Author: Editor

Kapital Afrik intends to deliver strategic financial information to executives and managers, through a daily newsletter and a website that covers all African finance.

By Dr. Ayodele Odusola, The inflow of foreign direct investment (FDI) in Africa presents a paradox. Conventionally, capital is supposed to go from low-yielding to high-yielding countries. Over the 2006-2011 period, the region recorded the highest rate of return on FDI at 11.4 percent, compared to 9.1 percent in Asia and 8.9 percent in Latin America and the Caribbean. The world average was 7.1%. However, the share of global net FDI allocated to Africa has been very low during the last decade of illustration, the share of sub-Saharan Africa in global net FDI between 2010 and 2016 was 1.87%, against…

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After its recently concluded annual review of the African Trade Insurance Agency (ATI), S&P Global Ratings (S&P) affirmed the company’s ‘A’ for Financial Strength and Counterparty Credit as well as its “Stable’ outlook. The rating is based on ATI’s increased market penetration, expanding shareholder base, and an expectation of continued expansion and stabilization of its preferred creditor status. In the report S&P notes “ATI’s expansion and relevance in the region is bolstered by its strong shareholder support. It currently has 23 paid-up shareholders, including the African Development Bank, and its shareholder base has grown from seven initial member countries to…

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Africa50, the pan-African investment platform, announced on Tuesday that the Republic of Mauritius became its 30th shareholder. Dharam Dev Manraj Gosh, Mauritian Minister of Finance and Economic Development, signed the Share Subscription Agreement on behalf of the Government, committing Mauritius to take the necessary steps for ratification of the agreement, as required under the Articles of Association of Africa50. “Mauritius is a leader in infrastructure development and one of the most investor-friendly countries in Africa. I look forward to a very fruitful collaboration. Africa50 now has four SADC member states as shareholders and looks forward to welcoming all other African countries to our platform…

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These are two “good friends” linked by “sincerity and mutual trust”. For Chinese ambassador Tang Weibin in Côte d’Ivoire, this is the secret of “mutually beneficial” cooperation. President Alassane Ouattara is expected at the end of August in China for signing several large contracts. This year, Côte d’Ivoire and China are celebrating the 35th anniversary of the establishment of diplomatic relations between the two countries. Indeed, on March 2, 1983, “Côte d’Ivoire and China have united despite the long distance that separates them thanks to the far-sighted vision of their respective leaders,” welcomed the Chinese ambassador in Côte d ‘Ivoire.…

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Following the disappearance of Seydina Tandian, WARA’s Board of Directors, held on August 23, 2018, decided to appoint Anouar Hassoune as WARA’s Interim Managing Director. Anouar Hassoune (43 years old, former student of HEC, Sciences Po Paris, Ecole Normale Supérieure and economics associate) is a shareholder, director and, until now, Chairman of WARA’s Standards and Methods Group. Anouar Hassoune worked for two international rating agencies before co-founding WARA, at the call of Seydina Tandian. Anouar served from 2008 to 2011 as Vice President of Moody’s Investors Service where he provided financial ratings for Islamic and sovereign banks in a number…

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The West Africa Rating Agency (WARA) is deeply saddened to report the sudden death of Seydina Tandian, Chief Executive Officer, during a trip abroad on August 22, 2018. WARA, its employees, its directors and its shareholders offer their sincerest condolences to the family of the deceased, and stand at his side. Seydina Tandian was at the initiative of the creation of WARA, a rating agency approved by the Regional Council for Public Savings and Financial Markets (CREPMF) in 2012, and contributed to the influence of the profession of financial rating in the subregion. A lawyer and economist, a former student…

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Donald Trump hit again. In one of those polemical tweets that only he has the secret, the boss of the White House said he was worried about the agrarian reform announced by his South African counterpart Cyril Ramaphosa. “I asked Secretary of State @SecPompeo to study closely land and farm seizures, expropriations and large-scale killings of farmers in South Africa,” Donald Trump wrote on his Twitter account, inspired by a program broadcast by the very conservative television channel Fox News. https://twitter.com/realdonaldtrump/status/1032454567152246785?s=21 Not surprisingly, the Pretoria authorities promptly responded to the presidential tweet. “South Africa totally rejects this narrow vision of…

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The Saudi Energy Minister denied on Thursday a cancellation of the proposed IPO of the Saudi Aramco oil company. The IPO of the century is worth $ 2 trillion, twice the market capitalization of Apple. “The government remains committed to the IPO of Saudi Aramco, according to the appropriate circumstances and the appropriate timing chosen by the government,” said Khalid al-Falih, quoted in a statement. The Saudi Minister of Energy adds that Ryad has taken steps to prepare this operation and that the timing of its implementation will depend on various factors, including favorable market conditions, and a proposed acquisition…

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The Islamic Solidarity Fund for Development (ISFD), conceived and promoted by the Islamic Development Bank Group attended a high-level event hosted by the Education above all Foundation (EAA) and United Nations International Children’s Fund (UNICEF) at the New York Public Library in New York City on 27th April with an aim to focus on the pressing issue of out-of-school children (OOSC) and to support in accomplishing the objective of EAA in reaching out 10 million vulnerable and marginalized children around the world to return back to school. The event was organized to celebrate the milestone achieved by EAA, through its “Educate…

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The world of finance is in mourning following the disappearance of Seydina Tandian. An exceptional analyst, Seydina Tandian is founder of the West Africa Rating Agency (WARA), one of the first financial rating agencies recognized by the Regional Council for Public Savings and Financial Markets (CREPMF). Senegalese and Soninké, he defined himself as an African proud of his origins, evolving with optimism in the great circles of finance.

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The ideal time to invest in Africa is now. Yet, foreign investors are not rushing to the continent as expected, because decisions to invest abroad are often structured in a methodical and very thorough way. The high level of risk is one of the factors mentioned. But risk and profit are Siamese brothers: high-risk investments are often associated with higher profits. Africa is the most profitable region in the world. A report of the United Nations Conference on Trade and Development indicates that between 2006 and 2011, Africa had the highest rate of return on foreign direct investment, at 14%,…

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The third summit of the Forum on China-Africa Cooperation (FCSA) will be held on September 3 and 4 in Beijing on the theme “China and Africa: community of destiny and mutually beneficial partnership”. The high mass will include 27 side events including the 6th China-Africa Business Leaders Conference. The starting point will be a high-level panel between Chinese and African leaders and representatives of the business community and donors. This will be the most important event in China given the quality of participants, Chinese diplomacy said. In addition to the 54 African government delegations represented at the highest level (Head…

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Announced for the end of this week, underwriting for 10-year-old Kenyan treasury bills is expected by analysts. At issue, a moderate appetite for the country’s debt, institutional investors waiting for the draft budget law, which proposes including repeal the interest rate ceiling, be adopted by Parliament. “In the event of parliamentary validation, the removal of the interest rate ceiling would lead to an increase in interest rates on government securities, which would make the rate (expected between 12.5% ​​and 12.8%) less attractive. ‘current bond subscription,’ says Olivier Muneza, an analyst at MBEA Securities in Kigali. This is the second bond…

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The President of the first blockchain state will make a unique presentation for all guests of the biggest blockchain and cryptocurrency forum in Russia and Eastern Europe – Blockchain Life 2018. Vít Jedlička is a Czech politician, who founded the microstate Liberland in 2015, located between the borders of Serbia and Croatia on the territory of 7 square kilometers. All processes within the state are planned on the basis of blockchain, for example, elections to state bodies will be held on the technology of smart contracts. Many famous investors (Roger Ver, for example) are interested in this project, and…

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