Major International Business Headlines Brief::: 26 January 2024

[Bulls n Bears]

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Major International Business Headlines Brief:::  26 January 2024 

 


 

 




 


 

 


 

ü  Nigeria's Economy in 'Stabilisation Phase', Says CBN

ü  Nigeria: Ndume Faults Plan to Relocate CBN Departments, Faan Headquarters
to Lagos

ü  Kenya: Foreigners No Longer Be Allowed to Undertake Medical, Dental
Internship in Kenya - KMPDC

ü  South Africa: City Flooded With More Than 900 Comments Over Relocation of
Railway Occupiers

ü  Kenya: Old Mutual to Dispose of Tanzanian Unit to a Minority Shareholder

ü  Rwanda: Safeguarding Workers and Communities Through Occupational Health

ü  Kenya: UK to Guarantee Sh9.6 Billion Power Line Transmission Improvement
Loan to Kenya

ü  Nigeria: Mainstream Takes Over $1.3bn Zungeru Power Plant

ü  Nigerian Stock Index Crosses Record 100,000 Points As Big Gains Continue

ü  Africa: PPPs' Private Gain At Public Expense

ü  Apple to allow rival app stores on iPhones in EU

ü  UK halts trade negotiations with Canada over hormones in beef ban

ü  US millennials, Gen Z need parents' help to pay household bills

ü  GM-owned Cruise admits failures in driverless car accident

ü  US economy surprises with faster than expected growth

 


 

 


 <https://www.cloverleaf.co.zw/> Nigeria's Economy in 'Stabilisation Phase',
Says CBN

The Central Bank of Nigeria (CBN) says the stage in Nigeria's economic
transformation roadmap shows the country is currently in the stabilisation
phase.

 

The CBN Governor, Mr Olayemi Cardoso, asserted the Nigerian Economic Summit
Group (NESG) 2024 Macroeconomic Outlook launch on Wednesday in Lagos.

 

The News Agency of Nigeria (NAN) reports that the summit had "Economic
Transformation Roadmap: Medium-Term Policy Priorities" as the theme.

 

The CBN governor noted that the NESG's focus on a roadmap "resonates" with
the CBN's recently launched strategy, suggesting that both plans share
similar visions for Nigeria's economic future.

 

 

He named the apex bank roadmap for achieving its mandates as ensuring
monetary, price, and financial system stability as a catalyst for inclusive
growth and sustainable development.

 

Cardoso noted that the CBN's strategy, which had three core themes: price
stability, a robust financial system, and good governance, aligned well with
the NESG's call for distinct, interconnected phases in its roadmap.

 

According to him, these form the pillars around which all our actions and
activities will revolve, enabling us to deliver on our mission.

 

He noted that the work had already started internally within the bank and
across the banking industry, emphasising the apex bank's commitment to
rebuilding an institution that is trusted and respected and promoting
confidence in the economy.

 

"Additionally, the NESG economic transformation roadmap delineates three
distinct phases: stabilisation, consolidation, and acceleration, with
sequential steps and policy priorities aimed at fostering robust and
sustainable economic transformation.

 

"The identification of potential 'Inflection Points' is crucial for
strategic decision-making. This is also commendable, as I believe we are, as
a nation, at the point of stabilisation.

 

"If the goals of the stabilisation phase are achieved, they will have a
significant and immediate impact.

 

"This phase is focused on stabilising macroeconomic indicators such as
inflation rate, GDP growth, fiscal balance, and exchange rate, which are
essential for steering the country towards economic recovery and laying the
groundwork for long-term economic transformation." (NAN)

 

-Vanguard.

 

 

 

 

Nigeria: Ndume Faults Plan to Relocate CBN Departments, Faan Headquarters to
Lagos

"This is one of the mistakes and I'm sure Mr President will reverse it
because it doesn't work. You can't have two capitals," Mr Ndume said.

 

Chief Whip of the Senate, Ali Ndume says the relocation of some departments
of the Central Bank of Nigeria and the headquarters of the Federal Airport
Authority of Nigeria (FAAN) from Abuja to Lagos State was influenced by
'political cartels' within the government.

 

Mr Ndume, the senator representing Borno South, said the 'political cartels'
are offering wrong advice to President Bola Tinubu to mislead him on
implementing some policies.

 

 

The senator said this during an interview with Channels Television on
Tuesday.

 

"All these Lagos boys who are thinking that Lagos is Nigeria are just
misinforming and advising the president wrongly.

 

"Those political cartels that are in the corridors of power are trying to
misinform the president and we will tell the President. The President will
take action."

 

This is the third time that a northern figure will be condemning the
relocation of the two federal government agencies since it was made public.

 

The Arewa Consultative Forum (ACF) had earlier condemned the relocation of
the offices, claiming that the decision was to further under-develop the
northern part of the country

 

The Northern Senators Forum (NSF) also threatened legal action against the
federal government if the relocations of the offices were not reversed.

 

 

Nigeria's capital was moved from Lagos to Abuja on 13 December 1991, during
the military regime of Ibrahim Babangida.

 

There had been rumours that President Tinubu is planning to move the
nation's capital back to Lagos but the presidency has debunked it, saying
there's no such plan.

 

Political consequences

 

Mr Ndume noted that the relocation of the CBN offices and the headquarters
of FAAN from Abuja to Lagos will brew a political crisis in the country.

 

"They are not doing any favour to Mr President because this will have
political consequences," he stated.

 

The senator expressed confidence that President Tinubu would reverse the
plan for the relocation of the offices to Abuja.

 

"We only have one federal capital and that is Abuja.

 

"The regulators of the financial institutions are supposed to be or are in
Abuja. Do you want them to move back because you say Lagos is the commercial
capital?

 

"This is one of the mistakes and I'm sure Mr President will reverse it
because it doesn't work. You can't have two capitals.

 

"Is the CBN governor going to be operating from Lagos? Or do you now say
that because the majority of our oil is extracted from the South-south, you
take NNPC to the South-south?

 

"Or is it because Nigeria's agriculture is more in the North, you take
Ministry of Agric to anywhere in the North? It doesn't work that way.

 

"I'm very sure and confident that Mr President will look at this situation
because he is a nationalist and not just a Lagos man," Mr Ndume said.

 

-Premium Times.

 

 

 

 

Kenya: Foreigners No Longer Be Allowed to Undertake Medical, Dental
Internship in Kenya - KMPDC

Nairobi — Foreign medical trainees will no longer be allowed to undertake
their medical or dental Internships in Kenya.

 

According to the Kenya Medical Practitioner and Dentist Council (KMPDC), any
foreign intern will be first required to undergo an internship in their
country of origin and acquire registration before applying for an internship
in Kenya.

 

"They will be expected to undertake their internship in their Country of
nationality and subsequently attain registration before proceeding to seek
registration in Kenya," KMPDC stated on X.

 

This comes days after the Kenya Medical Practitioners Pharmacist and Dentist
Union(KMPDU) Secretary General Davji Bhimji Atella gave an ultimatum of
three weeks to Health Cabinet Secretary Susan Nakhumicha for the immediate
posting of 1,314 qualified medical interns.

 

In a letter directed to the CS, the Union cautioned that the delayed posting
of interns to various medical centers has significantly slowed their
licensing which is crucial in the delivery of essential medical services to
the public.

 

It cautioned that the union will take necessary measures if the issue is not
addressed immediately.

 

The Union has cautioned alerted that the delay has defied theMOH/KMPDU
collective bargaining agreement(CBA)Article IV (c) which spotlights that
"all medical officers, pharmacists, and dentists shall be posted to
internship centers not later than 30 days from the date of clearance from
KMPDC and PPB."

 

-Capital FM.

 

 

 

 

South Africa: City Flooded With More Than 900 Comments Over Relocation of
Railway Occupiers

The City of Cape Town has received more than 900 comments on PRASA's
applications to rezone two parcels of land earmarked for housing near
Weltevreden Road.

The land is to be used to permanently relocate shack dwellers who settled on
the railway line and rail reserve in Langa, Nyanga, and Philippi during
2020.

Mitchells Plain residents who live near the proposed relocation sites are
strongly objecting.

The City of Cape Town says PRASA now needs to respond to the comments it
received over the rezoning applications before a report is sent to the
Municipal Planning Tribunal for a final decision.

 

More than 900 comments have been submitted to the City of Cape Town
applications to rezone two parcels of land earmarked for housing near
Weltevreden Road in Philippi.

 

The parcels of land are to be used to permanently relocate people in
thousands of shacks who settled on the railway line and rail reserve in
Langa, Nyanga, and Philippi during the Covid lockdown in 2020. Many moved
there because they could no longer afford to pay rent as backyarders.

 

The Passenger Rail Agency of South Africa (PRASA) has already relocated
hundreds of these families to temporary housing on land near Stock Road
train station in Philippi East.

 

PRASA has said that the permanent relocation to the Weltevreden site is
dependent on the outcome of the rezoning application submitted to the City
of Cape Town.

 

 

The two portions of land identified for their permanent relocation is known
as the Philippi Wedge which is adjacent to the Mitchells Plain suburbs of
Woodlands and Weltevreden Valley.

 

In November, GroundUp reported on a protest by a group of Mitchells Plain
residents led by members of the National Coloured Congress who claimed that
they were not consulted and strongly objected to the railway occupiers being
relocated to the area.

 

This week we spoke to Angelique Adams, an activist from Mitchells Plain, who
is among those who made submissions opposing the occupier's being moved to
the area. She also attended a community meeting at the Rocklands Civic
Centre on 8 November 2023 where emotions ran high as irate residents voiced
their concerns with the shack dwellers being moved to land near their homes.

 

"Already there are no services for the two informal settlements in this area
and now they want to bring another informal settlement, it's crazy.

 

"There are no schools and basic services where they plan to dump these
people," said Adams.

 

The period for public comment was between 20 October and 27 November 2023.

 

Now that the public have been given an opportunity to comment on the
application, it is up to PRASA to respond and explain its position on each
of the comments submitted to the City.

 

PRASA, through the Housing Development Agency (HDA), acquired these parcels
of land from a private owner, and submitted applications for the erfs to be
changed from its current Agricultural zoning to Single Residential zoning.

 

Once PRASA has made its submissions to the City on the public comments, the
City of Cape Town's Municipal Planning Tribunal will make a final ruling on
the applications.

 

Eddie Andrews, deputy mayor and Mayco Member for Spatial Planning and
Environment, confirmed that a total of 925 submissions have been received to
date.

 

Andrews told GroundUp that most of the comments for and against the
applications are yet to be analysed. "This will be done once the Case
Officer starts drafting the reports to be submitted to the Municipal
Planning Tribunal."

 

"Only once the applicant (PRASA) has responded, will the City's Case Officer
be in a position to start drafting reports for submission to the Municipal
Planning Tribunal. No date can be provided as to when the reports are
expected," said Andrews.

 

PRASA spokesperson Andiswa Makanda said, "We can only give comment once we
receive final outcome of the application from the City."

 

-GroundUp.

 

 

 

 

Kenya: Old Mutual to Dispose of Tanzanian Unit to a Minority Shareholder

Nairobi — Old Mutual Limited is in the process of selling its Tanzania unit
to a minority shareholder, pending regulatory approval.

 

The sale is part of the Old Mutual Group's immediate-to-long-term strategic
review.

 

"We have evaluated various options to attaining market leadership in
Tanzania, however, we no longer see a clear path to achieving this strategic
objective," Old Mutual Holdings CEO Arthur Oginga said.

 

"We believe that the various options require substantial further investment
and carry significant risk to attaining the objectives of market leadership
and real returns in the medium term," Oginga added.

 

"As a result, we have decided to sell our stake in our short-term insurance
business to Strategic Ventures Company Limited, a grouping from the existing
minority shareholders of UAP Insurance Tanzania Limited."

 

However, the pan-African insurer intends to partner with local players in
Tanzania to offer medical insurance products and services through the Kenyan
unit.

 

UAP Insurance Tanzania expects the sale not to impact policies in Tanzania.

 

"We are communicating with our customers and key stakeholders, and the
reassurance we are giving is that they can expect continued excellent
service."

 

-Capital FM.

 

 

 

 

Rwanda: Safeguarding Workers and Communities Through Occupational Health

Occupational health and safety is one of the most important aspects of human
concern. It aims at an adaptation of a working environment to workers for
the promotion and maintenance of the highest degree of physical, mental, and
social well-being of workers in all occupations.

 

Many countries are moving from manual labour to service mechanisation in the
main productive sectors, such as manufacturing, mining, and agriculture,
hence the potential occupational health ramifications should be anticipated.

 

The benefit of occupational health in developing countries is seen locally
as well as on a national level. The positive impact of occupational health
may be observed in reducing morbidity and work-related injuries.

 

Occupational injuries and diseases represent a significant public health
challenge, inflicting widespread suffering and causing substantial economic
losses due to decreased productivity. The workplace serves as a place where
individuals spend a considerable portion of their lives, making it crucial
to address the risks associated with occupational hazards.

 

 

>From accidents on construction sites to long-term health issues stemming
from exposure to harmful substances, the impact extends beyond individual
workers to affect families and communities. Prevention and management of
occupational injuries and diseases are imperative not only for the
well-being of the workforce but also for the overall societal fabric.

 

The World Health Organization estimates that, globally, there are 1.2million
deaths per year attributable to occupational risks, which relates to 2.1 per
cent of all deaths in the general population. Estimates from the Workplace
Safety and Health Institute, are even higher, with nearly 2.8million deaths
annually being attributed to work, and another 374million to non-fatal
occupational accidents.

 

 

Although the estimation of occupationally related mortality and morbidity
worldwide varies widely due to methodological problems, the general
conclusion is that occupational diseases and injuries are a huge public
health problem.

 

Providing a safe environment for employees is one of the most important
responsibilities of a management team in a workplace. In industries with
inherent risks, like agriculture, construction, and mining, employees must
understand and follow the proper safety protocols.

 

Developing and enforcing safety plans in your organisation can provide
greater peace of mind for employees and help prevent accidents and injuries.
Establishing and enforcing accident prevention policies is instrumental in
steering companies clear of employee injuries, building damages, legal
complications, and productivity setbacks.

 

When employees perceive a sense of protection and value, they can execute
their responsibilities with minimal distractions, contributing to the
seamless operation of the business.

 

 

Preventing workplace injuries is important, ensuring the well-being of
employees and maintaining a thriving and efficient work environment. A
comprehensive safety and wellness plan serves as the foundation for injury
prevention. This involves regular training sessions to educate employees on
potential hazards and safe practices.

 

Identifying safety concerns and addressing staffing needs are crucial steps,
ensuring that workloads are manageable and that safety protocols are
effectively implemented. Providing appropriate protective gear, promoting
cleanliness and organisation in workspaces, and emphasising suitable attire
for both weather and job conditions contribute significantly to injury
prevention.

 

Installing proper lighting and conducting regular inspections help identify
and rectify potential risks promptly. Hiring a dedicated safety officer
further reinforces a commitment to workplace safety, as this individual can
oversee the implementation of safety measures, conduct thorough inspections,
and address concerns proactively.

 

By integrating these measures into the workplace culture, businesses can
foster an environment where employees feel secure, valued, and equipped to
perform their duties without compromising their well-being. This holistic
approach not only minimises the risk of injuries but also enhances overall
productivity and promotes a positive work atmosphere.

 

The potential of occupational health to save lives and prevent injuries
makes it important. Workplace accidents can cause a wide range of injuries,
from small bumps and bruises to permanent impairments and, sometimes,
fatalities.

 

By proactively implementing occupational health measures, employers can play
a crucial role in promoting the well-being of their employees. By doing
this, they not only fulfill their legal and ethical responsibilities but
also significantly reduce the likelihood of accidents, which fosters an
atmosphere of increased safety at work. Employers play a major role in
protecting their workers from harm by putting in place thorough safety
procedures and encouraging a culture of awareness.

 

-New Times.

 

 

 

 

Kenya: UK to Guarantee Sh9.6 Billion Power Line Transmission Improvement
Loan to Kenya

Nairobi — The United Kingdom has guaranteed a Sh9.6 billion loan from the
African Development Bank (AFDB) to Kenya in climate financing.

 

This is after the country was selected as a beneficiary of the Transmission
Network Improvement Project under the Room To Run Sovereign Transaction
(R2RS).

 

British High Commissioner to Kenya Neil Wigan stated that the funds will be
used for power transmission network improvement.

 

"Powering economies requires power for people. We're working together with
the AfDB and Kenya to deliver what Kenyans want and need: reliable power for
reliable economic growth all with green energy that protects the prospects
of future generations. The UK and Kenya are going far and going together,"
he stated.

 

 

The announcement follow recent incidences of power blackouts that have
previously hit the nation including major installations like the Jomo
Kenyatta International Airport (JKIA).

 

"This transaction is one of several projects constituting its lending
programme through which the African Development Bank fulfils the call by
stakeholders at COP27 for MDBs to innovate and scale up climate finance
through the Multilateral Development Banks. The African Development Bank is
proud to partner with the UK in this initiative and to be at the forefront
of such developments," averred African Development Bank Vice-President for
Power, Energy, Climate and Green Growth, Kevin Kariuki.

 

ADB's DG for East Africa Nnenna Nwabufo maintained that "Kenya is close to
achieving universal electricity access with a high component of renewable
energy. This represents a major milestone in both sustainable development
and the fight against climate change."

 

The project is one of five projects to benefit from the unlocked lending
capacity provided by R2RS since the agreement was signed in 2022.

 

-Capital FM.

 

 

 

Nigeria: Mainstream Takes Over $1.3bn Zungeru Power Plant

Mainstream Energy Solution today took over the $1.3 billion Zungeru Hydro
Power Plant, after winning the bid for the plant in a competitive bidding
process.

 

The Executive Director, Corporate Services of Mainstream, Mr. Usman Umar,
while conducting journalists round the plant said that the deal was in
fulfilment of his company's goal of maintaining its leadership position in
the nation's electricity generation.

 

The power plant built to generate 700 MW is located in the ancient town of
Zungeru, Niger State.

 

Speaking on the impact of the concession, Mr. Umar said it would meet
Mainstream growth objectives in clean energy generation.

 

 

His words, "Two or three years ago, the company decided to pursue a growth
programme. We wanted to grow. Growth can.be through acquisition or
organically.

 

"We have the feeling of satisfaction that you derive from setting an
objective and achieving it."

 

The ED said that his company was committed to operating the brand new
Zungeru plant build with a Chinese loan in the most efficient manner in the
interest of the Nigerian economy.

 

The concessioning of Zungeru Power Plant, the newest hydro power plant in
the country, was won by Penstock Energy, a wholly owned subsidiary of
Mainstream Energy Solution Limited.

 

It has four Units and fed with a large dam With a reservoir capacity of 10
billion cubic metres.

 

With addition of Zungeru, he said that hydropower has become the major
source of electricity in the country and with the global move towards
renewable energy, more Hydro power plants should be encouraged.

 

 

On the challenge of electricity transmission, Mr. Umar said that Mainstream
would continue to support the federal government in its programmes towards
strengthening the national grid.

 

According to him, if the power generators ramp.up electricity generation
without improved capacity of Transmission Company of Nigeria to wheel such
power, the generation companies' businesses would suffer.

 

He expressed optimism that the deal with Siemens and the new pact
arrangement with the Chinese would result in a significant increase in
transmission capacity in the interests of stakeholders in the industry and
consumers, in patticular.

 

The Chief Technical Officer of Mainstream, Mr. Jose Villegas, revealed that
with latest addition, the company would be generating about 1, 202 MW into
the National Grid.

 

He added two more units would be added to the current eight units Kainji,
bringing the total number to 10 in that plant.

 

-Vanguard.

 

 

 

Nigerian Stock Index Crosses Record 100,000 Points As Big Gains Continue

The index has returned 31.9 per cent since the start of the year.

 

Nigerian stocks stretched their run of gains into the tenth trading day in a
row on Wednesday as investors piled more funds into shares and buy pressure
drove the main stock index beyond the 100,000 basis points mark to its peak
level ever.

 

The all-share index touched a new high of 101,571.1 points, after adding 3
per cent according to Nigerian Exchange data, less than a week after the
country's equity market displaced Argentina's to become the world's
best-performing bourse. That puts the overall return on the Nigerian equity
market in the last 52 weeks at 93.1 per cent.

 

 

Stocks are up to a great start in Africa's largest economy this year as the
central bank warms up to join the push by the Nigerian Government to attain
a $1 trillion economy by 2030, having announced late last year that lenders
will be obliged to raise their capital levels to back the plan.

 

The move is generating much interest in bank stocks, with the NGX Banking
Index being a major driver of the strong performance of the Nigerian stock
market in the past few weeks.

 

Negative real yields on fixed-income securities as a result of high
inflation are also forcing investors to recoup their investment in such
assets and channel it into stocks.

 

"In January 2024, we expect the Bulls to prevail, as bargain hunting
continues as the order of the day," said analysts at United Capital in this
week's outlook note to investors.

 

"Given the global developments across major central banks in advanced
economies, high base expectations for inflation, and improved economic
growth prospects, we expect the local bourse to record a positive
performance this new week."

 

 

The index has returned 31.9 per cent since the start of the year.

 

TOP FIVE GAINERS

 

Wapic Insurance appreciated by 10 per cent to close at N0.88. BUA Cement
enlarged by 9.98 per cent to end trade at N179.65. Japaul rose to N2.55,
notching up 9.98 per cent in the process. University Press Limited went up
by 9.82 per cent to N3.69. Tripple Gee completed the top 5, climbing by 9.69
per cent to N2.83.

 

TOP FIVE LOSERS

 

NEM led losers, declining by 7.2 per cent to close at N10. Cadbury shed 9.96
per cent to end trade at N23.50. The Initiates fell to N2.27, losing 9.92
per cent. May & Baker slumped to N6.65, recording 9.89 per cent
depreciation. McNichols closed at N1.46, going down by 9.88 per cent.

 

TOP FIVE TRADES

 

Altogether, 488.5 million shares estimated at N8 billion were traded in
12,080 deals.

 

Transcorp was the most active stock with 95.1 million of its shares worth
N1.6 billion traded in 1,207 deals. Universal Insurance's shares of 45.6
million units, priced at N18.6 million, exchanged hands in 168 transactions.
Unity Bank had 27.3 million shares valued at N74.1 million traded in 223
deals. Jaiz Bank traded 27 million shares estimated at N76.9 million in 432
transactions. Japaul Gold traded 25.3 million shares valued at N64.3 million
in 239 deals.

 

-Premium Times.

 

 

 

Africa: PPPs' Private Gain At Public Expense

Kuala Lumpur, Malaysia — At high cost and with dubious efficiency,
public-private partnerships (PPPs) have increased private profits at the
public expense. PPPs have proved costly in financing public projects.

 

PPPs' high costs

 

Eurodad has shown high PPP costs mainly due to private partners' high-profit
expectations. Complex PPP contracts typically involve high transaction
costs. Worse, contracts are often renegotiated to favour the private
partners.

 

They also take advantage of lower government borrowing costs compared to
private borrowers. Most PPP debt costs are ultimately borne by host
governments but are often obscured by the secrecy of contracts.

 

 

PPPs are often not on official government books or accountable to
legislatures. PPPs thus often avoid transparency and accountability,
invoking the excuse of private commercial confidentiality.

 

Such 'off-budget' government-guaranteed liabilities often make a mockery of
supposed government debt limits. Investors generally expect much higher
returns from developing countries than developed economies, supposedly due
to the greater risks involved.

 

These 'fiscal illusions' obscure transparency and undermine government
accountability, generating huge, but little-known public liabilities. High
and rising interest rates threaten new government debt crises as economic
stagnation spreads.

 

High fiscal risks

 

The high costs and fiscal risks of PPPs drain government resources,
resulting in public spending and fiscal resource cuts. With growing demands
for fiscal austerity, from the IMF and markets, PPPs' high costs threaten
government spending, especially for social services.

 

 

A 2018 IMF Staff Note warned PPPs reduce fiscal policy space: "while
spending on traditional public investments can be scaled back if needed,
spending on PPPs cannot. PPPs thus make it harder for governments to absorb
fiscal shocks, in much the same way that government debt does."

 

But such warnings have not deterred the Fund and World Bank from promoting
PPPs. Worse, austerity measures rarely significantly increase budgetary
resources, forcing governments to rely even more on PPP financing.

 

PPPs the problem, not solution

 

Growing reliance on PPP financing to address climate change is new, but no
less problematic. This purported PPP solution has worsened financial
vulnerabilities in developing countries, also undermining sustainable
development and climate justice.

 

 

The 27th UN climate Conference of Parties' outcome statement urged
multilateral development banks to "define a new vision and commensurate
operational model, channels and instruments that are fit for the purpose of
adequately addressing the global climate emergency".

 

But historical experience and recent trends show PPPs cannot be the
solution. Advocates claim PPPs deliver better "value for money", but
evidence of efficiency gains is inconclusive at best.

 

An African Forum and Network on Debt and Development (Afrodad) study found
Ghana's Sankofa gas project failing. Much touted efficiency gains were all
very context-specific, relying on project design, scale, regulation and
governance.

 

Efficiency gains were typically very costly, mainly due to insufficient
private investments and other such cost savings. Profits were also increased
by cutting jobs and hiring cheaper, insufficiently trained and qualified
staff.

 

Human costs

 

The public should be wary and sceptical of growing reliance on PPPs to
provide infrastructure and public services. Unsurprisingly, such PPPs
prioritise commercial profitability, not the public interest.

 

Corporations are accountable to shareholders, not citizens. Worse,
regulating and monitoring private partners are difficult for fiscally
constrained governments with modest capacities, vulnerable to political and
corporate capture.

 

Unsurprisingly, PPPs have typically imposed higher costs on citizens. Public
services provided by PPPs usually charge user fees, or payments for
services. This means access to services and infrastructure depends on
capacity to pay.

 

Thus, PPPs maximise private profits, not the public interest, undermining
public welfare and the UN Sustainable Development Goals (SDGs), worsening
inequalities. PPPs' high fiscal costs worsen fiscal austerity measures,
reducing other public services, often needed by the most vulnerable.

 

Inevitably, PPPs prioritise more profitable services and those
easier-to-serve. Public healthcare is especially vulnerable as profit and
insurance imperatives compromise service delivery. There is no evidence PPPs
can better address the health challenges most developing countries face.

 

Health PPPs worsen public access to essential services, subverting progress
towards 'health for all' and 'universal health care'. Private provisioning,
including PPPs, has never ensured equitable access to decent healthcare for
everyone. Pretending or insisting otherwise is simply wishful thinking.

 

During the COVID-19 pandemic, countries relying more on private healthcare
provision generally fared worse. Those without means cannot afford private
charges, especially by providers who face few constraints to raising their
charges.

 

U-Turn?

 

After a critical report by its Independent Evaluation Group, the World Bank
- long a leading promoter of private financing of education - had to change
its earlier approach to financing public education.

 

The International Finance Corporation, the Bank's private sector lending
arm, has also worsened educational access, quality and equity. It had to
stop investing in pre-tertiary (kindergarten to grade 12) private schools
from mid-2022.

 

Despite overwhelming evidence that the Bank should stop abusing public funds
to promote PPPs, the new Bank leadership has still not abandoned this
financing strategy thus far. Instead, the SDGs and the urgent need for more
effective climate action have been invoked to give it a new lease of
life.-IPS.

 

 

 

Apple to allow rival app stores on iPhones in EU

Apple will allow alternative app stores to be used on its devices purchased
in the EU from March.

 

Currently, anyone with an iPhone can only download apps from the firm's own
App Store.

 

Apple has always maintained that its rules protect users' security.

 

But it has been accused of creating a monopoly, giving customers and
developers no choice but to go through its own channels, and charging
developers up to 30% commission.

 

It has meant that developers who either fail to meet Apple's standards for
being on the App Store, or do not wish to pay its fees, are excluded from
the millions of people who use Apple gadgets.

 

The changes will not apply in the UK at this stage - although the UK's
Digital Markets Bill, which is currently going through Parliament, is likely
to put Apple's practices under similar regulatory scrutiny.

 

Epic, the maker of Fortnite, famously withdrew its hit game from the App
Store after disagreeing with its policies. It has not been available on the
App Store since 2020, although it is possible to play it via the web.

 

In theory this move could mean that iPhone users in Europe would be able to
restore the Fortnite app via a different app marketplace.

 

The move comes as the EU's Digital Markets Act comes into effect. The aim of
the new law is to regulate the largest companies that are gatekeepers to
services such as search engines and app stores to make the market fairer for
established companies and smaller firms.

 

Apple also said it would further open up browser choice, so that EU users
will be able to opt out of using the firm's Safari web browser from the very
first time they open it.

 

But it warned that while it was setting high standards for all new
alternative apps and stores, it believed the move would create additional
security risks for customers, and increase their risk of being exposed to
malware, fraud and scams hidden within apps from other places.

 

"The changes we're announcing today comply with the Digital Markets Act's
requirements in the European Union, while helping to protect EU users from
the unavoidable increased privacy and security threats this regulation
brings," Apple said.

 

The US tech giant sells premium-priced products, with the promise that they
offer an extra layer of security.

 

Android apps can already come from a wider variety of stores. However, as a
result, malware is far more common on Android devices than Apple ones.

 

The purpose of both the new EU rules and UK proposals are to try to maintain
open and competitive markets where lots of companies can successfully
operate alongside each other.-bbc

 

 

 

UK halts trade negotiations with Canada over hormones in beef ban

The UK has stopped its trade talks with Canada, after nearly two years of
negotiations on a post-Brexit agreement.

 

Trade between the two countries currently takes place under the terms of a
deal the UK rolled over from its time as an EU member.

 

A time-limited agreement allowed the UK to continue to sell cars and cheese
without high import taxes.

 

But talks about extending these as part of a new deal have now broken down.

 

It marks the first time the UK has formally suspended talks with a trade
partner since formally leaving the EU trading regime in 2021.

 

It will also mean the UK's trading terms with Canada will now be worse than
when it was part of the EU's deal with the country.

 

UK and Canada agree post-Brexit trade deal

How many trade deals has the UK done?

British car companies now face the prospect of higher tariffs - import
charges - to sell into the Canadian market from the start of April.

 

Higher Canadian tariffs on British cheese had already kicked in earlier this
month, after the previous terms expired at the end of 2023.

 

Talks between the two countries on reaching a bespoke agreement have been
taking place since March 2022.

 

Canada's government had been facing political pressure from domestic cheese
producers.

 

It had also been pushing for the UK to relax a ban on hormone-treated beef,
which its producers say effectively shuts them out of the British market.

 

A spokeswoman for Canada's trade ministerMary Ng said she was "disappointed"
at the pause in talks, and had communicated this to UK Business Secretary
Kemi Badenoch.

 

"Their decision to continue to maintain market access barriers for our
agriculture industry and unwillingness to reach a mutual agreement has only
stalled negotiations," the spokeswoman added.

 

"The UK is a long-standing trading partner and I am confident that we can
negotiate an agreement that is win win for Canada and for the UK".

 

"But let me be clear - we will not negotiate an agreement that is not good
for Canadians - and not good for our Canadian businesses, farmers and
workers".

 

A spokeswoman for the UK government said it reserved the right to "pause
negotiations with any country if progress is not being made".

 

"We have always said we will only negotiate trade deals that deliver for the
British people," they added.

 

"We remain open to restarting talks with Canada in the future to build a
stronger trading relationship".

 

A UK government source said: "If Canada comes back to table with a serious
offer and a desire to make progress we're all ears".

 

Total goods trade between the two countries was worth £19.2bn in 2020,
according to the UK government, with UK imports from Canada worth £7.3bn and
UK exports to Canada worth £11.8bn.-bbc

 

 

 

 

US millennials, Gen Z need parents' help to pay household bills

Young Americans have a hard time paying all their bills, and they are often
turning to their parents for help, according to a new Pew report.

 

The survey shows fewer than half of Americans aged 18-34 think themselves
completely financially independent.

 

Nearly half said they were given money by their parents, most often to help
defray household costs.

 

Still, the vast majority are confident they will no longer need help at some
point in the future.

 

Here are some of the report's key takeaways.

 

Young adults have it better- and worse - than their parents did

Young adults in the US today are more likely to be employed full-time and
better educated than they were 30 years ago.

 

But that seems to be where some of their financial issues come into play. As
a whole, young Americans have seen modest wage increases and much greater
student loan debts over the past three decades.

 

The share of people in their early 30s with outstanding student loan debt
has more than doubled over that period, and the numbers are sharply rising
for those in their 20s, as well.

 

Housing is also a growing issue, and is a burden that often requires
financial help from parents, Pew's survey says.

 

There appears to be good reason for that help: Americans under 35 who are
buying homes are having to carry much more debt than they did 30 years ago -
at least $60,000 more when adjusted for inflation.

 

Getting help from mum and dad, and also delaying a big step

Parents are helping their adult children in ways both big and small.

 

Most are pitching in to cover young adults' household expenses, mobile phone
bills and even subscriptions to streaming services.

 

About a third of young adults are also electing to live at home, with most
saying it has helped them financially.

 

Almost one in five Americans in the 30-34 age group need parental help to
pay household bills.

 

Pew found that 75% of young adults believe they will "eventually" become
financially independent of their parents, but the survey group did not ask
for an exact timeline.

 

The financial pressures are also keeping the age group from making the
financial leap of starting families.

 

Half of people in their late 20s were married in 1993. That number today is
closer to a quarter.

 

The survey shows that may have had an effect on whether those Americans
under 35 were willing to have a kid, as that number has shrunk dramatically,
as well.

 

Some parents are having a tough time, too

More than a third of parents, especially those from lower incomes, said they
had hurt their own financial situation by helping their kids.

 

At the same time, 14% of all parents said they had received help from their
young adult children, either for a one-time expense or a recurring cost.
That number swelled to 29% for parents with lower incomes.

 

Many children living at home often pitch in, as well, with nearly
three-fourths helping with the rent or mortgage or with household expenses
like groceries.-bbc

 

 

 

 

 

GM-owned Cruise admits failures in driverless car accident

Federal prosecutors are investigating General Motors' driverless car unit
over its handling of an accident involving one of its driverless cars.

 

Cruise acknowledged the probe, as it released findings from its review of
the October 2023 incident, in which one of its cars dragged a pedestrian who
had been thrown into its path.

 

California revoked Cruise's permit.

 

Cruise, which also pulled its cars from the road elsewhere, said its actions
in the aftermath fell "woefully short".

 

"We are profoundly remorseful both for the injuries to the pedestrian, as
well as for breaching the trust of our regulators, the media, and the
public," the company said.

 

The report commissioned by GM and conducted by an outside law firm found the
firm did not provide a full picture to regulators in the immediate aftermath
of the accident and did not update the press as it learned more.

 

It ascribed these lapses to "a failure of leadership within Cruise,
inadequate and uncoordinated internal processes, mistakes in judgment, an
"us versus them" mentality with government officials, and a fundamental
misunderstanding of regulatory requirements and expectations".

 

The report said it had not found evidence to date that Cruise leadership or
personnel intended to deceive or mislead when they briefed regulators on the
accident on 3 October 2023.

 

It said technical issues had prevented a full viewing of its video of the
accident, in which the car dragged the pedestrian for about 20 feet. But
staff did not verbally provide an account to make up for that lapse, the
report noted.

 

Staff also responded to press inquiries without being aware of the pull over
manoeuvre and did not update their accounts.

 

Cruise, which is majority owned by General Motors, was one of the first
companies to get a commercial robotaxi service going, winning approval for
regulators to start charging for rides in San Francisco in August despite
objections from activists, police and fire officials and others.

 

At the time, Cruise hailed it as an "historic milestone". It had predicted
that the business could generate $1bn in annual revenue by next year.

 

In the weeks after the accident, a slew of leaders at Cruise, including its
chief executive, left the company.

 

It announced plans to cut about 24% of its staff - or roughly 900 jobs - in
December.

 

Cruise said on Thursday that it was cooperating with authorities, including
the Department of Justice and the Securities and Exchange Commission.

 

Safety authorities were already known to be investigating.

 

"We believe that, over time, autonomous vehicles can significantly reduce
the number and severity of car collisions which result in more than 40,000
deaths on U.S. roads each year. This is what motivates our work," the
company said.

 

"We know our license to operate must be earned and is ultimately granted by
regulators and the communities we serve. We are focused on advancing our
technology and earning back public trust."-bbc

 

 

 

US economy surprises with faster than expected growth

The US economy grew faster than expected in the final months of last year,
driven by robust household and government spending.

 

The world's largest economy expanded at an annual rate of 3.3% over the
three months to December, the Commerce Department said.

 

That was down from 4.9% in the prior quarter, but much faster than the 2%
many analysts had expected.

 

For 2023, the economy grew at an annual rate of 2.5%, up from 1.9% in 2022.

 

The figures cap a year that has been characterised by unexpected economic
resilience, even as the US central bank raised borrowing costs sharply and
inflation cooled.

 

"Whichever way you slice it, this report caps a year of stellar economic
growth performance," said Olu Sonola, head of US regional economics at Fitch
Ratings. "The momentum of economic growth going into 2024 is looking very
good."

 

The figures are a boon for US President Joe Biden, who has struggled to
convince the public that the economy remains healthy, as it downshifts from
the boom after the pandemic shock.

 

In a speech in Wisconsin on Thursday, he argued that White House policies,
including investments in green energy, roads and other infrastructure, have
contributed to the resilience.

 

"Experts, from the time I got elected, were insisting that the recession was
just around the corner," he said. "Well, we've got really strong growth....
We obviously have more work to do but we're making real progress."

 

Mr Biden said he believed the message was starting to get through.

 

In recent months, surveys have shown consumer sentiment improving. The stock
market is up, petrol prices are down and unemployment remains low.

 

While the jump in prices since 2019 remains a sticking point for voters, the
inflation rate has also eased, falling to 3.4% in December, after soaring to
more than 9% in 2022.

 

California resident Ha Le said she was conscious of no longer being on a
constant lookout for the lowest cost petrol.

 

But the 44-year-old, a corporate worker in the retail industry and a
Democrat, said it was still difficult to accept the big jump in grocery and
child care prices of the last few years.

 

"My general thoughts on the economy are that it's not the worst, right?
We've recovered somewhat from the pandemic terror, but it's not great," she
said.

 

Many economists had expected households to cut back spending as prices
eroded their budgets and for business activity to cool in the face of more
expensive borrowing costs, warning of the risks of a downturn, or recession.

 

But that scenario has not materialised, as high savings left over from the
pandemic, an uptick in wage growth, and other government spending provided a
cushion. Compared with the fourth quarter of 2022, the US economy grew 3.1%.

 

On Wall Street, the improving picture has led to speculation that the
Federal Reserve, which raised interest rates sharply to fight inflation,
might start to reverse course.

 

But analysts said the strength of the economy portrayed in the report on
gross domestic product (GDP) will relieve pressure on the bank to act
quickly.

 

"Those hunting for clues that the Federal Reserve is ready to take an axe to
interest rates will be sorely disappointed," said Sophie Lund-Yates, lead
equity analyst at Hargreaves Lansdown.-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
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

 


 

 

 

 

 

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