8th August 2023

Niger Junta Rejects Ultimatum

West African leaders have convened a summit to address the Niger junta's rejection of an ultimatum to reinstate the ousted president, raising hopes for a non-violent resolution. The Economic Community of West African States (ECOWAS) had ordered the coup leaders to step down by Sunday or face potential military intervention. In response, the junta closed Niger's airspace and vowed to defend the nation. Nevertheless, ECOWAS decided to hold a Thursday summit to discuss the situation, allowing room for mediation, as noted by the European Union and the United States. Niger's strategic significance and regional stability concerns have drawn international attention.

BRICS Summit Returns

The 15th summit of the BRICS group, is set to take place in Johannesburg from August 22-24. South Africa, will host the first in-person summit since the COVID-19 pandemic began. Among the attendees expected are South African President Cyril Ramaphosa, China's President Xi Jinping, Brazil's President Luiz Lula da Silva, and Indian Prime Minister Narendra Modi. Russian President Vladimir Putin will be a virtual participant due to an International Criminal Court arrest warrant linked to alleged war crimes in Ukraine. Russian Foreign Minister Sergei Lavrov will represent him in Johannesburg. The summit is expected to address the contentious issue of expanding the group by admitting new members, China’s expansion drive to enhance its geopolitical influence amid tensions with the US, and Russia’s ongoing war with Ukraine.

Africa's VC Funding Plunge

Africa's VC market experienced a $1.4 billion funding contraction in H1 2023, shaking the continent's startup ecosystem and raising concerns for future entrepreneurship. The African Private Capital Association's report "Shifting Ventures: Africa's VC Landscape" revealed a 40% decline in deal volume and total funding, with only 263 VC deals worth $2.1 billion compared to the previous year's $3.5 billion. Global investors' caution led to fewer high-ticket investments, impacting the region since the 2022 "funding winter." Despite challenges, West Africa emerged as a focal point, while fintech startups remained dominant. Entrepreneurs adapt to seek alternative funding, ensuring Africa's entrepreneurial spirit endures.

Atlantic Lithium: Ghana Greenlight

Atlantic Lithium (A11.AX) expressed confidence in obtaining a lithium mine lease in Ghana following the country's government approval of a green minerals policy. The policy incorporates changes to mining royalty rates and the state's interest in minerals projects. Atlantic Lithium is currently in discussions with Ghana's Minerals Commission. In a previous investment move, Piedmont Lithium (PLL.O) invested $100 million to secure high-purity lithium ore from Atlantic Lithium's Ghana mine. The latter's lithium supply is part of Piedmont's plans to provide materials to electric-vehicle maker Tesla (TSLA.O). Earlier, short seller Blue Orca Capital alleged secret payments for Ghana mining licenses, which Atlantic Lithium refuted.