Jan
7
Afribiz Introduces Info Series on African Markets in 2010
January 7, 2010 | Tagged Angola, Capital markets, Kenya, Rand, South Africa, Stock Exchanges | Leave a Comment
Afribiz presents a series, “A Picture of the African Capital Markets,” based on an interview with Michael Preiss, CEO of African Asset Management. Michael Preiss is a frequent guest and commentator for news organizations like Bloomberg, CNN, and CNBC. He is an expert on African and Asian capital markets.
2009 SETS THE STAGE FOR 2010 GROWTH POTENTIAL (Release Date: 27 December 2009)
The African capital markets surged in 2008, but deflated in 2009. What’s the outlook in 2010? Preiss said that some analysts believe that opportunities in BRIC countries are overdone. “Flat markets in 2010, like Africa, present excellent opportunities for investors,” indicated Price.
The best performer in 2009 in Africa was in the currency market, which also boosted stock market increases. The South African Rand was a top currency in 2009. “In effect, the 25% stock market increase in South Africa translated to a 60% increase in dollar terms because of the gains in the South African Rand against the U.S. Dollar,” shared Preiss.
In most African markets, the annual GDP remained positive in 2009. South Africa was an exception with a contracted economy. Preiss pointed out, however, that the real story is the inflation rates in African markets went down significantly. He adds, “A reduction in inflation also helps the real economy since the local businessman doesn’t have to fight rising costs due to inflation.”
THE POSSIBILITIES OF AFRICA IN 2010 (Release Date: 4 January 2010)
The first major opportunity is in the African bond markets. Bond markets in Africa have strong potential since inflation rates have lowered.
The second major opportunity is in South Africa with the 2010 Soccer World Cup being held there. “Take the German market as an example, when Germany hosted the 2006 Soccer World Cup, you will see it became the best performing market globally that year, “ says Preiss.
A third opportunity is in the transportation market, particularly air transport. “If you look at Angola’s growth, you will see that air routes directly into the country supported the economic climate in the country,” mentioned Preiss. Delta Airlines added a route to Abuja, Nigeria in 2009 while planning another route to Accra, Ghana in 2010. Emirates now has 18 destinations in Africa, including Ivory Coast, Ghana, Sudan, Tanzania, Angola, Mauritius, Morocco, and Egypt.
OTHER CHANGES IN THE AFRICAN CAPITAL MARKETS (Release Date: 11 January 2010)
There are new stock exchanges expected to open in 2010. Another key development will be more exchanges operating electronically. “When Kenya’s stock exchange runs electronically, it will help liquidity,” shared Priess.
In closing, Preiss highlighted the role capital markets can have in developing national economies, including those in post-conflict states. Our strategist, Lauri Elliott quipped, “What a paradigm shift it would be if people give to help others by investing in companies in developing countries through their growing stock markets.” She added that if individuals and organizations invested in firms with growth potential, who also were committed to local job creation and improving local communities, this might accelerate economic and social development in parts of Africa.
To read the full information series, visit www.afribiz.info.
ABOUT AFRIBIZ
Afribiz is a “new economy” communication and community ecosystem focused on promoting increased economic opportunity and successful trade between Africa and the world, as well as between African countries. The driving factor is to support broad-based economic development through for-profit enterprise based on open, inclusive markets.
The ecosystem includes provisioning of information, intelligence, and insights about business and investments in Africa. Afribiz uses web, multimedia, print, radio and TV platforms to interact with the public and its members. It is a key brand of BizConcierge PTY LTD of South Africa.
Dec
23
Nestle exits Zimbabwe
December 23, 2009 | | Leave a Comment
Via the ManufacturingHub.co.za blog:
International food group Nestle has confirmed that it is closing its operations in Zimbabwe after it refused to bow to pressure to buy its milk from a company owned by the wife of controversial president Robert Mugabe.
After being exposed in the media, Nestle withdrew its commercial relationship with Mugabe.
The company has apparently faced pressure in Zimbabwe since October.
SAPA is reporting that Nestle then received a surprise visit from Zimbabwean government officials to its plant and forced it to take delivery of milk from a “non-contracted” supplier.
This would appear to serve as another blow to the already embattled Zimbabwean economy ahead of 2010.
Dec
19
Sustainable business district workshop
December 19, 2009 | Tagged Cape Town, Economy, Events, Workshops | Leave a Comment
An invitation has been launched to public and private sector organizations worldwide to participate in the kick-off meeting of a project to develop an ISO International Workshop Agreement (IWA)* on sustainable business districts.
The meeting is being held on 28-29 January 2010 in Paris-La Défense, France, hosted by the ISO member for the country, AFNOR, which is providing the secretariat for development of the IWA.
The workshop will address the following issues related to business districts:
- Sustainable construction throught the entire life cycle
- City planning and quality of the living and working environments
- Energy, waste and water management
- Transport, accessibility and safety.
The objective of the workshop will be to launch the development of an IWA that will include best practice, general principles and a framework for the performance appraisal of sustainable development at the district level.
To ensure the global relevance of the IWA, the workshop organizers are keen to ensure participation by representatives of stakeholder organizations worldwide including the following:
- Companies with relevant activities such as banking, construction, energy, engineering, insurance, transport, water and waste management, and security
- Municipalities and local government
- City planners
- Research centres
- Universities.
Participants in the workshop will include members of the Sustainable Network – Rethinking Business Districts. This not-for-profit association includes members from the central business districts of Beijing, Cape Town, Liverpool, Montreal, Moscow and Paris-La Défense, as well as companies such as Bouygues, Dalkia, GDF Suez, Hermitage, Oger International and Unibail Rodamco.
If you wish to participate in the ISO international workshop on sustainable business districts, please contact:
Bernard Leservoisier
AFNOR Normalisation
Tel. +33 1 41 62 82 72
E-mail bernard.leservoisier@afnor.org