Business & Tech News
Global Growth Projections Decline:
Fitch Ratings lowered its global growth forecast on Wednesday, projecting the weakest expansion since 2009, excluding the COVID-19 period of shutdowns. Global growth is likely to fall below 2% this year due to escalating global trade tensions. The ratings agency reduced its global growth forecast for this year by 0.4 percentage points and lowered its growth estimates for China and the U.S. by 0.5 percentage points compared to its earlier projections in March this year. U.S. annual growth is now anticipated to decline to around 1.2% this year, declining to just 0.4% year-over-year in the fourth quarter of 2025. “China’s growth is forecast to fall below 4% this year and next, while eurozone growth will remain stuck well below 1%, according to a release by Fitch.
ABB Gets A+ for Q1 Results:
Global electronics and tech group ABB has reported better-than-expected profit in a results announcement today, for its first quarter (Q1). The Swiss industrial group said it also planned to spin off its robotics division.
The manufacturer of factory robots, electric motors and drives said its operational earnings before interest, tax and amortisation (EBITA) rose 13% to $1.59 billion, beating analyst forecasts for $1.48 billion. The bottom line was boosted by a higher profit margin and a 120 million Swiss franc ($146.93 million) gain from the sale of property assets to the city of Zurich during its Q1 trading period.
WTO Touts Global Trade Decline:
The World Trade Organization (WTO) has warned that global trade could see contraction this year and may decline by up to 1.5% in 2025, with the current aggressive tariff policies that may trigger widespread trade uncertainty—a sharp reversal from its earlier 2.7% growth forecast. The Geneva-based organization now predicts a 0.2% decline in global goods trade, citing rising tariffs and unpredictable U.S. trade policies. In its worst-case scenario, global GDP growth could see a decline of 1.7%, down from 2.8%, with trade flows to the U.S. particularly affected. The WTO is considering an emergency meeting to address the fallout.
Business News Shorts:
- South African Fintech start-up company Stitch has raised $55 million in a series B funding round, bringing its total funding raised to a credible $107 million since its founding in 2021. The new funding has been allocated to expand its in-person payment offering and its planned entry into banking card issuance.
- Stats South Africa released the latest Retail sales numbers for February that indicate local retail sales rose 3.9% year on year in the month, following a 7.0% growth in January
- PwC shut operations in nine Sub-Saharan African countries last month following a strategic review, in response to a media report that said the company had exited over a dozen countries to avoid scandals. Operations in the Ivory Coast, Gabon, Cameroon, Madagascar, Senegal, the Democratic Republic of Congo (DRC), Congo Republic, the Republic of Guinea, and Equatorial Guinea have all been closed.
- Spotify and Zoom back online after both tech platforms suffer major outages: – Spotify announced on X that yesterday it was aware of issues, but services were reportedly back online yesterday afternoon, while Zoom’s website was also completely down for around two-hours yesterday, as it displayed a 502 Bad Gateway error, and its press email didn’t work either, and is believed to have been related to domain registry issues.
- Gold has broken above the $3300 level and is sitting at a new all-time high and is looking to break above the $3,340 level today, driven by demand for safe-haven assets amid continued global uncertainty.
Markets by Numbers
Currencies:
Currency markets are indicating the US Dollar is trading stronger against the Euro, currently at 1.13535 and trading stronger against the Pound at 1.32101. The Yen is trading marginally lower and at 142.77 to the dollar currently. The rand is maintaining a narrow range against the dollar around the R18.80 level, and is trading at R18.88 to the US dollar currently.
Commodities:
- Gold futures prices have hit new record highs over the $3330 level in early trade today, but have subsequently modulated and are currently trading at $3328.
- Copper prices are trending lower with a drop of -1,7% today as trade concerns again affect prices and are currently at 4.5967.
- Silver futures prices are trading downwards by -0,8% and trading at 32.534 currently.
- Platinum is trading lower today after gains yesterday, and at $959.70 currently, while Palladium prices are also trending lower, and at $947.50 currently.
- Brent Crude Oil prices continue to trend upwards, and at $66.47, with WTI also trading upwards at $63.24.
- Cocoa futures are currently trading upwards today, and at $8072.54 per ton.
- Coffee futures prices are trending upwards and are at $377.93 currently.
Crypto Currencies:
- Bitcoin prices have gained upward traction this morning and are currently trading at $84419
- Ether prices are trading over 1,5% higher this morning and at $1601,90 currently.
- $Trumpcoin is trading lower this morning and at $7.83 currently
(All prices quoted at approximately 08H30 – Central African Time)
Other Breaking News in Africa Today
Zimbabwean Farmer Group Denounces Compensation:
A group representing many of the white farmers whose land was seized during Zimbabwe’s land expropriation project, over two decades ago, has rejected a compensation deal offered by the Zimbabwean government and said it wants to reopen negotiations about the compensation. They have described the compensation offered to some farmers as “token” amounts. However, the Zimbabwe government has stated that the matter is now closed.
Around 4,000 white farmers were displaced from their farms by government-supported land expropriation when then-president, Robert Mugabe, launched the land expropriation without compensation, redistribution program in 2000. Mugabe pointed to the need to address colonial-era land inequities after the southern African nation gained independence from white minority rule in 1980. Zimbabwe’s finance minister, Mthuli Ncube, last week announced that the government had started paying compensation to white farmers who lost land and property during the reforms. He said the government had approved the disbursement of $3.1 million, equivalent to 1% of the total compensation claim of $311 million. Zimbabwe, once called the breadbasket of Africa, is today in dire straits, with little commercial farming still in place and the country having to import the bulk of its food supply.
