industry is facing as a result of avoiding the Red Sea by taking the longer, safer route around the south of Africa.

That could in turn reduce global economic growth, Allianz forecasts.

Extra costs include higher pay for crew, more fuel and the huge increase in "war risk" insurance that ships need to navigate the Red Sea region.

Insurance broker Marsh says rates have risen as much as 70-fold since early December. The premium to insure a $100m container ship has jumped from $10,000 to about $700,000.

"This is a significant development, given the strategic importance of the area as a key sea route for global trade and supply chains," says Marcus Baker from Marsh.

A growing number of companies including Danone, Michelin and Ikea are facing delays in getting goods and raw materials where they want them.

But Vincent Clerc, the chief executive of Danish shipping giant Maersk told the BBC earlier this week: "We don't really see another solution right now than to sail south of the Cape of Good Hope.

"We have ships that are being shot at. We have colleagues whose lives are at risk when this happens and we can simply not justify sailing through these dangerous zones."

Captain Chirag says that long-term resilience could come through the use of remotely controlled ships which mean seafarers like himself face less risks, but he expects that is at least 50 years away.

For now he and his crew are content to take the long way round the south of Africa. "We just need the weather report and the charts for that area so that we can navigate safely."

Presentational grey line

You can watch Vincent Clerc and Arsenio Dominguez's full interviews on Talking Business with Aaron Heslehurst on BBC News. Viewers in the UK can watch on BBC iPlayer from 23:30 GMT on Saturday. In other countries it will be on at 23:30 GMT on Saturday, 05:30 GMT and 16:30 GMT on Sunday and 08:30 GMT on Monday.-bbc

S&P 500 surges to record high marking market rebound

Shares in the US rose to record highs on Friday, fuelled by tech stocks and rising hopes about the economy.

The S&P 500 index, which tracks shares of America's biggest companies, ended the day up 1.2% to close at 4,839.8, topping the previous record set in January 2022.

The new high means it has recovered from the tumble it took two years ago.

Then, markets were worried over inflation and how the economy would respond.

Now, as inflation eases and threats of economic downturn recede, investors have piled back into stocks.

The Dow Jones Industrial Average, which tracks firms meant to be representative of the economy, rebounded to hit its own record late last year, as optimistic investors bought up shares.

It notched another new high on Friday, rising 1% on the day.

The Nasdaq, where many tech firms are listed, surged 1.7% but remains about 4% lower than its 2021 peak.

For Wall Street, the new S&P record definitively marks out the current period, as shares recovered 35% from the October 2022 low, as one of rising share prices known as a bull market.

Investors have been cheered by hopes that the US central bank, which raised interest rates sharply in 2022 to try to cool the economy and slow price increases, is close to declaring victory and potentially starting to reverse course later this year.

That would lower borrowing costs and lift a weight on the economy, helping companies. At the same time, rate cuts would push investors away from investments tied to interest rates and towards shares, in a further boost to prices.

Tech companies have also been lifted by hopes that advances in artificial intelligence will unleash new growth.

The improvement in sentiment is also trickling out to the public, who have seen retirement and investment accounts recover, while gas prices come down and price increases in other items ease.

The University of Michigan's monthly survey of consumers, a closely tracked barometer of mood, on Friday reported that sentiment this month had risen to the highest level since 2021, up more than 21% from a year ago.

"Consumer views were supported by confidence that inflation has turned a corner and strengthening income expectations," the survey said.

"Over the last two months, sentiment has climbed a cumulative 29%, the largest two-month increase since 1991 as a recession ended."

Sports Illustrated in further turmoil after AI scandal

The American sports magazine Sports Illustrated is facing further turmoil, after the media company charged with publishing the magazine has lost its licence to do so.

Staff said they had been warned to expect mass layoffs and that the future of the storied title was unclear.

Sports Illustrated owner Authentic Brands Group said the brand, including "its editorial arm" would live on.

Publisher Arena Group said talks over the licence were ongoing.

"We are in active discussions with Authentic Brands Group ... but we understand we aren't the only ones," a spokeswoman for the company said.

Sports Illustrated launched in 1954 and was for decades a premier title in American sports journalism.

Known for using sports to delve into wider issues, its covers were a coveted spot for athletes and its swimsuit issues regularly sparked commentary.

But, like other magazine and newspapers, it has struggled as eyeballs and advertising shift online.

Authentic Brands Group, which is known for scooping up stressed brands, especially retail names, and licensing them to operators, purchased the title in 2019 for $110m (£85.5m).

It had warned Arena earlier this month that it planned to cancel their deal, after Arena missed a $3.75m payment, according to filings with financial regulators.

"We are committed to ensuring that the traditional ad-supported Sports Illustrated media pillar has best in class stewardship to preserve the complete integrity of the brand's legacy," Authentic Brands said in a statement on Friday..

The spokeswoman for Arena said it would continue to produce Sports Illustrated until the licensing issue was resolved. It also currently owes Authentic a $45m fee due to the cancellation, according to regulatory filings.

"We hope to be the company to take [Sports Illustrated] forward but if not, we are confident that someone will," she said. "If it is another business, we will support with the transition so the legacy of Sports Illustrated doesn't suffer."

Arena, which also puts out smaller titles such as Men's Journal and Parade, has published Sports Illustrated since 2019.

It has presided over job cuts and other turmoil, including a scandal that erupted last year, in which the magazine was accused of publishing articles using artificial intelligence.

The company removed the pieces and launched an investigation. It also said it had licensed the content from another firm, which works with e-commerce companies.

It subsequently fired a slew of executives, including former chief executive Ross Levinsohn, a controversial former executive at Yahoo and Tribune Publishing.

On Thursday, it warned it would be cutting more than 100 jobs - or about one third of its workforce - citing "substantial debt and recently missed payments".

"This is another difficult day in what has been a difficult four years for Sports Illustrated under Arena Group ... stewardship," the union representing staff at Sports Illustrated said on Friday.

It called on Authentic Brands Group to "ensure the continued publication of SI and allow it to serve our audience in the way it has for nearly 70 years".

Arena in August announced it was trying to pull together a deal to be purchased by another media firm.

Shares in the firm, which were trading above $9 a year ago, fell by more than a third to less than $1 on Friday.-bbc

- IPS.

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%2FBullsBearsZimbabwe&sa=D&sntz=1&usg=AFQjCNGhb_A5rp4biV1dGHbgiAhUxQqBXA> www.facebook.com/BullsBearsZimbabwe

Skype:         Bulls.Bears 

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 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 d from third parties.

(c) 2024 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/20240122/c22f2680/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/20240122/c22f2680/attachment-0004.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image002.png
Type: image/png
Size: 359722 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240122/c22f2680/attachment-0005.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image003.png
Type: image/png
Size: 433502 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240122/c22f2680/attachment-0006.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image004.jpg
Type: image/jpeg
Size: 40268 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240122/c22f2680/attachment-0002.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image005.png
Type: image/png
Size: 34378 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240122/c22f2680/attachment-0007.png>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: image006.jpg
Type: image/jpeg
Size: 29361 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240122/c22f2680/attachment-0003.jpg>
-------------- next part --------------
A non-text attachment was scrubbed...
Name: oledata.mso
Type: application/octet-stream
Size: 65562 bytes
Desc: not available
URL: <http://listmail.bulls.co.zw/pipermail/bulls/attachments/20240122/c22f2680/attachment-0001.obj>