Ugandan Mining Landscape about to Change: Uganda has a newly formed a state-owned mining company that will be able to claim a free, 15% stake in all mining operations in Uganda. The mining entity will then manage the government’s equity interests in mining operations, according to Ruth Nankabirwa, the minister for energy and mineral development. All mining operations were previously held and operated by private mining companies with the requirement to first obtain exploration and mining licenses. Under a new mining law, that was passed by the Ugandan parliament in 2022, the government can compulsorily take a 15% free carry stake in all mining operations in the country. The country is believed to have large unmined deposits of gold, cobalt, copper and iron ore.
South African Business Steps Up: President Cyril Ramaphosa and Discovery CEO Adrian Gore were two of the central figures at the launch of Phase Two of the government and business partnership that took place at the Industrial Development Corporation in Sandton, Johannesburg yesterday. Phase one was launched in June 2023, where around 150 CEO’s pledged its support to the government, offering expertise and investments of R250-million, that would be utilised to fix the country’s problems in three key areas: electricity, transport and logistics, and crime and corruption. business leaders hope to see economic growth of 3.3% by the end of next year but many analysts believe that this is unlikely given the slow growth currently seen in the economy.
Cocoa Crop Doubts: The cocoa regions in Ivory Coast have received below-average rainfall in the past weeks but farmers have stated that it may well be sufficient to boost development of the next October-to-March main crop. The world’s top cocoa producer is in the middle of its rainy season, which runs from April to mid-November. However, farmers have also voiced fears that heavy rainfall in October might damage bean quality. The plantations now need plenty of sunshine and average rainfall, otherwise there will be crop losses according to a statement by a local farmer who farms near Soubre, where 33.3 millimetres (mm) fell last week, 12.9 mm above the five-year average. In the west-central region of Daloa and in the central regions of Bongouanou and Yamoussoukro, where rains were below average last week, farmers said main crop harvesting would be significant in October and gradually increase until December.
Cape Town to Host International Investment Conference: Counder, the tech-enabled corporate finance firm connecting Africa’s untapped investment & operating potential with global capital, has announced its flagship Counder Conference 2025, is set to take place on January 29th and 30th, 2025, in Cape Town, South Africa. Under the tagline “Trusted Connections in Cape Town. Investing in Africa & Around the Globe,” this exclusive two-day event will bring together global family offices, institutional investors, and regional experts to explore actionable investment opportunities across key growth sectors in Africa and beyond.
Market News
Markets: US markets all closed in the red yesterday with the Nasdaq closing -1,43% down, the S&P500 closed -0,93% down and the Dow Jones -0,41% down. in Asia markets this morning, the Nikkei gained some momentum again and closed -2,8% down, to close at 37808.
Currencies: The US Dollar is currently trading downward at 1.106 against the Euro, at 1,327 against the Pound, and at 143,65 against the Yen. The rand has lost some ground against the dollar and is currently trading at R17.42.
Commodities: Gold has consolidated at the $2650 level and is currently trading at $2,653, but may see movement today with concerns over war in the middle east. Platinum has remained below the $1000 level and is currently trading at $995, and Palladium is currently trading at $10010. Brent crude prices have jumped this morning due to concerns around oil production in Iran and is currently trading at $74.75 with WTI also trading upwards at $71.06 currently.
Other News in Africa Today
Kenya’s Deputy President Facing Impeachment: In a strange turn of political events, Kenyan Deputy President Rigathi Gachagua is facing a motion to impeach, brought by current allies of President William Ruto in the Kenyan Parliament yesterday. This followed Deputy President Rigathi Gachagua, being accused of stirring ethnic hatred and undermining the government. Gachagua has denied all accusations by Ruto allies that he was behind violent anti-government protests earlier this year and has publicly stated that he has been side-lined by President Ruto. The demonstrations, in which more than 50 people were killed, brought to the fore issues of corruption and mis-governance, with young protesters complaining that their taxes were being used to fund politicians’ lavish lifestyles.
It was Gachagua who initially mobilised a large voting bloc in the Central Mount Kenya region that helped Ruto win the 2022 election and ascend to the Presidency and he was considered a close ally of President Ruto. The President is yet to make any public comment about the impeachment of his once closest ally. Kenya has had to shelve plans for additional international funding due to the government having to stop the implementation of a new tax law that would have seen Kenyans paying higher taxes.
Iranian Missiles Cause Air-traffic Mayhem: With a multiple missile strike against Israel fired from Iran yesterday, neighboring countries had to closed down their airspace due to safety concerns. According to a spokesperson for tracking service FlightRadar24, Air flights were diverted “anywhere they could go”, and an overview of regional traffic showed flights spreading in wide arcs around the conflict area to the north and south, with many diverting to Cairo and Istanbul. FlightRadar24 said Istanbul and Antalya in southern Turkey were becoming congested, forcing some airlines to divert south, with most international airlines having to divert flights at short notice.
