15th March 2024
Good morning. Senegal releases opposition leader; Ousmane Sonko, Egypt unveils a $40 billion green investment plan, Standard Bank reports a 27% profit surge, despite challenges from bad loans, whilst Africa grapples with a major internet outage. Here is your Roosters Crow:
Sonko Released Amid Tensions
Senegalese opposition leader Ousmane Sonko was released Thursday amid efforts by the government to ease political tensions following President Macky Sall's decision to postpone presidential elections, sparking unrest. Sonko, along with Bassirou Diomaye Faye, a key challenger, was detained ahead of this month's elections. Sonko, nominated as his party's candidate, faced disqualification for defamation. Their release followed a parliamentary amnesty for political protest-related crimes. Originally set for Feb. 25, elections were delayed for 10 months, a move contested in court. Sall's term ended April 2.
Egypt's $40 Billion Investment
Egypt unlocked $40 billion in green hydrogen and renewable technology investment with seven memoranda of understanding signed with international developers. Projects in the Suez Canal Economic Zone initially invested $12 billion, followed by $29 billion. Planning Minister Hala el-Said outlined the ambitious plan, aligning with Petroleum Minister Tarek El Molla's goal for renewables to constitute 60% of the energy mix by 2030. Egypt's strategic location in the global "sun belt" positioned it favorably for renewable energy production, benefiting from ample sunshine conducive to hydrogen production.
Standard Bank Profits Surge
Standard Bank, Africa's largest lender, reported a 27% surge in annual profit, reaching 42.9 billion rand ($2.31 billion), buoyed by high interest rates offsetting bad loans. Total net income climbed 20% to 177.6 billion rand, propelled by a 25% increase in net interest income and 13% growth in non-interest revenue. However, inflation, interest rates, power outages, and logistical issues strained retail and small business customers, leading to increased defaults. Credit impairment charges rose by 22%, pushing the credit loss ratio to 98 basis points, nearing the upper range of its target.
Internet Outage Grips Africa
West and Central Africa grappled with a significant internet outage as multiple subsea cables encountered failures, reported by internet observatory Netblocks. The cause remained unclear. SEACOM, an African subsea cable operator, confirmed service disruption on its West African Cable System, redirecting affected customers to the Google Equiano cable. Ivory Coast faced severe outage, while Liberia, Benin, Ghana, and Burkina Faso witnessed high impact. Cloudflare noted major disruptions in Gambia, Guinea, Liberia, Ivory Coast, Ghana, Benin, and Niger, indicating a pattern from north to south Africa. South African operator Vodacom attributed connectivity issues to undersea cable failures.
