{"id":3811,"date":"2023-09-07T00:00:00","date_gmt":"2023-09-07T00:00:00","guid":{"rendered":"https:\/\/staging.azafinance.com\/2023\/09\/07\/kenyan-leaders-seek-larger-role-in-climate-fight\/"},"modified":"2023-09-07T00:00:00","modified_gmt":"2023-09-07T00:00:00","slug":"kenyan-leaders-seek-larger-role-in-climate-fight","status":"publish","type":"post","link":"https:\/\/azafinance.com\/kenyan-leaders-seek-larger-role-in-climate-fight\/","title":{"rendered":"Kenyan leaders seek larger role in climate fight","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"<div class=\"infogram-embed\" data-id=\"1pyyk9v1k5neyyb39wgmmmeq1zfyrlz5e57?live\" data-type=\"interactive\"><\/div><script>!function(e,t,s,i){var n=\"InfogramEmbeds\",o=e.getElementsByTagName(\"script\"),d=o[0],r=\/^http:\/.test(e.location)?\"http:\":\"https:\";if(\/^\\\/{2}\/.test(i)&&(i=r+i),window[n]&&window[n].initialized)window[n].process&&window[n].process();else if(!e.getElementById(s)){var a=e.createElement(\"script\");a.async=1,a.id=s,a.src=i,d.parentNode.insertBefore(a,d)}}(document,0,\"infogram-async\",\"\/\/e.infogram.com\/js\/dist\/embed-loader-min.js\");<\/script>\n<h4><b>Nigerian Naira (\u20a6)\u00a0<\/b><\/h4>\n<p><i><span style=\"font-weight: 400\">Compiled by Ikenga Kalu<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400\">The naira continued its gradual depreciation, falling from USD\/NGN 915 to USD\/NGN 925 over the week as FX demand outstrips the available supply.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">On Wednesday, September 6, 2023, the Nigerian election tribunal upheld the election result from earlier this year, rejecting the opposition\u2019s petitions to overturn President Bola Tinubu\u2019s victory. The opposition does have the option to appeal to the Supreme Court if they wish.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Meanwhile, the National Labour Congress has embarked on a two-day warning strike to call the government\u2019s attention to the economic hardship triggered by the fuel subsidy removal. <\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><span style=\"font-weight: 400\">We expect the naira to slide further against the U.S. dollar in the coming days in the absence of further directives from the central bank.\u00a0<\/span><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.aljazeera.com\/news\/2023\/9\/6\/nigeria-presidential-tribunal-upholds-tinubu-victory\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Reuters \u2013 Nigeria election tribunal upholds President Bola Tinubu\u2019s victory<\/span><\/a><\/p>\n<p><a href=\"https:\/\/punchng.com\/subsidy-pains-labour-vows-to-ground-economy-begins-strike\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Punch \u2014 Subsidy pains: Labour vows to ground economy, begins strike<\/span><\/a><\/p>\n<h4><b>Ghanaian Cedi (GH\u00a2)<\/b><\/h4>\n<p><i><span style=\"font-weight: 400\">Compiled by Sakina Seidu<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400\">The Ghanaian cedi has been slipping against the dollar since the start of September 2023, showing a current low of USD\/GHS 11.60 this week.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Finance Minister Ken Ofori-Atta has expressed Ghana\u2019s readiness for the second tranche of the IMF-approved loan of $3 billion. This flow of $600 million is expected to come in December after a successful review. As part of the IMF programme, Ghana is expecting to receive a specified amount every six months after the first installment in May, as follows: by the end of the year 2023, $1.2 billion; 2024 \u2013 $720 million; 2025 \u2013 $720 million and 2026 \u2013 $360 million.\u00a0\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">With the U.S. dollar strengthening against major world currencies such as the euro and the British pound, the cedi is not immune as we already see a weakening in the cedi against the dollar. We expect this trend to continue unless an intervention is undertaken to push large volumes of dollars into the market.<\/span><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.ghanaweb.com\/GhanaHomePage\/business\/Bureaus-sell-1-at-GH-11-65-GH-11-02-on-BoG-interbank-as-of-September-5-1837979\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Ghana web \u2014 Bureaus sell $1 at GH\u00a211.65, GH\u00a211.02 on BoG interbank as of September 5, 2023<\/span><\/a><\/p>\n<p><a href=\"https:\/\/www.modernghana.com\/news\/1256812\/imf-bailout-ghana-on-track-to-receive-2nd-tranche.html\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Modern Ghana \u2014 IMF bailout: Ghana on track to receive 2nd tranche in December \u2013 Ken Ofori-Atta<\/span><\/a><\/p>\n<p><a href=\"https:\/\/www.actionforex.com\/contributors\/technical-analysis\/517102-gbp-usd-and-eur-gbp-show-signs-of-weakness\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Action Forex \u2014 GBP\/USD and EUR\/GBP Show Signs of Weakness<\/span><\/a><\/p>\n<h4><b>South African Rand (R)\u00a0<\/b><\/h4>\n<p><i><span style=\"font-weight: 400\">Compiled by Alex Barmuta<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400\">The South African rand started the new week trading at USD\/ZAR 18.79. As of Wednesday, it has moved back above 19 and is trading around 19.25. <\/span><span style=\"font-weight: 400\">The move is driven by both local and international factors. From the local aspect, an increase in rotational power cuts sparked a rand selloff as investors\u2019 sentiment toward the rand soured. An increased demand for the U.S. dollar adds extra pressure to the rand. <\/span><span style=\"font-weight: 400\">Looking ahead, we can expect the rand to keep trading above 19. Some support can be found around 19.10. On the upside, 19.30 could offer some resistance.<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.reuters.com\/world\/africa\/south-african-rand-slips-power-cuts-bite-gdp-focus-2023-09-05\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Reuters \u2014 South African rand and stocks slip as power cuts bite<\/span><\/a><\/p>\n<h4><b>Egyptian Pound (EGP)<\/b><\/h4>\n<p><i><span style=\"font-weight: 400\">Compiled by Mitchell Diedrick<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400\">The Egyptian pound traded in a range of USD\/EGP 30.84 to 30.93 since Friday\u2019s close.<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><span style=\"font-weight: 400\">Business confidence is on the rise, and the S&#038;P Global Egypt Purchasing Managers\u2019 Index (PMI) stayed at 49.2 for the second consecutive month. While this is still below the 50 mark, which would signal expansionary territory, many are viewing this as a positive sign toward improved economic growth. <\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><span style=\"font-weight: 400\">According to data from the Central Bank of Egypt, net foreign assets (NFA) increased to 1,475 billion pounds in July 2023 from 1,438 billion pounds in June 2023. Egypt\u2019s NFA deficit also contracted by 24.92 billion pounds (circa. $807 million) in July 2023. <\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><span style=\"font-weight: 400\">In the week ahead, we do not expect any major depreciation in the pound; however, it is worth keeping an eye on the International Monetary Fund\u2019s review of its loan agreement with Egypt.<\/span><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.egyptindependent.com\/imf-to-review-egypts-reform-program-twice-in-september\/\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Egypt Independent \u2013 IMF to review Egypt\u2019s reform program twice in September<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><\/a><a href=\"https:\/\/www.egypttoday.com\/Article\/3\/126730\/Egypt-maintains-PMI-recorded-at-49-2-in-August-shows\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Egypt today \u2013 Egypt maintains PMI recorded at 49.2 in August, shows signs of recovering market<\/span><\/a><\/p>\n<h4><b>Kenyan Shilling (KSh)<\/b><\/h4>\n<p><i><span style=\"font-weight: 400\">Compiled by Terry Karanja<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400\">The Kenyan shilling has traded at stable levels against the dollar and is currently trading between USD\/KES 144.95 and 146.10. The economy is recovering slowly as the political tension eases and food prices lower. According to a report by Stanbic Bank&#8217;s Purchasing Managers Index, the PMI rose to 50.6 from 45.5, which shows economic recovery. The survey showed that although the exchange rate had weakened, the market expects economic conditions and the business climate to rise in the short to medium term. The overall inflation rate decreased to 6.73% in August 2023 from 7.3% in July and was mainly supported by easing food prices. Food inflation declined to 7.5% from 8.6% in July. We expect the shilling to remain stable in the coming days with support from investors such as the Africa Development Bank (AfDB), which has committed Sh 145.5 billion ($1 billion) to support youth startups in Africa. The first African Climate Summit was launched on Monday in Kenya, and the African leaders are determined to have more global influence and bring in more financing and support in dealing with the climate crisis.<\/span><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.aljazeera.com\/news\/2023\/9\/4\/climate-summit-opens-in-kenya-as-africa-demands-more-say-and-financing\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Aljazeera \u2014 Climate summit opens in Kenya as Africa demands more say and financing<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><\/a><a href=\"https:\/\/africa.businessinsider.com\/local\/markets\/kenya-records-a-timid-economic-recovery-for-the-first-time-in-six-months-pmi\/bns5q94\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Business Insider \u2014 Kenya records a timid economic recovery for the first time in six months &#8211; PMI<\/span><span style=\"font-weight: 400\"><br \/>\n<\/span><\/a><\/p>\n<h4><b>Ugandan Shilling (USh)<\/b><\/h4>\n<p><span style=\"font-weight: 400\">USD\/UGX traded at 3,723 on Wednesday, September 6, 2023, up 0.22% from last Friday. Looking ahead, we expect USD\/UGX to fall due to higher output for the 13th month in a row, aided by improved demand. Construction and services activity increased, while agriculture, industry, and wholesale and retail activity decreased. Additionally, new orders increased as new customers contributed to higher order volumes. Companies increased employment and purchasing activity, respectively, extending their expansion to five and ten months. Finally, firms remain optimistic that activity will expand further in the coming year.\u00a0<\/span><\/p>\n<p><i><span style=\"font-weight: 400\">Compiled by Yadhav Panday<\/span><\/i><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.pmi.spglobal.com\/Public\/Home\/PressRelease\/c941bcf1292e432b9142bcedc6a333d6\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Stanbic Bank \u2014 Stanbic bank Uganda PMI<\/span><\/a><\/p>\n<h4><b>Tanzanian Shilling (TSh)<\/b><\/h4>\n<p><i><span style=\"font-weight: 400\">Compiled by Kristin Van Helsdingen<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400\">The Tanzanian shilling stabilized at a new level against the U.S. dollar, moving marginally between USD\/TZS 2,504 and 2,505 this past week, indicating that the Bank of Tanzania has finally managed to gain control over the value of the shilling. USD\/TZS is currently trading at 2,505.<\/span><\/p>\n<p><span style=\"font-weight: 400\">\u00a0<\/span><span style=\"font-weight: 400\">This week, locals witnessed petrol prices rise from 3,199 shillings per liter up to 3,213. Diesel had the highest leap in price for fuels, rising by 324 shillings per liter, with its current price at 3,259 shillings. Price increases have been felt globally and continue to put pressure on rising inflation.<\/span><\/p>\n<p><span style=\"font-weight: 400\">We can expect the Tanzanian shilling to move with the U.S. dollar as officials continue to keep control over the value of the shilling using various measures. Officials have continued to raise U.S. dollar reserves through increasing exports. USD\/TZS is expected to move between 2,499 and 2,508.<\/span><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.thecitizen.co.tz\/tanzania\/news\/national\/more-pain-at-the-pump-as-fuel-prices-rise-to-new-levels-in-tanzania-4359784\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">THE CITIZEN \u2013 More pain at the pump as fuel prices rise to new levels in Tanzania<\/span><\/a><\/p>\n<p><a href=\"https:\/\/www.thecitizen.co.tz\/tanzania\/news\/business\/boost-exports-to-tackle-dollar-scarcity-cti-told-4360180#:~:text=The%20government%20has%20asked%20manufacturers,earn%20enough%20forex%20that%20way\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">THE CITIZEN \u2013 Boost exports to tackle dollar scarcity, CTI told<\/span><\/a><\/p>\n<h4><b>West African CFA Franc Region (XOF)\u00a0<\/b><\/h4>\n<p><i><span style=\"font-weight: 400\">Compiled by Yashveer Singh<\/span><\/i><span style=\"font-weight: 400\">.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400\">In Senegal, the Economic Studies Forecasting Directorate (DPEE) of the Ministry of the Economy has released its report for the first half of 2023. During this period, budget management showed a positive trend with an 11.6% year-on-year increase in budget revenues, totaling 1,834.8 billion FCFA (2.8 billion dollars) by the end of June 2023. Public spending also increased but by a smaller margin, rising 1.4% to 2,449.2 billion FCFA. This led to a budget deficit of 614.5 billion FCFA at the end of June 2023, compared to 771.4 billion FCFA in the previous year.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Tax revenues played a crucial role in this financial performance, reaching an estimated 1,652.4 billion FCFA. This boost was attributed to the strong performance of various tax categories, including direct taxes, indirect taxes, customs duties, and, to a lesser extent, registration fees.<\/span><\/p>\n<p><span style=\"font-weight: 400\">Direct taxes saw remarkable growth, primarily driven by a 36.7% increase in corporate tax collections, amounting to 303.2 billion FCFA by June 2023, compared to 221.8 billion FCFA the previous year. This increase was particularly notable in the secondary sector (96% growth) and the tertiary sector (31.8% growth).<\/span><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.sikafinance.com\/marches\/senegal-les-ressources-mobilisees-augmentent-de-11-6-a-1-834-8-milliards-fcfa-au-1er-semestre-2023_42404\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Sikafinance \u2014 Senegal: Mobilized resources increase by 11.6% to 1,834.8 billion FCFA in the first half of 2023<\/span><\/a><\/p>\n<h4><b>Central African CFA Franc Region (XAF)<\/b><\/h4>\n<p><i><span style=\"font-weight: 400\">Compiled by Yashveer Singh<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400\">In August 2023, Cameroon&#8217;s banana exports experienced a significant decline of 12.2% compared to the same month in the previous year, as reported by the National Sector Association (Assobacam). Plantations du Haut Penja (PHP), the leading company in the market, experienced a significant decline in banana shipments in August 2023, with only 9,996 tons compared to 12,899 tons in August 2022, marking their third-worst performance of the year. This decline follows 9,761 tons in May and 8,714 tons in July 2023. Boh Plantations also saw a decrease in exports, with 1,024 tons in the same period, down 16.7% from 1,229 tons in August 2022.<\/span><\/p>\n<p><span style=\"font-weight: 400\">The Douala Bus Rapid Transit (BRT) project, originally scheduled to begin in 2022, has been postponed until 2024. This delay is primarily due to the need to finalize compensation payments for individuals directly affected by the project. The Cameroonian government has allocated approximately CFA 12 billion for compensation payments and has conducted all necessary studies for the project. The project&#8217;s financing plan includes CFA260.8 billion from the World Bank (77.8% of the total cost) and CFA 62.1 billion from public-private partnerships. The remainder will come from the Cameroonian government for compensating affected populations.<\/span><\/p>\n<p><b>Further reading:\u00a0\u00a0<\/b><\/p>\n<p><a href=\"https:\/\/www.businessincameroon.com\/construction\/0609-13396-douala-s-bus-rapid-transit-project-rescheduled-for-early-2024\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Business in Cameroon \u2014 Douala\u2019s Bus Rapid Transit Project rescheduled for early 2024<\/span><\/a><\/p>\n<p><a href=\"https:\/\/www.businessincameroon.com\/agriculture\/0609-13394-banana-exports-in-cameroon-dropped-12-2-yoy-in-aug-20323-despite-record-performance-by-cdc\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400\">Business in Cameroon \u2014 Banana exports in Cameroon dropped 12.2% YoY in Aug. 2023, despite record performance by CDC<\/span><\/a><\/p>\n<p>\u00a0<\/p>\n<p><em>Issued by AZA Finance, this Newsletter is produced as a service to our clients. It is prepared by our dealing professionals and is based on their understanding and interpretation of market events. AZA Finance cannot be held responsible for any losses of whatever nature sustained as a result of action taken based on comments contained in this publication.<\/em><\/p>\n","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"excerpt":{"rendered":"<p>Nigerian Naira (\u20a6)\u00a0 Compiled by Ikenga Kalu The naira continued its gradual depreciation, falling from USD\/NGN 915 to USD\/NGN 925 over the week as FX demand outstrips the available supply.\u00a0 On Wednesday, September 6, 2023, the Nigerian election tribunal upheld the election result from earlier this year, rejecting the opposition\u2019s petitions to overturn President Bola [&hellip;]<\/p>\n","protected":false,"gt_translate_keys":[{"key":"rendered","format":"html"}]},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[19],"tags":[22,23,24,25,26,27,185,29,30,31,32,298,34,33,303,305],"class_list":["post-3811","post","type-post","status-publish","format-standard","hentry","category-fx-insights","tag-africa-foreign-exchange","tag-cairo","tag-cfa-franc","tag-dollars","tag-egypt","tag-egyptian-pound","tag-foreign-exchange","tag-fx","tag-fx-insights","tag-ghana","tag-ghana-cedi","tag-kenyan-shilling-rate","tag-naira","tag-rand-rate","tag-tanzanian-shilling-rate","tag-ugandan-shilling-rate"],"acf":[],"gt_translate_keys":[{"key":"link","format":"url"}],"_links":{"self":[{"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/posts\/3811","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/comments?post=3811"}],"version-history":[{"count":0,"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/posts\/3811\/revisions"}],"wp:attachment":[{"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/media?parent=3811"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/categories?post=3811"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/azafinance.com\/wp-json\/wp\/v2\/tags?post=3811"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}