15th February 2024
Ghana Finance Minister's Departure Raises Investor Concerns
Ken Ofori-Atta's exit as Ghana's Finance Minister has investors wary of potential disruptions to debt restructuring negotiations ahead of the December 2024 elections. President Nana Akufo-Addo appointed Mohammed Amin Adam as the new minister. Economists assure continuity in negotiations, emphasizing institutional processes over individual transitions. Despite concerns, Ghana's economy shows resilience, supported by IMF loans and successful creditor negotiations. Recent talks aimed to finalize a debt restructuring plan, crucial for managing Ghana's substantial liabilities. Reassurances suggest a commitment to stability amidst governance changes.
IMF Debt Constraints Impede Renewable Energy in Africa
TotalEnergies CEO Patrick Pouyanne highlights a hindrance to renewable energy investments in Africa: inadequate government loan guarantees due to IMF debt constraints. Pouyanne notes challenges in securing payment for electricity projects, limiting his company's ventures mainly to mining projects. Despite TotalEnergies' significant renewable energy portfolio globally, including plans in Africa, Pouyanne emphasizes the need for international financial support to alleviate African states' debt burdens. At an International Energy Agency dialogue, Pouyanne urges equitable financing to spur sustainable energy development in Africa.
Nigeria Plans National Commodity Board Amid Soaring Food Prices
Nigeria aims to establish a national commodity board to regulate grain prices as food costs drive double-digit inflation, reaching a nearly three-decade high. Vice President Kashim Shettima announced plans for the board to maintain strategic food reserves, addressing escalating inflation. Food prices surged 33.93% in December, prompting short-term measures like fertilizer and grain distribution. President Bola Tinubu's reforms, including scrapping fuel subsidies, haven't yet spurred growth, with security challenges exacerbating food price hikes. The government pledges support for farmers' safety and year-round food production, reviving strategies abandoned in the 1980s.
US SA ties reviewed
US lawmakers John James and Jared Moskowitz have proposed a bill for a bilateral review with South Africa, citing concerns over Pretoria's alleged links to nations compromising US security. Accusations include cooperation with China, Russia, and support for US-designated terrorist groups. South Africa's top diplomat, Naledi Pandor, defends the relationship, emphasizing differing foreign policy views. President Cyril Ramaphosa's spokesperson refutes claims, citing judicial processes and the International Court of Justice ruling. The bill, yet to be debated, follows prior US lawmakers' efforts to relocate trade meetings due to perceived geopolitical alignments.
