<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1920" height="1005" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/DANGOTE-REFINERY.avif" alt="" class="wp-image-568268"/><figcaption class="wp-element-caption">A view of the newly-commissioned Dangote petroleum refinery is pictured in Ibeju-Lekki, Lagos, Nigeria May 22, 2023. REUTERS/Temilade Adelaja/File Photo </figcaption></figure>



LAGOS, Dec 20 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s Dangote Refinery is now operating at 85% capacity and is on course to deliver European-standard products by January, an executive said on Friday.



The 650,000-barrel-per-day Dangote oil refinery built by Nigerian billionaire Aliko Dangote in Lagos aims to compete with European refiners when operating at full capacity but had been struggling to secure sufficient crude locally.



&#8220;We have gone up to 550,000 bpd, that is 85% capacity in crude distillation,&#8221; Edwin Devakumar, head of the refinery, told Reuters.



The refinery was forced to source crude from international markets following a dispute with the Nigerian state-oil firm the NNPC over a crude supply deal under which Dangote had agreed to sell a 20% stake in the refinery to NNPC for $2.76 billion.



&#8220;Of this, we agreed that they will only pay $1 billion while the balance will be recovered over a period of five years through deductions on crude oil that they supply to us and from dividends due to them,&#8221; a Dangote spokesperson said.



&#8220;Unfortunately, NNPCL was later unable to supply the agreed 300,000 barrels a day of crude given that they had committed a greater part of their crude cargoes to financiers with the expectation of higher production which they were unable to achieve,&#8221; the spokesperson said in a statement on Wednesday.



Dangote Refinery began processing crude in January into products including diesel, naphtha and jet fuel, and started processing petrol in September.



It still faces challenges distributing the products at home with local fuel traders and even the NNPC&nbsp;importing&nbsp;refined products. The NNPC recently said it had restarted its 60,000 bpd Port Harcourt refinery.



Dangote Refinery cut the price of its petrol to 899.50 naira ($0.58) per litre on Thursday from 970 naira &#8220;to alleviate transport cost during the holiday season&#8221;.



($1 = 1,541.4300 naira)



(Reporting by Isaac Anyaogu; Editing by Emelia Sithole-Matarise)

DANGOTE REFINERY

Nigeria’s Dangote Refinery hits 85% refining capacity, executive says

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="480" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/ORANO.avif" alt="" class="wp-image-568252"/><figcaption class="wp-element-caption">The Orano logo is seen on a jacket of an employee on the construction site of the third-generation European Pressurised Water nuclear reactor (EPR) in Flamanville, France, June 14, 2022. REUTERS/Sarah Meyssonnier/File Photo</figcaption></figure>



PARIS, Dec 20 (Reuters)&nbsp;&#8211;&nbsp;French nuclear fuels company Orano said on Friday it had started arbitration proceedings against Niger, after Niger&nbsp;withdrew the mining licence of Orano&#8217;s subsidiary Imouraren.



Niger&#8217;s military-led government has stepped up pressure in recent months on foreign investors. A representative for the government did not immediately respond to a request for comment.



Orano said in June that Niger had removed the mining permit for Imouraren, and the following month Canada&#8217;s GoviEx Uranium GXU.V said it too had been stripped of its right to develop a uranium project in Niger.



Earlier this month, Orano said authorities in Niger had seized control of its Somair uranium mine.



Niger accounts for about 4% of global output of uranium, the most widely used fuel for nuclear energy.



Barrick Gold said on Wednesday it would initiate arbitration in its dispute with neighbouring Mali.



(Reporting by Benjamin Mallet and Sudip Kar-Gupta; Writing by Makini Brice; Editing by Susan Fenton)

ORANO

France’s Orano launches arbitration against Niger over mining licence

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="439" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand-Dec.avif" alt="" class="wp-image-568249"/><figcaption class="wp-element-caption">South African Rand coins are seen in this illustration picture taken October 28, 2020. REUTERS/Mike Hutchings/Illustration/File Photo</figcaption></figure>



JOHANNESBURG, Dec 20 (Reuters)&nbsp;&#8211;&nbsp;South Africa&#8217;s rand recovered some losses on Friday after a slight improvement in risk sentiment.



At 1406 GMT, the rand traded at 18.355 against the dollar&nbsp;ZAR=D3, about 0.3% stronger than its previous close.



Trade in the rand, like most emerging market currencies, has been volatile this week after the U.S. Federal Reserve on Wednesday struck a hawkish tone in its interest rate outlook for the year ahead.



Andre Cilliers, currency strategist at TreasuryONE, said liquidity constraints during the holiday season could amplify swings in the local currency.



&#8220;Near-term volatility (is) likely to persist,&#8221; Cilliers said.



There are no major local economic data releases scheduled for next week.



On the stock market, the Top-40&nbsp;.JTOPI&nbsp;index was little changed.



South Africa&#8217;s benchmark 2030 government bond&nbsp;ZAR2030=&nbsp;was weaker, with the yield up 2 basis points to 9.135%.



(Reporting by Bhargav Acharya; Editing by Angus MacSwan and Shailesh Kuber)

rand Dec

South African rand recovers some ground against dollar

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="720" height="473" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/QPQQ77FJE5JRTNVTB23SO7K7RM.avif" alt="" class="wp-image-568246"/><figcaption class="wp-element-caption">A view shows Nigeria&#8217;s Central Bank headquarters in Abuja, Nigeria November 22, 2020. Picture taken November 22, 2020. REUTERS/Afolabi Sotunde//File Photo</figcaption></figure>



ABUJA, Dec 20 (Reuters)&nbsp;&#8211;&nbsp;The Central Bank of Nigeria (CBN) has granted the country&#8217;s Bureau de Change (BDC)&nbsp;operators temporary access to the official foreign exchange market from December 19 to January 30, 2025, it said in a statement on Thursday.



Operators will be allowed to purchase a maximum of $25,000 weekly from authorised dealers. All transactions require upfront funding at prevailing rates and must adhere to a maximum spread of 1%, the CBN said.



Nigeria&#8217;s central bank typically sells foreign exchange directly to BDCs at a subsidised rate. The bank&#8217;s statement did not explain the reasoning behind the move, which would give the BDCs access to a new automated FX trading system launched this month to replace a decade-old over-the-counter system.



(Reporting by Elisha Bala-Gbogbo; Editing by Peter Graff)

QPQQ77FJE5JRTNVTB23SO7K7RM

Nigeria central bank grants exchange bureaus temporary access to FX spot market

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="728" height="487" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg" alt="" class="wp-image-568119" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1.jpg 728w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-300x201.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/rand2-1-135x90.jpg 135w" sizes="auto, (max-width: 728px) 100vw, 728px" /><figcaption class="wp-element-caption">South African bank notes featuring an image of former South African President Nelson Mandela are displayed at an office in Johannesburg, File. REUTERS/Siphiwe Sibeko</figcaption></figure>



JOHANNESBURG, Dec 20 (Reuters)&nbsp;&#8211;&nbsp;The following scheduled economic events, equity and currency market moves may affect South African markets on Friday.



ECONOMIC EVENTS



Energy regulator Nersa meeting on Eskom&#8217;s tariff application



SOUTH AFRICAN MARKETS



South Africa&#8217;s rand slipped on Thursday, a day after the Federal Reserve struck a hawkish tone on interest rate cuts in the coming year.&nbsp;.JZAR/



GLOBAL MARKETS



Asian shares hit a fresh three-month low on Friday as investors awaited key U.S. inflation data that could either ease or worsen concerns about stubbornly high price pressures, while the dollar towered at two-year peaks.&nbsp;MKTS/GLOB



WALL STREET



U.S. stocks ended little changed on Thursday, giving up an initial rebound from a sharp drop in the prior session after the Federal Reserve forecast fewer-than-expected interest rate cuts and higher inflation next year.&nbsp;.N



GOLD



Gold prices were set for a weekly decline on Friday after the Federal Reserve&#8217;s verdict on its monetary policy-easing cycle signalled a slowdown in rate cuts, while focus shifted to U.S. Personal Consumption Expenditure data later in the day.&nbsp;GOL/



&#8211; &#8211; &#8211; &#8211;



Some of the main stories out in the South African press:



BUSINESS DAY



&#8211; Treasury makes proposals to tighten laws in bid to exit greylist



&#8211; Grindrod hit hard by disruption after Mozambican election



FIN 24



&#8211; As power theft cripples Eskom, it discovers a massive racket involving its staff



(Compiled by Alexander Winning)

rand2 (1)

South African Markets – Factors to watch on Dec 20

Why Restaurants Have Become So Important To Shopping Malls

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="546" src="https://cms.cnbcafrica.com/wp-content/uploads/2021/10/GettyImages-462743612-820x546.jpg" alt="" class="wp-image-412999" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2021/10/GettyImages-462743612-820x546.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2021/10/GettyImages-462743612-300x200.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2021/10/GettyImages-462743612-135x90.jpg 135w, https://cms.cnbcafrica.com/wp-content/uploads/2021/10/GettyImages-462743612-768x511.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2021/10/GettyImages-462743612-1536x1022.jpg 1536w, https://cms.cnbcafrica.com/wp-content/uploads/2021/10/GettyImages-462743612-scaled.jpg 2048w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A general view of the headquarter of the embattled South African main electricity provider ESKOM is pictured on February 4, 2015 in Johannesburg. South Africa power supply was under &#8220;extreme&#8221; pressure on February 2, 2015 and likely to remain so until end of the week after a technical fault at the country&#8217;s sole nuclear plant, electricity utility Eskom said. AFP PHOTO/GIANLUIGI GUERCIA (Photo by Gianluigi GUERCIA / AFP) (Photo by GIANLUIGI GUERCIA/AFP via Getty Images)</figcaption></figure>



JOHANNESBURG, Dec 19 (Reuters)&nbsp;&#8211;&nbsp;South African state power utility Eskom on Thursday reported a higher loss after tax of 55 billion rand ($3 billion) in the financial year to the end of March because of an accounting adjustment linked to the separation of its transmission unit.



The loss after tax was up from 26.1 billion rand in the year to the end of March 2023.



Revenue in the year to end-March 2024 grew 14% to 295.8 billion rand, a presentation on the company&#8217;s website showed. Sales volumes dipped 3% to 183.3 Terawatt hours, as the company implemented power cuts on 329 days during the reporting year.



($1 = 18.2461 rand)



(Reporting by Nqobile Dludla and Bhargav Acharya; Editing by Alexander Winning)

SAFRICA-ELECTRICITY-NUCLEAR-ECONOMY-ENERGY

South Africa’s Eskom reports $3 bln loss on split of transmission unit

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="523" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/World-Bank-Group-staff-at-the-Zambia-Country-Private-Sector-Diagnostic-launch-in-Lusaka-on-Thursday.-Photo-Courtesty-820x523.jpg" alt="" class="wp-image-567777" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/World-Bank-Group-staff-at-the-Zambia-Country-Private-Sector-Diagnostic-launch-in-Lusaka-on-Thursday.-Photo-Courtesty-820x523.jpg 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/World-Bank-Group-staff-at-the-Zambia-Country-Private-Sector-Diagnostic-launch-in-Lusaka-on-Thursday.-Photo-Courtesty-300x191.jpg 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/World-Bank-Group-staff-at-the-Zambia-Country-Private-Sector-Diagnostic-launch-in-Lusaka-on-Thursday.-Photo-Courtesty-141x90.jpg 141w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/World-Bank-Group-staff-at-the-Zambia-Country-Private-Sector-Diagnostic-launch-in-Lusaka-on-Thursday.-Photo-Courtesty-768x490.jpg 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/World-Bank-Group-staff-at-the-Zambia-Country-Private-Sector-Diagnostic-launch-in-Lusaka-on-Thursday.-Photo-Courtesty.jpg 1080w" sizes="auto, (max-width: 820px) 100vw, 820px" /></figure>



Zambia is endowed with so many positive attributes. It has a strong mining industry, the right conditions for agriculture, plenty of sunshine for renewable energy, and Victoria Falls, one of the greatest natural attractions in the world. A stable political system and a young, hardworking population are helping the country recover from recent crises.



Building on these strengths with an enabling policy environment could position the country to attract critical investments from foreign and domestic sources. This will generate jobs, raise incomes and boost shared prosperity in the country.



In the new Zambia Country Private Sector Diagnostic, the World Bank Group finds that four sectors – mining, farming, renewable energy, and tourism – could attract up to $21 billion in cumulative new investments by 2030. These sectors could also create an additional 80,000 jobs as well as many more indirect livelihood opportunities in the economy.



A few well-chosen reforms will help Zambia get there. The report identified the four sectors for their potential to impact investment and boost economic growth in the context of feasible policy actions. Let’s look at each of these in turn.



In mining, attracting new investments requires a stable and predictable policy environment. Frequent changes to the mining tax regime—with 11 modifications in the past 19 years—have understandably made companies reluctant to make long term commitments in the sector.



The Ministry of Mines and Mineral Development could expand access to prospective areas through a transparent licensing system and tenure security. Two years ago, the government had to stop issuing mining licenses for eight months while it investigated corruption. When it resumed, there was a backlog of 2,000 applications.



Standardizing exploration licenses to ten years and introducing non-exclusive reconnaissance licenses to allow companies to collect geodata could unlock Zambia’s mineral resource potential.



In the renewable energy sector, Zambia is well-positioned to become a regional source of solar power. Right now, almost all the country’s energy comes from hydropower. But increasingly frequent droughts make hydropower less reliable, especially as electricity demand rises in the country.



The CPSD highlights the need for the state utility, ZESCO, to facilitate the smooth implementation of the already enacted laws enabling independent power producers to access the grid and sell power directly to customers, such as mining companies. This could unlock up to $1 billion in investments by 2030 and add up to 1,000 megawatts of installed solar capacity.



Zambia also has the potential to become a key player in regional agricultural markets. To enhance Zambia&#8217;s agricultural competitiveness, the government must rethink its market interventions. Currently, nearly 90 percent of the agriculture budget goes to the Farmer Input Support Program and the Food Reserve Agency. Reshaping these programs to fund crucial infrastructure like all-season roads and irrigation systems would improve market access, productivity, and resilience to climate shocks.



Finally, the report highlights that despite its remarkable attractions, Zambia lags behind other regional tourist destinations. In 2019, each international visitor contributed just $1,417 to the economy, compared to $3,650 in Kenya and $5,198 in Tanzania. The report emphasizes that Zambia could greatly benefit from an eco-friendly tourism industry, currently saddled with heavy regulatory costs, which could attract visitors from all over the world by making better use of its wildlife reserves and national parks.



Implementing these reforms will require sustained commitment from the government and all stakeholders, but the potential rewards—a more robust Zambian economy—will be worth the efforts. &nbsp;



Mary Porter Peschka is IFC’s Regional Director for Eastern Africa. Nathan Belete is the World Bank’s Country Director for Zambia, Malawi, Tanzania, and Zimbabwe.

World Bank Group staff at the Zambia Country Private Sector Diagnostic launch in Lusaka on Thursday. Photo Courtesty

Several Well-Targeted Reforms Could Attract Billions in Investment to Zambia

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4653" height="3100" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/AD5EWZPFCVLJ3MS7VAUAZFF3SA.avif" alt="" class="wp-image-567761"/><figcaption class="wp-element-caption">A sign adorns the building where Australian miner South32 has their office in Perth, Western Australia, November 19, 2015. REUTERS/David Gray/File Photo</figcaption></figure>



Dec 19 (Reuters) &#8211; Australian miner South32 said on Thursday it expects to rebuild alumina stocks in the coming days if trucking conditions remain favourable at the Mozal Aluminium smelter in Mozambique after operational disruptions at the site due to post-election civil unrest.



Earlier this month, the company retracted its output prediction for its Mozal Aluminium smelter in Mozambique, following protests by opposition supporters after a disputed election result in October, which led to increasing violence in the country.



According to South32, which owns 63.7% of the Mozal Aluminium smelter, the disturbances caused road closures that have made it more difficult to get raw materials to the smelter.



&#8220;Over the past few days, road blockages have largely cleared and we have been able to safely transport alumina from port to Mozal Aluminium,&#8221; South32 said.



The company adds that while the situation in Mozambique has improved, any escalation in civil unrest, which is likely after the election results by the Mozambique Constitutional Council on Dec. 23, can potentially impact trucking activity and operations at Mozal.



(Reporting by Adwitiya Srivastava in Bengaluru; Editing by Alan Barona)

AD5EWZPFCVLJ3MS7VAUAZFF3SA

South32 expects to start rebuilding at Mozambique project after post-election hit

Why Fed Rate Cuts Aren’t Making Mortgages Cheaper

What does lab-grown meat look

What does lab-grown meat look, smell and taste like?

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="1920" height="1005" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/NXWKCDUVZNLTBAFY4YNDDH4KKA.avif" alt="" class="wp-image-567479"/><figcaption class="wp-element-caption">A woman receives a bag of food from the government during the distribution of food items by the government to cushion the high cost of living in Abuja, Nigeria, September 20, 2022. REUTERS/Afolabi Sotunde/File Photo</figcaption></figure>



ABUJA, Dec 18 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s inflation is expected to fall sharply to around 15% next year from 34.6% in November, helped by lower imports of petroleum products, President Bola Tinubu said on Wednesday.



In his second budget speech since being elected, Tinubu said spending priorities in 2025 would include security, infrastructure and measures to ease a cost-of-living crisis.



He said the 2025 spending plan of 47.90 trillion naira included&nbsp;a budget deficit of 3.89% of gross domestic product, approximately 13.0 trillion naira.



&#8220;The reforms we have instituted are beginning to yield results, no reversals,&#8221; Tinubu said in a televised speech.



Inflation quickened sharply in the second half of last year after Tinubu devalued the naira currency and cut subsidies on petrol to try to lift economic growth and shore up public finances.



These actions intensified the most severe cost-of-living crisis in decades in Africa&#8217;s most populous country.



To combat rising inflation, the central bank has raised interest rates six times this year, totalling an increase of 875 basis points.



Tinubu said foreign exchange reserves stood at around $42 billion against a healthy trade surplus, but that 15.18 trillion naira would be needed in 2025 for debt service.



(Reporting by Camillus Eboh; Writing by Chijioke Ohuocha; Editing by Christina Fincher and Alex Richardson)

NXWKCDUVZNLTBAFY4YNDDH4KKA

Nigeria inflation to fall to 15% next year, president says in budget speech

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="640" height="427" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/NIGERIA-INFLATION.avif" alt="" class="wp-image-567461"/><figcaption class="wp-element-caption">A woman stands near the bread stand at Cherries Hypermarket in Abuja, Nigeria March 15, 2022. REUTERS/Afolabi Sotunde/File Photo</figcaption></figure>



ABUJA, Dec 18 (Reuters)&nbsp;&#8211;&nbsp;Nigeria&#8217;s inflation is expected to fall sharply to around 15% next year from 34.6% in November, helped by lower imports of petroleum products, President Bola Tinubu said on Wednesday.



In his second budget speech since being elected, Tinubu said spending priorities in 2025 would include security, infrastructure and measures to ease a cost-of-living crisis.



He said the 2025 spending plan of 47.90 trillion naira included&nbsp;a budget deficit of 3.89% of gross domestic product, approximately 13.0 trillion naira.



&#8220;The reforms we have instituted are beginning to yield results, no reversals,&#8221; Tinubu said in a televised speech.



Inflation quickened sharply in the second half of last year after Tinubu devalued the naira currency&nbsp;NGN=D1&nbsp;and cut subsidies on petrol to try to lift economic growth and shore up public finances.



These actions intensified the most severe cost-of-living crisis in decades in Africa&#8217;s most populous country.



To combat rising inflation, the central bank has raised interest rates six times this year, totalling an increase of 875 basis points.



Tinubu said foreign exchange reserves stood at around $42 billion against a healthy trade surplus, but that 15.18 trillion naira would be needed in 2025 for debt service.



(Reporting by Camillus Eboh; Writing by Chijioke Ohuocha; Editing by Christina Fincher and Alex Richardson)

NIGERIA INFLATION

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="5000" height="3303" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/SIJQKYZGPNOYTMR2KBTSYHWFOE.avif" alt="" class="wp-image-567387"/><figcaption class="wp-element-caption">General view of buildings in the capital, Maputo, Mozambique, September 1, 2019. REUTERS/Siphiwe Sibeko/File Photo</figcaption></figure>



CAPE TOWN, Dec 18 (Reuters)&nbsp;&#8211;&nbsp;Mozambique&#8217;s 2024 economic growth is likely to be revised down from a previous forecast of 4.3% due to post-election civil unrest and the impact of Cyclone Chido, a senior International Monetary Fund (IMF) official said.



In October, Daniel Chapo, the candidate of Mozambique&#8217;s ruling party Frelimo, was declared winner of the presidential election that opposition parties say was marred by voting irregularities.



The disputed election results sparked protests from opposition supporters and there has been more violence since. The unrest has affected business operations, including for mining companies, and has at times led to the closure of key trade corridors.



Mozambique&#8217;s Constitutional Council is expected to rule on the validity of the election count on Dec. 23, an outcome civil society organisations and analysts fear may trigger more violence and economic disruption if Frelimo&#8217;s victory is upheld.



&#8220;Growth went from 4.5% in the second quarter to 3.7% in the third quarter, before the protests started,&#8221; Olamide Harrison, the IMF&#8217;s Mozambique resident representative, told Reuters.



&#8220;In the context of protests, and natural disasters, we expect a further slowdown in the fourth quarter followed by a modest rebound in 2025,&#8221; he said.



Harrison said the IMF deeply regretted the loss of lives during the protests, adding that it was a &#8220;difficult situation&#8221; the lender was closely monitoring.



Cyclone Chido, which made landfall in northern Mozambique over the weekend killing at least 34 people, has also dampened growth prospects, he said.



Harrison said negotiations for a three-year credit facility programme between the IMF and Mozambican authorities will resume once a political transition is complete.



&#8220;We wait until the new government is in place and then we resume negotiations,&#8221; he said of a process typically followed when there is a political transition during an ongoing IMF lending arrangement.



(Reporting by Wendell Roelf; Editing by Olivia Kumwenda-Mtambo and Angus MacSwan)

SIJQKYZGPNOYTMR2KBTSYHWFOE

Mozambique’s post-election unrest to hit economic growth, says IMF official

<figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="4564" height="2776" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/7ASWQJJB7FJFVDHIOUFPVXUYDA.avif" alt="" class="wp-image-567383"/><figcaption class="wp-element-caption">A technician works on the cables of a high voltage electricity transmission pylon from the Kiambere hydroelectric dam in Embakasi district of Nairobi, Kenya January 12, 2022. REUTERS/Monicah Mwangi/File Photo</figcaption></figure>



NAIROBI, Dec 18 (Reuters) &#8211; Kenya suffered a widespread power outage on Wednesday that affected most of the country, with electricity supply restored about six hours later, the nation&#8217;s leading power utility Kenya Power said.



The cause of the outage in East Africa&#8217;s largest economy, which was first reported at 1:28 a.m. local time (1028 GMT), has yet to be determined, Kenya Power said in a post on social media platform X.



As of 7:35 a.m. local time (0435 GMT), power had been restored in the areas where it had gone off, the company said.



Wednesday&#8217;s outage was the latest in a series of recurring power outages the country has faced over the past year.



Kenya Power supplies power to more than 9.6 million customers in Kenya, according to its website.



The blackout has significantly reduced internet connectivity across the country, said Netblocks, a global observatory that monitors internet access.



The outage also affected neighbouring Tanzania, the observatory added in a post on X.



(Writing by Bate Felix and George Obulutsa; Editing by Nicholas Yong and Abinaya Vijayaraghavan)

7ASWQJJB7FJFVDHIOUFPVXUYDA

Power supply restored after major outage hits Kenya, affects internet access

How Employees Are Coffee Badging To Avoid Full Days At The Office

<figure class="wp-block-image size-large"><img loading="lazy" decoding="async" width="820" height="462" src="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108076833-1734433401543-gettyimages-1981155057-q1015064_nluf1lrf-820x462.png" alt="" class="wp-image-567109" srcset="https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108076833-1734433401543-gettyimages-1981155057-q1015064_nluf1lrf-820x462.png 820w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108076833-1734433401543-gettyimages-1981155057-q1015064_nluf1lrf-300x169.png 300w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108076833-1734433401543-gettyimages-1981155057-q1015064_nluf1lrf-160x90.png 160w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108076833-1734433401543-gettyimages-1981155057-q1015064_nluf1lrf-768x432.png 768w, https://cms.cnbcafrica.com/wp-content/uploads/2024/12/108076833-1734433401543-gettyimages-1981155057-q1015064_nluf1lrf.png 1480w" sizes="auto, (max-width: 820px) 100vw, 820px" /><figcaption class="wp-element-caption">A worker prepares a flight of drinking chocolate for a customer at Katherine Anne Confections, an artisanal chocolate shop and cafe on February 02, 2024 in Chicago, Illinois. Scott Olson | Getty Images News | Getty Images</figcaption></figure>



The price of chocolate’s key ingredient has skyrocketed this year, prompting analysts to issue fresh warnings about extreme price volatility.



Cocoa futures for March delivery in New York traded as much as 1% higher at $11,938 per metric ton on Tuesday, notching yet another record high. It has since pared some of those gains, trading at $11,864 at around 8:20 a.m. ET.



The benchmark contract, which hit an all-time intraday high of $11,925 in the previous session, is up over 180% year-to-date.



It comes amid renewed concerns about adverse weather conditions and supply tightness in West Africa, home to around three-quarters of the world’s cocoa production.



Strategists at Dutch bank ING said persistent tightness in cocoa and coffee markets, coupled with weather uncertainty, meant that prices were likely to remain volatile through next year.



The global cocoa market registered its largest deficit in over 60 years in the 2023-2024 marketing year, ING said in a research note, citing data from the International Cocoa Organization (ICCO). It attributed this shortfall to crop failures in Ivory Coast and Ghana, the world’s largest cocoa producers.



“While prospects for the 2024/25 marketing year are looking better, there are still concerns over weather developments in West Africa and what it could mean for output this season,” Warren Patterson, head of commodities strategy at ING, said in a note published Dec. 11.



“Forecasts currently show that West African output – which accounts for more than 70% of global output – will edge higher. However, there are risks to this due to recent poor weather,” he continued.



Looking ahead, Patterson said prices were likely to remain historically elevated next year, which will be necessary “to keep a lid on demand.”



<h2 class="wp-block-heading" id="h-commodity-markets-remain-very-dangerous"><a></a>Commodity markets remain ‘very dangerous’</h2>



Like cocoa, coffee prices have also soared in 2024, with analysts recently warning it could take years for one of the world’s most traded commodities to recover.



Rabobank’s Carlos Mera singled out cocoa and coffee as commodities of interest to professional traders, although cautioned that commodity markets remain “very volatile” and “very dangerous.”



″[Cocoa] is one of the most obscure commodities so I wouldn’t advise anyone that doesn’t know to go in there but certainly it is one of the most fun commodities to look at,” Mera told CNBC’s “Squawk Box Europe” on Tuesday.



“And then coffee, we have another spike. Coffee has hit its highest price since 1977 [and] depending on which contract you look [at], it might be a historical record and record robusta prices as well … It is quite an interesting situation,” he added.

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