Africa ETF News Older Than 1 year-If your looking for specific news, try using the search function
Panel Finalises Structure of Draft Financial Reporting Bill
May 4, 2011--The interpreting and structuring of provisions for the proposed bill, to be named the Financial Report Proclamation of Ethiopia, was completed by a panel of experts at a gathering in Bishoftu (Debre Zeit) last week, Fortune has learnt.
The four experts are Botu Sintayehu and Brehanu Tadesse, legal experts from the Ministry of Finance and Economic Development (MoFED); Munir Ahmed, an instructor at the Civil Service College (CSC); and Amaha Bogale, public prosecutor for the Ministry of Justice (MoJ).
If ratified by Parliament, the bill will bring fundamental changes to Ethiopia’s financial reporting system by requiring the system to comply with international financial reporting standards (IFRS).
read more
Source: Addis Fortune
Experts Recommend Measures to Attract Investments in Africa
May 4, 2011--Financial experts, regulators and investors have said that for African capital markets to attract more investments, there must be strong infrastructure, exchanges, increased investor education, good corporate governance and adequate capacity to enforce rules and regulations in the markets.
Following the global financial crisis that had heavy impact on most developed capital markets, African capital markets are seen as the next destination for most international investors.
read more
Source: SEC.gov
Oil Spill(over)s: Linkages in Petroleum Product Pricing Policies in West African Countries-IMF Working Paper
May 3, 2011--Summary
This paper addresses a number of issues regarding petroleum product pricing in Western Africaemphasizing international spillovers. We use panel unit root rests and long-run modeling based on vector error correction models to assess links and convergence in petroleum product prices across countries. Our results indicate that in general over the long-run there is convergence in prices across the countries.
The estimation results for gasoline and diesel prices suggest the presence of long-run links between retail prices among the different country groupings with long-run multipliers ranging from 11 to -6.66. The speed of Adjustment to equilibrium varies significantly according to the countrygroupings considered. In contrast, the econometric results for kerosene prices not only indicate a weaker link between prices across countries, but also a much slower adjustment to equilibrium. Inlight of these important spillovers, the need to better coordinate pricing s and tax policies towards petroleum products at the regional level becomes apparent.
Stock market deal with FTSE boosts data trade
May 3, 2011--The Nairobi Stock Exchange has signed an agreement with global market performance tracking company—FTSE—that will see the bourse gain new revenues by selling data to international investors, and spur more foreign investor interest.
Under the agreement that is still in the development stage, FTSE International and the NSE will create new FTSE/NSE share and bond indexes that will be marketed to millions of international investors who monitor FTSE indices around the world.
The partnership is expected to open new income streams for the bourse through selling of premium market data to investors, while local buyers are likely to benefit from higher liquidity that comes with more exposure to international buyers.
read more
Source: Business Daily
Bonds gain after auction
May 3, 2011--South African bonds gained in thin late afternoon trade on Tuesday, following the weekly auction.
"It was the auction that mattered, as well as a slightly better rand in comparison to where the local currency was before the auction," a local bond trader said.
read more
Source: FIN24
Global equities speed up JSE sell-off
May 3, 2011--The JSE slumped on Tuesday in line with its international counterparts, as investors digested poor global economic data and reacted negatively to corporate news involving Deutsche Bank. Mining stocks led the decline, with the platinum and gold indexes easing more than 3%.
Kevin Algeo, portfolio manager at Imara SP Reid, said the sell-off was fuelled by disappointing Chinese production data, which indicated that interest rate cuts and new bank reserve requirements were starting to affect growth.
read more
Source: FIN24
Regional Economic Outlook: Sub-Saharan Africa
May 3, 2011--Sub-Saharan Africa's economic recovery is well under way, although among country groups there is variation in the speed of the recovery. In most of the region's low-income countries and among the seven oil exporters growth is almost back to precrisis levels.
However, in the region's middle-income countries, including South Africa, the recovery has been more gradual. This Regional Economic Outlook describes the impact of recent economic developments---sharp increases in food and fuel prices will need fiscal interventions targeting the poor, while higher oil prices will be a boon to some countries and adversely affect others. Policy adjustments are needed to move away from the supportive stance of the last few years but should be balanced against the need to alleviate the impact of rising food prices on poor households.
view report-Regional Economic Outlook: Sub-Saharan Africa
Recovery and New Risks
Source: IMF
Rand steady despite bin Laden news
May 2, 2011-- Despite a surge in the US dollar following news of the death of al-Qaida leader Osama bin Laden, the rand remained steady on Monday morning.
At 11:15 local time, the rand was bid at 6.5554 against the greenback from its previous close of 6.5602. The local currency was also steady against the euro, which also spiked along with other currencies on the news of Bin Laden's death. It was quoted at 9.7475 against the European currency from 9.7527 previously.
read more
Source: FIN24
JSE lower as China weighs
May 2, 2011-- The JSE opened slightly weaker on Tuesday as Chinese economic data weighed on market sentiments.
A trader said the death of Osama bin Laden boded well for the market in the longer term, noting that the market was awaiting US corporate earnings.
read more
Source: FIN24
Nigerian SE: CEO Onyema in full charge
May 1, 2011--The new management of the Nigerian Stock Exchange (NSE) has taken full charge with effect from 29 April, after interim Administrator Emmanuel Ikhazoboh, appointed in August 2010 by the Securities and Exchange Commission (SEC), bowed out on 28 April.
Chief Executive Officer of the NSE, Mr. Oscar Onyema, had taken up office on 4 April, but the SEC had asked for a one-month transitional period. Onyema had been Senior Vice President and Chief Administrative Officer at the American Stock Exchange, according to a statement.
Adeolu Bajomo, the new Executive Director, Market Operations and Technology, is set to start on 3 May, from his previous job as Head of Replatforming Programmes for Africa and Indian Ocean region for Barclays Bank plc. He is to lead operational and technology transformation of the NSE as it repositions for growth and global leadership through effective exploitation of technology and efficient business and market operations processes.
Ikhazoboh told journalists in Lagos that stakeholders should support the new management headed by Oscar Onyema who is expected to constitute a new management team. Reporting on the 8 months of his administration, equity trading grew from N5 trillion (US$32.4 million) to N8.5 trln while bond and other instruments rose substantially from N6 trln to over N10 trln. He said his task had been to restructure the market which had been in crisis so that the SEC had intervened. His administration was able to bring back credibility and investors’ confidence to the market, enhance its overall attractiveness to both local and foreign investors and to fulfil its mandate of putting a new management in place.
SEC noted that after the transition period, Ikazoboh will continue as deputy to the Interim President of the NSE on the NSE Council.
Source: African Capital Markets
